The company’s vision statement is “to change the way people think about and eat fast food” and its mission statement is to provide “Food with Integrity” (Chipotle, 2014). The vision statement has been successful in driving to its front door where it’s not unusual to see a line leading to the assembly kitchen within an hour of …show more content…
Porter’s proposal that managers can make the organization more profitable and less vulnerable by using a differentiation strategy. Chipotle seeks to distinguish it’s food from all others in the industry. It uses the local grown and sustainable products differentiation and its ability to produce food that a good price and produces in high volume that allows the company to make a handsome profit. Even while new fast casual companies such as Noodles and company have come along, no national chains have come close to creating a threat in the type of food that Chipotle makes.
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 …show more content…
This focused differentiation strategy’s uses the company’s commitment to providing organic ingredients raised with respect for the animals, the environment and the farmers. This resonates to a large segment of the population who want to deal with companies that stress sustainability. This ultimately contributes to exceptional taste, wholesome nutrition and great value.
In order for Chipotle to implement the strategy, consistent relationships with local suppliers is paramount. The assumption is that the less distance the food has to travel, the better. This is a benefit to all involved. The company benefits with being known by the market it serves as serving the local community. The suppliers benefit in that it can deal with a reliable and consistent partner for supplying the food. The local community benefits by improved economy and decent paying