Essay on International Marketing Case Study Starbucks Going Fast

Decent Essays
September 9th, 2012 When entering a global market, it can be expected to overcome both controllable and uncontrollable elements. The Starbucks organization is no exception to overcome these elements when entering the global market. According to text (2011) controllable elements are attributes such as firms characteristics, type of product, pricing of product, the amount of research conducted, promotions and the channels of distribution. Uncontrollable elements effecting Starbucks are competitive structures, domestic and international, varying levels of technology and cultural differences. Starbucks encountered revised incomes with the economic downturns of recent and it quickly realized that its gourmet product was among the first…show more content…
al., 2011). While this increase is substantial, it still left a saturated domestic market. With domestic saturation, Starbucks desires going abroad to continue growth. With this expansion, they should focus not only on their core products but also in finding ways to improve the quality of their product and services based on the environment in which they are entering. For example, in Japan, Starbucks has a region specific canned product offered in connivance stores (Cateora et. al., 2011). This product and location in the United Stated would be unimaginable, but in the Japan market, it is necessary. As Starbucks plans to continue its expansion into global markets, cultural sensitivity will be critical. While Starbucks is a definite business success story of the ages, it still has its uncertainties. As a whole, it has an intense focus on growth and continued growth. Despite disgruntled employee’s disputes, its business model calls for lots employees with low-end wages (Cateora et. al., 2011). It is becoming a less special place for its employees, which was once one of its most prestigious and boasted qualities. Its expansion has outgrown is its previously unheard-of employee perks and benefits. Staff complains that the pay does not come close to matching the workload it requires. Employee satisfaction is critical to not only the Starbucks product but its service and atmospherically environment. Overseas the Starbucks image is still very
Get Access