The Report of Starbucks Development in Asia Pacific

Starbucks Coffee originated in 1971 as a coffee and tea café opening in a small neighborhood of Seattle, Washington (Starbucks Corporation, 2010). Starbucks continued its service for Seattle residents for a decade when the new director of retail operations and marketing, Howard Shultz, decided to make some beneficial changes to the company. After two years of employment Howard Shultz decided to expand Starbucks outside of the Seattle area. In 1987 Starbucks was entering in the coffee market and the few numbers of Starbucks were now becoming a corporation (Starbucks Corporation, 2010). Fast forwarding to current times, Starbucks is

Starbucks is a highly known company and a predominant brand in multiple countries. The idea behind all of it was to not only serve name brand coffee but to be a third home for everyone throughout their busy days. Founded in 1985 by Jerry Baldwin and Howard S. Schultz, they settled the company in Seattle Washington. The owners found their niche in the food and drink market, and the brand of Starbucks makes each purchaser know what kind of quality they are purchasing. It has now become the world’s largest international brand and product with great success. Starbucks internal capabilities of the company help make it more successful while dealing with the external environment to find the perfect balance to create a competitive advantage and

Starbucks is no doubt a phenomenon in the United States, but the brand wants to expand globally. Opening chains in various global locations such as Japan, Vienna, England; Starbucks wants to reach out to the coffee loving fans everywhere. Nevertheless opening chains globally is not that simple. There are many uncontrollable factors Starbucks need to focus on to make sure they are making profit as well has abiding by the country’s laws and regulations. Going global takes a lot of market research to make sure that the brand will be successful even with uncontrollable factors. Controllable factors can be tailored to fit the needs of each country. Starbucks has to find the happy medium so they don’t lose their identity overseas.

“Opportunities and threats are often external to the firm and cannot always be anticipated” (Nickels, 2010, p. 17). Starbucks’ opportunities include expansion of menus offered for sale, expansion to other countries, and franchising opportunities. Starbucks limited menu is one of its weaknesses; however, it may also be considered as an opportunity. Although Starbucks does impeccably well in serving its specialty beverages, its limited food menu items are clearly an opportunity. It can add more revenues by expanding its menu items to other gourmet food items and drinks. Moreover, it appears that although Starbucks has expanded in multiple numbers of countries, it can continue its expansion in some underserved and growing regions in countries in Southeast Asia. Finally, even though Starbucks licenses its trademark, it can expand and start franchising its stores. Franchising provides for additional revenue and operators worldwide.

Starbucks, an American coffee company which was established in the year 1971. At that time it has only one store in Seattle’s Historic Pike Place Market, Washington. It covered a long journey from that single store to hundreds and thousands of stores in different countries. It has 9 stores in Seattle till 1987. The professional management and strategies used by Howard Schultz made the company globally successful. The result of his efforts lead to the expansion of stores from 400 in US to 4700 in all over the world .It followed the policy of joint venture and foreign assistance to expand its business. The aim of the report is to analyze the management strategies used in the case of Starbucks and apply our theory of knowledge. This will help

Starbucks entered the coffee market in 1971 opening their first retail store in Seattle’s Pike Place Market as a roaster of ground coffee, tea, whole beans, and spices. In 1982, Howard Schultz was appointed operation and marketing retail director. After visiting Italy in 1983, Schultz fascination with Italian coffee bars inspired him to bring a similar type of coffeehouses to the Seattle area. Schultz idea was to offer a place where customers can relax, enjoy coffee, and engage in conversations. After several years, Schultz decided to leave Starbucks and open his own coffee company called II Giornale that offered a variety of espresso drinks and brewed coffee made from Starbucks Arabica coffee beans. In 1987, Schultz merged II

Starbucks Corporation is an American coffeehouse chain founded in 1971 starting out as only one store retailing in whole bean, tea, and ground coffee in the Pike Place Market in Seattle, Washington (Starbucks Company Profile, 2016). Starbucks comprises four operating segments along other non-reportable operating segments. The operating segments include Americas, China Pacific, EMEA, and Channel Development (Starbucks Company, 2016).

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).

The search of competitive advantages implies to adapt the positioning of Starbucks to the key success factor of the industry. To formulate this strategy, Starbucks must identify the key success factor and understand if they are mastering it or not. Thus, Starbucks will acquire the required strategic assets to do so and position the company according to that. However, sometimes the strategic assets cannot be acquired because they are linked to reputation, know-how and relations with customers and suppliers.

Starbucks was conceived in 1971 in Seattle, Washington by three business partners – Jerry Baldwin, Zev Siegl, and Gordon Bowker. Back then, Starbucks was only selling whole-bean coffee and coffee-making equipment in Seattle’s Pike Place Market. They hired Howard Schultz as the Director of Retail Operations. When Schultz went to Milan, Italy to conduct a buying trip from suppliers, he noticed that

Founded in 1971 at Pike’s Place Market in Seattle, Washington, Starbucks coffee went from a high-quality, do-it-yourself whole bean retailer to an international 6.4 billion dollar empire. As of 2005, there were 10,500 stores worldwide where customers could enjoy a cup of the internationally recognized coffee at a convenient location. Starbucks achieved this through a series of strategic movements all while offering a great in-store experience and quality coffee.

The original Starbucks opened in Seattle, Washington, in 1971 by three partners: English teacher Jerry Baldwin, history teacher Zev Siegel, and writer Gordon Bowker. The three were inspired by Alfred Peet, whom they knew personally, to open their first store in Pike Place Market to sell high-quality coffee beans and equipment. The original Starbucks location was at 2000 Western Avenue from 1971-1976. That store then moved to 1912 Pike Place; it is still open. During their first year of operation, they purchased green coffee beans from Peet 's, and then began buying directly from growers.

Starbucks got its start in 1971 by three academic teaching professionals. English teacher Jerry Baldwin, history teacher Zev Siegel, and writer Gordon Bowker, all three love coffee and decided to open Starbucks Coffee, Tea, and Spice in Pikes Place Market, Seattle Washington. The three partners shared a common love for fine coffees and exotic teas. They believed they could build a clientele in Seattle that would appreciate the best coffees. With this being the case, they borrowed the money and Starbucks’ was born.

First Starbucks was a Private Company, from its inception in 1971, to it 's initial public offering in 1992. We believe that there since the beginning, Starbucks strategy has been one of growth. They have demonstrated all dimensions of a growth strategy: Internationalization in expanding into new countries and the global market. It has shown concentration in being creative and relying on it 's core competency of making high quality coffee and coffee equipment to develop new products and markets. Horizontal Integration has been evident in the many strategic acquisitions, partnerships, and joint ventures. Vertical Integration has been another key success factor as Starbucks

Starbucks’ retail entry model in the United States does not have the same strategy as their international model. In the states Starbucks holds great control as a corporation, but in international territory, country partnerships, cultural, government laws and politics play a very important role in Starbucks’ entry strategy. Starbucks has set it sights globally since the coffee market has come close to saturation in the U.S. which will give them the opportunity to continue to expand without fierce competition. Starbucks has looked to countries like India and other emerging markets with great growth potential to set down new roots. Starbucks recognizes India as a great choice to expand business internationally but also recognizes the complexity in the same market after several attempts to enter without success.