Case Study on the Success and Decline of Starbucks in the Last 10 Years

6976 Words Nov 2nd, 2012 28 Pages
Case study on the Success and Decline of Starbucks in the last 10 years

QUALITATIVE ASSIGNMENT

Case study on the Success and Decline of Starbucks in the last 10 years

1st October 2011

TABLE OF CONTENT

1. INTRODUCTION 3
1.1 CONCEPTS AND DEFINITIONS 4
1.2 JUSTIFICATION OF THE STUDY 5
2. THEORETICAL BACKGROUND 6
2.1 SUCCESSFUL SERVICE INDUSTY COMPANIES 6
2.2 Strategy Formulation
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The Merriam Webster online dictionary describes success as a favourable or desired out come and it further on describes decline as turning away from a straight course or to tend toward an inferior state or weaker condition. A factor in this paper has been described as anything that actively contributes to the production of a result or outcome.

In order to evaluate Starbucks the evaluation processes consist of two variables: organizational performance data and a benchmark that creates a framework for analyzing the data. For organizational information, we focused on the outcomes of its performance, but also including input/ environment/ process/ output- to have a comparative framework for analysis. Starbucks’ outcomes are directly related to the public purpose of the organization and in defining success or failure we look at how effective they are as determined by outcomes. It is very vital to know what value Starbucks provides and its best practices and in doing so an evaluation on the internal operations was done by comparing its core process performance to the most effective and efficient process in the industry.

2 JUSTIFICATION OF THE STUDY

The purpose of this study is to identify the factors that led to Starbucks’ success and decline over the last ten years. Starbucks has to compete with other coffee retailers in the world, most of which have a diverse product

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