Starbucks Swot Analysis

1821 Words8 Pages
Starbucks' Strategic Planning Using SWOTT Analysis
"Mirror, mirror, on the wall, who's the fairest of them all?" – The Queen in Snow White. Beauty is only skin deep, companies must also look within to secure longevity. Before a company can successfully bring a mission statement and vision to fruition, they must take a good hard look into the mirror. A company must reflect upon internal strengths and weaknesses, external opportunities and threats, and consider the trends associated with each (SWOT analysis). The fundamental process of strategic planning is through the encompassment of SWOT analysis. Taking a bite from the poisonous apple will be inevitable if a company fails to self-evaluate and strategically plan for the future.
…show more content…
However, while the latest price increase of 11 cents per cup does not hollow the pocket, consumers may eventually make a conscious decision to "just say no" to this luxury vice. Today though, Americans remain willing to budget for this extravagant expenditure. Last year, 85 percent of Starbucks' portfolio showed dependency on the U.S. market. Strategic planning dictates they need to increase global penetration to achieve a balanced portfolio by reaching additional worldwide consumers (Datamonitor, 2005). Japan is the largest international market and rapidly experienced Starbucks saturation. Strategic planning allowed Starbucks to combat the challenge of a sluggish market by introducing alcohol to the repertoire of products (Singer & Fackler, 2003). Each challenge has posed an opportunity, but time will tell whether people from different cultures will embrace the concept of this American social obsession.
Though many companies have fallen victim to failure due to unresolved weaknesses, Starbucks has adopted the attitude that opportunity is not only now here but everywhere. Through expansion into retail operations, technological advances, global expansion, brand extension and product distribution Starbucks has embraced opportunities with reckless abandon. As an answer to a weak international portfolio, Starbucks has

More about Starbucks Swot Analysis

Get Access