Secondary Research

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AO3: Secondary Research- Introduction- Starbucks is a global coffee company that currently has a relatively small product range. They offer a group of different coffees, snacks, cold drinks and even coffee accessories (merchandise). However, after doing a lot of research I feel that they have a gap in their market. I feel that adding a food hall to their chain of stores would be successful. This could potentially be very risky for the business as it means they are entering a market they don’t really have any experience in with products they aren’t used to. The food halls will not be an extension onto the existing stores; they will be a completely different brand, following in the footsteps of John Lewis and Waitrose. Though, it won’t…show more content…
This is one of the most competitive global industries due to the great amount of competition. The grocery market changes constantly. How well a business is doing can change drastically in such a small period of time. However, luckily a lot of the key businesses in the grocery sector such as Tesco (who holds currently 30.7% of the market shares) and ASDA (who hold17.2%) are not key competitors to Starbucks as they have a different target audience. To ensure that the business becomes a key player in the grocery market; competing with the likes of Waitrose (holding 3.9%) it will need to produce and release strong, effective promotional campaigns. Organisational Structure- Starbucks has many different employees, in order for the communication to run smoothly between all of these there needs to be some form of organisation within the business. From doing some research I found that they in fact use the matrix structure. This structure ensures that the CEO isn’t dealing with all of the problems within the business. The employees turn to the person above them in the structure. This is an example of a matrix structure. For Starbucks, Howard Schultz will be at the top of the structure and the baristas of the stores will be at the bottom. This is an example of a matrix structure. For Starbucks, Howard Schultz will be at the top of the structure and the baristas of the stores will be at the bottom. Competitor Analysis- When
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