Company Background Chipotle’s mission statement is “Food with Integrity”. Chipotle about Us (2011) states that “Food with Integrity is our commitment to finding the very best ingredients raised with respect for the animals, the environment, and the farmers. It means serving the very best sustainable raised food possible with an eye to great taste, great nutrition and great value. It means that we support and sustain family farmers who respect the land and the animals in their care. It means that whenever possible we use meat from animals raised without the use of antibiotics or added hormones. In conclusion, it means that we source organic and local produce when practical and that we use dairy from cows raised without the use of synthetic …show more content…
As the locations increased, Steve made the decision to fine tune the menu and decor of his restaurants, one of the changes that he made was to switch to free-range pork for its carnitas (2012). Free range pork means that the pigs have been allowed to roam freely and was not feed antibiotics (2012). Success continued for the Chipotle industry, by 2003 restaurant locations grew to 300 with revenue totaling $321 million (2012). Chipotle greatly increased McDonald’s growth avenue; however, in 2006, McDonalds divested from Chipotle at the price of $1.5 billion (Wikipedia, 2011). Hoover (2014) asserts that Chipotle’s top competitors are Panda Inn, Inc., Taco Bell Corporation. And Qdoba Restaurant Corporation. Chipotle Investor Relations (2014) announced that their 2014 third quarter revenues increased 31.1% to 1.08 …show more content…
To serve this food fast, in an eclectic atmosphere laid the foundation for Chipotle’s “Food with Integrity” program”. Chipotle calls this “fast casual” dinning. Using a mall inventory of ingredients and supplies to create an almost unlimited combination of it menu. Mr. Ell’s background and education allowed for a focus on health, freshness and socially conscious ingredients. This combination allows Chipotle to be a leader in the dinning category called “fast casual’’; the fastest growing segment of the restaurant industry. Steve Ells is Chairman of the Board of Chipotle Mexican Grill Inc. After graduating from Culinary Institute of America then working two years in Stars Restaurant in San Francisco Mr. Ells founded Chipotle in 1993. Prior to launching Chipotle, Mr. Ells worked for two years at Stars restaurant in San Francisco. Mr. Ells’s business model matched his vision—that food served fast doesn’t have to be low quality and that delicious food doesn’t have to be expensive—is the foundation on which Chipotle is based. This visionary thinking, restaurant design, creative menu, and business model has led to Chipotle accomplishing great things, such as growing from a single restaurant to over 1,400 in just 20 years, and serving more naturally-raised meat than any other restaurant
In the near past, chipotle was owned by Mcdonald's, suddenly their CEO decided to separate from them due to the bad quality of the mcdonald's food industry. Chipotle over the years tried to make their food as the most fresh and best when it comes to the quality of the food and they have been succeeding in their plans. After finishing classes that day, I didnt have much time for eating lunch so my options were not a lot, which is why I chose chipotle. I had a couple of friends with me, and we ordered several orders to share. To try the best thing they had.
The fast food restaurants, McDonald's, and Chipotle, are the same in some ways, and different in others. I think both chains want to be, and are successful, but they also want the best for their customers. The difference between these two restaurants are how they go about achieving it. McDonalds wants the best for their customers, and achieves this by taking large amounts of time to create good tasting meals, but also using the best ingredients. In my opinion, Chipotle is putting in more effort to get even better ingredients, and fresher food than the ordinary fast food chains, such as McDonalds. Because Chipotle has so much pride in the outcomes of their food, and customers, they don’t get their animals from places where they are badly
I chose the article What Does Chipotle’s ‘Ban’ on Genetically Modified Foods Really Mean by Tanya Lewis. This article is reliable because it was made only two years. It is also reliable because I found other articles supporting this information. This article is about a fast food chain’s decision to omit most genetically modified foods, including its reasons behind the ban. This article is about Chipotle banning genetically modified ingredients from its food.
Chief element of Chipotle's strategy One of the main chief elements is that they have high quality food while still having low prices to satisfy their customers. As described in chapter 4 in the book, Chipotle is using a resource-based strategy to really "deliver value to customers in ways rivals find it difficult to match". Another one of the chief elements of Chipotle's strategy is that they use high quality ingredients. It is very important that Chipotle continues to use these natural/organic ingredients to have that upper hand against other competitors. Even though organic ingredients cost a lot more than regular ingredients, using them will always make Chipotle really stand out especially when/if they begin to advertise how much healthier
Introduction Chipotle Mexican Grill was founded in 1993 by Steve Ells in Denver, Colorado. The founder attended the Culinary Institute of America in Hyde Park, New York. He had some experience as a line cook in Jeremiah Tower at Stars, San Francisco. Steve Ells opened the first Chipotle near the University of Denver campus with a loan of $85,000 from his father. Chipotle has approximately 1783 outlets in the world as stated in the 2014 annual report.
help Chipotle offer high quality products made of the best, organic ingredients. Chipotle’s weaknesses are easy to copy limited menus that haven’t changed since the opening of the first restaurant and also the prices. When compared to some of their competitors such as Taco Bell, Chipotle is priced well above but still provides a higher quality food. Also purchasing organically grown food could be limited due to small number of suppliers and availability of specific foods. Chipotle’s main opportunities are expanding internationally, possibly targeting the emerging markets such as China or India while customizing their menus to the customers’ preference of the particular country.
Chipotle Mexican Grill is a chain of restaurants specializing in burritos and tacos. The word “chipotle” comes from the Nahuatl word “chilpoctli” and means “smoked chili”. Inventing fast casual dining and use of organic ingredients distinguished Chipotle from other fast-food chains. Chipotle is the dream and creation of Steve Ells, who graduated from the Culinary Institute of America in 1993. Steve had been inspired by the popular tacos and burritos he discovered in San Francisco's Mission District while working there for chef Jeremiah Tower, and after securing an $85,000 loan from his father, he opened the first Chipotle in a former ice cream shop near the University of Denver campus.
After analyzing Chipotle Mexican Grill, the strengths, weaknesses, opportunities, and threats will give a basic format for an improved marketing plan. Chipotle’s internal resources give way to both its strengths and weaknesses as a business. Chipotle’s greatest strength is its nontraditional use of social media in its marketing program. Chipotle’s social media strategy targeting Millennials and Generation Z has made the greatest impact through word of mouth and reference groups to consumers. Chipotle has spent much less on advertising compared to other fast food companies, only 2% of its revenue was spent on advertising (Tan, 2015).
Chipotle is in the fast casual industry where competition is extremely intense since there are so many different dining options. An industry like fast casual restaurants has a very high growth rate therefore there is not just one company that has the market cornered. What sets the restaurants apart is not cost but product differentiation; they position themselves in the market with their slogan of Food with Integrity. Since restaurants in the fast casual industry are priced fairly in the same range Chipotle uses different product features to set themselves apart from the others (parature.com). The first value driver in Chipotle’s differentiation strategy is the product quality; they utilize local farmers who are conscience of the environment.
Some of the strategies Chipotle implemented in order to appeal to their existing target market and capture new markets were; • Promoting its increasingly green farm-to-table-to-consumer supply chain. It launched a multi-pronged initiative to “change the way people think about what they eat,” building on their original “Food with Integrity” vision. In 2011, they initiated a new campaign entitled “Cultivate
The following paper will examine the organizational structure of the Chipotle organization, diagnose problems,
Chipotle Mexican Grill was founded by Steve Ells in 1993 and had its first restaurant
Chipotle Mexican Grill was started out of Denver, Colorado in 1993. At that time the vision of the CEO Steve Ellis was to “show that food served fast didn’t have to be a typical fast food experience. Chipotle’s emphasis on fresh food and ingredients has sparked an evolution in restaurants. The mission statement is simply “Food with Integrity”. Chipotle also has an expanded mission to make “better food accessible to everyone”.
This means that Chopotle is supporting local farmers and cattle ranchers by purchasing its supplies locally which ensures freshness, meat free of any artificial additives, hormones or antibiotics. Further, by purchasing all of the food locally, creates jobs for the local farmers. When Steve Ells, the founder of Chipotle, opened his first restaurant in 1993 in Denver, Colorado, he envisioned his restaurant not only be fast and tasty but also support the local farmers. He called
Firstly, its ingredients are imported from high – quality farm and ranch that produce organically fresh products since Chipotle has always put its “Food With Integrity” mission first. Other competitors does not have this factor in their strategy. Secondly, customers trust the quality of Chipotle’s food because the company use top