Chipotle moves to preserve its intangible capital

Chipotle recently announced that it was dropping pork from its menus in many of its restaurants because a key supplier was not raising its livestock according to their standards. It's a public way of saying that the chain means what it says about emphasizing healthy conditions for pigs and other livestock.

In intangible capital language, the organization's had to stay true to its purpose (strategic capital) and brand (relationship capital) by walking away from its supplier. The supplier had moved from an intangible asset into an intangible liability.

The move was reportedly taken after a routine audit. Companies like Chipotle have to manage their intangible capital carefully and so use disciplined management like these audits. 

Chipotle would be just like any other fast food restaurant without its intangible capital. There are lessons and opportunities in stories like these....

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