If Starbucks did not consider the use of technology, it would not have been able to launch the Starbucks Digital Network and ease of payment via the Starbucks app with the smart phone, that helped to improve its customers’ satisfaction and convenience. In addition, the newer in-store technology has also streamline the work of the baristas by reducing the time needed to make a drink. This has improved the speed of service provided by the baristas and it gave the barista time to interact with customers, offering a better overall customer service. As a result, Starbucks was able to generate a higher level of
Tea wins over in providing more health benefits and an overall result and impact on the body, diet, and mind in spite of the positive attributes that coffee also offered. Individuals that want to prevent diseases, prevent cancer, improve mental clarity, gain a better cognitive function, weight loss, and diet should consider on consuming more tea than coffee in their routine to maximize its benefits. However, individuals should take note that when coffee and tea are taken more than the suggested daily amount, they might have an adverse impact on health. With regular consumption of tea and coffee in limitations, individuals can find the balance between a good lifestyle and general well
Quality assurance is one of the most important objective of an internal perspective. Starbucks uses a system called attribute control system which measures quality characteristics on a discrete scoring scale for products and merchandise, the goal is to eliminate defects and error to below 5 %. Starbucks Baristas are given the tools and support to prevent errors instantly and providing customers with the highest level of products. However, there may be situations that are not resolved immediately and those issues are the areas of focus. Secondly, Starbucks believes that "Eating well is as important as living well" (Starbucks Nutrition, 2015).
The conclusion is first Starbucks should avoid any conflict with the government because the goverment have the power to change or make new regulations that might affecting starbucks business. It could be the government united states deprive permission starbucks to operate, because Starbucks have to obey the law whereby build the company. Secondly, Starbucks have to consider the price not too expensive than competitors because it could affect to a buyer that shift to buy coffee in other brands. Starbucks can use by means of coupons free or such as giving discounts on the day that could attract buyers. Starbucks is a company that are very well known so easy to attract customers.
Food security will seriously affect the health of the customer, and make the company reputation damage. However, if Starbucks is willing to pay more careful attention to the beverage and food materials, such as sugar content, it can avoid unnecessary complaints. Otherwise, customers have opportunities to recover damages. But, Starbucks also has a commendable place. For example, in environmental conservation, Starbucks avoids the use of precious wood to build a new store, but with recycled wood.
Price discrimination is a practice of charging different prices to different consumers under the circumstances of keeping the same cost of production. The manufacturers always set the high price in one particular region to gain excess profit because they have the certain ability to monopolize or control consumers’ demand. However, for those markets which have lower demand, manufactures will set a relatively low price to encourage the consumption. Starbucks charges the relatively higher price in Shanghai than in New York and Mumbai to pursue the higher profit. The high price elasticity of demand of Starbucks ' coffee in Shanghai can be one factor and Starbucks also maintain the high price through taking action to influence consumers’ sensitiveness for high prices.
Even though Starbucks is a strong organaization that is an example other competors refer to and look upon too, here are some tools that we recommend to support imporovement in Starbucks: To boost the awareness of the great things Starbucks does for local communities: Many customers don’t know that Starbucks support local volunteering and anybody can find a community service project with Starbucks and they are many thing Starbucks does. To Increase the length of time to spend in training new baristas. New baristas takes around day three to day five of training which isn’t reasonably enough. To make time for coffee education together with coffee seminars including customers. It's a way to widen enthusiasm for the whole bean coffee wall is to
The Industry demand has changed due to a shift in consumers’ attitudes towards healthier products. This placed Starbucks’ coffee culture at risk and threatened the company’s future. Starbucks has tailored their menu to include more organic and healthy product mixes, venturing into tea, bread and fresh juice products (Geereddy, n.d). Starbucks’ cornerstone product differentiation strategies and Human Resource Management are the main impacts to strategy formulation. Starbucks’ is a premium valued brand; costly to imitate.
Other reasons are its quality and loyalty and also its convenient location and ambiance respectively. The disposable income bracket customers of ₱ 10, 001 to ₱ 15, 000 prefers Starbucks. The most compelling cause is its quality. Further reasons are ambiance, membership perks and popularity. Similarly, disposable income brackets customers of ₱ 15, 001 and above shows that they preferred Starbucks than local coffee shops.
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