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The Pacific Oil Company

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A Crack In The Mug: Case Study
Don Tines I. Strategy:
According to Starbuck’s website they see their primary target market as adults both men and women ages 25-40. This accounts for 49% of their total business. They are looking to attract a younger adult market ages 18-24.
While it is true that Starbucks is selling coffee (high-quality coffee) that is only part of the story. They refer to their stores as “Coffeehouses” the real “sell” is the image they confer on those who patronage their stores. The “Starbucks’ experience” can be identified as genuine service and an inviting atmosphere where customers are invited to spend time socializing and collaborating with others of like mind. The “free” web hotspots allow customers to work, study, or play. The purchase of a $5 cup of coffee is soon forgotten as customers sit in soft living-room type furniture.
Starbuck’s has come to distinguish itself through its high-end atmosphere and standardization. It’s quick service and good reputation for being environmentally friendly and for treating its employees well has won the battle for customer loyalty. It’s green logo and paper-bag brown colors has come to mean clean environmentally ethically friendly. Their image that this is “your store” “your private club” has contributed to its branding. II. Success Factors
Starbucks Corporation was founded in Seattle, Washington a community known for its thriving economic strengths and home of Boeing, Microsoft, and Amazon. Seattle is a world center for coffee roasting and coffee supply chain management. Related to this, many Seattle-area people are coffee enthusiasts and they maintain a coffee culture in Seattle's many coffeehouses. People in Seattle consume more coffee than in any other American city; one study stated that there are 35 coffee shops per 100,000 residents and that Seattle people spend an average of

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