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What Good Ole Fashioned Southern Hospitality Can Teach Us About Picking a Stock

|Includes: Apple Inc. (AAPL), CMG
Chipotle Mexican Grill Surges on 3Q Profit, Higher Volumes

By Jennifer Booton

Ever gone to the South and felt like the people were so warm and friendly? Wish you could experience that everywhere? Wish you could experience that when go out to buy something?

Well, Chipotle(NYSE:CMG) is the continuation of just that kind of welcome trend in buisness. That trend is of companies who look out for customer and try to give them the best experience possible. It is the reason why Apple(NASDAQ:AAPL) does so well. Chipotle tries to get the best local ingredients and make the freshest, fastest healthy food possible. Jim Cramer also mentioned this theme in this video here.

But this makes sense. If you have ever been in a Chipotle or Apple store you know it's an experience. This is an amazing strategy and can be a huge fundamental stock signal for companies to look at. Companies that do this will have a lot of loyal customers who will not only keep buying the products but will also give the company the most powerful type of advertising: word of mouth. How much you wanna bet you're going to stop and try Chipotle next time you see one? These companies will even retain these customers during down times.  That is a huge asset to any company. Talk about recession proof.

Disclosure: Long AAPL