Swot Analysis Of Starbucks

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SWOT Analysis for Starbucks
Strengths
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.
Another strength of Starbucks is the
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Unlike the increased sales in China/Asian Pacific area, its revenue growth in Europe is continuing to decline for all sorts of reasons, including the special local coffee culture in Europe.
While Starbucks is expanding rapidly, it generates a good profit margin with these new stores. However, the fast growth of Starbucks remains vulnerable to the possibility that excellent customer services and experience of Starbucks may water down in the pursuit of greater profits. While Starbucks grows bigger and bigger, the quality of service and products can be vulnerable affected negatively due to inadequate personal training.
Opportunities
From the offering of brewed coffee and espresso beverages in 1985 to the launch of the limited-time Zombie Frappucino that swept college campuses just a couple weeks ago, Starbucks has never stopped its effort in its product development. However, there are still many potential opportunities for Starbucks to grow further.
Firstly, global expansion is key to maintain Starbucks growth since it has reached “a saturation point” in the U.S. The company’s second-largest market, China, has more than 2,800 stores now and is ready for further expansion, considering that China has a population almost four times greater than that of the U.S. Also, many other Asian countries, such as the Indonesia, Philippines and Thailand, still not yet have a developed coffee culture.

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