5. Overview
Founded by Steve Ells
First restaurant in Denver 1993
2,066 restaurants
http://ir.chipotle.com/phoenix.zhtml?c=194775&p=irol-newsArticle&ID=2161714
6. Financial
Q1 2016 Vs. Q1 2015:
Revenue decreased 23.4% to
$834.5 million
Sales decreased 29.7%
Restaurant transactions
decreased 21.1%
http://ir.chipotle.com/phoenix.zhtml?c=194775&p=irol-newsArticle&ID=2161714
7. SWOT Analysis
S
Strong financial
Brand recognition
Market share
Innovation
W
Lack of Chinese market experience
High cost of ingredients
Limited menu
O
Need for Fast, casual and healthy
food in china
1st mover advantage to china
High density and diverse population
in China .. 1.6 billion
T
Competition Mexican food
restaurants (Taco Bell)
Polluted Agriculture
Indirect competition (other
restaurant)
8. PESTLE Analysis
Political: governmental influence.
Economical: The Government wants money to stay in the country.
Social: Increasing in numbers of middle class, disposable income,
& health food awareness.
Technological: Different social media & internet search.
Environmental: Increased pollution, food safety.
Legal: Strict new food safety regulations.
9. China - Shanghai
👪 Population: 1.3Billion
💰 GDP: 6.9% Q4 2015
🍚 % of population eat outside: ≈ 51%(Large
Cities).
🍟 3 Most Popular Fast Food: McDonald's,
KFC, and Pizza Hut.
🌲 Food safety concern: Increased
www.wechatinchina.com/www.baidu.com
10. Why Shanghai?
www.baidu.com
Population: 24 million
Tourists: 130 million
According to the age groups, a
total of (45.57%) tourists were
between 25 and 44.
Food industry: a 35% growth in
the sales of domestic organic food.
Estimated foreign population will
be increased to 800,000 in 2020
Good Fengshui
11. Menu
• Burrito
• Burrito Bowl
• Crispy corn tacos
• Soft corn tacos
• Soft flour tacos
• Salad
• Kid’s menu
Gifts cards
Chipotle catering
service
Online ordering service
Home delivery service
Nutrition Calculation
and Allergens & Special
Diet tips, online service
Product & Services
21. Entering Strategy
Short-term plan: Open
one store - test the
market
Long-term plan: Open more
stores Pizzeria Locale and bring
Shop House Kitchen.
Chipotle’s philosophy is Food with Integrity, which basically is the commitment to find the best ingredient.
It was first found in 1993 by Steve Ells, and now we have more than 2000 restaurants around the world.
Our Revenue have decreased by 23.4% in the first quarter of 2016 comparing to 2015. As well as our sales and restaurant transactions.
Our Strengths are our Brand Recognition and out Market share.
The lack of Chinese market experience and high cost of ingredients are our main weaknesses.
Our opportunities are the 1st mover advantage and the Chinese population.
On the other hand we have Direct and Indirect competitors such as TacoBell.
For the suppliers, we will work with local farmers.
For the social responsibility, we will do recycling for all of our products.
For the communication channel, we will use elevators, public transportations, social media which are different than what we use such as (BaiDu) that is similar to google in the US, and product placement in a well known Chinese TV show.