Chipotle Case Study

Chipotle ventured into a new territory when it was created, as it had an innovative vision for fast-casual restaurants. By using fresh and quality ingredients, Chipotle raised the bar in their segment. The service line where customers could see their order being prepared enhanced the experience of Chipotle. Consumers who were used to eating at fast-casual restaurants where the food was frozen and made out of sight were able to savor the uniqueness of Chipotle. These differences helped Chipotle become successful. However, as competitors copy the traits that make Chipotle unique, Chipotle must adapt and overcome in order to remain a profitable company.

It turns out even Chipotle isn’t perfect. Seventeen Chipotle locations in Minnesota have been linked to a recent salmonella outbreak and are currently under investigation by the state’s health officials.

It’s because of these actions that the consumers are getting ill. The pathogen E. coli 0157:H7 has been one of the primary pathogens that have gotten people sick due to the meat prepared for fast food restaurants. Schlosser continues to describe how the fast food industry is harming consumers with E. coli 0157:H7 and other food pathogens, “But the rise of huge feedlots, slaughterhouses, and hamburger grinders seem to have provided the means for this pathogen to become widely dispersed in the nation’s food supply. American meat production has never been so centralized: thirteen large packing houses now slaughter most of the beef consumed in the United States. The meat-packing system that arose to supply the nation’s fast food chains—an industry molded to serve their needs, to provide massive amounts of uniform ground beef so that all of McDonald’s hamburgers would taste the same—has proved to be an extremely efficient system for spreading disease” (196) The foodborne pathogens are carried into the meat because of the method the meat is handled. These pathogens are carried by “healthy” animals. The food that is contaminated has probably come in contact with a diseased animal’s digestive system or manure during slaughter and food treating. The fast food industry is ultimately serving customers food that has come in contact with fecal matter which leads to nationwide

If you are not aware of the recent food poisoning incident with Chipotle, then clearly you have been taking some time off from the internet. An outbreak occurred from Chipotle in which more than 40 people became ill with E. coli. Chipotle has been in hot water since this, and it makes us realize that not all food is safe. With this in mind, the idea of other dangerous foods, outside of Chipotle, should be addressed.

Poor conditions leads to poor health and even after these inspections conditions didn’t improve as demonstrated in the novel, “Chew On This” by Eric Schlosser and Charles Wilson. In fact the visits became even less when in 2006 only 9,164 inspections were conducted (food inc.). What this corresponds with is an increase in foodborne illnesses. NBC News can be noted as saying in 2009, “Ten years ago, a team of CDC scientists put together the best enduring estimate of how many Americans get food poisoning each year: 76 million illnesses, which resulted in 325,000 hospitalizations and 5,000 deaths.” (nbc.com). As the number of chains began to increase soi did this number. This evidence is no coincidence. The CDC scientist mentioned previously also can be noted as saying the “1 in 4 americans are affected by foodborne illness each year” (nbc.com). In correspondence to this researchers who wrote the book, “Chew on this” stated “One in four children and forty percent of all teens eat fast food daily.” (Schlosser/Wilson 8). Without jumping to conclusion researchers are able to conclude that the increase in fast food visits directly connects to the steady

One of Chipotle’s significant core competencies is to offer premium quality food at a low cost. In 2003 to 2004 Chipotle decided to obtain locally grown produce and meat from farms with high animal welfare standards. Farmers who followed the guidelines set forth by the Department of Agriculture’s were Chipotle’s priority suppliers to fulfill their “Food with Integrity” campaign. Providing a close business relationship with these farmers has enabled both Chipotle and the farmers to have a competitive advantage over their competition. Chipotle has found their customers appreciate a restaurant with strong food ethics. Chipotle is currently leading the way for fast-casual dining especially since the trend in North America is for better healthier ingredients.

Chipotles norovirus scared many however, who is to say that every Chipotle in America, is going to have contaminated meat. Shutting down Chipotles everywhere. People bring things too far. Chipotles sales went down dramatically, 30 percent. With that being said they lost a lot of their customers and regulars. People see things like this and run from it, saying things like “oh i’m never going to eat there.”, “their

In Washington and Oregon, Chipotle restaurants have been shut down after health specialties investigated incidences related to an E. coli outbreak. Between the dates of October fourteen and the twenty-third, people who ate at Chipotle in the states of Washington and Oregon began to show symptoms in E. coli. No one has died yet due to the outbreak, but eight people have been hospitalized. Found in the intestines of animals and people, E. coli causes food poisoning and in severe cases, even death. It is most likely that the customers at Chipotle became infected with E. coli by eating the food prepared by employees who did not wash their hands before making the food. The bacteria can also be spread by improper preparation of food, such as food

In 2001 Chipotle adopted the slogan “food with integrity” to describe its approach to sourcing and preparing ingredients (Merkel and Russell, 2017). Chipotle states: Ensuring that all of our fresh ingredients are as safe as possible is a serious effort. Not only do we need to work closely with our suppliers to ensure that the ingredients we buy are safe, but we also need to make sure that once those ingredients reach our restaurants, they are handled and prepared in the safest way possible. Chipotle’s CFO said: “We like the local program, we think it’s important, but with what’s just happened we have to make sure food safety is absolutely our highest priority. If it’s testing and safety versus taking a step backward on local, we would do that

Chipotle is facing numerous challenges due to the fact that E. coli outbreak which requires the corporation from the key stakeholders to keep it under control and apply the new food safety protocols which can aid to bring the regular customers back. Although the main cause remains a mystery, Chipotle’s E. coli outbreak has been authoritatively declared officially over by the experts. However, since the poisoning outbreak, the impact of the reduced number of customers affects the profit which the company used to enjoy before such eventuality (Scholes 27).

When the Washington Post releases the finding from “Friends of the Earth” that Kraft Foods product labeled Taco Bell Originals taco shells contain “Cry9c” known as StarLink, Taco Bell Corporation will face a public perception that Taco Bell restaurants are serving or selling tinted food products. Less than one year ago (November 1999) Taco Bell Corporation lost some public confidence due to the E-coli outbreak from tainted ground meat. Our response during the November 1999 outbreak should be duplicated to assist with the public perception related to tainted products. While the restaurant products are separate from the home products, they will be linked by our Taco Bell branding. Our use of media outlets, phone banks, and websites should be used. Our legal team will need to begin its preliminary research into the subject for reports and recommendations before the press release. Senior executives from Kraft Foods are being contacted to begin planning a united response to the upcoming press

Management is the backbone of any good company. In order for a company to successful, a strong management team is needed in order to meet goals in an effective and efficient manner. Chipotle opened its doors in 1993 when Steve Ells took a chance and began his business in San Francisco. Chipotle is a chain of Mexican restaurants that is based in Denver. Chipotle is often cited as the company that started the fast casual movement where customers can get a healthy prepared meal quicker than other traditional styled restaurant. The fast casual restaurant concept was well received and Chipotle’s popularity expanded all across the United States. Customers could not get enough of the Mexican chain and massive lines could be seen stretching outside the stores all across the country. Along with its popular food, Chipotle Mexican Style Grill is a company that contains a successful management style. Why? What sets this companies management apart from the rest? There are many factors that we could analyze to understand the success of Chipotle, yet for the purpose of this paper, we will look into the cooperate culture of the company, human resource management, their leadership style, and how Chipotle deals with and how the company manages in times of crisis.

Steve Ells is the founder and CEO of Chipotle. Steve is a trained chef and opened his first Chipotle store in 1993 at a former Dolly Madison ice cream store in Denver, Colorado. His goal was to serve high quality, delicious food quickly and in a “fast-casual” setting (Ells).

From 2006 to 2011 Taco Bell’s reputation was suffering tremendously and it all started when there was an E. Coli outbreak. E. Coli or Escherichia coli is for the most part being a common yet harmless bacteria but extreme strains have been known to cause a variety of symptoms from abdominal cramps to diarrhea. The E. coli outbreak resulted in 71 infections, 53 hospitalizations, and 8 cases of people with kidney failure that spread over the course of 5 states. Taco Bell which is a Mexican-style restaurant market in the U.S. that serves burritos, tacos and other Mexican specialties. The illnesses onset ranged from November 20 to December 6. The peak of the people becoming ill was the very last week of November. Past December 6 there was no further outbreak of the disease. After the outbreak CDC, the center for disease and control and

As of late 2015 and early 2016, Chipotle Mexican Grill faced a serious problem with food safety and received an ethical backlash because of it. According to the Food and Drug Administration (FDA), the Centers for Disease Control (CDC) along with state and local officials investigated two cases of E. coli O26 infection outbreaks from food served by Chipotle restaurants in several states