Pizza and Food Prep Chains Beware, Here Comes Wal-Mart

Wal-Mart has begun looking at giving restaurants, particularly pizza and meal assembly chains, a run for their money. The huge retail chain that makes mincemeat out of its competitors has begun airing this video about how ordering a pizza, say from Domino's, could cost $14, but Wal-Mart's "Take and Bake" pizza costs only $8.

Peter Romeo, editor for Nation's Restaurant News, cautions the industry about the power of this retail giant in reaching out to yet another domain of franchised chains.

"Wal-Mart is trying a new concept called Marketside, which is positioning itself as the place to buy dinners a consumer might’ve otherwise purchased from a restaurant. Customers can pick up the ingredients to whip together a meal themselves. Or they can opt for one that’s ready to plate and serve the family. Indeed, 'easy meal solutions' is the cornerstone of the venture. Except here you can get them for what the nation’s notorious discounter coyly terms 'affordable prices.' "

"Be afraid. Be very afraid," Romeo warns the restaurant industry in his blog about these two developments.