Question

According to Chipotle:

How does the company do business? Are there key competencies or partnerships that it has? Are there key weaknesses?

Answer 1

Solution –

Chipotle follows the principle of – ‘Food with Integrity’ and professes to serve the finest fresh meal items. Their value system is based on providing meals with fresh ingredients.

Their strengths are –

1. Quality – Chipotle provides high-quality food through fresh ingredients
2. Classic method – They use the rustic method of cooking which is one of their unique value
3. Reasonable Prices – This allows for attracting the customers and provide for quality food at affordable prices for the masses

Their weaknesses are –

1. Have limited suppliers – Their dependency on limited suppliers provides for a risk on the food quality and also provides high bargaining power to their suppliers and low control on their business
2. They have a limited menu which can at times lead to monotonous meals for their clients and there is a lack of innovation in their menu.