...Starbucks Case Study 1. Based on the case information and personal experiences, list at least five things that you know about Starbucks. This list offers you some idea about your cognitions concerning the coffee shop chain. After reading the case information, I have a greater amount of knowledge about Starbucks as a business aside from my personal experiences as a customer. I am a regular at my local Starbucks and feel that this company does attempt to cater to their customers. Specifically from reading the case study, I know that Starbucks is a fortune 500 company since 2003. The company has expanded to over 14,000 stores worldwide including multiple locations within popular cities such as New York and San Francisco (Peter and Olson, 2010, p. 32). Starbucks is trying to expand internationally and are trying to have 500 stores operating in Asia. In China only, Starbucks outlets have increased from 8 in 1999 to just less than 70 today (Starbucks-taking on the world, p. 13). Starbucks is expanding in order to develop sight recognition for customers in order to persuade customers into thinking Starbucks is a great product, offered in many locations, and everyone is drinking it. Each additional store only adds to the chances of more people seeing their store and also remembering Starbucks every time you want a coffee. Another thing I know is that Starbucks has recently attempted to gain food sales as they have begun to sell hot sandwiches, bakery items, and other...
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...Unit IV Case Study Toni K Bonton Columbia Southern University During the concept stage of research, Starbucks set out to test the idea of a card that utilized dual-functionality versus using two separate cards (Cooper & Schindler, 2011). To do this, online focus groups were used to determine customer preferences. Not only did this type of study measure how well customers understood the dual-functionality aspect of the proposed card and what concepts needed to be explained further, but it also revealed customer appeal to the card and its features (Cooper & Schindler, 2011). The product optimization study was another online study conducted during the concept stage to determine the impact certain features have on a customer's decision to apply for the card and which of those features could potentially increase sales (Cooper & Schindler, 2011). This information proves beneficial in knowing which customers would not apply for the card and why and how the most appealing features would affect the profit margin. In the final stage of research, Starbucks measured the return on their marketing investment, using customer feedback obtained through yet another online survey after their new card was launched (Cooper & Schindler, 2011) . The customer feedback responded to customer awareness and the reasons why customers chose to apply, or not apply, for the card. This type of study measured the success of the card launch and how that success came about, along with whether or...
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...Starbucks Case Study Jane R. Doe MGT 330: Management for Organizations Dr. James Bond September 01, 2012 Starbucks Case Study Starbucks started with a single store in Seattle's Pike Place Market in 1971 as a retailer of whole bean, ground coffee, tea, and spices. Now, people can enjoy their special concoction of high quality coffees, teas, and pastries from 20,000 different retail stores located in 65 countries (Globalassets.starbucks.com, 2014). Instead of having a server, Starbucks call their employees behind the bar “Baristas”. According to Starbucks.com (2014), “Baristas really are the face of Starbucks. They are an important part of our customer's day, and experts in handcrafting deliciously perfect beverages. Connecting and creating the moments that makes a difference in each person's day” (p. 1). Part of being a barista is the job descriptions and specifications to perform the job which is composed of multiple tasks. One of the responsibility is to take ownership of any task given by management or employee member to maintain and ensure a quality product and customer care and service. This job also requires to provide customer satisfaction by having prompt service, high quality products, clean and inviting environment, and a good ambiance. Also, they need to be knowledgeable of the product and services offered by Starbucks to better assist or answer customer questions and resolve issues. Also, baristas are encouraged to suggest any...
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...Starbucks Case Study 1. Identify the controllable and uncontrollable elements that Starbucks has encountered in entering global markets. I think that Starbucks has maintained more controllable elements in the global marketplace than uncontrollable. Although Starbucks purchases just 1.5% of the world’s coffee beans, in my opinion, they control the market. In the preceding five years, growers have produced an oversupply of coffee beans to meet demand, which means a drop in price. And so the market price has dropped to 50 cents a pound but growers claim if they make in returns less than 80 cents a pound, it costs more to grow they make to sell. But after watching the video provided with this assignment, I have come to the conclusion that I believe Starbucks purposely corners the market by paying upwards of $1.20 a pound for their coffee. They admit they pay above-price for their coffee beans. But that seems to me it drives up the price of coffee in other areas as well. Starbucks already has a high price for their products here in the US and if they are willing to pay their growers a higher price for beans, other growers may be forced to do the same with other coffee houses, say, like Peets. In turn, with those other coffee houses around the world being made to pay higher prices to growers, eventually those higher prices trickle down to the consumer at the register. And with the Starbucks name and image globally, along with the financial backing, the company is able to pay...
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...Starbuck’s Job Design Job Purpose is being a leader and role model by showing by example customer service and community involvement. Essential Functions: Set goals for team, recruit and hire team members and shift supervisors, generate reports, train team members safety standards and health standards, implement policies, lead your team by example, communicate and recognize any problems, act quickly for solution, get involved in the community, recruit patrons feedback, delegate task, hold group meetings, create employees work schedules, setting goals for the work group, developing organizational capability, and modeling how we work together, monitors and manages store staffing levels to ensure partner development and talent acquisition to achieve and maintain store operational requirements, utilizes existing tools to identify and prioritize communications and regularly uses discretion to filter communications to the store team, ensures adherence to applicable wage and hour laws for nonexempt partners and minors, solicits customer feedback to understand customer needs and the needs of the local community, uses all operational tools to plan for and achieve operational excellence in the store, tools include Automated Labor Scheduling, monthly status report, Quarterly Business Review, cash management, and inventory management, utilizes management information tools and analyzes financial reports to identify and address trends and issues in store performance, provide partners...
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...exploratory research, which is useful when researchers lack a clear idea of the problems they will meet during the study (Cooper & Schindler, 2014). This stage began with early secondary research of the market and indicated that such a product did not exist in the credit services industry. Starbucks went on to explore possible partners by approaching major card service companies. It conducted interviews with bank executives, visited call centers; even listened in on phone calls to learn how each resolved customer credit card problems. Through exploration researchers develop concepts more clearly, establish priorities, develop operational definitions, and improve the final research design. * After Starbuck identified their perfect partners, stage two was conducting focus groups. They tested the idea of a dual functionality card with four focus groups, using the services of an independent moderator. The focus groups involved two major groups of Starbucks customers who owned a credit card: those who used the Starbucks Card and those who did not. The data obtained from the focus groups proved to be extremely helpful. In exploratory research, the qualitative data that focus groups produce may be used for enriching all levels of research questions and hypotheses and comparing the effectiveness of design options (Cooper & Schindler, 2014). This was definitely true for this case. “The focus groups helped us refine the concept, and define what might comprise the ‘surprise and delight’ features...
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...com/essays/marketing/case-study-starbucks-going-global-fast-marketing-essay.php Case Study Starbucks Going Global Fast Marketing Essay Star Starbucks has always been recognized as a leader in the coffee business. If back in 1971, customers have to travel far to the prime market, Mike Place (Pike Place Market) USA This is a U.S. store Starbucks. Coffee shop our home. Decade or 70 years starting 2514.Star Coffee Shop, the first Starbucks was born. It is named from the character shop in Moby Dick novel, a classic of 19th-century America, which is about the whale. The novel written by Herman Melvilles Star Starbucks believes that The names that come this far as a shop overseas that are appropriate. It is like sourcing the best coffee in the world that people in Seattle million to taste Decade starting at 80 or Year 2524.Mr. Howard Schulte joined Starbucks Star In the year 2525, or C. Since 1982 during which he traveled to Italy to negotiate business. He is impressed with the espresso shop with a reputation for his visit to Milan to visit. Both in style and popularity of the shop. The shop was the inspiration for him to build a store like this in Seattle million. And it is possible that he anticipated. After attempts to test recipes and coffee, Latte and Espresso only a few million urban Seattle became a city of coffee quickly. Decade beginning in 1990 or early 2534.Star Starbucks began expanding from urban Seattle million. Throughout the United States and around the world. Star Starbucks is one...
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...Starbucks Case Study Only thirty years ago the Starbucks Coffee Company was a mere small town coffee shop located in Seattle, Washington. Howard Schultz, then a young entrepreneur, was fond of the coffee shop and aspired to build the company into the giant franchise that it is today after being inspired by a trip to Italy. Starbucks has become one of the biggest coffee restaurants in the world and has become a household word. The Starbucks brand provided its customers with gourmet coffees, espresso’s, and lattes and a specialized environment that gave customers a place to enjoy their Starbucks products. Initially, Starbucks Coffee Company segmented and targeted the coffee market by geographic location. Starbucks CEO, Schultz, achieved such success with expanding the small town coffee shop that over the initial course of twenty years, the franchise went from consisting of only a few small venues to having almost seventeen thousand stores with locations in dozens of countries around the world. Schultz had great ambition to open over ten thousand more stores over the course of the next four years and then set on to his next goal – which was to open an additional forty thousand stores. With so much success happening so quickly, the market for Starbucks eventually began to slow and even reverse. The company had to reanalyze the way it did business if it wanted to survive and maintain its identity. Rapid expansion and overwhelming popularity, the experience the customers once...
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...MNGT2001 Business Strategy Starbucks Case Analysis Endang Abu Bakar 3171895 Dagamac Janelle Tan 3156283 Nguyen Dinh Duy 3158495 Le Duc Anh 3159239 Sutthisiriwattana Pimchanok 3175067 Ye Xintao 3156684 Tutor: Dr. Ha Huong Tutorial Group: A4 Table of content I. Introduction 1 II. Strategic Analysis 1 A. Macroenvironmental Analysis 1 1. Opportunities 2 2. Threats 2 B. Microenvironmental Analysis 2 C. Strategic Competitive Advantage 3 III. Strategic directions 3 A. Mission and Vision 4 B. Strategic Objectives 4 IV. Business Level Strategy 4 A. Differentiation 5 B. Market Penetration 5 C. Product Development 6 1. Seasonal Products 6 2. New Products 6 D. Other Strategies 7 V. International Strategy 7 VI. Strategic Implementation 7 A. General Perspectives 8 1. Strategy 8 2. System 8 B. Strategic Implementation Issues 8 1. Economic risk 8 2. Environmental risk 9 3. Global risk 9 VII. Strategic Evaluation 9 VIII. Recommendation 9 A. Financial 10 B. Customer 10 C. Internal processes 10 D. Learning and growth 10 VIII. Recommendation 11 IX. Conclusion 11 Reference 12 Appendix 13 I. Introduction Market conditions all over the world have fostered an evolution in modern business practice (Obstfeld...
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...Abstract Starbucks is one of the world’s most powerful and recognizable brands. Since its creation in 1987, Starbucks has managed to revolutionize the coffeehouse industry by marketing expensive, high quality coffee. However, while the company faced significant growth in the early 2000s, Starbucks has recently started experiencing difficulties, as some of its stores face saturation both in the domestic and in the international market. The purpose of this paper is to analyze the reasons that have led to these problems; to identify the key factors that distinguish the company as an international giant, as well as to explore different options that could be undertaken in order for the company to further establish its position as a leader in the coffee industry. Introduction Starbucks is a Seattle based company that has grown to an international leader, operating in over 50 countries with 17,651 stores worldwide (Starbucks, 2012). Starbucks has been able to gain such a large share of the market by catering specifically to a well-defined target audience and by offering unique experience. The history of Starbucks and its expansion is a model for other businesses to look up to. From only one store more than 30 years ago in Seattle to its still growing empire today with thousands of outlets in the United States and in foreign countries, the Starbucks Coffee Company is without a doubt a well-known success story all over the...
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...Case Study: The Globalization of Starbucks From the famous green and white logo, to the coffee house style environment, Starbucks has built an empire located on every street corner. We also cannot forget the red cup debacle just this Christmas! Starbucks is a true icon in the world of coffee. Starbucks created a true lifestyle for the world that some small businesses can only dream of. Starbucks currently has more than 21,000 stores in over 65 countries and was founded in 1971. The original idea for the Starbucks format came from Howard Schultz, who at the time was just the Director of Marketing but later become the CEO. Schultz took a trip to Italy as the marketing director and came back enchanted by his experience. The logo for Starbucks today is green and white with a mermaid. Most people today do not realize it is a mermaid though. Starbucks all started in Seattle where the founders wanted to capture the strong seaport roots. The logo has evolved to what it is today but when first created, was much more true to what a true mermaid or siren goddess to match their focus. Today she is more tamed down but still shows her meaning. The lesson for international business that can be drawn from Starbucks is many but my main focus would be the dedication from Schultz and the vision he had. What he was able to accomplish with one specific vision is unheard of. He not only had a vision for coffee, but also had a vision for a true environment for many people to...
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...CJ Bosch Marketing 100 MWF 10 a.m. 10-30-13 Starbucks Case Study Initial Study Starbucks Corporation, the largest coffeehouse company in the world, with 19,435 stores in 58 countries, including 12,781 in the United States, 1,241 in Canada, 1,062 in Japan, 976 in Great Britain and 645 in China (starbucks website), started it's journey as a local coffee bean roaster and retailer of whole bean and ground coffee, tea, and spices in Seattle, Washington. The first Starbucks opened in Seattle, Washington, on March 30, 1971 by three partners: English teacher Jerry Baldwin, history teacher Zev Siegl, and writer Gordon Bowker (Starbucks website). From 1971, a single store in Seattle’s Pike Place Market it has become the world renowned brand we know today. It’s wide range of product selection includes drip brewed coffee, espresso-based hot drinks, other hot and cold drinks, coffee beans, salads, hot and cold sandwiches and panini, pastries, snacks, and items such as mugs and tumbler. Although the company has many stories of successes some of it’s actions have also faced a great deal of criticisms. At the dawn of the new century it faced sales slowdown of it’s one of the most well-known brand the Frappuccino. The original Frappuccino beverage was developed, named, trademarked and sold by George Howell's Eastern Massachusetts coffee shop chain, The Coffee Connection (Boston magazine). When Starbucks purchased The Coffee Connection in 1994, they also gained the rights to use,...
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...Overview The case explains why Starbucks had to expand outside the US and the entry strategies it adopted in international markets, and discusses the various risks faced by Starbucks and the effect of these risks in its revenues in international markets. Problem Major Problem The major problem of the case was the not so well planned international operations of Starbucks compared to its US operations and the entry strategies it adopted in international markets. Minor Problem The minor problems were: The pricing of the products offered. The high level of prices of the products of Starbucks is generally caused by too expensive cost of production that causes suffering to its customers. The operation problems encountered by the business due to lack of a trained workforce. The inappropriate and unsuitable real state/location for its store. Objectives To solve the problems of this case study. To recommend advices and solutions regarding the problems encountered of this business. Facts *Alternative Course of A*ction To study and think carefully about the decision of entering international markets. To go for a supplier of cheaper items needed in the operation that would enable the business to lower the prices of its products and make it affordable and attract those middle as well as low profile consumers. To hire trained applicants to ensure the smooth...
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...Development Analysis Two Mini Cases 1 21 June 2012 Final Project: Development Analysis Two Mini Case Studies DeVry University Professor Mozinski, BUS412 Business Policy Development Analysis Two Mini Cases 2 Mini Case 1: Bikes for the World (BfW) Challenge or Problem: The Bikes for the World organization was formed to offer valid solutions to the transportation problems facing the poor around the world. Lack of affordable and eco-friendly transportation system led founder Keith Oberg to create BfW. Oberg states he did so in order to solve two problems: to help address the developing world’s lack of affordable, eco-friendly transportation, and to help find a better use for the glut of unwanted bikes in the United States (Thompson, 2010). (Pictured above a young boy from Nyariga, Ghana receives a Bikes for the World bicycle. Photo courtesy of the Shape Lives Foundation) Oberg’s mission was simply to “assist poor people overseas to become more productive through providing affordable bicycles for personal transport to work, school, and health services. Secondarily, provide satisfying community service opportunities to Americans—collecting bikes and spare parts--towards realizing this primary goal of helping others overseas” (BfW, 2012). Through a goal to achieve a sustained impact both here and abroad BfW has partnered with over 600 volunteers, donors, and agencies worldwide who all share a common concern for reducing waste and helping the poor earn, learn,...
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...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 not only success in a competitive “for profit” environment, but the sustainability of success throughout the economic cycle. A framework is developed to understand the interrelation of accounting, finance, operations, engineering, and marketing. Class format will be lecture, case study analysis, open discussion, guest speakers, and student presentation. Student Notice: As a...
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