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I have been to chipotle and their marketing strategy is to use the uncertainty of where our food comes from to take market share from their competitors and believe me it works. They are incredibly efficient in serving what they call, "Gourmet without the attitude" their slogan you see on top of every receipt. I'm an incredibly loyal customer to Bedford, New Hampshire location so much so, that when they see me walk in the door they prepare my burrito if there is no line ahead of me. They have a very friendly staff of mostly high school and college aged kids working their. According to the Wall Street Journal, the company experienced an unknown contaminant in their foods last November which caused people to become very ill. The CDC is
looking into closing its investigation in the coming weeks. The CEO and Founder Steve Ellis is confident that the chain will recover from the hurtful blow in November. This issue didn't bother me personally because the burritos were just too go to resist (WJS 1). Multiple writers across the country as the story broke out reported that once vibrant Chipotles were now dead much like this author, "When a Chipotle restaurant opened in a strip mall in my town last summer, there were lines out the door. A signifier of urban sophistication had arrived in Fairfield County, Connecticut, no less important than the SoulCycle that opened in an adjacent storefront. Several months later, however, our Chipotle is quiet as a library" (Strategy+Buisness 1). I have never been to a chipotle in this area that isn't packed around lunchtime. Their strategy works for me because, I watched a lot of documentaries on what the different chemicals processed food contain and what they do to your body. I believe Chipotle will be able to weather the storm of headlines surrounding their business and emerge back on top of the other casual fast food chains such as Subway and Jack-in-the-Box or Sonic. The only reason I'm certain about that is that their target market is so diverse that they can bounce back fairly easily. Works Cited Jargon, Julie. "Chipotle Plans Marketing Campaign to Win Back Customers." WSJ. WJS, 13 Jan. 2016. Web. 30 June 2016. Gross, David. "Chipotle’s Indigestion." Strategy Business. N.p., 7 Jan. 2016. Web. 30 June 2016.
...y ingredients in markets like China and India would be an arduous task. The commitment of quality may not be viable in most developing nations at present, which would keep Chipotle from meaningfully entering or expanding in these fast-growing markets. Ultimately, it would be a trade-off between growth and quality until the ingredient become widely available.
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.
WinCo Foods is a supermarket chain with headquarters in Boise, Idaho. It started in 1967 and has since expanded to include over 100 locations throughout the United States. Until 1999, all of its stores operated as Cub Foods or Waremart Food Centers, but the company now has its own branded locations. It also has five distribution centers. The stores and distribution locations employ more than 15,000 staff members in a variety of positions.
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.
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
When Chipotle was revealed as the source of multiple outbreaks of illnesses that sickened nearly 600 people in 13 states in 2015, it came at a significant cost. We closed stores, spent several months under investigation by the CDC and other health organizations, and we faced a criminal investigation in connection with the incidents. With significant decreases in same store sales, operating margins as well as a 44% drop in our net income for the final quarter of 2015, it is evident that this crisis plunged Chipotle to a never before seen depth.
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
The SWOT analysis, the strengths, weaknesses, opportunities, and threats demonstrate the most important things leading to the success of Chipotle Mexican Grill, Inc. In fact, Chipotle obtain their ingredients from sustainable sources and that is their strengths because it help us understands their competitive advantage over their competitors. According to the MarketLine "Chipotle serves food using naturally raised meat pork, beef, and chicken and dairy cattle...In 2014, the company bought more than 20 million pounds of local produce for its US restaurants, an increases of more than 33% from the previous year." This shows that Chipotle's using naturally raised meat will let their customers know that their food have no chemicals or synthetic
The main weakness for the company is the product that it sells is becoming obsolete; the idea of healthy eating is no longer a new concept. Even the FDA had mandated that nutrition labeling is placed on all foods as well as labeling for food consumed at chain restaurants and similar retail food establishments, to provide the consumer
Chipotle operates utilizing the broad differentiation approach. Chipotle uses the local agriculture to assist the company in keeping their prices at a minimum in order to save money all while
The first recommendation is that Chipotle needs to create a separate mission statement. This is critical to success because it explains who chipotle is, why Chipotle exists, what their core values are and how it will serve their stakeholders. By doing this Chipotle can achieve its vision and have their entire team on the same page. Collaboration with stakeholder to accomplish this recommendation should take between one and three months (Strategic Management, 2014).
In my opinion Chipotle is a strong market and they reinvent the fast food concept showing that has something fast in not meats have something bad for your body. Actually they become a really well-named company and besides the problems that they had with E-coli and suppliers. They are imply new methods for clean and keep the rest of their restaurant safe for them costumers. I cannot tell if in 50 years Chipotle still in business. But, I am pretty sure that for now own all new ideas will be base in their concept.
Control systems – Costco has an Enterprise Facility Information management system, each Costco is connected to corporate, the EFIM provides real-time information, management of control systems (like energy), and an inventory management system that allows suppliers to monitor their own stock levels at any Costco. The EFIM reduces costs related to energy consumption, maintenance, and contracted services
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.
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