Analysis Of Chipotle's Sensitivity Analysis

Many people lately have been raving over Chipotle, and Chick Fil-a lately. I have always thought to myself what is so great about these two food chains. Many people like Chipotle, and then there a a lot of people that love Chick-Fil-A. I just want to figure out what is so great about these two places, and figure out how they are the same, and how they are different.

Chipotle has many options to explore, like most other companies weather food or not their are many aspects of that business. Such as financing, health, worker compensation and more. Researching a company is not that time consuming or confusing. If you want to research to learn more information about a company such as chipotle, find exactly what you want to know about and start searching!

Another reason why I love Qdoba Mexican Grill is because of the free extras. In the last year Qdoba has made any additional ingredients you want on a burrito free. Qdoba changed their price structure to all-inclusive in which the price only depended on the type of meat you wanted, but included all of the extras that previously required an additional charge, such as guacamole and queso sauce. Being able to have extra queso on your burrito with no extra cost is something that may people enjoy due to the fact that Qdobas queso is so good.

Chipotle and Qdoba each have their similarities and differences. Dating back to the 1990s, Chipotle and Qdoba were both created within a few years of each other. Each restaurant classifies itself as a “Mexican grill” with an assembly line style of ordering. Though Chipotle and Qdoba have the same restaurant set up, they differ in price, product choices, and advertising.

When ever the world " Fast Food " used, it doesn 't mean unhealthy every time. There also exist top fast food restaurants. Actually its the image made by many of fast food restaurants who prepare and sell foods made up of unhealthy stuff and based on cheap ingredients.

Chipotle matches a young peoples life style. In our research we found that while some young people enjoy cooking they find they just don’t have the time to prepare something all that healthy. This is where they turn to something quick and easy without compromising on quality. We found in our findings that half the participants eat out more than five times a week. One of our participants eats out to chipotle 3 times a week! 

1. It is clear that Gen X and Millennials have established Chipotle as part of their pop culture. With videos out there like “Chipotle is my life” as mentioned by one of participants which went viral it is clear that when young people are getting hungry chipotle isn’t far from their mind. Sometimes when things go viral or

Chipotle’s outstanding financial and operating performance has made it one of the restaurant industry’s leading companies. It has shown consistent growth trends and impressive operational data. Since 2007, Chipotle has shown revenue growth at an average rate of 20.2% with net income also growing at a compound rate of 32.1%. Between 2007 and 2011, average sales grew by $928,000. In 2006, Chipotle went public with the initial offering price set at $22 per share. As of late 2012, Chipotle’s stock has traded in the upper ranges of $380 to $385 per share. In the 2011 fiscal year, Chipotle’s financial power became more evident, starting with an impressive Operating Profit Margin of 15.45%, which climbed by 5.49% since

When it comes to fast food restaurants, most people tend to think of McDonald, Taco Bell, and KFC. Chipotle, however does not seem to have its name associate with the fast-food industry sector. Chipotle is a very successful Mexican-American chain restaurant that operates in more than 2000 locations world-wide. Its tremendous success results in its exponential growth and rising profit margin despite the scare of E. coli, Salmonella, and Norovirus in a few of its stores.

Chipotle is in the fast casual industry where competition is extremely intense since there are so many different dining options. An industry like fast casual restaurants has a very high growth rate therefore there is not just one company that has the market cornered. What sets the restaurants apart is not cost but product differentiation; they position themselves in the market with their slogan of Food with Integrity. Since restaurants in the fast casual industry are priced fairly in the same range Chipotle uses different product features to set themselves apart from the others (parature.com).

The restaurant industry in the United States had annual sales of $ 631.8 billion and employs 12.9 million people in 2012. Even in times of recession there is little evidence that this industry has seen a decline especially in its fast food and quick service segment. But with a depressed economy with no immediate upward trend in the near future, majority of the customers indicated that they would either curtail their spending on eating or best maintain its current level which is certainly going to affect the future of many restaurants in the industry. Chipotle is part of the fast casual segment of the U.S industry with over 1,600 restaurants.

Chipotle Mexican Grill is a well-known company that deals with fast food and has made significant and distinctive progress compared to other companies in the fast food industry. The company not only prepares food in front of customers but also makes sure that food is made with integrity. The integrity is enhanced by finding, evaluating, and choosing the right ingredients, which are from animals, farmers, and the environment (chipotle.com). These are the principles that serve to direct and guide the organization and help position it as a leader in the industry.

Taco Bell is a fast food restaurant chain in America based in California (Grant, 2006). This fast food restaurant specializes in serving burritos, nachos, quesadillas and tacos among other food items in their menu (Grant, 2006). It serves about 2 billion consumers every year in over 6,500 restaurants majority in the United States, where over 80% are operated and owned by independent franchisees in countries including Australia, United Arab Emirates, India, Mexico, Poland, Greece, Philippines, United Kingdom, and Chile among others (Grant, 2006). This fast food restaurant was founded by an individual known as Glen Bell (Walker, 2014). Tacos Bell had a franchise in Dubai shopping mall which was opened in November 2008 and closed

Chipotle Mexican Grill founded in 1993 by Steve Ells became known as the fast-casual dining in the restaurant industry (Hitt, Ireland, & Hoskisson, 2013). It was the first of its kind when Ells first opened his first restaurant and brought the idea of made-to-order burrito. The concept is so simple, and the consumer is in control of what ingredients goes into their burrito. “The immediate success from Ells’ first restaurant allowed him to repay the $80,000 loan that he borrowed from his father within a month of opening” (Hitt, Ireland, & Hoskisson, 2013, p. 71). Furthermore, this gave him the confidence to open his second restaurant in just two years.

A financial analysis gives investors a transparent review of how the corporation is performing across the board. Furthermore, in the coffeehouse industry, Starbuck appears to be a strong leader in the marketplace. With the consistent growth, it is highly critical to be aware of how the financial strength of the company reflects especially if you want an investor to consider investing in the business. Like any other company, the coffee industry has its own risks of running a successful coffee shop. Additionally, each corporation or business has to meet financial obligations while still being a profitable company. In this research paper, I will outline Starbucks horizontal analysis, ratio analysis and provide feedback for positive and, negative trends. Consequently, the research will also allow me to elaborate on the financial health of the company and be able to determine if an investor should consider the risk. Moreover, I will give my final recommendation based on my full review and analysis as to why an individual should invest in Starbucks.

Chick-fil-a is KFC’s biggest competitor, and quickly growing in popularity. Other competitors include AFC Enterprises and McDonald’s