Ethics in Business

635568319528449540-GTY-476810327Earlier in 2015 Chipotle Mexican Grill, one of the fastest growing restaurants chains in the United States, made the decision to stop serving pork in hundreds of their restaurants. The company advertises a mission statement of “Food with integrity” and prides itself on their commitment to using organic produce and humanely raised livestock. During a routine audit, Chipotle discovered that one of their major pork suppliers had violated their standards of humane treatment of animals. The supplier was suspended and Chipotle “would rather not serve pork at all, than serve pork from animals that are raised in this way” said company spokesman Chris Arnold. Mr. Arnold also said that “[t]his is fundamentally an animal welfare decision, and is rooted in our unwillingness to compromise our standards where animal welfare is concerned”.

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The company’s rapid expansion and incredible success proves that consumers are attracted by brand’s perceived quality of food and its high standards of humane animal welfare. While the company’s ideals are admirable, the sudden shortage of pork on its menu revealed a major flaw in the business. This shortage showed the intricacies and challenges of expanding a business while maintaining their fundamental sense of values and ethics.

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Chipotle eventually found a new supplier to remedy the shortage in a way that did not force them to sacrifice its standards. Although the pork shortage Chipotle faced as they struggled to find responsibly sourced meat hurt sales temporarily, their impressive dedication to standing by their morals greatly improved the brand’s already overwhelmingly positive public image. The company continues to thrive and grow while promoting social responsibility.

 

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References:

Drogen, Leigh. “Will Chipotle Mexican Grill, Inc. Continue Dominating the Fast Casual Segment? (CMG).” Smarter Analyst. 21 Apr. 2015. Web. 16 Sept. 2015. <http://www.smarteranalyst.com/2015/04/21/will-chipotle-mexican-grill-inc-continue-dominating-the-fast-casual-segment-cmg/>.

Horovitz, Bruce. “Chipotle Halts Carnitas Sales after Supplier Violation.” USA Today. Gannett, 14 Jan. 2015. Web. 17 Sept. 2015. <http://www.usatoday.com/story/money/business/2015/01/14/chiptole-pork-fast-food-restaurants/21745965/>.

Lutz, Ashley. “Chipotle’s Carnitas Shortage Reveals a Major Problem with the Business.” Business Insider. Business Insider, Inc, 21 July 2015. Web. 15 Sept. 2015. <http://www.businessinsider.com/chipotles-pork-shortage-update-2015-1>.

Tuttle, Brad. “Chipotle Pulls Pulled Pork from 600 of Its Restaurants.” Time. Time. Web. 15 Sept. 2015. <http://time.com/money/3667333/chipotle-pork-carnitas-shortage/>.

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