Preview

Chipotle Mexican Grill

Good Essays
Open Document
Open Document
509 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Chipotle Mexican Grill
Chipotle Mexican Grill

Chipotle Mexican Grill is an example of a relatively recent entrant in the national fast-food space that has provided exceptional quality to customers. Chipotle started as a one-shop burrito restaurant in Denver in 1993 that today is a publicly traded company with $1.3 billion in revenues from 1,000 restaurants. The company offers fast-casual, fresh Mexican food restaurants in the United States, UK, and Canada. In 2010 it had revenues of $1.74 billion.

Chipotle has differentiated itself by catering to customers concerned about sustainability and offering high-quality, made-to-order fresh Mexican fast food. According to Chipotle’s founder, Steve Ells, who studied at the Culinary Institute of America, Chipotle buys more antibiotic-free and vegetarian-fed meat than any other restaurant in the world. All of the food at Chipotle is made fresh daily by staff who have been taught culinary skills Ells learned from the culinary institute. In addition, Chipotle is committed to buying locally when possible and supporting family farms.
In addition to offering top-quality, sustainable food products, Chipotle offers better-than-average pay for the fast food industry and offers managers lucrative financial incentives for hiring quality, such as its innovative restauranteur program. To be a restaurateur, a manager has to have a perfect store -- including a top-notch staff. Although this quality control system results in the shedding of unproductive workers, it also results in higher quality products and services.

"Every single person on the staff has to be somehow inspired and have characteristics that you can 't teach: infectious enthusiasm, honesty, clean, presentable, good hygiene, fun to talk to, great eye contact, the kind of stuff you look for in a friend," Ells said.
Chipotle could improve its service by providing a drive-up window for people using its mobile service and ordering ahead online. In addition, it may want to expand its seating



References: “Food With Integrity,” Chipotle Mexican Grill Corporate Website, http://www.chipotle.com/en-US/fwi/fwi.aspx. “It’s All Fun and Games Until Someone Wrecks the Planet,” Chipotle Mexican Grill Corporate Website, http://www.chipotle.com/en-US/fwi/environment/environment.aspx. Chipotle Mexican Grill, Yahoo Finance, http://finance.yahoo.com/q/ks?s=CMG. “Quality Product and Customer Service: How Chipotle Conquered a Crowded Market,” BNET, http://www.bnet.com/blog/mba/quality-product-and-customer-service-how-chipotle-conquered-a-crowded-market/1822. “Full of Beans: How a Classically Trained Chef Reinvented Fast Food,” Knowledge@Wharton Leadership and Change Research Article, http://knowledge.wharton.upenn.edu/article.cfm?articleid=2415.

You May Also Find These Documents Helpful

  • 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

    When Steve Ells decided to create a restaurant concept that combined the quick-serve experience with exceptional quality food, he didn’t know it would be an instant hit (Thompson, Peteraf, Gamble, & Strickland III, 2015). He was looking for a way to use his culinary training and restaurant experience to elevate the fast-food concept. This transformed the way people thought about fast-food. His concept centered on a focused menu serving only high-quality, fresh ingredients using traditional cooking methods and made-to-order preparation in a restaurant interior that was aesthetically pleasing but still prepared in under 2-3 minutes. And Chipotle Mexican Grill was born! Within six years of being open, Chipotle Mexican Grill went public on the New York Stock Exchange, doubling its stock price the first day (Thompson et al., 2015). Year after year, Chipotle has been able to grow revenue from $3.2 billion to $4.1 billion ("CHIPOTLE MEXICAN GRILL INC (CMG:New York): Financial Statements - BusinessWeek," n.d.). See Exhibit 2 for Chipotle’s Financial Statement.…

    • 1654 Words
    • 7 Pages
    Better Essays
  • Good Essays

    Conversely, it is not easy to tell the source of the infection. Chipotle deals with a larger chain of supply, therefore, it makes it tougher to detect where the dieses is coming from. Chipotle has about one thousand nine hundred foot outlets. The more stores may result in food shortage and improper food safety.…

    • 456 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Chipotle vs Panera

    • 1784 Words
    • 8 Pages

    When Chipotle opened its first store in 1993, the idea was simple: demonstrate that food served fast didn 't have to be a "fast-food" experience (Chipotle.com, 2010). Chipotle uses high-quality raw ingredients, classic cooking methods and a distinctive interior design. In the past year, Chipotle reached an important milestone of serving 100% naturally raised chicken in all of its U.S. restaurants while increasing the quantity of naturally raised beef to more than 60%. During 2008, Chipotle increased its revenue by 22.7%.…

    • 1784 Words
    • 8 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

    Chipotle Mexican Grill

    • 1498 Words
    • 5 Pages

    Chipotle has made a mission a corporate passion. Not only have they lead the food industry in sustainable food sourcing, they have expanded their philosophy to striving for LEED certification in their buildings. They pride themselves on providing the highest quality food at reasonable prices. Does moral success translate to financial success?…

    • 1498 Words
    • 5 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
  • Good Essays

    Chipotle is an efficient and reliable choice. Workers handle their customers in an assembly line, each order being cared by at least four well trained workers who get you in and out the door as soon as you arrive. Meals are always cooked fresh just a few feet away so you know what is being made into your meal every time. The food is arranged in convenient to go plates that can carry the large quantities of piping hot portions that are piled on into every bowl or burrito. Great food at an affordable price is the best part of their service. Meals generally don’t go over ten dollars which is great for someone who wants to enjoy the luxury of great food but at a bargain price. Chipotle proves every time that good service is not a past time but is still a respected craft in every sense.…

    • 669 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
  • Good Essays

    One competitive advantage the company has is that the food it serves caters to health consciousness in consumers. This compliance to the healthy food trend comes from shifted consumer sentiment away from food that facilitates obesity. Another competitive advantage is that Chipotle sits somewhere between fast food and casual dining. This is referred to in the article as fast casual dining. Chipotle offers the quality of food that many full-service restaurants serve and pair it with the speed and convenience of fast food. Chipotle prides itself in doing a few things really…

    • 809 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Castle Family Restaurant

    • 1300 Words
    • 6 Pages

    The staff of any restaurant industry needs to be able to meet the needs of the customers and the Managers…

    • 1300 Words
    • 6 Pages
    Powerful Essays
  • Satisfactory Essays

    Essay On Chipotle

    • 420 Words
    • 2 Pages

    Stakeholder’s Expectation were that Chipotle was different than other fast food restaurants like McDonald’s and Burger King. That they are organic and care where they food come from. That they are only chance for a change for normal fast food routine. This is how Chipotle was seen, until the E.coli outbreak that happen in 2015.…

    • 420 Words
    • 2 Pages
    Satisfactory Essays