What Proof Is There That Starbucks Has Achieved Competitive Advantage In The Industry?

Starbucks started its growth in the early 1990s, with a game plan for Atmosphere, Quality Coffee, Customer Service, and Partner (employee) Satisfaction. Customers find the stores Welcoming and friendly for a great place to meet friends for a great cup of coffee or a local place for a great cup of coffee and a good book. Starbucks worked with coffee growers to offer a consistent brew and enforcing standards that have become the industry’s norms. Starbucks have put a lot into their training program to ensure properly trained employees to provide that consistent cup of coffee as well as improve employee retention. Starbucks believed in happy employees would promote a better experience for the customer. Since the 90s Starbucks have followed their 3 step plan. 1. Atmosphere: Every time you walk into a Starbucks, you know you will be greeted with a smile and a friendly attitude. 2. Continuity of Brand and Product: Every Starbucks has a similar feel, and your drink order will taste the same whether you are in New York or Spain. 3. Employee Satisfaction and Training: The training of the staff, in both how to be personable with customers and knowledge of the product offering

Starbucks advertises two essential mission statements. First and foremost, it strives to “establish [ourselves] as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while [we] grow(s).” (Starbucks) Reflective of its mission, Starbucks bases its strategic campaign and communications on six indispensable philosophies; structuring a pleasant work environment in which employees are treated with “respect and dignity,” incorporating diversity in all business aspects, purchasing, roasting and delivering fresh coffee, retaining satisfied customers, giving back to the community and environment, and developing

Starbucks has put heavy concentration on product innovation, new product launches and branding strategies and as a result, the company has lost sight of the customer’s wants and needs. Ultimately, Starbucks is not properly or correctly measuring customer satisfaction. They are basing these scores on characteristics affecting the product, and not precisely measuring the quality of their services. As Exhibit 10 from the case study shows, Starbucks’ customers ranked a clean and convenient store as the most important attributes of creating customer satisfaction. As marketing research is beginning to reveal, this should not be the only focus. Starbucks needs to shift their priorities and rank fast service, customer experience, and atmosphere as most important, as new studies suggest.

The Starbucks Corporation presents a strong appeal for potential customers and employees because it has a strong organizational culture based on its values, which include “ethical sourcing, environmental stewardship and community

business model may seem, there is plenty of hard work invested and financial risks taken to grow

Their mission, vision and values strives towards attaining the utmost respect and brand recognition for its coffee and distinctive beverages. To such a degree, Starbucks continued to amplify their franchises, innovation process of new merchandise outline and increase current customer satisfaction levels in order to abstain from losing market share against the competition. Together with the company’s beliefs, Starbucks claims that not only are customer requests and needs a top priority, but its employees are vital towards it success.

Here, a good management system can help to monitor the performance of all stores. Figure 4 (JinceyJose, 2015) shows the management hierarchy of Starbucks. Due to the wide spread of its store locations, there is a need for the regional managers, who can oversee and work closely with regional stores to help ensure the good performance of each store (Corporation, 2013). In the top-down management style, Starbucks culture and value is woven into every job position. With its culture and value bared in mind, workers can provide a high quality service for the customers. To maintain a efficient operation process, all employees, with the emphasis of employees work at the local store, need to know their job duties. When they start their shifts for the

Starbucks’ mission is “To inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (Starbucks Corporation, 2015, p.1). Starbucks values “creating a culture of warmth and belonging, where everyone is welcome, Acting with courage, challenging the status quo and finding new ways to grow our company and each other. Being present, connecting with transparency, dignity and respect. Delivering our very

The success of Starbucks is hinged on five business principles involving all levels of both management and employees as expressed in the book, “The Starbucks Experience”. These five principles are taught to and upheld by each and member of the company. As each employee holds shares to the company, they are held to a standard which requires them to go above and beyond to please the customers (Michelli, 2007). Starbucks maintains that if management treats its employees with a higher level of respect and with higher regards than the average company, then they will then treat their customers with a higher consideration as well (Michelli, 2007). Each new shareholder is given a small booklet of instructions on how to conduct themselves called

Starbucks distinctly stands out from other food or beverage chains in terms of the consistent quality of experience, that is symbolic of the company. A number of aspects have enabled the company to foster this consistency: a culture based on communication and centered around the customer, innovation in business practices, pioneering technology integration, an international appeal and steadfast commitment to its original ideals (for example, no franchising).

Starbucks value chain entails their strengths. The employees are loyal to the company which helps keep their customer base because they can keep their cost lower, and from word of mouth. The principles of the management team are focused. Their training methods require personnel to be trained in a centralized location, therefore there is no employee that is not trained in the correct procedures. The

It is essential to note that Starbucks endeavors to meet regulations regarding environmental farming and goes to an extra mile to ensure that its farmers, as well as their farms, adhere to these practices. The company is innovative and works to maintain this innovativeness in serving its customers. In this regard, it has created a brand with the various drinks and flavors that it deals in. regarding its communication levels, Starbucks is ahead of the game both on its customers and staff fronts. In building their teams, the company does not just communicate but informs them as well as their customers. In addition to these evaluations, Starbucks uses as a business scorecard in measurement,

One of the main strength of Starbucks is their robust financial performance which in turns helps it to become the market leader in the category of coffee. According to (Forbes, 2014) Starbucks Market cap is around $55.94 Billion which is the main edge over its competitors. Achieving the Top of the mind strategy, whenever we listen coffee or best customer care and quality, we automatically refer Starbucks in our mind. With over 21000 stores in more than 65 countries, it shows great expansion and connection in the world (www.Starbucks.com). Due to great expansion, Starbucks can afford a premium price of coffee and other products. Starbucks is known for its management skills in terms of quality and customer service. They put a lot of emphasis on people skills and soft skills which is critically important in terms of success and failure. It creates a soft ambiance for its employees in which they remain happy and at the end of the day they make customers happy. My StarbucksIdea.com enable customer to provide their feedback on the customer and product services. On the other hand Starbucks uses experiential marketing, in which customer always wanted to experience the environment of Starbucks.

Starbucks has been considered the top provider of the finest coffee bean and coffee drinks in the world. Anyone who loves a good cup of coffee knows that Starbucks is the top choice. No matter where you are in the world, you will see an inviting Starbucks store with this amazing aroma of freshly roasted and brewed coffee, nicely lighted space, great seat lay-out, free wi-fi, and just a comfortable space to hang out. The baristas behind the green apron are wondering people delivering nothing but the best “Starbucks experience”. Over 4 decades of successful business, Starbucks has grown into a well-known brand in every household, not only in the North America, but even in Europe, Mediterranean, Middle East, and Asia, It has become so popular that its name does not even necessary to be printed in most of its products, and the Starbucks logo is what they all need. In this paper, I aim to discuss the company’s strategy behind its great success. Also, I will provide feedback as to how the company is operating in the Philippines [which is my home country].

Starbucks has been a world leading company in premium quality coffeehouse since 1971. Starbucks makes a commitment to deliver fine coffee as well as better hospitality from friendly staffs. Starbucks has developed a good marketing strategy. The company attempt to upscale its product, which benefit from its competitive advantage. The company competitive advantages not only focus on brewing a cup of coffee but also provide fine hospitality experiences to its client in relaxed atmosphere with coffee aroma. Primary, the coffeehouse target group is young college