Chipotle Mexican Grill’s first store was opened in 1993 by Steve Ells, a trained chef that borrowed the money from his father. Expanding to over 20,000 restaurants and $4.5 billion in revenue in 2015, it is safe to say that he was a huge success. Over the years, Chipotle prided themselves on the “fresh ingredients” approach to set themselves apart from competitors. This approach may have very well attributed to the growth of the company over the years. In 2014, growth started to slow down. What Happened? Tragedy struck in 2015, E- Coli cases started surfacing in the Pacific Northwest in late October, included August salmonella cases in Minnesota that sickened 64. Outbreaks of norovirus was traced to Chipotles in California in August and Boston in December that together sickened hundreds. On November 20, CDC (Centers for Disease Control) reported the outbreak had spread to Minnesota, California, New York and Ohio. Two weeks later, the CDC reported cases in Illinois, Maryland and Pennsylvania. (Jargon, Julie, & Newman, Jesse, 2016) Who’s at fault? The Centers for Disease Control launched an investigation into the outbreaks seeking to find the cause. As the investigation …show more content…
According to the information that was contained in the article, the situation was not unethical. There was no reason to believe prior to the outbreaks that Chipotle was in any way conducting business in an unethical manner. According to the findings of both investigators and the company, there was no evidence that any of the “diseases” were still in any of the restaurants or that there was any wrongdoing on the part of Chipotle or its suppliers. It remains questionable as to who was affected the most. This outbreak cost Chipotle a substantial amount of revenue, investors and customers. The customers and their families were definitely affected. And lastly, but certainly not any less important the employees of Chipotle were also
As illustrated in the table above, the company has increased its restaurant-count by nearly 14% over the last three years. The management expects to open around 180-195 new restaurants this year. With that aim, Chipotle has already unveiled 44...
1.1 Brief History Chipotle Mexican Grill was founded in Denver, Colorado in 1993. In 1998, McDonald’s became the majority shareholder; however, in 2006, McDonald’s divested its controlling interest. Chipotle became a public company listed on the New York Stock Exchange in 2006. It currently has 1,083 locations across the United States and Canada. In May 2010, Chipotle expanded into Europe, opening their first restaurant in the United Kingdom.
Taco Bells currently one of the top prominent Mexican fast food chains in the United States.
nnsylvania, California, Minnesota, New York, Ohio, Oregon and Washington -- have become ill in the E. coli outbreak.
Chipotle Mexican Grill is one of the most popular Mexican restaurants in the United States, which offers burritos, bowls, tacos, and salads. It is one of my favorite restaurants to visit.
Chipotle is my favorite place to eat. As I am sure it is for other people. Chipotle is a fast food Mexican grill. They are most known for how big they make your burritos. Now it is fast food but it isn’t actually fast, they’re like a restaurant but without the wait. They serve all naturally raised meat and organic beans. So there food is pretty healthy and worth eating. The employees are always nice and it just a great place to eat over all. Chipotle is a great choice for a quick fast food stop because it gives great service, atmosphere, food and value. My experience there is always a good one.
Chipotle competitive advantage or Strengths has come from the ingredients that come from sustainable sources. According to the MarketLine article about Chipotle Mexican Grill SWOT analysis "Chipotle serves food using naturally raised meat (pork, beef and chicken) and dairy cattle... in 2014 the company served over 155 million pounds of naturally raised meat." Chipotle cares for their customers because they are not giving us food that has hormones and addictive substances. Their competitive advantage has changed the company culture and mission Statement nowadays they called it now food with integrity, the idea that their food is made with the respect for the animals and the
As you know, Chipotle values our “food with integrity” promise and our customers respect that. However, the recent E Coli outbreak has caused Chipotle’s financial performance and reputation to suffer significantly and staying with our current business model is not our best option. Therefore, I recommend we rebrand and reposition Chipotle to ensure our long-term success.
When Chipotle first opened in 1993, the goal was to serve quality food fast, but not be considered “fast food.” To avoid falling under the fast food stigma, Chipotle strives to find the best ingredients with respect to animals, farmers, and the environment. In order to achieve these goals, Chipotle has created a matrix organizational structure that is divisional by location and functional by authority. Chipotle recently expanded internationally to the United Kingdom, Germany, and France, each following strict guidelines assigned by corporate employees from their headquarters in Denver, Colorado. Similarly, each location is functionally organized according to authority: regional manager, district manager, store manager, assistant manager, and
Chipotle first opened its doors in Denver, Colorado in 1993, setting out to create a new experience for the fast food diner. They put together a simple equation of fast, fresh and high-quality ingredients and looked to change how people viewed fast food forever. Their simplistic approach has expanded across the years and although they still strive for the same fast, fresh and high- quality concept their views have expanded to include sustainability as one of their main pillars.
The company is based on the principle value of building a food culture where people can learn about changing the way they think about and eat fast food and a people culture where young leaders can grow organically within the company. Yahoo! Finance (2014) discusses Chipotle’s success through the loyalty the company builds from the people they serve. Earnings in 2014 were over 29% in cash flow with stock reaching $529. Revenue for the company peaked at over $4 billion with growth estimates at over 22% of earnings (2014). The success of Chipotle has been based on the fundamentals of the company’s vision which is to create a sustainable team of top performer who are empowered to achieve high standards and an emphasis of serving only naturally raised meats and organic
Similar to a fast food restaurant, but more upscale with a better dining experience. Ells idea of keeping the menu simple with limited items to prepare delicious food efficiently helped to create a kitchen different from other fast food chains. Food preparation areas in Chipotle’s kitchens are similar to those of fine dining restaurants. Menu items are prepared from scratch and with fresh ingredients. Even the meats are prepped with marinades. Creating such recipes is very labor intensive, but having limited items to prepare assists in keeping the cost down. The focus on menu integrity is one of Chipotle’s advantages and is a key element to their marketing strategy. One way Chipotle is able to control their ingredients and maintain menu integrity is by controlling their suppliers. After working with certain suppliers, they created a list of approved vendors for the individual restaurants to purchase from. One reason was to try and help control costs. Healthier food items cost more and Chipotle wanted to keep the cost of their meals low for their customers, so they built relationships with certain suppliers. Eventually, they began to use distribution centers across the country that only purchased ingredients from their approved suppliers (Gamble, Peteraf, & Thompson, Jr., 2015). This approach separates Chipotle from competitors like Taco Bell. Serving high quality food at a competitive price point against other fast food
A restaurant I frequently go to is Chipotle. Chipotle is a fast food restaurant that was established in 1993.Chipotle attracts various different audiences. The reason why I like Chipotle is because it makes me feel full. When I went to their fb page I notice they were promoting gift cards for Valentine’s Day. “Love is sharing your burrito” was their slogan. This slogan would attract couples. I saw that they raise fundraisers for different organizations. I remember on anniversary of Chipotle during a specific time they offered buy one get one per customer deal. On some holidays they offer buy one get another item half off. When there is deal like this it attracts men, women, and children. It can attract people in any culture when they hear this
Chipotle’s brand, centered around “food with integrity” – promotes healthy, organic eating, properly prepared fresh food and transparency allowing consumers to feel trust and safety in the company. A brand exists in the mind of the consumer; therefore Chipotle’s constant reminder of its core benefits reinforces the firms strengths.
Chipotle Mexican Grill, famous for guacamole or for a spread in E.coli? According to CNN.com, CMG stocks have dropped well under $400 this week putting the companies stock at a 52-week straight low. All-in-all the stock is down 15% this year alone. People are blaming the outbreak of E.coli many customers suffered from in late November 2015. The company has taken many marketing measures to help gain customers trust back but sales are expected to drop again into the third quarter. On such measure is the new, yet almost expired Chiptopia: Summer of Rewards program. The rewards program gave customers the opportunity to obtain free chips and guacamole for registering their card, three free entrees each month if a total of eight were purchased, as