Starbucks Corporation

2912 Words12 Pages
1. Aim of the report

The aim of this report is to perform an internal and external audit for the company. Within the internal audit, we will have the analysis of the value chain, plus the identification of the core competencies of the company. The external audit will be based on the Microenvironment and Macroenvironment of the company. A SWOT analysis as a TOWS Matrix will be used.

1.2. Scope of the Report

The report will be covering the Starbucks Coffee Company which includes Starbucks Coffee Europe and Starbucks Coffee International.

2. Executive Summary

Starbucks is the leader in the coffee retailing market, with purchasing and roasting top quality coffee beans. It has created a well respected brand with a dynamic
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People from the company, travel around the world, in search for top quality coffee beans and to strengthen their relationship with farmers and exporters. The company focused on the sustainability of the supply by forming the I* Practices with the Conservation International. I Practices are a set of guidelines addressing coffee quality, social and environmental responsibility and financial transparency.

Starbucks has created a very dynamic value chain. The close relationship with the farmers which ensures the long-term supply of high quality coffee beans is the initial part in the whole process. Their coffee comes from Latin America and Africa/Arabia. They are sourcing their products in an ethical manner. Then the roasting of the coffee is done specifically in the Company’s own facilities. The art of roasting the coffee beans is one of the main ingredients in their recipe for success. As the process of roasting has finished their products will end up in the company’s owned or licensed stores. Starbucks adapts to their customers tastes offering a great variety of coffees. Their “partners”, employees are those who add additional value to the whole chain. They are the ones that have contact with the customers and are responsible for delivering the whole “Starbucks Experience” to the customer.

Starbucks does not market their products through advertisement but prefers the mouth-to-mouth way. They are investing in the

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