Starbucks, A Large Portion Of Starbucks

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For Starbucks, business is good. Starbucks continues to come up with more and more innovations and ways to market their products. Last year Starbucks started bottling their iced coffee and selling them as a new product lines in their stores, as well as many new sandwich choices. The ability to provide fresh new ideas year after year provides Starbucks with a growing customer base and a growing net gain. Starbucks will continue to come up with new ideas and products that will continue to bring in more customers to established stores and the means to build stores in new markets expanding their ability to generate revenue, their ability to innovate and market to different cultures globally. Starbucks ' ability to cut cost anywhere it can enables them to keep the money they use to operate at a minimum, leaving more of their revenue as profit. This allows Starbucks to expand and grow rapidly and increase their profitability greatly. The Chinese market makes up a large portion of Starbucks’ profit. China’s population plays a big role in the importance of that market to Starbucks and the ability to pull a big profit from that region. In an interview with Charlie Rose, Howard Schultz said, “We educated [China] on coffee…now [China is] drinking as much coffee as [America] is.” (Starbucks CEO Howard Schultz, bloomberg.com) This statement shows how quickly the Chinese market expanded to the size of the American market and is continuing to expand. This growth will not stop

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