How Chipotle bounced back from a brand crisis

Chipotle, the restaurant chain, faced a major challenge as a series of damaging events hurt its brand.

At the beginning of 2018, Chipotle Mexican Grill – the US-based fast-food restaurant chain with locations in Canada, France, Germany, and the UK – was struggling.

A series of health-related disasters (three E. coli outbreaks, and separate flare-ups of hepatitis and salmonella) had compromised the integrity of a brand that had put a premium on all-natural, better-for-you offerings. Data breaches in 2004 and 2017 had taken further luster off a brand with a share price that once exceeded $700, but had dropped to $300.

The problem extended from Wall Street to Main Street: “The brand’s volume was off 50%...

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