Chipotle Mexican Grill SWOT Analysis

Chipotle has been operating in restaurants industry. It was founded in July 13,1993 by Steve Ells who has been serving Chipotle in capacity of Co-CEO and Chairman. Its headquarters based in Denver, CO United States.


•    Strong brand reputation among consumers for being ethical and quality food provider.

•    High quality foods; healthy and tasty foods.

•    All the chipotle restaurants are under the ownership of company. Therefore, it has strong ownership on all the Chipotle restaurants.

•    Strong organizational  structure; people in higher management are skillful and have strong strategic plan for company growth.

•    It has approx. 38,000 employees serving in 1500 restaurants at different locations.

•    International presence in UK, Canada and France.

•    Better standing in financial statements; percentage of assets are much higher than liabilities.

•    Strong relations with supplier.

•    Low marketing and advertising cost.

•    Offers online ordering facility to customers.

•    Pay high to employees as compared to managers and give incentives to managers for inducting quality human resources in company.

•    It has no franchises thus, they can easily maintain the quality benchmark.

•    Active involvement in CSR by sponsoring different events.


•    High prices of food products as compared to competitors.

•    It offers limited menu to customers.

•    High dependency on word of mouth.


•    Market penetration in US and Canada by increasing number of restaurants locations.

•    Market development by entering into International markets.

•    Adopt franchising model for global expansion.

•    Increase variety of foods.


•    Strong direct competitors; Panda Restaurant Group, Inc ,Qdoba Restaurant Corporation and Taco Bell Corp.

•    Facing fierce indirect competition from McDonalds, Starbucks, Yum! Brands, and Sodexho.

•    Competitors cost are lower than Chipotle that might be the reason they have been offering food on lower prices.

•    Substitutes can easily fetch market share.

•    Economic slowdown.

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