Chipotle Case Study

Core competencies are the unique ability that a company acquired when the company initially setting up. It is the inborn competitive advantage that cannot be easily imitated by competitors. When Chipolite was born, its owner Steve Ells targeted it as the fresh and healthy fast food which means its products need to be fresh and fast delivery. In current dining market, there are three types of restaurants: full service, fast food and the restaurant in between. Chipotle belongs to the last one. Full service restaurant has the highest expense and longest time service, so it is only targeting for mid and high class customer with their leisure time consumptions. At same time, fast food restaurants, their aim is to

Chipotle’s menu includes salads with chips, soft shell tacos, burritos bowls, and burritos. It uses top and ascendancy ingredients to cook in its emergent suburban and urban restaurants. While fast food restaurants rely on advertisements to uphold their menu, by contrast Chipotle concentrates on the firm selection of ingredients. That certainty changes

Chipotle Mexican Grill (NYSE: CMG) is a quick-service and casual Mexican-inspired restaurant chain based out of Denver, Colorado. The company takes pride in doing a few things exceptionally well: To serve high quality and delicious food quickly with an experience that not only exceeded, but redefined the fast food experience. Chipotle focuses on sourcing the best possible ingredients, serving the tastiest food, and growing the most capable team possible.

Chipotles reputation and product were nothing short of stellar. Attracting customers from all walks of life but primarily from the millennial generation. The millennial generation tends to like simple, fresh food without artificial flavors or fillers from environmentally friendly restaurants. Chipotle in turns targets the millennial generation as one of their main stakeholders. For a time, the symbiotic relationship between Chipotle and the millennials thrived. The relationship almost proved to break Chipotle when a crisis of a massive Escherichia Coli (e. Coli) infection breakout occurred affecting the millennial generation the most. A drop-in Chipotles comparative sales has

Chipotle’s business strategy is affected by the strength of rivalry as their demand is slowly declining in the face the e-Coli breakout in their restaurant chain and their format is imitated by competitors (Elizabethtown College, 2014). To remain sustainable in the fast casual market, analysis of current trends including growing customer concerns about what they eat and how it is prepared must remain their fundamental focus in the years ahead. Chipotle must continue to provide a unquie dinning experience as well using classic cooking techniques and high quality ingredients, aligning their commitment to “Food with Integity”. Their biggest hurdle to overcome will align with customer trust in the face of the food safety incidents that negitively

Throughout this research I found that Chipotle has done more damage to the company than just letting down its customers. They have to now face the fact that those outside suppliers are now shying away from business with them because it will make them look bad to future partnerships. Chipotle is now in a state of bringing their company back in a good light by offering different promotions and coupons for loyal customers and customers they need to gain back. They have to go back into the company and figure out how to control the quality of all of their supplies. In my research I made note of a lot of the activity that occurred when the outbreak of E. coli in their meat began and how it spread. I also touch bases on how the company plans to

This past October, 2015, Chipotle Mexican Grill’s reputation took a big hit following E. coli and norovirus outbreaks that left tons of people sick. As a result of this, the company closed 43 restaurants in Washington state and Oregon after linking some restaurants to an E. coli outbreak, which sickened 52 people around those area. The E coli outbreak has led to wide spread to other states that left customers sick from their food and has caused the company a down fall of their

In my opinion, I don’t think it’s really chipotle’s fault but mostly the person who eats it. Some people tend to eat to much of it due to the amount of food they give you. People should limit themselves in how much they should eat and then save some for later. Also chipotle does has some part in it because they need to make sure the food is well cooked and reduce the amount the person is allowed to get and and major role

Chipotle targets people ages 18-24 that are in the middle class and presumably well-educated. As per the U.S. Census data accessible in April 2016, Chipotle's business sector comprised of 13.3 million family households with a 10 billion cap out of a 120 billion fast-food market. The information uncovered that 79% of the family households were non-Hispanic whites and 33% of them had higher educations or graduate degree. There are additionally family buyers of Chipotle which 68% of them were wedded with 35% in a two-person family to be a couple and 43% in a three to four-person family household wedded with kids. Chipotle searches for grubbers and wellbeing fanatics who likes to eat big amounts of food or have a meal that is good for the body. Chipotle targets individuals who are earth cognizant that takes after the 'Food with Integrity' mission, socially engaged, technology knowledgeable, and financially

Chipotle Mexican Grill opened in 1993 by Steve Ells serving burritos with fresh made ingredients, which later became an American chain of fast casual food. Similarly, Chili’s opened on March 13, 1975 by Larry Lavine in Dallas Texas, selling several types of hamburgers at low-cost. In 1983, Levine sold the company to Norman E. Brinker, formally with the Pillsbury restaurant group. As well as Chipotle Chili’s has survived against competition by implementing new ways to differentiate.

2. What does a SWOT analysis reveal about the attractiveness of Chipotle Mexican Grill’s situation and future prospects?

Analysis of the External Environment Within the fast casual sector, there are certain outside trends and forces that the industry must address. Many of these trends and influences can lend themselves to being opportunistic in nature; however, there are some that can jeopardize the well-being of the restaurant. The success of a Chipotle ultimately depends upon how well it can use its strengths to take advantage of external trends. To analyze specific opportunities, we looked at eight unique factors we have identified as vital to growth. They include an increased interest in organic and healthy food, improvements in technology, sustainable business model, a growing worldwide middle class, projected growth in the fast casual and quick service

Between fast casual and fine dining, the fast casual industry remains a rapidly growing industry in the hospitality sector. From its early stages in 2000 to 2014, the fast casual industry has grown 550 percent with Americans spending over $21 billion at fast casual restaurants in 2014. Separating itself from fast food, fast casual provide consumers with fresh ingredients, customization and superior customer service. Founded in 1993, Chipotle (CMG) is widely recognized as the cornerstone of the fast casual industry. With over 1600 locations worldwide, Chipotle continues to grow with revenue increasing 27.8 percent from 2013 to 2014. Since Chipotle went public in 2006, investors have longed for a new company to replicate Chipotle’s success.

In September 2015 Chipotle began to face a crisis that could have bankrupt the company and undo all the progress it had made. The company would face numerous public and regulatory backlash for food safety issues associated with its stores. Chipotle’s first food safety problem occurred on September 11, 2015. The issue involved a salmonella outbreak associated with Chipotle restaurants in Minnesota. There were 45 cases that were determined to be caused from tomatoes served by the restaurants in the area. However, the cases were not that massive and the media did not blow the situation out of control. Therefore, Chipotle tried to handle the cases as an isolated issue and not let it become a public relations problem. However, Chipotle’s worst nightmare became a reality just a month later when a worst health related issued occurred at some of its restaurants. The company has always tried to pride itself on providing a safe environment

However, the seasonings bought from markets always contain plenty of chemical substances and do not benefit for health. Chipotle can catch this market need to produce different sizes of canning seasonings which people can buy and take home for family meals. Certainly, the company is necessary to leverage the healthy food processing technology to extended shelf life of seasonings. The customers who consume in the restaurants can buy this product conveniently before leaving, and who want to buy the seasonings may consider to taste other food of Chipotle. Thus, it will be a new product line of the company and attract much more customers. And it can promote the sales of other products of Chipotle as