Starbucks Strengths

SWOT MODEL ANALYSIS

Strengths

The primary strength of Starbucks which is presumably well-known for delivering high quality products and customer service was its perfect brand reputation and image. “Starbucks experience” which the company had promised mostly satisfied customers regardless of its high price cup of coffee by dint of the quality of company service as well as raw materials which were Arabica beans derived exclusively from coffee plantations and guaranteed by Fair Trade. As one of its customers optimistically reviewed, “The coffee is unique and tasty, but it is not the only reason I like to visit each day. The place has energy and it is well run” (Motley 2007).

The other strength was its distribution channels, including its stores

In particular, with two fast-food chains which were equal Starbucks in terms of financial resources, these two companies had the capability to match the Starbucks’ distribution channels and marketing activities. Moreover, there still appeared old criticisms about overpriced coffee that Starbucks may face with, which can put its position in danger. Last but not least, the global economic crisis at that time also threatened Starbucks, which was a culprit of a fall in revenue and profit.

BCG MATRIX

Here is the Boston Matrix which presents the cash cows as the regular Starbucks line of Coffee’s. Latte’s and Frappacinos which were found at almost every location were major products that made up for the bulk of sales. International location is, besides, a potential star, which holds less financial risk and open doors for revolution and stability. Question marks were added VIA instant coffee to be diversifying to grocery and convenient stores. Pre-bottle frappacinos, products as the dog, constituted a tiny fraction of