...Chapter 14 1. What policies were put into place to increase employment and reduce lay-offs? The government hands out subsides to companies that keep surplus workers and a shor-time compensation program that allows employees to collect unemployment in exchange for reduced hours at work. A private employer-employee work arrangement that also accomplishes a similar goal of working time reduction during slack demand by allowing German companies to set up working hours accounts for their employees. In turn this helps employers to adjust the amount of work done to face peaks and troughs in production without having to its employee’s overtime. 2. Can unions/works councils increase employee interests? The job alliances increase works councils’ input into company strategy and the crisis has drawn employers and work councils closer together. Both are determined to defend and increase Germany export success. Public and private policies are structured so that economic downturn is minimized through burden sharing-rather than asking a few to take on the burden through lay-offs, the German model asks more workers to share the cost and as can be seen from 2008-2009. 3. Can a recession create an innovative approach to managing a labor force? The number of people of working age in western Germany shrank for the first time and the companies the hardest hit were those threat were already having problems recruiting skilled worker. To face this scarcity many firms have developed a “dual...
Words: 1476 - Pages: 6
...Starbucks Introduction Founded in 1971 and operating in more than 50 countries worldwide, Washington based Starbucks is the largest coffee retailer in the world at present. Starbucks has more than 16000 outlets all over the world. Out of these 16000 stores, nearly 12,000 stores are located across North America, South America, Europe, Middle East and the Pacific. In America, they have coffee outlets virtually in every corner. In other words, America is a saturated market for Starbucks now and they are looking for overseas markets as part of their expansion. In addition to coffee, Starbucks has other products such as tea, cake, cake filling leather goods, beverages, food, confections, coffee related machineries such as expresso machine, stainless steel coffee filters etc. This paper analyses the strengths, weaknesses, opportunities and threats of Starbucks in the modern business world and also the change processes necessary for Starbucks to grow in the right direction in future. Starbucks: SWOT Strengths “Starbucks Corporation is a profitable organization, earning more than $600 million in 2004. The company generated revenue of more than $5000 million in the same year. Starbucks was one of the Fortune Top 100 Companies to Work For in 2005”(SWOT Analysis Starbucks, 2010). In 1992, Starbucks listed on the stock exchange. Since then, its growth was phenomenal. Its annual average growth rate is 20% and profit growth is around 30%. Its share price marked a record...
Words: 1919 - Pages: 8
...Starbucks: Just Who is the Starbucks Customer? By now, you should be familiar with the Starbucks story. After a trip to Italy in the early 1980s, Howard Schultz was inspired to transform Starbucks—then just a handful of coffee shops in Seattle—into a chain of European-style coffeehouses. His vision wasn’t based on selling only gourmet coffees, espressos, and lattes, however. He wanted to provide customers with what he called a “third place”— a place away from home and work. As CEO of Starbucks, Schultz developed what became known as the Starbucks Experience, built around great coffee, personal service, and an inviting ambiance. WHAT GOES UP . . . It wasn’t long before Starbucks became a household word—a powerhouse premium brand in a category that previously consisted of only cheaper commodity products. In 20 years time, Schultz grew the company to almost 17,000 stores in dozens of countries. From 1995 to 2005, Starbucks added U.S. stores at an annual rate of 27 percent, far faster than the 17 percent annual growth of McDonald’s in its heyday. At one point, Starbucks opened over 3,300 locations in a single year—an average of 9 per day. In one stretch of crowded Manhattan, a person could get their caffeine fix at any of five Starbucks outlets in less than a block and a half. In fact, cramming so many stores so close together caused one satirical publication to run this headline: “A New Starbucks Opens in the Restroom of Existing Starbucks.” For many years, new store growth...
Words: 2317 - Pages: 10
...Lentz, and Paul Breen Re: Roasted Delivery – A New Starbucks SBU Product Line INDUSTRY OVERVIEW The coffee industry is one of the fastest growing industries in the world with an annual growth rate of 7% (Griffin, 1999). As of 2011 Americans consumed approximately 400 million cups of coffee per day, which is equal to about 146 billion cup of coffee per year. When put into the perspective of caffeine coffee represents 75% of all the caffeine consumed in the United States. While there are several different species of different coffee plants the two main species of coffee that are cultivated today are Arabica and Robusta coffee beans. Coffea Arabica also known as Arabica coffee accounts for approx. 75-80% of the current world’s production coffee. Coffea canephora also know as Robusta coffee currently accounts for 20% of all production in the world (Coffee Statistics, 2011). The specific café that Roasted Delivery chooses around the coffee industry was Starbuck. MISSION AND STRATEGY OVERVIEW Starbucks was first opened in 1971 as a single store in the Seattle’s historic Pike Place Market. In 1981 Howard Schultz (Starbucks chairman, CEO) joined Starbucks after first tasting a cup of their coffee. Starbucks with their current mission to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time has now found themselves with 15,000 stores existing in over 50 countries (Starbucks, 2011). Starbucks strategy has been broken down in the following parts...
Words: 3108 - Pages: 13
...STARBUCKS: JUST WHO IS THE STARBUCKS CUSTOMER? By Annie C. Rodriguez For MKT-301 Principles of Marketing Mr. M. Loizides Howard Schultz traveled to Italy in the early 1980’s and was inspired to transform Starbucks, what then was just a handful of Seattle coffee shops, to a European-style coffee houses. His vision was to provide customers with the “third place” to go to. A place where they could relax that was away from home and work. A place where you can get away from it all and just sink into your thoughts and relax your mind. He started and created what is known as the Starbucks Experience. His idea worked and after twenty years Starbucks is a household word and an icon in finely brewed coffee. However, what goes up will eventually come down and by 2008 the twenty percent annual growth dropped ten percent and store sales where decreasing by three percent. By the end of the year profits had dropped by fifty-three percent and the value of their stock was down to $10 a share. What was the problem? What caused such a decline in profits and company value? There were a lot of important facts in this case that are extremely relevant to this case that were presented to us. One of the first things that were presented was that after twenty years Starbucks boosted over 17,000 stores in dozens of countries, between the years of 1995 to 2005 they added US stores at an annual rate of 27%. They were opening 3,300 locations in one year which was averaged...
Words: 1924 - Pages: 8
...OD Implemented in Starbucks 1 ORGANIZATION DEVELOPMENT IMPLEMENTED IN STARBUCKS INDIRAN MBS141104 LEE YEW HOONG MBS141102 CHONG KUEN SOON MBS1133 CHIA WI PEAW MBS141106 MOHD FAIZAL MBS141114 SEM I 2015/2016 UBSE1123 – Session 01 International Business School, UTM Lecturer Name: Dr Harcharanjit Singh Submission Date: 05th Dec 2015 OD Implemented in Starbucks 2 Table of Contents 1.0 Introduction ............................................................................................................................... 3 1.1 Problem Statement ............................................................................................................... 3 1.2 Challenges ............................................................................................................................ 4 1.3 Opportunities ........................................................................................................................ 5 2.0 Industry Background ................................................................................................................. 5 2.1 Relevant to Issue .................................................................................................................. 6 3.0 Organization Background ......................................................................................................... 7 3.1 Historical Background .............................................................................
Words: 5390 - Pages: 22
...NORTHWESTERN UNIVERSITY WINTER 2010 COURSE 437 STRATEGIC MANAGEMENT FOR ENGINEERS SYLLABUS Professor: Teaching Assistant Donald R. McNeeley, Ph.D. Susan O’Dea, sodea@chicagotube.com Phone: 815-834-8501 Phone: 815-834-8503 E-mail: dmcneeley@chicagotube.com Course Overview: Organizations have learned that the adage, grow or die is more than a cliché. In today’s global market, maintaining the status quo is no longer an option. As the velocity of change accelerates, historic paradigms are surrendering to new. For organizations to survive in today’s competitive environment, management must anticipate the strategic inflection of organizational evolution. Engineers have played a major role in the advancement of society. Undergraduate education for engineers is thorough, precise, and understandably micronistic. At the graduate level, we attempt to couple the micro skills with the broader macro perspective or, in other words, the proverbial big picture. The management role requires engineers to be able to envision, from a broader perspective, the operation of an organization and the market one serves. You must learn to think, act, speak, and process from the “management mind.” This capstone course draws from all functional areas of an enterprise to provide strategic direction to an organization. It also provides engineers with a management perspective as a complement to the engineering orientation, which they currently possess. Strategies are offered to ensure...
Words: 1175 - Pages: 5
...Deborah Brown Ethics & Business Finals Professor: Dr. Welch What is a market place? A marketplace is the space, actual, virtual or metaphorical, in which a market operates. The term is also used in a trademark law context to denote the actual consumer environment, i.e. the 'real world' in which products and services are provided and consumed. A marketplace is a location where goods and services are exchanged. (http://www.ask.com/web?am=exact&q=virtual+market+place) How can you market ethics? The American Marketing Association commits itself to promoting the highest standard of professional ethical norms, and values for its members (practitioners, academics and students). Norms are established standards of conduct that are expected, and maintained by society, and professional organizations. Values represent the collective conception of what the communities find desirable, most important, and morally proper. Values also serve as the criteria for evaluating of our own personal actions, and the actions of others. As marketers, we recognize that we not only serve our organizations, but also act as stewards of society in creating, facilitating, and executing the transactions that are part of the greater economy. In this role, marketers are expected to embrace the highest professional ethical norms, and the ethical values that are implied by our responsibilities towards multiple stakeholders (e.g., customers, employees, investors, peers, channel members, regulators...
Words: 670 - Pages: 3
...the exam room. The same case study in its full length will be on the exam paper together with the required questions. Possession of unauthorised materials is an assessment offence. During the exam: 3) Remember to write ALL your answers in the answerbook, with question numbers clearly marked. You may ask the invigilators for extra pieces of paper if there is not enough space in the answer book. EBU6402 (2015/16) Case Study for Paper A Page 2 Question 3 – Case Study Starbucks – in 2015? Most companies with annual sales over $9 billion would wish to pay an annual dividend to their shareholders. But not the coffee restaurant chain Starbucks. Its purpose is to grow the company and it retained all its profits for many years to achieve this. The case explains the background and explores the implications. 大多数公司,年销售额超过90亿美元希望支付年度股息给股东。但不是星巴克咖啡连锁餐厅。其目的是增加公司和它保留其所有利润多年来达到这个目的。这个案例解释的背景,探讨了影响。 Starbucks history Originally a coffee roasting company, Starbucks opened its first coffee bar in Seattle, USA, in 1985. The young Howard Schulz, who had joined the company in 1982 as marketing executive, persuaded the original owners to use the company’s roasted beans to experiment with an...
Words: 1496 - Pages: 6
...It’s All In The Mind Author: …………………………………………………………………….2 Background and scope…………………………………………………...4 Introduction…………………………………………………………………5 Basic explanation of the idea……………………………………………..6 Some interesting occurrences……………………………………………9 Some real life claims………………………………………………………11 Criticisms……………………………………………………………………14 Arguments against criticisms……………………………………………..16 Concluding remarks………………………………………………………..19 References………………………………………………………………….20 ABSTRACT: Why do we pray? To appease the Almighty? To have what we want? Well yeah, most of the time the latter one. Because even agnostics pray, prayer is an involuntary reaction, everyone, no matter a believer or an atheist, has said in his mind at least once, “I wish it happened like this”, haven’t they? We pray even without knowing that we are doing so. Now, the success rate is a matter of debate. But definitely we set a substantial store on the power of prayer, that’s why mass prayers are conducted in churches and temples, and also on much less religious scales. Prayers are a form of thought, directed thought to put it in better words. We direct our thoughts; or rather push them in such a way so as to achieve something, in the same way we reach out with our arms to get something. Similarly, our thoughts too have the ability to influence matter without being in direct contact with our environment. How are prayers answered? It is based on the same principle of our mind affecting the outer environment. Let’s take an example...
Words: 6774 - Pages: 28
...Introduction Starbucks started in 1971 as a single store in Seattle’s historic Pike Place Market. It offered fresh-roasted whole bean coffees in the store. There is a group of coffee lovers which shared a passion for quality coffee and exotic teas included English teacher Jerry Baldwin, history teacher Zev Siegel, and writer Gordon Bowker, they put investment and finally opened a store called “Starbucks Coffee, Tea, and Spice” in Seattle, WA. In 1981, Howard Schultz (Starbucks chairman, president and chief executive officer) noticed that a little company in Seattle, WA, was placing orders of a certain coffeemaker, in larger volumes than the big US store Macy’s; he decided to pay them a visit to see what was going on. Gordon Bowker, the magic, mystery, and romance man, must have shared his passion for quality coffee and tea with Howard Schultz at this time, because he got hooked right away. This Starbucks store that Schultz visited was more than just a regular coffee shop; it had a soul, a passion and authenticity. People there were educated to quality coffee, and they in turn were educating their customers. Right after trying cup of Sumatra (one type of coffee), Howard was drawn into Starbucks and the seeds of the Starbucks Corporation were planted there: deep knowledge of the product and service, trust and credibility. Schultz understood that something is needed by Starbucks which is creating an atmosphere and bonding with customers around a cup of coffee. In 1980's,...
Words: 8506 - Pages: 35
...STARBUCKS Case Study Alex Cochran May 2003 Starbucks – A Case Study. Table of Contents Alex Cochran 2003 Executive Summary..................................................................................................................................3 Market Segmentation ...............................................................................................................................4 Methods of Segmentation................................................................................................................4 Lifestyle Segmentation in the Specialty Coffee Market ..............................................................5 Segments ................................................................................................................... 5 Identifiable ................................................................................................................ 6 Sizeable...................................................................................................................... 6 Actionability .............................................................................................................. 6 Accessibility ............................................................................................................... 7 Sustainable Competitive Advantage......................................................................................................8 The Path to Protection. ...............................
Words: 8985 - Pages: 36
...Starbucks Change in Strategy By Brandon L. Chow Dr. Darryl Mitry National University School of Business & Information Management October 22, 2008 Executive Summary The following report and presentation is an inside look at Starbucks Corporation’s strategy and how it is currently affecting their sales and the long-term results. This will be accomplished by exploring four concepts of strategic business, the process for crafting a strategy, components of a macro-environment, five forces of competition and a SWOT Analysis. Analyzing the information and making recommendations based on the information gathered will show how Starbucks should keep or change their strategic plans. Focusing on principle concepts will systematically uncover what Starbucks has done well in the past, what current areas could be improved, and if the new changes ultimately weaken Starbuck’s market share in the long term or strengthen them. OVERVIEW Starbucks Corporation: Starbucks is constantly reinventing their stores to keep and attract customers. With coffee houses popping up in every nook and cranny, Starbucks has to be fresh and innovative. New technology that allows coffee customers to download the music playing in Starbucks stores to their iPhones is just the start of a wave of options for impulse purchases. Starbucks has roasters and brands of specialty coffee operating in North America, Latin...
Words: 6119 - Pages: 25
...Author: Group 2 Course: Operation Management SERVICE QUALITY IN STARBUCKS COFFEE An in-depth study ABSTRACT This report has been prepared to analyze the processes and strategies such as control of operations systems, design and planning of Starbucks. Theoretical frameworks have been applied to evaluate the company’s operational strategy in terms of its products and services offering. While the report considers Starbucks overall strategy, it also focuses on the daily operations of Starbucks franchises. The study evaluates how Starbucks has been able to position itself as a leader in its market segment and analyses the strengths and weakness in the company’s existing strategy. Upon dissecting various aspects of the company’s processes, it provides an appreciation of the company’s efforts to continuously evolve in the changing market conditions by incorporating new product design and being innovative to stay at parity with its competition. Finally, upon identifying the areas of improvement in the company’s existing strategy, the report conclusion discusses about lesson learned and possible recommendations that can be incorporated in order to further ensure operational efficiency thereby maximizing profits and increasing its value offering. Page 1 of 31 Table of Contents ACKNOWLEDGEMENT .............................................................Error! Bookmark not defined. ABSTRACT ..........................................................
Words: 6103 - Pages: 25
...Steve Jobs, although no paragon of business ethics, has preached from the scripture of Matthew 16:26, “What good will it be for someone to gain the whole world, yet forfeit their soul?” (Rink, 2012) This sagacious verse simply translates to question how can someone profit or be advantageous when acquiring the world if you damage or lose your character along the way. What is worth more than your soul? This wise question can help one in determining their own code of ethics by balancing what is right, meaningful, and most important to them. Knowing and understanding your ethical views is vital while on the journey of achieving their goals. Ethics is “the moral principles that govern a persons or group’s behavior.” Similarly, business ethics, or corporate ethics is “the critical, structured examination of how people and institutions should behave in the world of commerce” (MacDonald, 2012). We all have our own code of ethics, which is what drives each and every action that we take, whether in day-to-day activities, or in larger, business- related decisions. Ethics, to me, means how you treat others, and should be guided by the golden rule: treat others the way you want to be treated. It is about distinguishing the difference between right and wrong, and then choosing the right choice. A good place to start is with the law and then to involve your own morals and values. However, business ethics is more complex. Business ethics deals with how you treat your employees, other companies...
Words: 2197 - Pages: 9
