If you’re searching for a warm, friendly environment, you can find it at Starbucks. The establishment not only serves as a place for drinks and food, but it also doubles as a friendly hangout for all people. Even before you step foot in the establishment, the iconic two-tailed mermaid smiles warmly at you as the soft guitar of the café music softly plays. As soon as you push open the glass door, the smell of coffee and the sound of relaxing guitar amplifies, almost completely muting the raucous traffic outside. The style of music and the strong scent immediately changes the environment, and you find yourself in a place of warmth and comfort. After you pass the small display of Starbucks packaged coffee and varying mugs, you step into a small line of customers. While the line slowly decreases, you can take your time to decide your drink based on the readable signs above or ogle at glass display of sandwiches, cookies, and pound cake. When you arrive at the front, a grinning barista greets you with a “How may I help you today?”. There is nothing formal from her outfit; she has colorful buttons decorating her green apron that drapes over her casual clothing. As she listens carefully to your order and provides useful advice, you don’t feel as if you’re talking to another employee. You’re talking to a friend who doesn’t rush you and instead guides you along as you lay out your order. At the end of the small conversation, you can rest assured that your appetite will be
For my ethnography project, I decided to observe the Starbucks on Rockside Road in Independence, Ohio. My plan was to observe the subculture of Starbucks’ customers. A subculture is defined as a “structured social inequality or, more specifically, systematic inequalities between groups of people that arise as intended or unintended consequences of social processes and relationships.” My question was twofold. Does Starbucks appeal to certain social statuses? And if so, does Starbucks serve as another example of social inequality?
Starbucks was bought out by current CEO Howard Schultz in 1987. Since then, Andrew Harrer (2012) reports the company has grown to operate over “17,244 stores worldwide” (para. 1). Fortune (n.d.) reports in its yearly 100 Best Companies to Work for that Starbucks employs “some 95,000 employees”. From only a handful of stores in 1987 to a billion dollar franchise today, the success of Starbucks is due in great deal to their corporate culture, specifically how employees, or as Starbucks calls them, partners are treated. Joseph Michelli (2007) echoes this sentiment, “A great cup of coffee is only part of the Starbucks success equation” (p. 767).
The “Starbucks Experience”: There is a friendly and clear connection between staffs and customers of Starbucks. This is not present in The Coffee Bean & Tea Leaf.
I gathered my information from Dunkin’ Donuts shop on the Third Avenue. Dunkin’ Donuts is one of the largest coffee shop chains in the world. I chose this because it is close to our house. When I first walked into the shop, I heard Chainsmokers’ Closer song. It was also a quiet place sometimes where you could just sit and relax. It is a small place with limited seats. There were only three small tables and a long table. The place is air-conditioned, so it is cold. There is also free Wi-Fi, so the customers will not get bored while they are waiting in line or drinking their coffee. There is also a Baskin-Robbins inside the store, so it is not only a coffee shop but also an ice cream shop. I wanted to interview one of the staff, but they were busy. I ended up interviewing an old woman because she was sitting with me since there were limited seats. She is 71 years old and originally from Mexico. She was 23 years old when she moved here. She is married to a Mexican too and they had three children.
Starbucks Corporation, generally known, as Starbucks Coffee is the leading retailer and a brand of world’s forte coffee in the world, with more than 15,000 retail locations in North America, Latin America, Europe, the Middle East and the Pacific Rim, wherever in this world where premium quality coffee is in demand. Starbucks is the largest coffeehouse company in the world ahead of UK rival Costa Coffee, with 20737 stores in 63 countries and territories, including 11910 in the United States, 1496 in China, 1442 in Canada, 1052 in Japan and 772 in the United Kingdom. The first Starbucks was open in 1970. The name was inspired from Herman Melville’s Moby Dick, a definitive American novel regarding the 19th century whaling industry. The nautical name matches seamlessly for a store that imports the world’s finest coffees to the cold thirsty people of Seattle. In May 1998, Starbucks have finally successfully entered the European market through its acquirement of 65 Coffee Company stores initially originated from Seattle in the UK. Both companies shared a common culture, focusing on a great commitment to customized coffee, similar company values and a mutual respect.
1. In the beginning, how was Starbucks different from other coffee options for coffee drinkers in the United States? What activities and assets did Starbucks leverage to differentiate itself from competitors?
Starbucks Corps had its gross account receivables for the year 2015 increase by 14.44% which led to its net receivables increase by $88,000,000 which translates to an increase of 13.95% of the net account receivables. This was followed by an increase in doubtful debts through the previous year by 6.12% to %6,700,000 from the ear 2014. This is due to the increase in the number also sales which led to the increase in account receivables and also doubtful debts in 2015. The risk that the company undertook also increases in line with the increase in account receivables.
1. Where did the original idea for the Starbucks format come from? What lesson for international business can be drawn from this?
Imaging if there was no more coffee in this world, how would you feel? Nowadays, coffee becomes an important part of people’s life. People who often work overtime, they drink coffee because caffeine can make you awake; people who have to wake up early in the morning, they drink coffee because instead of making breakfast, coffee is more convenient; people drink coffee during the free time, because it also tastes good.
Starbucks’ lead in the specialty coffee industry exemplifies the result of deftly executing a well-planned business strategy. Moreover, Starbucks is well positioned for what is expected to be a continuing rise in the popularity of specialty coffee products. The question before Starbucks’ leadership, however, is what avenues will lead to Starbucks’ goal of remaining true to its core, the highest quality coffee products while providing a “total coffee experience” for its customers?
The elusive goal of customer satisfaction has long provided companies with endless headaches and difficult decisions. In the end, associating specific customer satisfaction metrics to company profit and loss would provide the undeniable proof needed to make changes, and then invest the required capital to address any concerns. Starbucks, not unlike the rest of the business world, has found itself in the same situation. At a basic level, the argument that more investment in customer service creates higher customer satisfaction has already been fundamentally agreed upon. However, more specifically, Starbucks must decide if a reinvestment of $40M annually in
I can always look forward to starting my day off, with a steaming cup of coffee, I love that even if it 's a cold, dark, and gloomy day outside, a big cup of coffee can get me through the day. I could go on and on about my appreciation and fondness over the drink itself, but I won’t. However, I would like to share with you a remarkable phenomenon that I’ve come to notice, it is other people sharing this experience, this love for coffee, and they do it all across the globe in shops known as “cafes,” or “coffee shops.” And this is exactly what Howard Schultz (The CEO
The ambiances at each bar were different and the energy was electrifying. It was in this setting that he realized that creating an atmosphere and bonding with customers around a cup of coffee was monumental in improving his business. Coffee would be only the automobile for a place where people want to stay for a while, a place-like-home, and office. These variables will become the differentiating factor for Starbucks.
Starbuck’s strategy focused on three components; high-quality coffee, intimate service, and ambient atmosphere. Starbucks worked closely with growers in Africa, South and Central America, and Asia-Pacific regions to insure the quality of its product. Starbucks called all employees' "partners" and worked hard to train them with the skills necessary to best serve the customer. The atmosphere at Starbucks was crafted after the European-style espresso bar. The company goal was to create ambience through the Starbucks "experience" and by making the area comfortable, yet upscale.
Coming up with development goals to, facilitate growth. Growth is an important aspect that determines the progress of an organization and how completive it should be.