Group Case Study: Cross-Cultural Management Of Starbucks

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For our group project, we have examined how Starbucks tackled the different challenges they faced when expanding into an entirely new market. They have experienced both success and failure as seen from the different case studies we have found online. Through analysing the various case studies of Starbucks around the globe, we have identified some of the business and personnel challenges that any organisation would face during their expansion into a foreign market. And from here, cross-cultural management is introduced in order for the company to integrate more easily in a completely new culture.

Cross-cultural management is an essential skill to have in any fast-growing organisation in today’s world. It can be divided into 2 categories, namely internally and externally. Internally, the cultural differences are from the employees with the different cultural mindsets as they come from different parts of the world. It is thus important for managers to tackle these culturally diversified employees, who have diversified work values, to form a cohesive work environment that will foster team work. Across the regional offices, each has a different set of culture as the bulk of employees consists of mainly the locals, together with a set of system catering to the respective offices around the world. Externally, when the company first expands into a new market, cultural management is reflected from how they approach local customers or carry out marketing plans through localisation.

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