compare Starbucks to BWLD.

Compare the spreadsheet data that summarizes the traditional ratio values for profit margin (PM), total asset turnover (AT) and return on assets (ROA) for the comparable firms discussed in the QSR Restaurant Case to the analogous reformulation-based ratio values for net operating profit margin (NOPM), net operating asset turnover (NOAT) and return on net operating assets (RNOA).

Required:

1. Briefly comment on differences you consider notable when comparing the traditional measures of profitability to reformulation-based measures of profitability for the set of comparable companies and the subject company (BWLD). Your analysis should go down the level of margins and turnovers

1. Briefly comment on any differences you consider notable when comparing the ROA and RNOA of the specific comparable company you analyzed to analogous ratios of the subject company. In particular identify which component(s) of profitability is (are) the sources of that difference.

1. Provide an opinion on whether differences in the component(s) you described in your answer to question 2 above are a result of differences in the business model, competitive strategy and/or accounting choices of your comparable company and the subject company.

QSR Segment Company Profiles (Target and Potential Comparables)

Buffalo Wild Wings, Buffalo Wild Wings, Inc. engages in the ownership, operation, and franchise of restaurants primarily in the United States. It offers chicken and various food and beverage items, as well as serves bottled beers, wines, and liquor. As of December 30, 2016, the company owned and operated 631 company-owned restaurants, and franchised an additional 609 Buffalo Wild Wings Grill & Bar restaurants in North America. Buffalo Wild Wings, Inc. was founded in 1982 and is headquartered in Minneapolis, Minnesota.

Starbucks Corporation Starbucks Corporation operates as a roaster, marketer, and retailer of specialty coffee worldwide. As of September 30, 2016, the company operated 12.711 company-operated stores and 12374 licensed stores. Its stores offer regular and decaffeinated coffee beverages, Italian-style espresso beverages, cold blended beverages, iced shaken refreshment beverages, premium Tazo teas, packaged roasted whole bean and ground coffees, Starbucks VIA Ready Brew soluble coffees, Starbucks coffee and Tazo tea K-Cup portion packs, Starbucks Refreshers beverages, juices, and bottled water. The companys stores also provide various food items, including pastries, prepared breakfast and lunch sandwiches, oatmeal, and salads. In addition, it licenses the rights to produce and distribute Starbucks branded products to The North American Coffee Partnership with the Pepsi-Cola Company, as well as licenses its trademarks through licensed stores, grocery, and national foodservice accounts. The company offers its products under the Starbucks, Tazo tea, Seattles Best Coffee, Starbucks VIA Ready Brew, Starbucks Refreshers, Evolution Fresh, La Boulange, and Verismo brand names. Starbucks Corporation was founded in 1985 and is based in Seattle, Washington.

Return on Assets (ROA) NI or Profit Margin \% (PM\%) Dotirn nn Eniuiti IDOEl Earnings from Continuing Operations Margin \% (NOPM) Gross Margin \% (GM \%) Return on Assets (ROA) NI or Profit Margin \% (PM\%) Dotirn nn Eniuiti IDOEl Earnings from Continuing Operations Margin \% (NOPM) Gross Margin \% (GM \%)