Wednesday, June 11, 2008

Entry 14_20700347

A Chain That Pigs Would Die For
Have you ever heard about the company “Chipotle"? This restaurant is Mexican brand and grows rapidly. To tell the truth, when people think about the fast-food, they think that most fast-foods are junk foods and have a low quality. However, this brand has a great quality.
SUMMARY
According to this article, Steve Ells, CEO of the fast-food chain Chipotle Mexican Grill, buy pork which is used for their products from Kremer’s farm. That pork is not just a pork, but organic pork, so it is good for health. In addition, Ells decided that he use healthful and organic ingredients for Chipotle’s foods, so Chipotle uses few USDA-certified organic products and instead follows its own, sometimes less stringent, protocol. Chipotle's revenues have grown tenfold to reach $1.1 billion. Moreover, its stock price has more than doubled since January 2006, when the company went public, to $100 a share. It now operates more then 700 restaurants around the country and expects to open an additional 130 to 140 before the year-end.
OPINION
Like most people, I thought that fast-food restaurant uses junk ingredients which has low quality. However, this brand makes a new and innovative fast-food. Many people like fast-food because of convenience and portability, so t usually hey don’t mind food’s quality. However, society becomes more aware of healthy eating. Therefore, Chipotle can appeal to many consumers. Actually, in my opinion, Mcdonald’s is the biggest competitor to Chipotle. Although Chipotle’s stock price has increased, and this brand is well-known than before, Chipotle can not ignore the competitor, Mcdonald’s. Mcdonald’s already has high market share and brand name, but it has some weaknesses. One of the weaknesses of the Mcdonald’s is that it does not use fresh ingredients. To take advantage of this point, Chipotle can give a good image to many customers. Compared to many other fast-food brands, Chipotle is in Growth stage of Product life cycle. In this stage, company should reach new customers by studying customers’ preferences and producing different product variations. I think that Chipotle need to advertise actively and throw into relief its foods. Specially, Chipotle sells burritos, so I think that this food could be a star product of this brand.
20700347
Annotation :
Anna Kuchment, ‘A Chain That Pigs Would Die For’, Newsweek, May12, 2008
URL à http://www.newsweek.com/id/135376

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