Executive Summary Starbucks is an American coffee company and coffeehouse chain based in Seattle, Washington. Starbucks is the biggest coffee-house organisation in the world with more than 21,500 stores in 64 nations as of May 2015. The very first Starbucks opened in Pike Place Market in Seattle on the 30th of March, 1971, founded by Jerry Baldwin, Zev Siegl and Gordon Bowker. From Starbucks’ founding as a Seattle coffee bean roaster and retailer, the company has expanded rapidly; especially between 1987 and 2007 when an average of two new Starbucks stores were opened every day. This report is based on the strengths, weaknesses, opportunities and threats that affect Starbucks Corporation and the recommended solutions and actions needed to
Introduction Starbucks is a giant coffee company and coffeehouse chain. They provide specialty coffee. Starbucks opened its first store in Seattle. Today, they have more than 21,000 coffee stores across the world spread in US, EMEA, China, India Japan etc. Starbucks stores offer a wide range of choices of coffee, tea beverages and other related products.
Starbucks implements loyalty programs to help maintain customer satisfaction. It is also known as a corporation that adopts product differentiation. They have seen growth during the years. Weaknesses Weaknesses are always present, even in the top companies. Starbucks has a number of competitors in the market, and have high cost products when comparing them to other competitors.
Starbucks was founded in 1971. They have 18.850 stores in more than 40 countries which makes them the first coffee specialty retailer in the world. They operate most of their stores having only 50 franchises (as of 2017) as to keep strict control over quality. The success of Starbucks is based on their unique value proposition. They offer customer the finest coffee produced by themselves, with strong commitment on creating a global social impact, served in stores that promote a welcoming and warmth sphere where everyone can feel “like home”.
Starbucks strategically chooses store locations and sets up shop in prime, premium, high visibility locations such as Retail malls, Business centers, Student dense locations and shopping streets, earning them a competitive advantage over its less famous competitors and an edge to tap prime markets. With free Wi-Fi, music, great service and importantly, a warm atmosphere, the stores are modern, welcoming, inviting and are a familiar place for people to connect (Starbucks, 2015). Starbucks has been rated in the best places to work for by rating agencies across the world including Fortune (Fortune, 2013). Starbucks is known for the benefits it provides to its employees such as stock options, retirement benefits among others, translating into exceptional customer service. A diverse product mix (Starbucks, 2015) that caters to diverse groups and its “Socially Responsible” tag (Starbucks, 2015) have helped accentuate the
In this report I should explain how did Starbucks have expanded through the world. I have chosen the Starbucks Company because it is the greatest coffeehouse company in the world. Unfortunately, the first Starbucks opened in Seattle, on March 30 1971, by three friends they were students at the University of San Francisco: Zev Siegl he teaches History subject, Jerry Baldwin was an English teacher, and Gordon Bowker was a writer. 2. RESEARCH AND DESCRIPTION
Starbucks is a major customer for most suppliers, which in turn lessens the bargaining power of the suppliers. Although Starbucks has the upperhand on negotiating with suppliers, they have not been taking advantage of their suppliers. Starbucks undertook a fair trade practice, coffee and farmer equity (C.A.F.E) program, which provides suppliers with a partnership with the coffee giants. (Investopedia. 2015, December
Global brand recognition and equity: Starbucks is the most recognized brand in the coffeehouse segment and ranks 64th of the Interbrand / Business Week list of the top 100 global brands. It effectively leverages its rich brand equity by merchandising its products and licensing its brand. Its immense brand value also allowed for successful tie-ups with leading retail chains for its branded foods and beverages. The brand is so widely-recognizable that the company dropped the words "Starbucks Coffee" from the logo without fear of losing its
Starbucks is known for its delicious fresh brewed coffee and its dedication to employees, customers and communities. Starbucks is one of the largest companies in USA and it is based in Washington. The company keeps its customers on their toes with new products and loyal customer deals. Every year the company is introducing something new and interesting. This strategy and approach keeps the company on the top and customers coming back for more.
They have no hesitation in changing for different values to success in expansion. Finally, Starbucks is an American ideal coffee brand model for Vietnamese entrepreneurs who want to invest abroad as well as for others around the world. By looking at the success of Starbucks Corporation, we can see easily the superiority in the economic strategies of a successful company in the United