Starbucks and Tips to Enhance its Business

A PESTEL analysis is a tool or framework for marketers. It can be used to analyse and screen the external marketing environment of an organisation. This strategic management instrument gauges the macro environmental factors, which make decision taking significantly simpler.

* Starbucks expanded to pursue sales of products in a variety of distribution channels and market segments. Products were marketed to restaurants, airlines, hotels, universities, hospitals, business offices, country clubs, and select retailers. In the airline industry, Starbucks coffee was served in flights United Airlines and United Airlines. Packets of Starbucks coffee along with coffee making equipment were made available in each room in Hyatt, Hilton, Sheraton, Radisson and Westin Hotels. Coffee service was also provided in several Wells Fargo banks in California. Foodservice distributors such as Sysco

Speaking of Starbucks, we have to mention a person who is the current Chairman and CEO Howard Schultz. From the 1980s, Schultz has been working with the Syarbucks to grow. Unknow to the public, Starbucks was originally founded by three non-business person: Zev Siegl (history teacher), Gordon Bowker (writer) and Jerry Baldwin (English teacher). They want to brought the best coffee to Seattle, so in

Several key success factors exist for Starbucks, a leader in the coffee industry. They include

“We are not in the coffee business, serving people. We are in the people business, serving coffee”, Howard Schultz’s philosophy has shaped and continues shape Starbucks, the world’s number one specialty coffee retailer with over 21,000 outlets in more than 65 countries nowadays (Starbucks, 2011). Starbucks was founded in 1971 and Howard Schultz joined Starbucks in 1982. In 1987, Howard acquired Starbucks and changed the name to Starbucks Corporation.

In 1981, Starbucks hired Howard Schultz as the Director of Retail Operations. He tried to convince the owners to sell coffee verse beans and machines. Unfortunately, he did not convince them and he branched off and opened his own café. Howard opened his chain of coffee shops in 1986 and later bought the name Starbucks from Baldwin.

Howard Schultz is the current CEO of the famous and well-known Starbucks Coffee. He was born on July 19, 1953, and grew up in a Brooklyn, New York housing project. Schultz got a football scholarship from Northern Michigan and was the first in his family to graduate from college. He first got a job working as a salesman for Xerox Corporation. He later moved back to New York to sell kitchen equipment and housewares for a Swedish company before landing a marketing job at a small coffee bean store called Starbucks. He traveled to Italy and was inspired to open an espresso bar in the United States. His bosses at Starbucks immediately said no, so he started a rival store in 1987, making his java with Starbucks beans. Two years later he

PESTEL analysis helps to infer whether a particular factor is helping the organization to achieve its goals or is affecting in its road to success.

store provides. The firm employs a staff of over 100 people whose job is to

PESTLE analysis includes audit and evaluate the macro economical environment which can impacts on marketing decision and strategic formulation for any organization. PESTLE stands for Political, Economical, Socio-cultural, Technological, Legal and Ecological factors which has impacts on business, consumers and markets. This analysis of external environment will lead to the identification of a number of opportunities and threats.

PESTLE analysis focus on the external factors that directly or indirectly affect the work and progress of the company in the marketplace. It highlights different factors associated with the analytical tool that would affect the business of the company and help them formulate their working policies in regards of these factors. The PESTLE analysis consists of political, economic, social, technological, legal and environmental factors that affect the work and performance of the company (Das, 2015).

The political environment can have significant impact on a business. It affects consumer confidence and business spending. The political stability of a foreign environment is important to consider for companies entering new markets. The government’s policies pertaining to regulations and taxation vary from country to country. It

In order to assess the effectiveness and challenges associated with a company, it is important to evaluate its existing environment. PESTEL analysis is hence being used to examine the external environment of the firm.

In 1981, Howard Schultz, the chairman, president and chief executive officer of Starbucks, walked into a Starbucks store for the first time. Highly impressed of the great coffee and the company’s concept, he joined Starbucks a year later. In 1983 he traveled to Italy, where he became fascinated with the coffee culture in

To analyse the external environment for Cadbury, we have conducted a PESTEL analysis. PESTEL is a good strategy to judge the market place of a company and for a company. It assists to gather all the information related to a business and its state. Following are the aspects analysed for