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Weighted Competitive Strength Assessment Weighted Competitive Strength Assessment Critical success factors Weight Taco Bell QdobaMexican Grill
Moe’s Southwest Grill
chipotle
Economic environment
0. 3
8/10
5/10
8/10
5/10
Number of restaurants
0. 2
7/10
5/10
8/10
5/10
Financial resources
0. 25
6/10
7/10
7/10
6/10
Capacity to give customer service
0. 12
8/10
4/10
5/10
8/10
Innovation
0. 1
7/10
4/10
7/10
8/10
Reputation
0. 03
5/10
7/10
5/10
9/10
Total points
1
5. 85
4. 57
5. 7
5. 85
Chipotle’s performance is relatively good o how it compares to its major competitors. According to the weighted competitive strength assessment, Chipotle is at the same level with Taco Bell. This is because although Taco Bell has some strategic advantages over Chipotle, Chipotle also has advantages that come from its operational environment. Chipotle for instance has a better innovation with regard to its products and has a better chance to offer better customer service to its customers.
Customer service has become very useful part of strategic business management as customers these days seek the best service from a firm and not just its products (Moses, 2014). Chipotle has a strong advantage over Qdoba Mexican Grill and Moe’s Southwest Grill as these two scored lowly on the weighted competitive strength assessment. It compares even better to the Qdoba Mexican Grill that scored the lowest in the weighted strength assessment. However, it scored the same as the Taco Bell. There is a need for Chipotle to look at its financial stability in order that this financial stability does not affect the other strategic advantages that it has. Its access to financing is more restricted than that of Qdoba Mexican Grill and Moe’s Southwest Grill.
Chipotle has a market reach that extends beyond national boarders and operates in USA, Canada and a number of European nations. However, there is a need to secure its place in these markets and address changing global issues in order to ensure that its competitors will not push it out of the market. In this case, the main issue for Chipotle is to make sure that it is able to access the other markets such as the USA in order to secure its future. It is also necessary to note that in the weighted strength assessment, market Economic environment is one of the factors with the highest weight. As a result, because Chipotle scored very lowly in this area, it may have a bigger risk that the other firms even Taco Bell with whom it scored the same for the total weight.
Part II: SIGNIFICANT FACTORS FOR CHIPOTLE
1. Look to make itself attractive to foreign market in order to achieve future growth in line with the globalization issues
2. Look to make sure that that it has better financial stability to avoid future financial destabilization
3. Improve on customer service
4. Improve its reputation with regard to its products and also its customer experience processes
5. Increase the number of restaurants
6. Improve innovation for its products to meet the needs of a modern market
7. Expand to emerging markets in order to secure future growth
Reference
Moses, P. (2014). Modern Business Strategy. New York, NY: Pearson Books.