I'm with colobobcat on this. While we get guys with potential and coach them up...the ONLY way to be a consistent Top 30-40 or better team is to START with better players. Imagine if we started with what Toledo has and coached 'em up. When I see that (lots of 3 star guys), I will know we have reached the "next level".
Some years ago I posted a complete list of recruits over the prior few years sorted by the number of stars. I haven't found a great deal of correlation between any of the ratings and actual on-the-field performance. There certainly is evidence that on the whole 5 star recruits are more likely to be drafted than 4 star ones, and 4-stars ones more likely than 3-stars, and 3-star ones more likely than 2-star ones. Why then is there no correlation at Ohio?
My answer is this? The two-star recruits that Ohio takes are probably somewhat better than the average 2-star recruit. They are not only 2-stars, but they are approved by the Ohio staff. Conversely the 3-star recruits taken by Ohio are probably somewhat worse than the average 3-star recruits. Many/most 3-star recruits end up at BCS schools, and presumably those 3-star recruits that don't are, on average, worse than those that don't. By the time its all done, however, you take better than average 2-star recruits, and worse than average 3-star recruits, and in the end there isn't much difference.