...Organizational theory and behavior are a vital part of any organization and can be a critical area that determines an organizations success in any industry. If and how these concepts are uniquely applied, organizations can define many different areas of their organizational structure. The Starbucks Corporation has become a well-known globally successful company. In analyzing the application of the organizational behaviors of communication, culture, and decision making, we can determine how these concepts have made this corporation successful. Organizational Communication Communication in the Starbucks organization is exceptionally successful. In order to appear transparent as an organization, provide sound direction of communication, maintain solid channels of communication, and still the rumor-mill; Starbucks has taken immense strides in concentrating on this aspect of its organizational behavior. Although Starbucks goes to no great lengths to define or list their organizational structure (Hawks, Kembell, Kembell, Olsen, & Perry, 2002), Recent changes in the organization define the organization as a matrix structure (Shultz, 2008). These changes in the organization, done to improve the customer experience, helped define the communication directions used by the organization. George and Jones (2005), state that the matrix organizational structure is a very effective way to take full advantage of all communication channels. Whether the organization wishes to label the organizational...
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...Organizational Design and Change at Starbucks Courtney Owens, Alyssa Shirley, Jen Smith, Jessica Wagner B U S 4 1 8 , N i g e l D a v e y Fall 12 Table of Contents Introduction.................................................................................................................................................3 Internal and External Environment...................................................................................................3 Goals and Strategies .................................................................................................................................6 Organizational Design..............................................................................................................................9 Effectiveness..............................................................................................................................................11 Conclusion/Recommendations.........................................................................................................13 References...................................................................................................................................................14 Appendices...................................................................
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..."Diagnosis" of the Organizational Problem Since its creation in 1971, Starbucks had managed to consistently expand to and increase profit, yet in 2008 Starbucks began to report declines in profit and by 2009 net income had dropped 77% (Starbucks, Awaiting Recovery…). Furthermore, the quality of the once admired coffee began to decline as customers noted a charred flavor and while some even ranked the supposedly lower-end McCafes above Starbucks (Consumer Reports). Although, “some industry forecasters foresaw Starbucks’ disappointing performance as an early indicator of a weakening economy”, Starbucks’ own internal research indicated that that this was not the case. Rather than simply reflecting the downturn in the economy, this shrinkage was the result of the changes being made within Starbucks and the increasing competition outside of Starbucks. As the first of its kind, Starbucks initially experienced very little competition, but through the decade of the 00s both McDonald’s and Dunkin Donuts began to gain access and success in the market. In 2001, McDonald’s reinvigorated “McCafe”, and began offering espresso drinks in addition to teas and pastries (Starbucks: Maintaining a Clear Position). McDonald’s also emulated Starbucks by declaring in 2008 that they would, “begin installing coffee bars with ‘baristas’ throughout its US stores over the next two years” (Starbucks: Maintaining…). With prices between $1.99 and $3.29 as opposed to Starbucks’ $2.65 to $4.15,...
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...Courtney Parker c.energizerbunny@gmail.com Courtney Parker c.energizerbunny@gmail.com Abstract Case Analysis and Three year Plan for Starbucks Abstract Case Analysis and Three year Plan for Starbucks Module 7 Final project Case Analysis - Starbucks Module 7 Final project Case Analysis - Starbucks Courtney Parker Strategy Final Project Case Analysis – Starbucks For my case study I have chosen the corporation of Starbucks. The intention of this paper is to introduce the mission and vision statement of Starbucks along with a presentation and review of their code of ethics. These statements and the code of ethics will be compared to and evaluated with the second chapter recommendations and concepts within Strategic Management: Concepts and Cases by Fred R. David. Starbucks does not have a vision statement but rather a mission statement in conjunction with a value statement of sorts. Interestingly, Starbucks mission statement is fairly far removed from coffee, their main source of profit and business venture. It states: “To inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (Starbucks.com, 2013). While the statement is inspiring, as a mission statement it fails when held to the standards put forth by Fred David. Although the mission statement for Starbucks addresses some of these, it only lightly highlights some and completely misses others. According to Strategic Management Concepts and Cases, a mission statement must...
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...Starbucks Corporation: An Extensive Analysis By: Muhammad Almuhanna Andre Johnson-Payne Jessica Pope Natalie Schiefer Jordan Sprague Management 429 – Dr. Yu Liu April 16, 2012 Table of Contents Brief Introduction & Key Issues 3-4 External Analysis 4-5 Internal Analysis 5-7 Analysis of Business Level Strategy 7-8 Analysis of Corporate Level Strategy 9-11 Recommendations 11 References 12 Appendix 13 Brief Introduction & Key Issues Starbucks opened their first location in Seattle, Washington in 1971. Since then, the company’s main focus has been to ethically source and roast the highest quality Arabica coffee beans in the world. The company’s mission is “to inspire and nurture the human spirit, one person, one cup and one neighborhood at a time.” They achieve this by having more than 17,000 locations around the globe and being the world’s largest premium specialty coffee retailer (Starbucks Corporation, 2012). Starbucks was founded by three acquaintances: an English teacher, a history teacher, and a writer. The three were inspired by entrepreneur Alfred Peet, Dutch American entrepreneur and the founder of Peet's Coffee and Tea in Berkeley, California. The name Starbucks is taken from Moby Dick, after the name Pequod was rejected by one of the cofounders. Therefore, the company was named after the chief mate on the Pequod, Starbuck. Their logo is inspired by the sea featuring a twin tailed siren from Greek myths (Starbucks Corporation...
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...Starbucks International Business Student’s name Name of the Institute Contents Executive Summary 3 Introduction 3 SWOT Analysis of Starbucks 4 Starbucks Introduction to International Business 7 Market entry strategies adopted by Starbucks 7 Porter’s 5 forces 8 Challenges and Barriers in International Business 11 Conclusion 13 References 15 Executive Summary Starbucks is one most successful example of transnational companies across the globe with its rich cultural and organizational strength. This paper analyzes Starbucks from an International Business perspective in which the various nitty-gritties of International Business are applied on the company to analyze its core strengths and prospect areas of concerns. The paper starts with an introduction regarding Starbucks, its origin, current standing in terms of stores across the world and a brief history. The SWOT analysis of the company uncovers its major strengths and weakness and prospect areas of threats and opportunities while expanding internationally. The current situation analyses analyzes the prime factors of the current organizational situation, which are of use and which should be looked forward to improve its international perspective. Further the paper discusses its basic market strategies while entering in any foreign market in which is focusses on analyzing the market and culture in depth and the collaborating partner so as to keep a sync with its values. The organizational barriers discusses the various...
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...External and Internal Environmental Analysis Jeanette McCullough STR 581 March 24, 2014 Christopher Romano External and Internal Environmental Analysis Dunkin’ Donuts began serving its loyal customers in 1950. Five years later in 1955, they began to spread their wings and open franchises. Dunkin’ Donuts has over 10,000 stores in 33 different countries. The company is now one of the largest baked goods and coffee chains in the world. According to a survey in 2013, the company sells more than 4 million doughnuts and about 2.7 million coffee cups every day ("Prezi," 2013). Performing an internal and external analysis on Dunkin’ Donuts showed where the company can improve in areas and where the threats are at with other competitors. SWOT Analysis Strengths – Dunkin’ Donuts has a strong brand name. DD has brand loyalty among customers. The company has over 100 varieties of doughnuts, and its stores are an ideal place for having breakfast and coffee. Popular for a number of bakery products like pastries, bagels, muffins, biscuits, etc. and hot beverages like coffee, tea, and hot chocolate. Innovative ways to retain customers by issuing coupons and discounts. One of the most experienced in the coffee industry. They have affiliations with sports teams like the Red Sox. They have worldwide franchisees, totaling to more than 10,000 locations across 33 countries ("Swot Analysis On Dunkin' Donuts," 2010). Weakness- Competition from other international snacking places...
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...Background: First established in 1971, but the real and actual Starbucks was created in 1987 when an ex employee bought the company after creating one by his own and persuading some investors to buy it. Howard Schultz was the entrepreneur that took the company since its start in Seattle to the actual global enterprise that is today. The innovation has been always in the way of Starbucks, even is seen on its logo that have changed trough the years to give the company an actual image; the first one had a twin-tailed mermaid, and have change to the actual logo know in the modern world. When the company started as Starbucks Corporation, had 17 stores and soon the company started to open more and more stores in the United States, but when the company opened the first store out the United States had already 1014 stores in America; the company also started to purchase companies in different countries in order to enter in new markets, a very well directed strategy of expansion. The rise of this company has been as successful that in the 90’s invested on the stock and had actions, which also gave them to the employees; this behavior was established by Howard Schultz, the owner and director, and he gave an explanation of his actions, he said: "He (my father) was beaten down, he wasn't respected," Schultz said. "He had no health insurance, and he had no workers' compensation when he got hurt on the job." So with Starbucks, Schultz "wanted to build the kind of company that my father...
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...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 .............................................................................
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...External Analysis of Starbucks 1 RUNNING HEAD: STARBUCKS External Environmental Analysis of Starbucks and the Coffee Industry Harold Brown Strategic Management MGMT 4340 Dr. Nwabueze March 3, 2011 External Analysis of Starbucks 2 Contents 1.0.0. Executive Summary ...................................................................................................................... 5 2.0.0. Company History ................................................................................................................................ 8 2.1.0. Background ....................................................................................................................................... 12 Table 1: Starbucks Revenue Trends 2005-2010 ..................................................................................... 12 2.2.0. Purpose of This Study ....................................................................................................................... 14 3.0.0. External Analysis .............................................................................................................................. 15 Diagram 1: The Components of a Coffee Firm’s Macroenvironment .................................................... 16 3.1.0. General Environmental Analysis ...................................................................................................... 16 3.1.1. Demographic Segment ...................................................................
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...Starbucks’ International Operation All's Not Well with Starbucks For Howard Schultz, Chairman of Starbucks Corp., this list was special as Starbucks featured in the list. It was a dream come true for the Seattle-based entrepreneur. Though the U.S. economy was reeling under recession and many major retailers were reporting losses and applying for bankruptcy, Starbucks announced a 31 % increase in its net earnings and a 23% increase in sales for the first quarter of 2003. Analysts felt that the success of Starbucks showed that a quality product speaks for itself. The fact that Starbucks spent less than 1 % of its sales on advertising and marketing strengthened this view. In addition to being a popular brand among customers, Starbucks was also considered the best place to work due to its employee-friendly policies. However, analysts felt that the success of Starbucks was due to its profitable domestic operations. It was reported that most of Starbucks' international operations were running into losses. In May 2003, Starbucks' Japanese operations reported a loss of $3.9 million (Japan constituted the largest market for the company outside the United States), and the company also performed badly in Europe and the Middle East. Analysts pointed out that Starbucks' international operations were not as well planned as its U.S. operations. They also observed that the volatile international business environment made it difficult for the company to effectively manage its international...
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...Assessing Your Leadership Style to Achieve Organizational Objectives EILEEN NEWMAN RUBIN Research has shown that there are more than 30 differently named leadership styles, ranging from micro-management to hands-off, each with its own proponents. Six, however, stand out as most com- monly found in business: authoritarian, democratic, transformational, laissez-faire, servant, and situa- tional. A review of the experiences of six leaders who embody these styles reveals that each mode of operating has its pros and cons; there is no sin- gle best approach. Being aware of one’s leadership style and that of others makes it possible to lever- age strengths and compensate for weaknesses and to properly match individuals to a particular role or task—for the good of the entire organization. ©C 2013 Wiley Periodicals, Inc. Whether they are involved in politics, corporate America, or a nonprofit endeavor, the style in which managers and other professionals exert their lead- ership can determine the outcome of their efforts. As the American businessman and political fig- ure Erskine Bowles said, “Leadership is the key to 99 percent of all successful efforts” (Kruse, 2012). But what is the best leadership style to use? There is no simple answer to this seemingly simple ques- tion. One’s leadership style depends on several fac- tors, including the personality of the leader, the or- ganizational culture (and the many subcultures that may exist within it), the personalities of the people...
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...Global Business Opportunities Project: Starbucks Going to India Prepared by: Group A Contents Module 2: ANALYZING INTERNATIONAL COMPETITORS 6 Module 3: ASSESSING THE ECONOMIC-GEOGRAPHIC ENVIRONMENT 7 Module 4: ASSESSING THE SOCIAL-CULTURAL ENVIRONMENT 10 Module 5: ASSESSING THE POLITICAL LEGAL ENVIRONMENT 13 Module 6: SELECTING A GLOBAL COMPANY STRUCTURE 15 Module 7: FINANCING SOURCES FOR GLOBAL BUSINESS OPERATIONS 16 Module 8: CREATING A GLOBAL MIS (MANAGEMENT INFORMATION SYSTEMS) 18 Module 9- IDENTIFYING HUMAN RESOURCES FOR GLOBAL BUSINESS ACTIVITIES 19 Module 10 – MANAGING INTERNATIONAL FINANCIAL AND BUSINESS RISKS 21 Module 11 - PRODUCT AND TARGET MARKET PLANNING 22 Module 12: DESIGNING A GLOBAL DISTRIBUTION STRATEGY 24 MODULE 13: PLANNING A GLOBAL PROMOTION STRATEGY 25 MODULE 14—SELECTING AN INTERNATIONAL PRICING STRATEGY 27 MODULE 15— DETERMINING ORGANIZATIONAL FINANCIAL RESULTOVERVIEW 28 References: 31 Module 1: IDENTIFYING GLOBAL BUSINESS OPPORTUNITIES Global Business Opportunities We are the Starbucks Corporation; we purchase and roast whole bean coffees. Majority of our stores are in the United States, but we also have international stores. Starbucks Corporation has successfully been in business since 1971. India has the youngest population in the world and will stay young. Starbucks Co. has found the opportunity to expand internationally to India and believes that it can be a huge success. Potential Markets Starbucks would like to first start its operation...
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...BA 101: INTRODUCTION TO BUSINESS ADMINISTRATION Final Project Date: 26.12.2014 STARBUCKS Defining the company; STARBUCKS Starbucks Corporation, generally known as Starbucks Coffee, is an American global coffee company and coffeehouse chain based in Washington. Starbucks is the largest coffeehouse company in the world ahead of UK rival Costa Coffee, with 20,737 stores in 63 countries and territories, including 11,910 in the United States, 1,496 in China, 1,442 in Canada, 1,052 in Japan and 772 in the United Kingdom. Main Products: Usually they have a list of menu with penalty of variety in each category. I would like to mention some of them below; Starbucks Menu has much variety in it some of them I will mark them below: 1. 2. 3. 4. Starbucks Secret Frappuccinos: Christmas taste Frappuccino. Mudslide Cookie Frappuccino. Vanilla White Mocha Frappuccino. Starbucks Secret Drinks: Warm Sugar Cookie. Berry Forest Smoothie. Harry Potter’s Pumpkin Juice. Starbucks Secret Tea: Starbucks the Cold Buster. Fuzzy Peach Tea. London Fog. Starbucks Secret lattes: Gingerbread Chai Latte. Year Round Eggnog Latte. White Chocolate Cinnamon Chai Latte. 5. 6. Starbucks Secret Refreshers: Purple Rain Refresher. Mojito Refresher. Fruit Roll Up Refresher. Starbucks Secret Macchiato: Turtle Macchiato. Caramel Pumpkin Macchiato. Chocolate Macchiato. Main Customers: Consumers 35 years and...
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...PLANET STARBUCKS TABLE OF CONTENTS 1 CONTENTS Background Problem Identification Main Issue Narrow SWOT analysis Functional Area Analysis Alternatives Recommendation Implementation PAGE 2 7 7 8 16 47 53 57 1 PLANET STARBUCKS (A) ‘Group B’ BACKGROUND About Starbucks: Starbucks is one of the finest coffee stores, popular among its customers for its aura with a very comfortable atmosphere to relax and the first rate music it plays. As in the 1990s, it is a store which has been almost everywhere throughout the United States and Canada. Starbucks was founded in Seattle by Gerald Baldwin, Gordon Bowker, and ZievSiegl in 1971. It started its operations as a gourmet coffee bean roaster and distributor. Howard Schultz joined the company as a member of their marketing team in 1982 and urged the partners to consider opening an Espresso bar alongside selling coffee. The company opened its first Espresso bar at its Seattle store. However, the partners didn‘t want to take the idea of expanding its Espresso bar line forward, as to them it resembled stepping into the fast-food business instead of focusing on their own business of roasting and distributing. In 1985, Howard Schultz opened Il Giornale after he left Starbucks. Il Giornale was an espresso bar that sold coffee and assorted coffee beverages made exclusively with Starbucks‘ beans. Two years later, Schultz bought the former Seattle Starbucks company, six stores and roasting plant, for $3.8 million. Schultz now was...
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