Free Essay

History of Chipotle

In:

Submitted By bmille3
Words 1232
Pages 5
Barbara Miller
Informative Speech Outline
2/23/15
COM110
History of Chipotle
Specific Purpose: To inform the audience about the history of Chipotle.
Thesis: To accurately understand how the Chipotle empire came about and took over the fast casual food industry, it is important to uncover its early years, use of natural food products, and expansion.
Organizational Pattern: Topical I. Introduction

A. Attention Getter: Imagine how you feel after a long tiresome day: your whole body aches, all you want to do is sit down and relax, and the only thing on your mind is a warm satisfying meal to bring you back to life. You go into a Chipotle in hopes of getting an equally delicious and fulfilling meal. Right away you see soft flour tortillas just waiting to be rolled into a burrito, rice piled high, five different proteins to choose from, four unique salsas, crispy romaine lettuce, mouthwatering guacamole, and so much more. As you sit down with your burrito your mouth begins to water with the thought of all the flavors you are about to experience. B. Relevance: Chipotle is a nationwide chain that many people easily recognize. It is a perfect place to dine in or get carry out because of its fast service and quality food. When dining in people enjoy the causal warm atmosphere that every Chipotle location has to offer. It is a perfect place for even the pickiest eater because each customer is able to personally customize their meal. The assembly style service quickly moves people along, and that is what customers like best. CEO Steve Ells was quoted by Fortune Magazine saying, “Chipotle succeeds not because of the burritos, it works because of our system”. Another reason customers keep coming back time after time is because of the quality food that Chipotle prides itself on serving. C. Credibility: Like most Americans, I try to get the most out of my money and Chipotle is one of the few places I can go to, guilt free. It is difficult to find a nutritious fast meal under $12, but I can always count on Chipotle. As a vegetarian, it is sometimes a challenge to find a healthy, yet filling meal. The sofritas bowl is my go to meal, and I always leave full and satisfied. D. Thesis: To accurately understand how the Chipotle empire came about and took over the fast casual food industry, it is important to uncover its early years, use of natural food products, and expansion. E. Preview: Therefor, we will go through the Chipotle empire just like we would make a burrito, we will begin with a solid rice foundation that will support how this food empire got started, then, we will mix in the protein to add some spice and learn how Chipotle separated itself from other restaurants by using natural products, and at last, we will build it up with garnishes just like Chipotle has continued building its ever-growing empire.
Transition: Just like any burrito there needs to be a solid foundation of rice, so let’s begin with how this food empire got started. II. Body

A. It is important to recognize Chipotle’s early years. 1. Chipotle was founded by Steve Ells, who opened the first location in Denver in 1993. Interestingly enough, Ells only started Chipotle to make enough money to open a full scale restaurant. It was never his intention to make it the nationwide chain it is today. 2. What made it go to the next level was the investment of McDonalds for the first eight years of production. a. Though McDonalds put in a lot of money and helped Chipotle go nationwide, CEO Ells was hesitant to make any changes that McDonalds suggested. This proved to be a difficult relationship. From the article “McDonald's tried to turn Chipotle into another McDonald's” from CNN by Charles Riley, a former McDonalds CFO, Matt Paul commented "He rejected everything that we held dear -- the drive-throughs, the advertising, the prominent store placement”. Many people did not understand why Ells, along with other CEOs, would not want to take the advice of a multimillion dollar company, but all worked out for the best when Chipotle went public in 2006.
Transition: Now that we have made a foundation, it is time to mix in the protein to add some spice, and learn how Chipotle separated itself from other restaurants by using natural products. B. In 2000 Ells learned of the horrors that occur in pig factory farms, and decided to do something about it. [Start PowerPoint]. 1. He set off trying to find a farm that humanly treated animals with the respect that they deserved. He soon found Heritage Acres, which is dedicated to humanely raising pigs. They allow them to freely roam and feed them a vegetarian based diet. According to Anna Kuchment’s article, “Why Chipotle Insists on Humanely Raised Meat”, from Newsweek, “Chipotle handed Heritage Acres its first major contract, for 5,000 pounds of pork per week”. a. Even though restaurant chains have a negative reputation of using hormone based meat, Chipotle believes that animals deserve a full healthy life. The Chipotle website claims, “We believe pigs that are cared for in this way enjoy happier, healthier lives and produce the best pork we've ever tasted”. As of today, 100% of the pork is naturally raised with no added hormones or antibiotics. 2. Not only did Chipotle tend to the well-being of pigs, but they also stopped getting meat from farm factories that produced chicken and beef. From 2002 to 2007 Ells began efforts on getting only naturally raised chicken and cows. Today, 100% of meat products are grown in spacious fields and are humanely treated. 3. Next, Chipotle focused its attention on dairy products and vegetables. 2007 and 2008 proved to be especially productive because Chipotle stopped obtaining dairy products that contained antibiotics and the hormone rGBH. They also began accessing their vegetables from local farms and using certified organic black beans and cilantro.
Transition: Now that we have added spice to our burrito and explored the use of natural products, we will built it up with garnishes just like Chipotle has continued building its ever-growing empire. C. According to the article “Chipotle's growth machine”, from Fortune Magazine by David A. Kaplan, Chipotle was ranked “No. 54 on Fortune’s 2011 list of the 100 Fastest-Growing Companies”. 1. When Chipotle went public from McDonalds in 2006, they were so popular that the price doubled the first day of trading on the New York Stock Exchange. At the end McDonalds made a profit of $650 million from their investment in the company. 2. Today, there are over 1,600 locations nationwide. Chipotle is also international, with multiple locations in Europe.

Transition: The ever-growing empire does not plan on stopping, Chipotle has a bright future and strides to satisfy every customer that walks into its doors. III. Conclusion A. Thesis/Summary: No one expected Chipotle to become the franchise it is today. With McDonalds’s help in its early years it became nationwide. Quality food and hard work is what helped it become the fantastic restaurant it is today. B. Memorable Close: As you eat your burrito everything seems right in the world and all your worries go away. Besides, comfort food Chipotle is its own world with its own flavors and satisfactions.

Similar Documents

Premium Essay

Marketing Plan

...Course Project: Marketing Plan for Chipotle Mexican Grill to offer a Delivery Service DeVry University, Keller Graduate School Of Management MKTG522 Marketing Management For 1.0 Executive Summary Chipotle Mexican Grill is known for the gourmet meals and has many locations throughout the United States and their customer base continues to grow. Chipotle has been in existence for as long as they have because they have listened to their customers and their needs as can be evidenced by the additions to their menu over the years. One such need of the customers of Chipotle Mexican Grill is a delivery service. Food delivery came about because of a need. In the Second World War, many homes were destroyed so naturally there were no kitchens in which to prepare food. Because of this, meals had to be delivered to the affected families; this dates back to as far as 1947. It has since evolved from that need to a luxury which restaurants offer in order to better reach those customers who may require such a service. Chipotle Mexican Grill targets both men and women living an active and healthy lifestyle that are all educated with considerable amounts of disposable income. For these reasons, a delivery service will be very fitting for those people on the run. The delivery service will also stand to increase the company’s earning potential. 2.0 Situation Analysis Chipotle Mexican Grill is a Mexican fast food restaurant that prides themselves...

Words: 4153 - Pages: 17

Free Essay

Paper - Chpotle

...Company Overview: Chipotle Mexican Grill, Inc. is a chain of restaurants in the United States, United Kingdom, Canada, France and Germany, specializing in burritos and tacos. Its name derives from chipotle, the Mexican Spanish name for a smoked and dried jalapeño chili pepper. Chipotle is one of the first chains of fast casual dining establishments. With more than 1400 locations in 43 U.S. states, Washington, D.C., three Canadian provinces, the United Kingdom, and France, Chipotle had a net income in 2012 of US$278 million and a staff of 37,310 employees. Mission Statement : Food with Integrity - This mission statement highlights its efforts in using organic ingredients, and serves more naturally raised meat than any other restaurant chain. Company's vision : Change the way people think about and eat fast food. History: Founder Steve Ells attended the Culinary Institute of America at New York and then went into the restaurant business working at Stars restaurant in San Francisco where he observed the popularity of tacos and burritos. Chioptle has approximately 750,000 customers per day. 1993 - Ells opened his first Chipotle in Denver, Colorado, in a former Dolly Madison Ice Cream Store near the University campus using an $85,000 loan from his father. They both figured that to stay in profit, they would need to sell 107 burritos per day. After a month, the store was selling over 1,000 burritos a day. The cash inflow was good. 1995 - Ells opened a...

Words: 1509 - Pages: 7

Free Essay

Chipotle Entering Germany

...Chipotle Entering Germany Sajma Singh Adhikari Sambridhi KC Tamela O. Dow Ramita Shrestha Darrin Holly Fundamentals of International Business BUAD 327.001 May 8, 2013 Table of Content Executive Summary……………………………………………………………………………….3 Introduction……………………………………………………………………………………….6 Economic Analysis………………………………………………………………………………..6 Cultural Analysis………………………………………………………………………………….8 Political Analysis………………………………………………………………………..………...9 Company Analysis……………………………………………………………………………….10 Works Cited……………………………………………………………………………………..12 Appendix………………………………………………………………………………………..13 Executive Summary Overview Chipotle Mexican Grill is a restaurant that allows consumer to enjoy fresh and delicious Mexican style food. Chipotle offers fresh not frozen food that you find in many of the restaurants today. Unlike Taco Bell, Chipotle’s entire product line is fresh the fresh taste like buying fresh vegetables and meats from the local farmer. This fresh taste is what makes Chipotle different from any other Mexican style restaurant in business. Problem Obesity and poor eating habits is running rampant in the world. “Half of German adults are obese (13.7%) and overweight (36.4%), similar to the 54.5% in the United Kingdom, but significantly less than the 62.1% in the United States” (English). Poor eating habits and little or no type of exercise finds consumers struggling to control their weight. For many consumers, who have busy work...

Words: 3025 - Pages: 13

Free Essay

Chipotle

...| Business Research Case | Chipotle Mexican Grill | | Sarah AliMinas DimasKiran DosaniNada JazehLauren PeriRen Stoecklin | 6/7/2011 | | Table of Contents Introduction ……………...……………………………………………...3 Launch to Now: A Detailed Timeline ……………...………………...…3 Leaders and Leadership …………………….…………...……….……..4 Planning: Company Strategy, Mission, and Vision …...……………..…5 Evidence of PLOC4E2 …………………………………………..…...…6 Strategic Human Resource Management Policies and Philosophies ...…8 Types of Innovation and Evidence of Entrepreneurship …………...….10 Team Management and Dynamics ………………………………...…..12 Operations Management ………………………………………...…….13 Communication and Information Tech Management …………………14 Globalization Presence and Effects ……………………………...……16 Corporate Social Responsibility and Consciousness ……………...…..17 Conclusion ……………………………………………………………19 Figures …………………………………………………………...……20 Introduction Since its inception, Chipotle Mexican Grill has set itself apart from the rest of the fast food industry. Not only does Chipotle prepare food right in front of the customer, but the food put into the product is filled with “integrity”. Chipotle has established “Food with Integrity’ which is their commitment to finding the very best ingredients, raised with respect for animals, the environment and the farmers (chipotle...

Words: 7283 - Pages: 30

Free Essay

Chipotle

...Part I: Brand Inventory – Company View History and Corporate vision Inspired by authentic ingredients and the economic model of one local taqueria store in San-Francisco, Steve Ells began to open the first Chipotle store in 1993 at a former Dolly Madison ice cream location near University of Denver campus. The first Chipotle was a wide success. After two years since the first Chipotle opened, Steve added the second and third Chipotle locations. In 1996, Chipotle Denver area restaurant opened. Following the extraordinary successes, Chipotle was able to invite more outside investors to expand the scale of production to give way for the Chipotle’s openings outside of Colorado: Minneapolis, MN, Columbus and OH. After Steve visited some individual local farms, he found out pigs were raised in air-opening area as opposed to the way majority of pigs were raised. So he decided to dg pork and chicken naturally. Chipotle went public on New York Exchange in 2006. After that, Chipotle still kept focusing on providing the most authentic and healthy ingredients within each burrito. His vision is to serve 100% naturally raised beef in the near future. Moreover, Steve promoted to eliminate the antibiotics in ranching. From the year Chipotle opened until now, it has always been emphasizing on pursuing high-quality ingredients and cooking techniques to provide best eating experience for customers and fulfilling corporate social responsibilities. Driven by its main vision “Food with Integrity”...

Words: 4432 - Pages: 18

Free Essay

Chipotle Case Study

...Review of Chipotle Mexican Grill, Inc. Abstract For the past two decades, Chipotle Mexican Grill, Incorporated has been quick to rise in popularity as an international fast food restaurant that strives to differentiate themselves from the “typical” experience that one would expect at a short-order restaurant (Chipotle, 2015, para. 1). While Chipotle has been extremely successful through their use of locally grown, classic techniques, and high-quality ingredients (Chipotle, 2015, para. 2), the company has recently been faced with numerous issues with their company’s health practices and a slowing sales growth (Peterson, 2015, para. 3). Review of Chipotle Mexican Grill, Inc. Introduction Chipotle Mexican Grill, Inc. (Chipotle) is a fast-food restaurant that was founded by Steve Ells in 1993 in Denver, Colorado (Fundable, 2016, para. 1-6). According to Fundable, Ells has a degree from both the University of Colorado and the Culinary Institute of America (2016, para. 5). From there, Ells began work as a sous chef before he was able to secure a loan of $85,000 from his father to go towards the purchase of his first fast-food restaurant, Chipotle (Fundable, 2016, para. 1-4). Ells and his company experienced almost instance success. Chipotle grew so popular, that it wasn’t long before investors were looking to capitalize on Chipotle’s success, as well. After just three years of being open, Chipotle had grown to three stores and the well-known fast-food chain, McDonald’s...

Words: 2940 - Pages: 12

Free Essay

Ipo Paper - Chipotle Mexican Grill

...RUNNING HEAD: IPO Paper IPO Paper - Chipotle Mexican Grill Advanced Managerial Finance– FI_516 – Fall_B Keller Graduate School of Management of DeVry University February 6, 2012 IPO Paper – Chipotle Mexican Grill Chipotle Mexican Grill, Inc. (Chipotle) is a chain of restaurants in the United States, Canada, and today around the world specializing in burritos and tacos, founded by Steve Ells in 1993 and based in Denver, Colorado. The name derives from "chipotle", the Mexican Spanish name for a smoked, dried jalapeño chili pepper. The restaurant is known for its large burritos, assembly line production and use of natural ingredients. The company has released a mission statement called “Food with Integrity”, which highlights its efforts in using organic ingredients, and serves more naturally raised meat than any other restaurant. Chipotle is one of the first chains of fast casual dining establishments. From 1998 to 2006, McDonald's Corporation owned a majority interest in Chipotle, from which it fully divested in 2006. The company currently has more than 1100 locations, with restaurants in 41 states, Washington, D.C., Toronto, Ontario, and London, England. Its net income in 2010 was $178 million, and it has a staff of over 26,500 employees. Overall revenue for Chipotle in 2004 was $470.7 million, a 130% increase from 2002 and a 49% increase from 2003, this was driven by new store openings and increased average sales. Average store sales grew from $1,056,000 for...

Words: 1166 - Pages: 5

Premium Essay

Chipotle

...Jessica Hansen, Leslie Hansen, Nuradin Ahmed, Shane Ottmar Case Study MGT 499 07/27/2014 MGT 499 Jessica Hansen, Leslie Hansen, Nuradin Ahmed, Shane Ottmar Case Study MGT 499 07/27/2014 MGT 499 Table of Contents Situational Analysis Page 2 History Fast Casual Food Industry Strategy Page 3 Chipotle Value Chain Competitive Landscape Page 4 SWOT Analysis Page 6 Conclusions of Chipotle’s situation Page 8 General Environment Analysis (General & Direct Environments) Identification of Strategic Issues Page 10 Evaluation and Examining strategic alternatives ...

Words: 4469 - Pages: 18

Free Essay

Steve Ells Manager Profile

...Steve Ells Manager Profile Steve Ells is the founder, Co-CEO, and chairman of Chipotle Mexican Grill. Steve Ells is not your typical CEO; in fact he rarely will be seen in a suit. Steve is a passionate, energetic, hands-on CEO, who was first a chef. Steve Ells attended the University of Colorado at Boulder, majoring in Art History and then he went on to attend the Culinary Institute of America in Hyde Park, New York. Afterward he was a line cook for Jeremiah Tower at his favorite restaurant, Stars in San Francisco. His life long dream however, was to open his very own fine dining restaurant. In order to do so he had to generate enough money to turn his dream into a reality. That is when Chipotle came about. Chipotle at first was only a small eatery, a means to an end, Steve Ells never predicted just how internationally successful it would become. Steve Ells got his inspiration to create Chipotle from Mexican Taqueria’s in San Francisco. He loved the authentic and spicy flavors of their tacos and burritos, and he was amazed by the popularity they attracted. He thought how he would love to create similar simple Mexican food, while adding his own personal twist to it. By combining Steve’s inspiration from the Taqueria’s with his experience at Stars restaurant he opened his very first Chipotle Mexican Grill in 1993 in Denver, Colorado. His first Chipotle attracted so many customers and popularity that they ended up opening a second one a few years later. Now in 2014 there is...

Words: 515 - Pages: 3

Free Essay

Facility Paper

...1. Introduction "When I created Chipotle in 1993, I had a very simple idea: Offer a simple menu of great food prepared fresh each day, using many of the same cooking techniques as gourmet restaurants. Then serve the food quickly, in a cool atmosphere. It was food that I wanted, and thought others would like too. We've never strayed from that original idea. The critics raved and customers began lining up at my tiny burrito joint. Since then, we've opened a few more." --Steve Ells, founder and CEO 1.1 Company History: Chipotle Mexican Grill, Inc. is one of the leading fast-casual Mexican restaurant chains, with approximately 400 outlets in about 20 states, mainly in the West and Midwest. Known for its fresh, gourmet, and increasingly organic ingredients, Chipotle (pronounced chi-POAT-lay) offers a fairly simple menu of burritos, fajitas, and tacos featuring pork, shredded beef, chicken, steak, and vegetarian fillings. Customer checks average about $8.50. From a single location in Denver, Colorado, in 1993, the chain is now growing at the rate of 100 new restaurants per year thanks to the deep pockets of its parent, fast-food giant McDonald's Corporation. McDonald's first invested in the company in 1998, before taking majority control the following year, and it now holds a 90 percent stake. The vast majority of Chipotle restaurants are company-owned; fewer than ten are franchised. Annual revenues per unit are an estimated $1.2 million. 1.2 Early 1990s Brainchild...

Words: 3817 - Pages: 16

Free Essay

Case Study – the U.S. Economy from 2009 to Present

...it's first establishment in Denver, Colorado in 1993, Chipotle Mexican Grill now has more than 1200 locations including restaurants in 41 states, Canada, and England. Considering it's success, it is unlikely that Chipotle would have earned a net income $215 million(1) last year without the strategic implementation of social media. Chipotle has employed social media as both a stand-alone means for promotion, as well as a smaller component to much larger campaigns. Among the successful applications are burrito give-aways, event promotion, “foil” art contests, and the most notable and successful “locally grown” campaign – which included a recent spot during the 2012 Grammy Awards. The “locally grown” campaign is indeed Chipotle's most involved social media promotion, including videos, contests, and conversations all surrounding the local farming movement. The campaign's official moniker is “Food with Integrity,” and according to the official website is a “commitment to finding the very best ingredients raised with respect for the animals, the environment and the farmers.”(2) “I think it's really important that people know where their food comes from” says Steve Ells, Founder and Chairman of Chipotle. The campaign's first successful venture was the “Boorito” event, where they encouraged customers to dress up as family farm-inspired costumes in exchange for a $2 meal. The estimated $1 million in proceeds benefited the Chipotle Cultivate Foundation and Farm Aid non-profit organizations...

Words: 1101 - Pages: 5

Premium Essay

Pr Impact of Chipotle

...Impact of PR for Chipotle John Moore Marketing 529 City University of Seattle Dr. Jean French February 23rd, 2014 Abstract The intention of this paper is to show the benefit that PR has had on the profitability, market success and financial performance of the organization Chipotle. Despite Chipotle being in business for 20 years, they have struggled to find their point of differentiation to market to their customers. In the last three years, Chipotle has used PR to communicate their mission statement and company focus of telling their story about what their mission “Food with Integrity” means and is all about. By focusing their efforts on communicating this story they have increased brand recognition, value and have lead to increased financial performance. Company Overview Chipotle was founded in Denver, Colorado in 1993. Their goal from the beginning was to use high-quality raw ingredients, with classic cooking methods and a distinctive interior design and friendly staff. They wanted to step themselves apart from other fast food restaurants and competitors like McDonald’s, KFC, Taco Bell and Pizza Hut and ended up creating their own category called “fast-casual” (Phillips, 2010). According to the company website they have always had this statement of “Food with Integrity” but they didn’t promote it or explain what it was all about. In 2010, they addressed this by making it their mission statement and what they place value on. Food with Integrity means to know...

Words: 1969 - Pages: 8

Premium Essay

Using Teams in Production and Operations Management- Assignment 3

...another and team members need to work together. That is when teamwork comes in handy. Without teamwork many of the largest projects could not be complete and possible. They are an essential part of business. This paper will discuss the concept of using teams in production and operations management. It will give a description of a major restaurant business, Chipotle, the company’s production management style, the company’s use of teams in production and will also analyze and evaluate the company’s ability to adjust to major economic, environmental, or natural crisis and communicate effectively with their employees and customers about issues caused by the crisis. The first Chipotle Mexican Grill was opened in July 1993 and founded by current CEO, Steve Ells (Funding Universe, nd). The first store was opened in Denver, Colorado fulfilling Ells’ vision to bring together traditional Mexican peasant food with gourmet cuisine. Earlier in his career Ells worked in San Francisco for the high-end Stars restaurants but it was his off-hours visits to the local taquerias that inspired him to open Chipotle (Funding Universe, nd). Chipotle Mexican Grill is a fast-casual restaurant that offers tacos, burritos, burrito bowls, and salads...

Words: 1833 - Pages: 8

Free Essay

Smq1-10

...upand- coming concept RH editors believe has the legs to become a major force in the future. The editors have been identifying these concepts for the last 10 or so years, and it seemed only fitting that an award to honor growth concepts be named after the father of concept creation, Rich Melman. Melman, who has created dozens of unique and cutting-edge concepts over the years, is the founder of the country’s greatest multi-concept empire, Lettuce Entertain You Enterprises. Editor Mike Sanson, commenting on last year’s winner–Ted’s Montana Grill–said finding the next winner was no easy chore. After all, he pointed out, how many restaurant companies have media mogul Ted Turner’s deep pockets and relentless spirit? As it turned out, Chipotle Mexican Grill was more than up to the challenge. Back in 1993, CIA-trained chef Steve Ells borrowed some bucks from his dad and opened a humble 20-seat burrito joint in Denver. It was a hit and Ells opened a second unit, which followed suit. Ells eventually sent his business plan...

Words: 455 - Pages: 2

Free Essay

Fb & Cmg

...FB & CMG I am writing about what are considered to be 2 extremely lucrative stock buys. Facebook has stumped most analysts with its stupendous growth since its IPO in May 2012. Chipotle on the other hand is a stock which has also shown remarkable growth since its IPO in 2006, mainly due to its continuously increasing revenues and earnings. Facebook Facebook sold at $38 at the time of its IPO less than a year ago. Today the stock is selling at close to $68. On the outset FB looks like a stock that can do no wrong, but you need to keep in mind that stock did drop to a low of below $20 during September 2012. So it’s no surprise that FB is indeed volatile and has a beta of 2.01. Recently, FB made the huge acquisition of WhatsApp for a deal worth $19 billion, of which $16 billion is guaranteed in cash and stock. This is monetarily the biggest acquisition in the company’s history. However, there are concerns over various aspects of this deal. Firstly, WhatsApp isn’t widely used in countries like the USA, where mobile carriers are able to offer free messaging services to their customers. WhatsApp is most widely used in India, Brazil and Singapore. Secondly, WhatsApp is a service basically promises its users that it will not use any part of their data in suggesting ads. It is an ad-free platform. WhatsApp founder Jan Koum promised his customers that he will never sell their personal information to anyone. Now that he is on Facebook’s board of directors, all that may change....

Words: 726 - Pages: 3