For the value chain analysis - Case Study Example

Chipotle Mexican Grill The best way to comprehend the way a business creates a competitive advantage is to analyze its value chain. Value chain analysis examines the activities of a business and connects them to the competitive strength of the organization (Grant, Hackney and Edgar 10). The paper examines the business activities of Chipotle Mexican Grill (CMG) and relates to the competitive strength of the organization. Primary Activities CMG focuses on sustainable sources as opposes to its competitors who are still stuck in fast foods.

The company has created a network of 25 local farms to supply the produce used in the restaurant. It has helped reducing transport costs, which has made it the process cost less than before. CMG operations are superior to Taco Bell and Qdoba. It is more organized and authentic. All CMG restaurants belong to the mother company. They are found at the end of retail lines, in line with other retail shops and free standing places. These locations attract a high number of people who can visit CMG. Taco Bell and Qdoba restaurants use the same methods to locate their restaurants.

CMG has focused on opening its restaurants without the use of franchise. It is a move that has given CMG an edge over Taco Bell, which is the most influential competitor. However, the emphasis to open its restaurants has limited the ability of CMG to reach many people. Taco Bell that has embraced franchising has over 5,000 restaurants spread all over the United States. Consumers have a chance to serve food on their own like in a dinner party. The method makes CMG superior to its competitors. Taco Bell has used the same concept in Cantina Bell.

The use of in-house advertising strategies helped CMG to cut its marketing costs, which means an increase in the revenue earned. The company emerged superior to its competitors who were using traditional promotion methods like TV commercials. The methods used by CMG appealed to many consumers who viewed as being unique and cool. The company gained popularity using relatively new strategies. CMG is superior in offering services because employees have perfected the art of customer service. In addition, they provide quality service at all times.

It is better compared to Taco Bell, which seem to have run out of ideas on quality service. Support Activities CMG’s push for sustainable sourcing is the foundation of its Food with Integrity strategy. Chipotle Mexican Grill is focused on getting the best ingredients without compromising the quality of the environment, animals and the respecting the farmers. CMG recognizes the importance of maintaining quality at all levels. The use of sustainable sourcing is what made CMG stand out. It is better than Taco Bell and other restaurants that used the normal sources of food.

The management of human resource is well coordinated to make employees deliver at all times. The adoption of solar energy and LEED has put CMG in the frontline for the production of safe energy. It is cost effective and efficient. The creation of local networks of farmers has helped the company to get a good prices for its raw materials (Subramanian). The purchase of materials before proper quality screening and other things. Works CitedGrant, Kevin, Ray Hackney and David Edgar. Strategic Information Systems Management.

Andover: Cengage Learning, 2009. Print.Subramanian, Ram. Chipotle: Mexican Grill, Inc.: Food with Integrity. Case Study. Ontario: Ivey Publishing, 2013. Print.Wisner, Joel, Keah-Choon Tang and G. Leong. Principles of Supply Chain Management. Boston: Cengage Learning, 2015. Print.