Starbucks, An American Coffee Company

This first strategy calls for the creation of more sales without changing the original product, which can achieved through the four P’s of marketing. The next strategy, market development, allows the supplier to find new markets for their current products by using demographic markets to see where the greatest revenue will be based on the target group you are selling to (seniors, teens, etc.). Product development is the next strategy which focuses on new products the modification of current products. This strategy is rather important as without evolving products to meet the ever changing needs of current and potential companies can see a loss in sales and would limit their ability to be competitive in the market. The final strategy is diversification. This strategy calls for companies to attain current or new businesses allowing them to “diversify” their offerings and break into new markets.

Starbucks use of strategic market planning is best displayed through their mission Statement “…inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (“Mission Statement”). Starbucks enforces their mission statement through product quality, customer care and community involvement. Their marketing plan and everything that they say, produce, sell, or advertise must align with their mission statement.

starbucks Corp., an international coffee and coffeehouse chain based in Seattle, Washington, has expanded rapidly since its opening in 1971. These outrageous success was due to its well-developed strategy vision which lay out the company's strategic course in developing and strengthening its business. Starbucks is a global corporation that sells authentic coffee in 30 countries, reporting revenues of nearly $5.1 billion in 2006. The main goal of Starbucks is to embrace diversity by applying the highest standards of excellence. Starbucks strives to perfect the relationship with the working class by making the service as fast as possible because they believe that every customer has their own personal rate. One

There are the known international company that become the competitor for the Starbucks. There are:

The strategy that the company adopted may be the market niche. Market niche is a strategy adopted when there is a

This strategy is all about branding which is creating a unique name and image for a product in the consumers ' mind, mainly through advertising campaigns. This is important because if the product is seen as unique then more customers may want to buy the product as it is not already out there.

Differentiation strategy- this is a strategy used by firms that offers unique attributes that are valued by customers and that customers perceive to be different and better than other competitive product. More over

Enthusiast coffee drinker or not, people of all generations have heard of the popular franchise Starbucks Coffee Company. Opened in 1971, Starbucks started off as a single store located in Seattle. Today the well-known coffee chain has spread their name almost all over the globe. With over 21,000 locations in 64 countries, Starbucks is by far the largest leading coffee company in the world. Starbucks Coffee has different values compared to other coffee corporations that do not see the importance in giving back to communities around them and treating their employees as equals, all while striving to provide their customers with high quality products that are ethically sourced.

In this strategy the business tries to be different or unique from its competitors. For a business to differ from its competitors, they can change their prices, quality, and aspect, customer service such as having shipping options or developing new products. By differing or keeping their uniqueness, and high standards, the business could increase prices and would not affect sales.

Here the marketing strategy targets different market segments with specific marketing mix, which is designed to meet those segments needs. Differentiated marketing strategy involves the preparation and communication of different brand and product messages to different types of customers.

The initial approach of brand building for Starbucks is by enticing customers to visit their stores and enjoy the coffee. It has gained from word of mouth and cup by cup from customers and very appealing storefronts. During this period the company put all her resources into store expansion as it has seen influx of customers into its stores.

The purpose of this essay is to prepare a strategy formulation analysis required by the company. The company selected is Starbucks Corporation, commonly known as Starbucks, when they first started in Seattle, Washington in 1971, founded by Jerry Baldwin, Zev Siegl, and Gordon Bowker; and became an American multinational company which started from scratch (Garza, n.d.). It was then incorporated on November 4, 1985, and is a roaster, marketer, and retailer of coffee. Starbucks offers a range of exceptional products include coffee, handcrafted beverages, merchandise, and fresh food. The company 's mission is "to inspire and nurture the human spirit - one person, one cup, and one neighborhood at a time" (Starbucks, 2012).

The marketing strategy is simply put, the mix of all the efforts is included in the marketing strategy, and it is of course the positioning strategy that the company will use to increase their customer base vs. their competitors. According to Clow & Baack (2010), "A product 's position is based on two elements, the product 's standing relative to the competition and how the product is perceived by consumers," (para 1).

The marketing strategy should be tailored around the firm's target market; if this were not the case marketing would be then less successful. Each aspect of the marketing mix would need to be formulated with the target market (consumer) in mind. For example the design of the product would need to be such that it would satisfy the consumer's needs. If it did not consumers would see no need to have it and buy a competitor's product. The price of

Focus strategy is a competitive strategy that selects a segment or group of segments in an industry and focuses its strategy to serving them only. Focus strategy recognizes that selling to a homogenous customer group may not be very effective for the product and services of the firm. Instead they focus its marketing efforts on a selected market segments. They identify the needs, wants and interests of the particular market segments and customize marketing techniques to reflect those needs, wants and interests.