A Brief Comparison Of Chipotle And Shophouse

Chipotle and ShopHouse both compete in markets within the restaurant industry. The restaurant industry is huge, accounting for $632 billion dollars and 970,000 establishments in 2012 (Thompson et al. c-125). Chipotle, a member of the rapidly growing fast-casual type of restaurant, competes mainly with Qdoba and Moe’s Southwest Grill, two restaurants very similar to Chipotle, as well as Taco Bell (Thompson et al. c-123). ShopHouse’s main competitors are similar to itself in the same way that Chipotle’s competitors are similar to it; they include Pei Wei, Panda Express, and Noodles and Co. ShopHouse also competes with other major fast-casual chains as well, such as Panera Bread.

The most critical, strategically relevant factors of ShopHouse’s macro-environment include the sociocultural segment, the economic conditions segment, and most

ShopHouse needs to be concerned with the sociocultural component of the macro-environment because it includes societal attitudes and lifestyles, such as the trend toward healthier lifestyles occurring especially in American culture. Fast-casual dining options such as ShopHouse often allow customers to make healthier choices and customize their meals more than traditional fast food restaurants, which is popular among those who are seeking a healthier lifestyle. Secondly, economic conditions will affect ShopHouse, because as the economic conditions improve, people have more discretionary income and are willing to eat more meals outside the home. Much like discount retailers, discount fast food chains may benefit from economic downturns resulting in price conscious customers. However, restaurants that consumers view as more expensive are likely to suffer during these times and thrive when consumers have more discretionary income (Thompson et al. 50). Finally, the component of the macro-environment that can most affect ShopHouse is environmental factors. Fresh ingredients, not