Starbucks External Analysis

Within the coffee industry Starbucks Corporations has grown from a small shop to a leading coffee distributor, proving to have financial strength and determination to continue growth. With the weakening economy the continued success of Starbucks

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

Due to the expansion of social media, Lots of opportunities has been arose for Starbucks. Online networking focused on building customer associations with the company are more viable than a promoting it in a traditional way. In order to reduce their prices and compete with their competitors, Starbucks have a great opportunity to expand their range of suppliers. In this case, when they have lots of suppliers, they can actually negotiate with them and cut down their coffee beans price. So instead of charging the premium price, Starbucks can offer medium price and challenge their competitors. They can expand its branches in those countries where they have potential customers. With a billion customers ready to join those who want instant coffee and breakfast in China and India, Starbucks have a massive potential to expands in these countries, which represent profitable opportunities. Starbucks likewise has the chance to grow its item offerings to tackle the full range sustenance and drink retailers like McDonald’s and Burger King as the shopper

.1. Introduction1.1 Distinctive Growth Tale of Starbucks 1.2 Strategic Deportment1.3 Starbuck as a Global Corporation 1.4 Impact on the international economy

Starbucks SWOT analysis allows the company to see their current position in the coffee industry. The company’s strengths are that it is a market leader In the coffee industry, it has 16,859 stores by the end of the year 2010 and continues to grow (Starbucks Corporation, 2010) a second strength is the expansion rate they have of opening stores internationally and domestically the only fault with the expansion is that they are opening stores that are right next to others and losing money in each store due to over crowdedness. Starbucks is also financially sound this can be proven because during the financial crisis in 2008 and 09 Starbucks profits barely were effected (Starbucks Corporation, 2010). However their stock price did fall. One of Starbucks leading strength is its brand recognition which is known for high quality products and friendly environment (Jurevicius,2013)

There are many opportunities for Starbucks to succeed in their industry. These opportunities include expanding of product offerings, entering foreign markets, and brand awareness. In expanding of product offerings, we have seen Starbucks

In general the coffeehouse industry in the United States was experiencing an increase in coffee consumption per capita due to the “Starbucks effect”. At this time Starbucks was operating approximately 20,000 stores in the United States and was living a fast expansion strategy worldwide.

At each store, a store manager acts as the chief. Under this store manager are a collection of shift supervisors who act as managers on duty when the store manager is out. Below the shift supervisors are the rest of the employees, referred to as baristas.

Starbucks, what started in Seattle in 1971s by three friends: erry Baldwin, Zev Siegl, and Gordon Bowker. They opened a small shop and began selling fresh and cold coffee. Starbucks has always been a place where you can find world’s best coffee. In 1970s, Starbucks open its first coffee restaurant and

Starbucks Corporation, originally founded in 1971, but purchased by Howard Schultz in 1987, is the market leader in selling gourmet coffee (Starbucks, 2008). Starbuck's main objective is to establish itself as the most respected and recognized coffee brand in the world (Fact Sheet, 2008). Starbucks has accomplished this objective and experienced much success through their competitive strategy of clustering several stores within the same community and through their distinctive competencies of roasting and selling the quality coffee while providing high quality customer service. The question is, can Starbucks continue their market share growth with rising competitors? Should they focus more on their international operations?

In 1994 Starbucks broke into new markets in Minneapolis, Boston, New York, Atlanta, Dallas, and Houston. (Reference for Business, n.d.) In 1996 Starbucks continued their growth by venturing overseas for the first time to Japan, Hawaii, Singapore, Taiwan, Thailand, New Zealand, and Malaysia, China and South Korea, Philippines, Kuwait, Lebanon and the UK. (Reference for Business, n.d.) Growth also continued here in the U.S. with 2,200 locations by the year 2000. Starbucks rate of growth in the early 2000’s pushed the chain past the 10,000 unit mark. (Reference for Business, n.d. pg. 4) Today Starbucks is the largest coffeehouse company in the world ahead of UK rival Costa Coffee, with 21,160 stores in 63 countries and territories, including 12,067 in the United States, 1,570 in China, 1,451 in Canada, 1,070 in

An Analysis of Starbucks Company History Starbucks was opened its first coffee company in Seattle’s Pike place Market on 1971. The name was taken from the first mate in Herman Melville’s Moby Dick (Company Profile, 2005).

Today we stand witness to a new coffee era, one made up of Caffé Lattes, Espresso Macchiatos, Cappuccinos and Frappuccinos. Specialty Coffee is here to stay and no one will be more eager to tell you that than Howard Schultz, CEO of Starbucks, the world’s largest specialty coffee bar. In 1993, Starbucks continued its aggressive expansion and moved into the East Coast market by establishing a presence in Washington, D.C. This expansion has continued and today Starbucks operates more then 15,800 stores internationally and employs roughly 140,000 employees. It grosses 11.7 billion in annual revenue and is opening 5 new stores every day. (Starbucks Corporation, 2011)

One of the biggest strengths that allow Starbucks to create competitive advantages is Starbuck’s strong brand influence. Over the past 46 years, Starbucks has already grown into the largest coffeehouse company in the world from a local coffee store in Seattle. Nowadays, Starbucks has involved in many people’s daily routine and lots of them cannot get through a day without Starbucks. When people talk about a good coffee store, they would remember Starbucks and its Siren Logo at once. Thanks to its easily identifiable logo, Starbucks has successfully implemented the connection between the image of a topless mermaid in green and coffee into many people’s mind.

The Starbucks CAFÉ Practices look at four main areas being social responsibility, quality, transparency, and economic accountability. Together, these standards assist farmers in growing coffee that is both better for the planet and for the people who drink it. Amongst these practices, there is also a belief in the continuous expectation that Starbucks’s supplier are in line with these practices through frequent evaluations. For instance, farms and mills are examined external parties and reported to Starbucks. Starbucks is unique in the notion that they are willing and often do share their business approaches, resources, best practices and