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Starbuck Case International Marketing

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1. Identify the controllable and uncontrollable elements that Starbucks has encountered in entering global markets.
The Starbucks Corporation has dealt with many different elements when entering a new international market. Some of the controllable aspects that have been handled are things such as the taste pallets of different countries. For instance Japan prefers less sweetener in their products as opposed to Americans. In addition to this Starbucks was able to change menus to satisfy new foreign consumers such as introducing café style foods to compete with the Italian market. Lastly Starbucks had the ability to expand into new market segments, like bottled drinks in order to capture more control of foreign markets like Japan. On the contrary there were also several things that the Corporation could not control. Such uncontrollable elements included the competing markets of foreign countries like Italy’s, whose market was already saturated with coffee shops who could provide better and cheaper drinks. Another uncontrollable aspect that came into play was maintaining relationships with Foreign Secretary’s and other Officials. This could make the difference between successes and failure for the company overseas. Lastly the competition of look-a-like companies, stole sales by having more caffeine or cheaper prices.

2. How might Starbucks’ improve profitability in Japan?
There are several ways in which Starbucks could improve profitability. The first of which would be to continue to tailor menus for the taste pallet of Japan. In addition Starbucks should push to saturate the market in hopes of creating brand dominance, while keeping its upscale and hip theme. Another tactic that Starbucks should turn its focus on is the creation of more chilled cup brands to help create loyalty in this new market. By showing that the company is willing to try new things and

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