Chipotle food company Essay Example | Topics and Well Written Essays - 2250 words

Chipotle food company - Essay Example it governance risk indicators which makes the company have low risks in its board, audit and compensation and a medium risk in shareholders’ rights. With the high rate of quarterly revenue growth of 24.50% against 8.90% of the industry, the company has experienced a steady growth in its branch network. Moreover, it is among the top companies in terms of market capitalization with a ROE of 23.64%, which guarantees investors of a good return. For the company to enjoy high performance, it should restructure its employment policies to word off concerns by investors due to the audits concerning immigrant workers (Schriftenreihe & Buchholz , 2008). 2. Review of the company and its business Chipotle Mexican Grill, Inc is among the top service provision companies in the restaurant industry with a market capitalization of 7.75 B US dollars. It competes directly with companies such as Panda Restaurant Group, Inc, Taco Bell Corporation and Odoba Restaurant Corporation which are privately owned companies. Nevertheless, the company has indirect competitors such as Whitebread PLC, Mitchells & Butlers PLC and McDonald Corp whose market capitalization is higher. Over the years, this company has continued to spread its tentacles and has managed to establish a large network in US in 33 states. The expansion has made it find new ways of serving its large clientele through product innovations and appealing selling propositions Key product lines Chipotle Mexican Grill, Inc has a wide range of products made up of dishes and beverages. These include burritos, selected beer, salads, salsas, lettuce, tacos, fruit drinks, burrito bowls, cheese, margaritas, a variety of meat types and guacamole. These gives the company a leverage as the customers have a wide variety to choose from. The extensive branch network in the 33 states in United States which are augmented by other branches in UK and Canada makes the company and its subsidiary serve a wide geographical area. The company lev erages its products by using natural ingredients which makes the products unique and appealing to many customers. This is manifested by the long queues especially during lunch times (Wylie, 2009). Strengths The competitive advantage over other business competitors is dependent on the goals and vision as well as mission thereof. The prudential guidelines make a company be able to offer quality products and efficient services to its customers. Moreover, a company gets the motivation to expand its network in a wide geographical area as its products and services get a high demand. The strengths of a company therefore, put a company in a good position to do business and be able to make profits even when others are counting losses. These key driving forces can be product innovations, strong financial postings, efficient and competent workforce, diversified business operations, competent management, conducive working environment as well as better terms of pay and compensation, and well tho ught and articulated financial and business operation policies. This is also boosted by establishment of clear