How A Single Hedge Fund Killed Chipotle
Modern MBA
566,030 views
Sponsored by Zapier! Zapier MCP levels you up, connecting you directly to apps to automate your workflow. Start building with Zapier MCP today: https://bit.ly/4e7AR1x #ZapierPartner
📊 Short on time? 10 charts, the takeaways, and the full write-up: https://modern-mba.com/case/chipotle
You can search our entire catalog, browse videos by industry, read takeaways, and swipe through key charts from every video (including this one!) on our official website instead of waiting for YouTube to decide what to recommend next - no ads, no emails, no paywall.
Chipotle’s rapid deterioration from beloved weekly staple to overpriced slop bowl is one of the strangest corporate stories of the modern age. Just a decade ago, the chain was a cornerstone of the 21st-century American diet, known for generous portions, fresh ingredients, lightning-fast service, and stores packed with enthusiastic staff and loyal customers.
If you needed a quick, healthy, affordable meal that could last for days between school, work, or home, Chipotle had your back. It was a company that genuinely seemed to take pride in not just what it served, but also who it hired and the impact it had on the world around it. Today, Chipotle is the opposite with undermanned stores filled with overworked employees under pressure to give you the smallest portion possible off a stale, tired menu. But it's not because some executive randomly decided to start serving less food.
Instead, what we're seeing today is the culmination of a 10-year-long financial engineering by a single Wall Street hedge fund—a bet that netted them $3 billion dollars and left everyone else with tiny portions and worse food. The rise and fall of Chipotle is a timeless case study about politics, power, strategy, and the fundamental tradeoffs between founder idealism versus investor pragmatism.
In this Modern MBA episode, we dive into the economics and transformation of Chipotle through the decades and how a Wall Street hedge fund single-handedly fueled and crushed this once beloved Mexican chain.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
SUPPORT MODERN MBA - we're 100% independent, self-funded, and committed to making business education free for everyone.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
🌐 Website: https://modern-mba.com
Search our entire catalog, browse videos by industry, read summaries + key takeaways, swipe through charts — no ads, no emails, no paywalls!
📸 Instagram: Instagram: modern.mba
🎵 TikTok: TikTok: modernmba
💬 Reddit: Reddit: modernmba
☕ Support Modern MBA: https://buymeacoffee.com/modernmba
20 Comments
Now, that same exact order costs around $14 give or take. Not to mention the staff are all rude and the stores are usually filthy. I hate enshittification.
> reduces food quality
> pays workers less
> profit
Wow who could have thought of that?
And then leave the ship while it's sinking.
Thank you for making the world a little shittier and profiting off it while you're doing it.
How A Single Hedge Fund Killed Chipotle
Modern MBA
566,030 views
Sponsored by Zapier! Zapier MCP levels you up, connecting you directly to apps to automate your workflow. Start building with Zapier MCP today: https://bit.ly/4e7AR1x #ZapierPartner
📊 Short on time? 10 charts, the takeaways, and the full write-up: https://modern-mba.com/case/chipotle
You can search our entire catalog, browse videos by industry, read takeaways, and swipe through key charts from every video (including this one!) on our official website instead of waiting for YouTube to decide what to recommend next - no ads, no emails, no paywall.
Chipotle’s rapid deterioration from beloved weekly staple to overpriced slop bowl is one of the strangest corporate stories of the modern age. Just a decade ago, the chain was a cornerstone of the 21st-century American diet, known for generous portions, fresh ingredients, lightning-fast service, and stores packed with enthusiastic staff and loyal customers.
If you needed a quick, healthy, affordable meal that could last for days between school, work, or home, Chipotle had your back. It was a company that genuinely seemed to take pride in not just what it served, but also who it hired and the impact it had on the world around it. Today, Chipotle is the opposite with undermanned stores filled with overworked employees under pressure to give you the smallest portion possible off a stale, tired menu. But it's not because some executive randomly decided to start serving less food.
Instead, what we're seeing today is the culmination of a 10-year-long financial engineering by a single Wall Street hedge fund—a bet that netted them $3 billion dollars and left everyone else with tiny portions and worse food. The rise and fall of Chipotle is a timeless case study about politics, power, strategy, and the fundamental tradeoffs between founder idealism versus investor pragmatism.
In this Modern MBA episode, we dive into the economics and transformation of Chipotle through the decades and how a Wall Street hedge fund single-handedly fueled and crushed this once beloved Mexican chain.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
SUPPORT MODERN MBA - we're 100% independent, self-funded, and committed to making business education free for everyone.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
🌐 Website: https://modern-mba.com
Search our entire catalog, browse videos by industry, read summaries + key takeaways, swipe through charts — no ads, no emails, no paywalls!
📸 Instagram: Instagram: modern.mba
🎵 TikTok: TikTok: modernmba
💬 Reddit: Reddit: modernmba
☕ Support Modern MBA: https://buymeacoffee.com/modernmba
🌐 Short on time or want more Modern MBA? https://www.modern-mba.com/
You can search our entire catalog, browse videos by industry, read takeaways, and swipe through key charts from every video (including this one!) on our official website instead of waiting for YouTube to decide what to recommend next - no ads, no emails, no paywall.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
SUPPORT MODERN MBA - we're 100% independent, self-funded, and committed to making business education free for everyone.
━━━━━━━━━━━━━━━━━━━━━━━━━━━━
📸 Instagram: https://www.instagram.com/modern.mba/
🎵 TikTok: https://www.tiktok.com/@modernmba
💬 Reddit: https://www.reddit.com/r/modernmba/
☕ Support Modern MBA: https://buymeacoffee.com/modernmba