Swot Analysis Of Chipotle

Chipotle Mexican Grill, listed on the NYSE as CMG, is a high-revenue, high-growth, fast food company, or properly titled, fast-casual company. Using a very similar model to McDonalds Corporation, when Chipotle opened its first store in 1993, they focused and the idea was simple: demonstrate that food served fast didn't have to be a "fast-food" experience. Chipotle uses high-quality raw ingredients, classic cooking methods and distinctive interior design. Generally features that are more frequently found in the world of fine dining. When Chipotle opened their first store, it was innovative to the dinning industry. Twenty years later and more than 1,600 restaurants later, Chipotle set the precedent in the category of dinning labeled, “fast-casual,” which is currently one of the fastest growing segments of the restaurant industry today. The distinct characteristic of this style of dinning is that food quality is comparable with full-service restaurants, coupled with the convenience and speed of ‘fast-food.’ Chipotle headquartered and originally from Denver, Colorado, now operates in the United States, United Kingdom, Canada, Germany and France, with over 1,600 locations. One of the main reasons for explosive growth is the simplicity and mission Chipotle follows. “Food with Integrity,” the mission statement of Chipotle highlights the efforts of the firm to use organic ingredients, and to serve only the highest quality, naturally raised meat than any other restaurant chain. Being the first in the fast-casual industry, Chipotle had significant market share in the development and establishment of this industry over the past 20 years. Chipotle exclaims, “We try to do a few things really well,” from elevating basic raw ingredients into fo...

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...ported by the model provided and extended operations globally. Chipotles strengths have been a results of its company’s mission, “Food with Integrity” According to the model the company can expect a promising future over the next five years and prove to be a strong player the fast-casual dining industry. Based on the analysis I have conducted from outside sources, as well as, the completed financial model outlining future potential I would mark Chipotle as a strong, BUY. Investors should see the discount in the price and capitalize on the opportunity to invest in a firm that still have tremendous room for growth, globally. If run efficiently and effectively, I believe that chipotle has the ability to reach a level of sales that fast-food chains experience daily, globally. If that proves to be true, Chipotle will prove to be a fantastic investment for all investors.