Preview

Chipotle

Good Essays
Open Document
Open Document
1081 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Chipotle
Case 5-> Chipotle: The Challenges of Integrity
External Assessment a) General Environment
Due to the fact that Chipotle is worried about providing customers with the best possible ingredients and in the same time, concerned of taking care about environment, animals as well as farmers, which in this case, are the main suppliers, we can encapsulate Chipotle in a Sociocultural segment. Another point that reinforces this statement is related to their employees and the way they benefit them in many different ways because from the beginning, they become part of Chipotle by a trainee program and after that if they show that their store is running in a very positive way, they will promote making possible going up the ladder. They believe and proved that when they promote, the manager will take Chipotle as an owned company and the rate of absenteeism is lower than when they hire managers from outside the company.
Although consider a fast-casual restaurant, due to innovations that the creator, Steve Ells put together, I will also suggest to be inside the technological segment. The reasons for this is that he put together the traditional “back-of-the-house kitchen”, so at the same time he was making a new form of enhancing customer experience as well as giving them more control over their orders and at all times watching the food quality available and proving to be more efficiency, so by this way of doing things, he was killing two birds with one stone.
As for the general environment, briefly make some comment about the physical segment, and the reason why they received the first platinum certification in the Leadership in Energy and Environmental design ever awarded to a restaurant that was very recently opened, was only possible because they were constructing sustainable restaurants. b) Industry Environment * Threat of new entrants (high)
Because Chipotle is a well-recognized brand in the fast-casual industry, it is easy for other companies to

You May Also Find These Documents Helpful

  • Good Essays

    Chipotle Mexican Grill has emphasized on their customers and are not afraid to remain sincere and acknowledge their errors, even when they are losing revenue. Last year Chipotle went through a crisis where they force the chains to close serval of restaurants due to a norovirus outbreak. Other food-borne illness cases were also related with Chipotle restaurants that includes E.coli, and salmonella. As a consequence, the company is under investigation. Also their sales and stocks have decline because of the outbreaks that occurred.…

    • 390 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    The history of Chipotle plays a huge part in the fast-casual industry. Its Founder Steve Ells originally worked at the Stars restaurant in San Francisco. He left his job to pursue his dream of opening a fine-dining restaurant but didn’t have the funds to do so. He opened the first Chipotle in 1993 in order to help him fund his dream restaurant. Before he knew it Chipotle took off and became a leader in the fast-casual industry. He started with an $85,000 loan from his father and by 2001 McDonald’s was Chipotle’s largest investor. In 2006 Chipotle went public and McDonalds and Chipotle went their separate ways. Without McDonalds Chipotle might not be where it is today. Its early investment gave Chipotle the capital it needed to grow and with…

    • 195 Words
    • 1 Page
    Satisfactory Essays
  • Powerful Essays

    Chipotle Mexican Grill was a concept turned reality by a gentleman by the name of Steve Ells. Chipotle Mexican Grill provides excellent Mexican cuisine driven by a concept of “Food with Integrity”. The first chipotle Mexican grill was opened in 1993 in Denver Colorado. By the end of 1995 there were three. In 1996 alone, Steve Ells opened five more Denver-area restaurants growing by a total of eight stores in three years. By 1998 Chipotle Mexican Grill was showing much promise. In order to meet their growth needs Chipotle took on outside investors. In 1999 they opened their first out-of-state stores in Minnesota and Ohio. As Steve was seeing rapid growth with his company, he was also noticing significant issues with the quality of the food being desired in this industry. After learning how pork was traditionally raised in the United States Steve Ells started his business down a new path. This lead to the concept of “Food with Integrity” , which was as a result of Steve’s decision to sell only the highest quality organic and naturally raised foods. Chipotle Mexican Grill continues to grow rapidly and in 2006 went public on the New York Stock Exchange. By 2012, Chipotle Mexican Grill had over 1400 company-owned stores taking over as the number two Mexican fast food restaurant for total sales in the US market. Today the overall business environment for Chipotle Mexican Grill is very good. The company has grown by over 50% since 2010 and is seeing increases in revenue averaging between 18% and 20% each year. Since going public the company has seen a 4000% return in their stock prices. Chipotle Mexican Grill continues to grow an average of 150+ stores per year. Based on their financial reporting for 2013 they had reached $3.21 billion in revenue. The significant amount of growth…

    • 1753 Words
    • 8 Pages
    Powerful Essays
  • Better Essays

    Chipotle capitalizes on this by word of mouth marketing. Chipotle released “The Scarecrow” video marketing campaign and associated mobile game targeting GMO companies. In less than two weeks after release, the video had attracted 3.1 million views on YouTube, 2,000 likes and more than 4,000 comments. This truly exhibits the strength of Chipotle’s viral marketing (Handley, 2013). Other strengths include the use of all-natural ingredients, higher salaries for managers and employees, and online ordering with delivery in certain areas. Chipotle certainly has areas of weakness in their menu options, authentic Mexican food, advertising, and availability of sustainable products. See exhibit 1 for the full SWOT…

    • 1654 Words
    • 7 Pages
    Better Essays
  • Good Essays

    The small scale food suppliers did not take food safety measures into account. These food vendors did not have the infrastructure to maintain the supply of food. The food vendors were not in a position to explain the process they used to secure food. Chipotle had to cut links with food suppliers. Chipotle had run into significant losses; however, chipotle developed plans of opening its supply to recap the loss that it has suffered.…

    • 456 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Chipotle Mexican Grill (CMG) was founded in 1993 by one of the visionary called Steven Ells. The vision was not born in his heart in one night, but rather he had planned to work in the restaurant while he was in college. Before he owned his first small restaurant called “taco shop” in Denver, he was hired and worked for two years as sous chef in one of the restaurant which is located in San Francisco. His goal was to reinvent Mexican food all over the country and feed healthy organic foods to the community. Hence he was determined person his dream has changed to real in a very short period of time.…

    • 554 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Chipotle Case Study

    • 427 Words
    • 2 Pages

    Chipotle operates under a single business strategy in which it generated at least 95% of revenue from corporate owed restaurant. The advantage of having a single business strategy is that Chipotle focused their operation on one idea to expand their opportunity and growth. They focus their growth on Chipotle Mexican Grill domestically and internationally. Chipotle devoted their effort to one concept allowed them to create a more comprehensive plan. All their departments are working towards the same goals and objectives which can lead to better management.…

    • 427 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Chipotle Mexican Grill restaurant received a lawsuit against them because the false advertising is violating “Don’t lie” in the KTER. Lying has a negative result on human flourishing. Because it diminishes trust between human beings, may become a habit. Also leads people to make decisions on false information. With this violation many are affected. In chipotle all the diners were affected. The diners flourishing was damaged because they possibly made a decision they would not usually make with the lie told, they doubt their own ability to assess the truth and to make decisions. Impacted their relationships and their choices.…

    • 100 Words
    • 1 Page
    Satisfactory Essays
  • Powerful Essays

    Swot Analysis Chipotle

    • 1485 Words
    • 6 Pages

    There are a lot of things about Chipotle that have kept them successful in previous years. Opportunities and strengths depict that presently the company has a strong and positive…

    • 1485 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Chipotle did very well on this crisis. Chipotle is responsible for this crisis. Chipotle have pre-event planning and preparedness. When FDA noticed that the outbreak is relate to its restaurants, Chipotle closed it restaurants immediately and began to inspect it restaurants. It is reported timeliness on this crisis. Chipotle did hide any information about crisis, all the test result and certainty crisis information can see on FDA, CDC and its website. Chipotle is very sensitivity to consumer, the CEO of the company were apologized to consumers and promise to consumer it won’t happen…

    • 660 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Chipotle Observation

    • 318 Words
    • 2 Pages

    It has come to my attention that there has been a decrease in productivity in the overall staff. At Chipotle, we must pride ourselves in being the fastest and most effective company around. In an effort to increase productivity and maintain 100% customer satisfaction, I suggest that all employees that were hired before April 10th, 2016, should undergo mandatory Productivity and Efficiency Reform Training.…

    • 318 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Chipotle mexican grill was served with a federal grand jury subpoena in connection to a criminal investigation on the outbreak of the norovirus from their restaurant. The U.S. attorney’s office and the FDA are both investigating this case. More scrutiny was placed on food safety after the FDA Food Safety Modernization Act was signed to prevent contamination. The Fda plans on prosecuting restaurants to send a clear message to others that safety is of the utmost importance.…

    • 287 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Chipotle was established in 1993 with the idea to demonstrate that fast food does not have to come with the typical “fast-food” experience. Chipotle’s niche market prefers high quality ingredients that’s healthy, tastes good, and uses classic cooking methods with unique interior design. Chipotle has changed the fast food market and uses the short and sweet mission statement to “forever provide food with integrity”.…

    • 809 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Essay On Chipotle

    • 420 Words
    • 2 Pages

    Chipotle is a fast casual restaurant that was founded by Steve Ellis in 1993.Chipotole serve customized burritos and salads to its customers. Chipotle is now growing at rapidly pace globally, where is has 1,500 location and 37,310 employees. Chipotle main competitors are place like Qdoba, Taco bell, and many more places. Also, Chipotle is very competitor in the market, it make adjustment to the competition like not charge for extra guac because Qboda doesn’t. They are a major competitor in the food industry and they have face many problems will developed a strategy to get through it.…

    • 420 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Swot Chipotle

    • 305 Words
    • 2 Pages

    Chipotle is a Mexican restaurant that was opened in 1993 with the one goal to serve high quality and tasty food quickly with an experience that exceeded but refined the fast food experience. Chipotle also focus on using the best ingredients, and upholding their mission statement “Food with Integrity”. It is important to have all of the above qualities in owning a business, but every company has strength and weaknesses, which I will be discussing in this paper. I will discuss the strengths of Chipotle and also their weaknesses, and explain how their strengths can improve their weaknesses.…

    • 305 Words
    • 2 Pages
    Good Essays