School Papers

On for customers which is based on quality

On April 10, 2015, CARA was under the Business
Corporations Act (Ontario) (“OBCA”) and became the successor to Canadian
Railway News Company. The Company holds its interest in certain restaurants,
intellectual property and other assets through directly and indirectly owned
companies. The Company’s head and registered office is located at 199 Four
Valley Drive, Vaughan, Ontario, L4K 0B8, Canada. Groupe St- Hubert Inc. is the
only subsidiary of the company that has more than 10% of total consolidated
assets and revenue, which is also a corporation existing by the Quebec’s law.

1.    
Competition

CARA is the public ownership company with the international
market. Nowadays, the Canadian food and beverage industry is highly competitive. Established chains and
potential new market entrants may be the competitors of Cara’s brands including
restaurant chains in United States and other Canadian regions. Competition
includes limited-service restaurants and full-service restaurants, take-out
operations, coffee shops, grocery stores and delivery operations that offer
home meal replacements. In particular, each Cara brand has its segment (midscale
or casual/upscale casual dining, fast casual, quick service). The principal
competitors to each Cara brand vary from markets and regional and national
chains, independent operators.

CARA competes with other restaurants for customers which is
based on quality and variety of the menu items, the perception of the quality
of the dining experience, advertising, restaurant location, customer service
and quality of facilities.

* Risks:

Related to Canadian
Restaurant industry and the Company restaurant: completion with other franchisors, quality
control and health concerns, security breaches of confidential guest
information, public safety issues, damage to the company’s reputation, growth
of the company; franchisees, franchising relations, retail licensing
opportunities, lawsuits, regulations,…

Related Company’s securities: payment
of dividends, future sales, significant ownership by the principal
shareholders, dilution, quarterly operation results may fluctuate