Starbucks Case Study Analysis

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Analysis Since its inception in 1971, Starbucks has become the largest coffee retailer company worldwide. With almost 18,000 stores in 60 countries, Starbucks thrive on their mission to “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time”( Starbucks, 2013, pp. 3). Starbucks is a marketer, retailer and roaster of specialty coffee currently sells an assorted variety of beverages, espresso-based, coffee beans, drinks, pastries, coffeemakers, espresso machines, accessories, and intangibles. Since its inception in 1971, Starbucks experienced rapid growth. However, the high saturation of the US coffee market has started to create problems for the company. Starbucks is also facing competition from new market entrants internationally. These challenges resulted in the company re-analyzing its marketing strategies in order to maintain its market share and competitive advantage. In an effort to boosts sales and sustain its growth strategies, the company partnered with companies like Dreyers, Seattle’s Redhook Ale Brewery, and PepsiCo. Starbucks packaged branded products such as ice cream, coffee beans, and Frappacino were introduced in convenience stores and supermarkets. In 2006, the company sold over 25 million kg of packaged coffee between retailers and supermarkets. Starbucks also entered the entertainment industry by incorporating books, films, and music, into its product line (Starbucks, 2013). Establishing new coffee stores throughout various geographic regions and acquiring similar companies could possibly create potential growth opportunities to Starbucks. Additionally, the company can focus its resources on recreating experience and quality, cutting back on fast food and halting expansion of its stores. This paper will use a SWOT Analysis to assess and highlight some of the strengths, weaknesses,

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