In Final Fantasy VII there is a breed of creature called Chocobos. They come in six different colors; yellow, blue, green, black, gold, and the literally impossible to get white. They each can do different things and have different abilities. You can only find Yellow Chocobos in the wild, and you can catch them with greens and the Chocobo Lure materia.
As previously mentioned, the only Chocobo you can find in the wild is the Yellow Chocobo. To catch it, simply find it by using a Chocobo Lure, feed it a green, and kill the monsters around it without hitting the Chocobo. To be able to keep the Chocobo, first buy a stable at Chocobo Bill's Farm.

The next types of Chocobos that you can get are the Blue and Green Chocobos. The Blue Chocobos can go in and across Rivers, while the Green Chocobos can go over Mountains. To get them, breed a good and a great Chocobo with one of the opposite gender, and use a Carob Nut. You'll either get a Green or Blue Chocobo, but Green is the most common. 

When you breed a Green and a Blue Chocobo of the opposite gender together with a Carob Nut, you might get a Black Chocobo. Black Chocobos can both cross Rivers and Mountains. The Black Chocobo can get you a few items, but its offspring can be much more useful. 
You can get a Gold Chocobo by breeding a Black Chocobo and a Wonderful Chocobo with a Zeio Nut. The Gold Chocobo can go anywhere including the northeast island where you can get 'Knights of the Round'. The Gold Chocobo is the best Chocobo in the game.

 The White Chocobo is owned by an eccentric person in Mideel. The only thing you can to with the White Chocobo is catch it, and get some items from him.

To tell the difference between the Chocobos, go to Chocobo Bill's Farm and talk to Billy in the stable. Pick a Chocobo and he'll tell you the quality of it.

To improve the chances of getting a different Chocobo, get both of the parents to a racing class S. To race them, go to the Gold Saucer and talk to Ester in the Chocobo racing area. Chose which Chocobo that you want to race, and race it. Racing shots seen above.
Note- Give your Chocobos different greens to improve their racing abilities. Usually, the more expensive the green, the better it is for your Chocobo. A Chocobo has three different areas for racing; stamina, speed, and intelligence.

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