...Memo of Starbucks Corp. Mission: Making Starbucks a high-level coffee bar using high quality beans and introduce an coffee culture experience. (Access-based positioning) Strategies are divided: A. Production: produce high quality, variety products coffee source: high quality and sustainability. 2.Craftsmanship: unique producing process including roasting and brewing,using exclusive machines and coffee brewers. 3. Variety of productions:quality coffee,a variety of hand-crafted beverages,Tazo teas,Ethos water,pastries and, in some markets,a selection of sandwiches and salads. Attributes of measurements: Certification of coffee beans, sales, customer flow Substitute attributes: Certification of coffee beans—the testing results of the soil in coffee plantation every year to guarantee the organic planting method B. Service: ‘Starbucks Experience’ Key words: humanity, standardization, good customer experience 1.Connect with, laugh with, and uplift the lives of customers Starbucks Entertainment: film, music, books, which be purchased at stores or online app store Stores are decorated full of humanity: making customers feel the sense of belonging and enjoyment Attributes of measurements: customer satisfaction Substitute attributes: customer satisfaction—customers’ average time of stay, regular customers（VIPs） C. Operation: diversified operation Key words: retail duplication, word of mouth marketing (WOM), digital marketing, social marketing, regular chain and market expansion. Retail...
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...SWOT MATRIXSTARBUCKS CORPORATIONPresented by: ZARLY R. SANTIAGOMSHRM | STRENGTHS1. Starbucks Corporation is a very profitable organization, earning in excess of $600 million in 2004.The company generated revenue of more than $5000 million in the same year. 2. It is a global coffee brand built upon a reputation for fine products and services. It has almost 9000 cafes in almost 40 countries.3. Starbucks was one of the Fortune Top 100 Companies to Work For in 2005. The company is a respected employer that values its workforce.4. The organization has strong ethical values and an ethical mission statement as follows, 'Starbucks is committed to a role of environmental leadership in all facets of our business.' 5. Starbucks is No. 1 specialty coffee retailer of - in terms of market share and market capitalization. 6.Strong brand image associated with high quality coffee and excellent customer service - “The Starbucks Experience”7. Due to its specialism in all things coffee - it achieves high buying volumes - scale economies and utilizes international sourcing, some from fair trade suppliers. | WEAKNESSES1. Starbucks has a reputation for new product development and creativity. However, they remain vulnerable to the possibility that their innovation may falter over time.2. The organization has a strong presence in the United States of America with more than three quarters of their cafes located in the home market. It is often argued that they need to look...
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...5. 5. 2016 PESTLE Analysis of Starbucks What are you looking for? PEST ANALYSIS MARKETING SWOT ANALYSIS STEEP ANALYSIS BUSINESS PEST Analysis, PEST Examples GET MORE ANALYSIS Subscribe to our mailing list and get our articles and updates to your email inbox. Enter your name here PESTLE Analysis of Starbucks Jim Makos 1 Year Ago FACEBOOK 0 Comments PREV ARTICLE NEXT ARTICLE PESTLE is a strategic analysis tool. It is often seen as the most effective analytical tools to analyze the Enter your email here impacts of external issues. It is an extended version of PEST analysis. Other forms of this tool are PESTEL, SIGN UP NOW STEEP, and STEEPLE. The acronym PESTLE stands for 6 factors which affect the business. The factors are: We respect your privacy Political Economic http://pestleanalysis.com/pestleanalysisofstarbucks/ 1/9 5. 5. 2016 PESTLE Analysis of Starbucks Social Popular Recent Technological Legal Environmental In this article, I am discussing the PESTLE analysis of SWOT Analysis Examples for Every Business Situation December 30, 2013 Starbucks. The constant global economic recession has dented the macroeconomic environment which Starbucks operates in. The recession has hurt the consumer’s purchasing power. Recent market research re䈠ects that consumers have not cut down on their coffee...
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...decisions based on these factors. As a company continues to flourish they expand their business beyond international lines. By operating on a global scale the company opens their doors to other markets, gaining sales, and profits. Globalization is an invaluable opportunity for a company’s success. For the purposes of this paper the popular coffee shop Starbucks will be reviewed. Starbucks decisions regarding their influence on global interdependence, and effects of trade practices will be examined. The importance of demographics and physical infrastructure will also be summarized. Because Starbucks is a global company various influences of these environmental factors will be reviewed. A global company is highly reliant on global economic interdependence. Using economic interdependence Starbucks is able to increase revenue. Every Starbucks location uses different materials made in various countries. By purchasing low cost materials they can continue to produce high-quality product and increase market share. Their coffee cups are made from recycled products that are produced at a low cost, and environmentally friendly (Starbucks Corp., 2012). The effects of trade practices and agreements play a significant role regarding the company’s strategies and operations in each country. The company must consider a variety of different factors when pricing and selling globally. These factors include tariffs, taxes, trade barriers and agreements. The company must ensure they have all proper...
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...INTERNATIONAL MARKETING Case Study Report How Starbucks Corp. should improve its business Syndicate Group Number 1 24/08/2007 The following group assignment report was prepared for a business unit at Macquarie University, Sydney. The information given does not need to be correct. The suggestions given and conclusions drawn remain (as the whole report in itself does, too) the intellectual property of the authors. Do not use this report for plagiarism. Do not copy this report. Do not print this report. Do not hand this report in as your own! Authors and Copyright: Tanya Shahi Jorge Omar Martin Aufschläger Timo Schmerling Stefan Gassner tanyashahi@gmail.com canogeorge@hotmail.com martinaufschlaeger@gmail.com timo_schmerling@web.de mail@stefan-gassner.de 2 Case Study Report: Starbucks Corp. Table of Contents Table of Contents ....................................................................................................... 2 1. Introduction ............................................................................................................. 3 1.1 Company Profile ................................................................................................ 3 1.2 Case Summary.................................................................................................. 3 1.3 Current Situation .................................................................................................
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...company is highly reliant on global economic interdependence. Using economic interdependence Starbucks is able to increase revenue. Every Starbucks location uses different materials made in various countries. By purchasing low cost materials they can continue to produce high-quality product and increase market share. Their coffee cups are made from recycled products that are produced at a low cost, and environmentally friendly (Starbucks Corp., 2012). The effects of trade practices and agreements play a significant role regarding the company’s strategies and operations in each country. The company must consider a variety of different factors when pricing and selling globally. These factors include tariffs, taxes, trade barriers and agreements. The company must ensure they have all proper permits when retrieving, and delivering the coffee beans. Every location must ensure they are in compliance with the respective government laws, and regulations. A global company is highly reliant on global economic interdependence. Using economic interdependence Starbucks is able to increase revenue. Every Starbucks location uses different materials made in various countries. By purchasing low cost materials they can continue to produce high-quality product and increase market share. Their coffee cups are made from recycled products that are produced at a low cost, and environmentally friendly (Starbucks Corp., 2012). The effects of trade practices and agreements play a significant role regarding...
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... | |Starbucks Annual Report 2012-13 Assignment | | | |6/7/2013 | | | INTRODUCTION Executive Summary What was once a small coffee shop opened by Gerald Baldwin, Gordon Bowker, and Ziev Siegl in 1971, Starbucks Coffee Company has grown into the number one specialty coffee retailer. With over 20,000 coffee shops in more than 60 countries, of which 7,200 are licensed and franchised and 10,000 are owned, the company’s main objective is to establish Starbucks as the “most recognized and respected brand in the world.” “SBUX.” Has for purchase and roast high-quality coffees that we sell, along with handcrafted coffee, tea and other beverages and a variety of fresh food items, through company-operated stores also a variety of coffee and tea products and license trademarks through channels such as Starbucks brand, portfolio also includes Tazo® Tea, Seattle’s Best Coffee®, Starbucks VIA® Ready Brew, Starbucks Refreshers™ Beverages, Evolution Fresh™, La Boulange bakery brand and the Verismo™ System by Starbucks. Their objective is to maintain Starbucks standing as one of the most recognized and respected brands in the world...
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...Starbucks Coffee Company The story begins in 1971 in Seattle Washington, back then Starbucks was just a single store in Seattle’s historic Pike Place Market, offering some of the world’s finest fresh-roasted whole bean coffee. “The name, inspired by Moby Dick, evoked the romance of the high seas and the seafaring trading of the early coffee traders.” (Starbucks Company Profile). It wasn’t until the mid-1980s when Starbucks started offering brewed coffee and espresso beverages that they have become so famous of. Starbucks offers a wide range of different coffee products which include: Coffee Beans, Handcrafted Beverages, Merchandise, and Ready-to-drink, and Instant Coffee and Teas. Coffee beans get many of their distinguishing characteristics from where they are cultivated. Starbucks consistently roasts only some of the highest quality Arabica beans, which it sources from several major growing regions of Latin America. Each of the world’s three coffee-growing regions, Latin America, Africa and Asia Pacific have different variables in soil, climate, to elevation that bring out the unique flavors. The signature coffee blends that Starbucks is known from mostly comes from the Asia Pacific Region (Starbucks Coffee Company). It wasn’t until Howard Schultz traveled to Italy and became fascinated with Italian Coffee bars, and sees the potential to develop a similar coffeehouse culture in Seattle. It wasn’t until the 1984 before Starbucks served its first Starbucks Cafe latte and...
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...loyal to starbucks through Loyalty programs, with a majority of 63% saying they would return just for the rewards program (Horn, 2013) * Digital storefront promotion for teas proved to be successful (Laird, 2011) * Partnership with evergreen encourages Canadians to “go green” (Starbucks Encourages Canadians to Pledge to do some Green, 2010) * Partnership with AT&T Inc. to include free and paid wireless internet coffee shops in the united states (Associated press, 2008) * Partnership with Bell Canada to include free wireless internet in over 650 locations in Canada (Laird, 2008) * Leads specialist coffee shop sales in most countries (Starbucks Corp. (food), 2012) Weaknesses * Share price fell by 43% due to commercializing the business (Passikoff, 2008) * Price senstaive customers choosing other places to get their coffee (Starbucks Corp. (food), 2012) * Overall weak performance in the UK (Starbucks Corp. (food), 2012) * Starbucks cut back on new store openings in the United states (Janet, 2007) * Risky TV camping (Kang, 2007) * Competition from McDonald’s and Dunkin Donuts caused profits to decline in the United States (Lynn, 2008) * Overpriced coffee causes consumers to not purchase during recession. (Bryson, 2009) Threats * Fast food places moving into the coffee market segment provides a threat for Starbucks (Starbucks Corp. (food), 2012) * Starbucks holds 0.7% of market share for coffee (Starbucks Corp. (food)...
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...When a customer walks in a Starbucks coffee shop the amazing aroma of coffee beans, being brewed creates a smell so wonderful a person can almost taste their favorite coffee or espresso drink, even before they have the drink in their hand. The sound of steaming milk and blenders full of Frapachinoes echoes through the air. The pros of Starbucks coffee grinders are important in the coffee process, starting from the sorting, grading, and roasting followed by the grinding and lastly the brewing, the grinding affects how the final cuppa would taste (Starbucks Corp., 2012). The cons would be different brewing methods, which would mean different types of coffee grinds, and these different grinds require varying length of time to brew. Therefore, before using any coffee grinders, a customer would have to decide on the brew that they would prefer. A shorter brewing time would require a finer grind, when making an espresso. Therefore, conversely the longer brewing time would require a coarser grind. However, a more important point, the flavor and aroma that coffee would lose if it were not freshly grind (Starbucks Corp., 2012). The pros for coffee beans at Starbucks would be the espresso it is not a specific bean or roast level; it is a coffee brewing method. Any bean or roasting level can be used to produce authentic espresso, and different coffee beans have unique flavor profiles lending to different roasting levels, and styles. The cons of Starbucks coffee beans is the espresso...
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...* 1.JetBlue Airways Corp (NMS: JBLU) JetBlue Airways is a passenger airline. Co. operates primarily on point-to-point routes with its fleet of 115 Airbus A320 aircraft and 45 EMBRAER 190 aircraft. Co.'s onboard offerings include free and unlimited snacks and beverages, premium beverages and designed products for its overnight flights. Co.'s subsidiary, LiveTV, LLC, provides in-flight entertainment systems for commercial aircraft, including live in-seat satellite television, digital satellite radio, wireless aircraft data link service and cabin surveillance systems. As of Dec 31 2010, Co. served 63 destinations in 21 states, Puerto Rico, and 11 countries in the Caribbean and Latin America. We can see the trends of last month and last 3 months as follows: Revenue: Revenue increased from $3.292 billion in 2009 to $3.779 billion in 2010, representing a 14.8% increase in revenue. For the first half of 2011, revenues increased 19.5% from $1.81 billion in 2010 to $2.16 billion. Net income: Net income increased from $61 million in 2009 to $97 million in 2010, representing a 59% increase in net income. For the first half of 2011, net income decreased 6.7% from $30 million in 2010 to $28 million. * 2. Starbucks Corp. (NMS: SBUX) As we all know, Starbucks is a famous roaster and retailer of coffee. Co. purchases and roasts whole bean coffees and sells them, along with handcrafted coffee and tea beverages and a range of fresh food items, through company-operated retail...
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...Analysis: Starbucks S. Albright Grand Canyon University: FIN 504 March 5, 2016 Starbucks started back in 1971 in Seattle, Washington. Initially, Jerry Baldwin, Zev Siegl and Gordon Bowker sold only coffee beans and coffee making equipment (coffee .org). It wasn’t until the company was sold to its Director of Retail Operations, Howard Schultz, that Starbucks started selling coffee drinks and soon after, Schultz spread the chain of stores throughout the U.S. taking over many small coffee shops in the process (coffee .org) In the 1990’s Starbucks offered stock options to its employees and went public with an IPO which opened the door for higher earnings and more profitability (coffee.org). This analysis will discuss how a single coffee house in 1971 has grown to more than 22,000 stores in 66 countries in 2016. Starbucks’ goals, market strategies, revenue and financial outlook will be discussed. Strategies and Operating Characteristics According to the Global Responsibility Report (2015), Starbucks vision for the future and what will have the greatest potential for impact include working with farmers for ethically sourced coffee beans, pioneering sustainability economically, socially, and environmentally, and creating career opportunities for young people (2015). Starbucks Newsroom reported on March 18, 2015 that their seven strategies would grow market capital to $100 billion (2015). Revenues are currently at $16.4 billion and the U.S. comp growth averaged 7% (Starbucks Newsroom...
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...Final Project: Company Analysis Company: Starbucks Corporation Critical Thinking Question: Can Starbucks meet its projected ultimate growth? Bruce Harris BMGT 327-01 Organizational Theory and Behavior Dr. Susan Eisner Winter 2005 Semester Tuesday January 25, 2005 To: Professor S. Eisner From: Bruce Harris Date: Tuesday, January 25, 2005 Re: Final Project (Option 2) – Company Analysis – Starbucks Corp. Introduction: Starbucks Corp. has had a substantial impact on the way Americans socialize, relax, reward themselves, and meet to conduct business. This effect and the efficiency with which it was accomplished reflect the high performance of the company. With annual revenue growth consistently topping 20%, it is quite clear that the company is doing something right. This memo will examine 3 concepts that have impacted the company’s high performance. It will then evaluate and discuss a critical question about the future performance of Starbucks. Relationship of topic to this course – 3 course terms relevant to company’s performance: 1. Employee involvement is characterized by decision-making power delegated to employees at all levels within a company. A high level of employee involvement is termed “empowerment,” and is present when employees are given the latitude to make decisions that affect them and their work. Studies have found that empowerment has a substantial positive impact on productivity and worker satisfaction. 2. Social Responsibility refers to the obligation...
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...Starbucks Financial Accounting for Managers ACC556 May 18, 2015 Financial Tools Liquidity, Solvency, and Profitability The company chosen for the investment analysis is Starbucks Corporation. Starbucks offers some of the world’s finest fresh-roasted whole bean coffees. It was incorporated in Seattle Washington in 1985. Starbucks has continued to advance in the coffee industry over the years; but is classified as an eating place. In 2014 the corporation reported its annual revenue as 16,447,800 (Starbucks Corp, 2014). Starbucks financial health is evaluated using the tools of liquidity, solvency, and profitability. Liquidity refers to the company’s ability to pay short term obligations. There are two ratios that are most commonly used to evaluate this is the current and quick ratios. Starbucks 2014 current ratio is 1.37 and the quick ratio is .81. Next analysis examined for the company is solvency; this refers to the corporation’s capacity to meet its long-term financial commitments. The ratios typically used to evaluate solvency are debt to equity and debt to assets. Starbucks 2014 debt to equity ratio is .39 and the debt to assets ratio is .19. Finally, the profitability ratio was evaluated for Starbucks. Profitability is the assessment of the business’s ability to generate earnings as compared to its expenses and other relevant costs incurred during a specific time period. There are five ratios evaluated for Starbucks in 2014; profit margin, gross margin...
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...Fall 2009 Starbucks in Tiawan [pic] History of Starbucks The first Starbucks was opened in Seattle in 1970s by three partners: Jerry Baldwin, Zev Siegel and Gordon Bowker. The name of Starbucks came from Herman Melville’s Moby Dick, a classic American novel about the 19th century whaling industry. The seafaring name seems appropriate for a store that imports the world’s finest coffees to the cold, thirsty people of Seattle. (Starbucks Coffee Company, 2009) Entrepreneur Howard Schultz joined the company in 1982. While taking a business trip in Italy, he visited Milan’s famous espresso bars. He was so impressed with their culture and popularity, he thought he could bring this idea to the United States, this idea would be successful. He was right, Seattle became coffee-crazy after trying lattes and mochas. (Starbucks Coffee Company, 2009) The development of Starbucks expanded beyond Seattle in 1990s. First, they expanded their stores to all states in the United States, and then extended to the world. The U.S. Starbucks stores around the world are based on different market conditions and different organizational structure. There are four kinds of structure which Starbucks uses to expand their stores around the world: own self-employed, joint venture, license agreement, authorized to operate. Moreover, they were the first firm which offered stock options to their part-time employees. Starbucks becomes a publicly traded company. (Starbucks Coffee Company...
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