what's generally accepted is to not waste time or money on the OEM CB350 hub and use a JBranson 450 setup or the H2OBuffalo if you find one. then realize that any race shoes will suck for the street 'cause they need a ton of heat to start working without fading...so find the best street shoes (Vesrah) and compromise (prepare for fade) at the track.
and again, let me know if you can make that rear work. rosko has a pretty slick solution to a bad rear brake pivot point on his racer...that is if he hasn't already "improved" it.
I used stock shoes in a stock drum on the track. Set it up right and squeeze like hell. They only fade a little bit but that just means you need to carry more corner speed anyway. These guys are wimps with tiny little forearms. Toughen up and hope for the best.
I'm not saying that my set-up was the best, only that it is usable. The key is good setup and good shoes(even if they are stock). That being said, there is no such thing as too much brake. All else being equal those with better brakes have faster lap times, unfortunately all is not equal in racing and there are guys out there with totally stock bikes that will be faster than me and I am faster than some guys with better bikes. So, pay your money and take your choice, but a well set up stock brake will work on the street and can be used on the track until you need or want something better. I have never tried racing a CB350 with a different drum front, but my original race bike had an RD350 front disk on it and it stopped pretty good.
We have had the discussion here before, where Branson has found some combinations of shoes and setup can lead to grabiness and lack of feel, I think.
If you haven't done it yet, take the time to read the sticky here in the tech section on brake shoes. Set-up is crucial. The best shoes in the biggest drum set up poorly won't stop you at all.
The key to what brake will work for you will be how fast you go. If you race or ride hard there will come a time when you'll say...I need more brake. And that would be the time to get something stronger. In general an OEM CB350 brake with the best compound you can put in it and the best setup would only suffice for novice racing.
A good example is turn 3 at Loudon...a CB350 in race trim will probably hit close to 80mph between 2 and 3....turn three is a 45mph turn if you really know what you are doing. So you gotta get rid of 35mph...just plain no way around that fact. And at some point you'll want to get ride of that 35mph without braking 100 feet before the first marker so three people don't pass you before you get to the turn in.
The old wives tail of good brakes just slowing you down is of course the worst kind of idiocy. Else Rossi would be riding with NO brakes. Else race bikes would have never developed superior brakes. It's not about slowing down a LOT, it's about spending less time slowing down, and more time going fast. And a strong brake will increase your average speed by decreasing the amount of time you spend slowing down. Just like more HP decreases the amount of time you spend getting to top speed.
In my opinion the stock CB350 brake is at it's very best only marginal for a bike that weight. Back before Honda was trimming every penny they put larger, better, brakes than that on a smaller, slower bikes.
But...a good set of properly arc'ed and adjusted Fedora shoes in a 350 brake would/could be worlds better than a crapped out stock brake. And if the rider remained aware of it's limitations could be used to decent effect I imagine. A good rider can of course make do with a less than perfect brake....however he would still go faster with a good brake.