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Starbucks Global Strategy

736 Words3 Pages

Starbuck Coffee has through its marketing efforts and advertising to appeal to customers that this product mix is the best, well-known and pays attention to your requests and wants.
Case Questions
Describe Starbucks’ global strategy. Is it engaging in more of a globalization or customization approach?
In my opinion, the Starbucks Global strategy is to involve both approach in that its selling a product and social experience to its patron global and paying attention to cultural norms, demographics and needs of its clients. The global strategy of expanding worldwide through branding simply because the USA was becoming saturated and Starbuck was succeeding in sales growth in US that Globalization was a challenge that could lead to more profits …show more content…

Even with Starbucks strong marketing brand on coffee its will experience cultural, sociocultural, local market competition, pricing challenges since its trying to sale its coffee product at a premium to patrons. In my opinion, Coffee shop are excellent social event ideal locations whether going by yourself or with friends or family. However, in international markets local coffee shops have their own branding, pricing and high quality service to its communities unless it’s not established in that market yet. In my personal experience while overseas I experience local coffee shops and a Starbucks coffee retail store. Here what I Found was the marketing strategy they were using and Starbuck was popular in South Korea, the first coffee shop I went to was in a popular area in Seoul where the back patio below patron can observe live musical and art events below at no extra cost and still have a high-quality coffee at a fair price. Then I went to the Starbucks in a popular college section of Seoul and notice it was at a good location by a library, movie theater, nightlife clubs and had a good atmosphere to socialize with friends while enjoying coffee. So locations and Traditional coffee shop that are establish in the market along with political factor are barriers to entry in foreign …show more content…

The problem with the Italian market however is it has a traditional established coffee marketplace that is difficult to enter and be successful. The main concern is pricing since the going cost of coffee is less in Italy already, buyer is not going to pay more for a coffee product that they enjoy at a fairer price. The Italian communities have their own recipes of coffee, and a traditional experience that is only available in Italy not to mention the many cultural and legal aspects that Starbucks Corporation must be aware of if to expand to Italy and address these

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