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
well as, the opportunity to achieve HOT status all three months to earn free catering for 20 people! That’s almost $240 of free Chipotle Burritos but customers trust is still on the edge. With almost 10,000 employees suing the company for “cheating them out of overtime” the stock just seems to sink lower and lower each week. As an employee of Chipotle Mexican Grill, I did notice a drop in sales, but in all honesty, the new Chiptopia program is a real hit! We have so many customers still registering their cards and the program ends September 30. I think that the company did suffer but we are doing better. We are in a transition stage, we are changing the way people see us as a whole. The employees work hard and get recognized for their hard work. Yes, we have given up a lot in sales due to promos and the rewards program but sales will increase and customers are happier. The more they keep talking about it in the news, the more the company will suffer. I love my job and I love what I do, I hate that people got sick and I wish those stores affected would have taken proper measures with sick employees and I wish the prep would have been done properly but we cannot change the past, only the future and that is what we are doing.
External environment analysis plays an important role in shaping the overall industry. It helps keep the business ahead of its competitors and providing opportunities for implementing innovative ideas. Based on demographic, Chipotle focuses majority of its sales on “Millennials”, who are between the ages 18 and 24. “Serving high quality food with reasonable prices” and the ability to customize your meal with a variety of different options in a fast paced environment is something many consumers are attracted to especially the younger generation. Chipotle’s first restaurant was established in Colorado but now they have restaurants all throughout the United States, Canada, United Kingdom, and so much more, located primarily in urban areas.
Chick-fil-A’s system is closely aligned with the TQM system because their primary concerns are quality in products and services, customer satisfaction and overall dining experience, and employee loyalty. Top -management focuses on the long-term rather than the short term results, which is one of the reasons they promote Chick-fil-A by giving away free meals. Dan Cathy the president of Chick-fil-A, Inc. said, “While others might think giving away so much is a shortsighted waste of money, we understand the return that will come from that investment” (Cathy, 2009). Customers will come for the free products and enjoy the experience so much; they will return and tell their friends and family. Chick-fil-A puts quality first in every aspect of the company. For example, Floor maintenance is very important at Chick-fil-A. It is the third largest
New restaurant openings and comparable restaurant sales increases are important factors contributing to Chipotle’s increase in revenues in recent years.
1.3 Market Segment Chipotle is classified in the restaurant industry as fast casual, a combination of the quick serve and the casual dining segments. Fast casual restaurants have the following attributes: high quality food, upscale atmosphere, higher check averages between $7-$11, and pay at the counter (What exactly is fast casual?, 2008). 2.0 Market Opportunity Analysis 2.1 Market Trends The restaurant industry grew to $403.5 billion in 2010, a growth of 2.1% from 2009 (Consumers still thrift when dining out, 2011).... ...
Most of them reported eating food from Chipotle within the week before their symptoms began. Twenty of those individuals have been hospitalized.
Any Chipotle I have always gone to have always had good service. Their employees are great. There is never a sour moment when you ask for anything, they are always kind and welcoming. I am always greeted with a hello and a smile when I step up to order. Even if the employee serving you has had a bad day it never shows, you would never know. Despite the lines being basically out the door every time you come (which is the only downside to coming here), the wait time can give you a headache. It is worth it, because Chipotle for sure serves fast food; they usually have three employees working to serve the food. One to get what you order prepared, one to add what extras you and to finish packing it and one to cash you out. The menu is very easy to read and figure out what you want. They have all of the print on the menu in white and big font so it makes it simple for everyone to read. So there isn’t any trouble ordering what you want. They have many different options to choose from as well. You don’t always have to get the burrito.
Because Chipotle has to pay higher prices for their company’s items such as the avocados and package than its competitors. According to the MarketLine articles about Chipotle Mexican Grill, Inc., "For instance, an average meal at Chipotle is the range of about $8, Whereas its competitors such as McDonalds, Taco Bell and KFC has options such as Value menus that start from even $1." Chipotle food is expensive because they have the best quality ingredients that are not common such as the avocados for their competitors. But Chipotle 's competitors are getting more sales revenues of their menu items because with one dollar to can buy a meal for a
The fast food restaurant industry, which includes quick-service and fast-casual restaurants, is highly segmented with the top 50 companies accounting for only 25% of the industry’s sales. The $120 billion industry includes over 200,000 restaurants with 50% of those specializing in hamburger entrees. (hoovers.com 2008) The major competitors in the industry include McDonald’s, Burger King, Taco Bell, Subway, and KFC – Chick-fil-A’s major competitor in chicken sales. Chick-fil-A’s unique position in the market, specializing in chicken-based entrées, has lead to a competitive advantage which the company has been able to capitalize on. Recently, many competitors have added chicken entrees in order to compete in the market segment. Through marketing strategies and company initiatives, Chick-fil-A has tried to stay distant from competitors, offering a fresh alternative to the ordinary fast food restaurant.
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
CACREP is the Council for Accreditation of Counseling and Related Educational Programs. CACREP focuses on accrediting counseling programs, such as Clinical Mental Health Counseling and School Counseling, in the master-level and doctoral level programs.
Not many companies have the same track record and this proves that Whole Foods is in it not only for
Explanation Participation trophies are awards handed out for simply participating in an athletic event or program. These trophies are very common in youth athletics across the country and their effects on children have been debated for years. In many areas around the country, teams hand out thousands of trophies to children, and many of the children will receive more than one particiation trophy (Merryman). Arguments have been formed from both sides of these trophies and researchers have found beneficial and harmful effects on young athletes when given participation trophies.
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
Wouldn’t it be amazing to get a trophy every time you threw out the trash? It seems evident that someone would only take out the trash for that award, which is why these types of awards are influencing and harming the youth of today. Participation awards are tricking children into only putting in enough effort to receive that award, and are not challenging themselves to work harder to achieve something better. Being rewarded may seem like easy money for children, however, this only harms them in the future because children should participate in various activities for their own benefit, rather than expecting an award anytime they do something that requires effort.