BUSI 520-D06, Group 2 Liberty University Starbucks Blonde Roast Coffee May 11, 2012 Introduction Provide a description of your product/service and a brief history of the firm that produces your product/service. Starbucks Corporation is a leader in the coffee industry with coffeehouses around the world. Since their inception in 1971, their goal has consistently remained to “share great coffee with our friends and help make the world a little better” (Our Heritage, n.d.). Starbucks is widely known for their retail stores; however, the company has plans of becoming a brand known for their consumer-products as well (Jargon, 2012). Starbucks offers a variety of coffee and coffee products in their retail stores and in grocery stores worldwide.
Starbucks was one of the first to create a product with such distinction and the product was sold both in the cafes as well as grocery chains. Another factor was the excellent customer service that they provided and finally, the atmosphere. People came to the café to buy coffee however; they were also drawn in by the atmosphere. Starbucks success rest on the facts that they: Started with a good business concept, thought big, thought outside of the box and partnered smart The most compelling thing about Starbucks value proposition was that Starbucks wanted to create an experience for customers that they could “weave into the fabric of their everyday lives”. This was important for top managers at Starbucks because instead of just having customers come in and out for a cup of coffee they can also think of Starbucks as a place to relax and meet with friends.
Customer value proposition is leveraged around serving the coffee experience into everyday lives. Quality Coffee, great service and atmosphere combine for a completing value proposition. Working directly with growers to purchase green coffee beans, overseeing the custom-roasting process, and controlled distribution ensure a quality product. While extensive training confirms excellent customer service, clean and well-maintained worldwide stores that reflect the personalities of each community, thus building a high degree of customer loyalty. (Starbukcs Corporation, 2012) In 2010 Starbucks declared a dividend for the first time and key
Team D obtained Starbucks annual report and SEC filings for the past two years and has compiled ratio data and analysis of current ratio, debt ratio, return on equity, and average days receivable. Corporation Ethics and Compliance Starbucks rely on the worldwide popularity of coffee to lure their customers into their stores and also offer a variety of small food and snack based items. Starbucks has also recently introduced itself in the supermarket with a ready to brew brand of Starbucks coffee. This worldwide corporation has 17,000 stores and is a growing business inside and outside of the U.S. The role of ethics and compliance within Starbucks financial environment is a big part of the company’s business model.
At the start, was having created a successful brand strategy coupled with their rapid growth of new store openings in “high-traffic, high visibility settings”. As well, selling premium priced coffee in addition to whole beans. They were particularly skilled at choosing and catering to their target market of “primarily affluent, well-educated, white-collar patrons”. Their competitive differentiation came in creating an “experience” for their customers and specializing in ambience at their locations to encourage a place where the customers would want to stay and hang out. Schultz vision was to create a “third place” (other than home and work) for its patrons to want to be.
Starbucks in Japan, United Kingdom and Morocco. Examining the role of cultural distances in Starbucks’ foreign expansion efforts. By - Jeremiah Taylor Karima Elghiyati Christopher Funk Global Strategy 6440 Professor: Yi Jiang Saturday, June 07, 2014 Intro The wild success of Starbucks in the United States has given the company a desire to expand into foreign markets. While the company is ubiquitous in American culture, it aligns itself with the fast-food coffee experience that Starbucks drives. This experience is at odds with many other cultures and the traditional coffee shop experience which provides a social nexus and central meeting place.
Organizational Culture of Starbucks Angela Browning BCOM/230 November 19, 2012 Jamie Barmach Organizational Culture of Starbucks The organizational culture of Starbucks begins with their mission statement. It continues with external communication via interaction with vendors, community involvement, and encouraging customer feedback on service and ideas for improvement. The Starbucks mission statement says that they are “passionate about ethically sourcing their coffee beans … and improving the lives of the people who grow them” (Starbucks Coffee Company, 2012, Our Starbucks Mission Statement, para. 1). They meet this mission by buying these environmentally friendly products.
Specifically for Starbucks, they have built success of the franchise by developing a name brand and image that connects with the world. As Starbucks began to enter different markets, coffee remained the core product. Variations of the types of coffee offered in different parts of the world is what the management controls. This is based on research of the culture or region and the promotion of new products to engage consumers. For example, in Tokyo, a consumer stated that they wanted the coffee to taste sweet.
A place where they could go to relax and enjoy others, or just be by themselves. - The coffee itself: Starbucks worked directly with growers in various countries of origin to purchase green coffee beans, oversaw the custom-roasting process for the company’s various blends and single-origin coffees, and it controlled distribution to retail stores around the world. - The service: Starbucks created an uplifting experience every time you walk through our door - The atmosphere: Starbucks created the atmosphere with seating ares to encourage lounging and layouts that were designed to provide an upscale yet inviting environment for those who wanted to linger - Channels of distribution: Starbucks stores located in high-traffic, high-visibility settings. Starbucks provided variety of pastries, sodas, and juices, along with coffee-related accessories and equipment, music CDs, games, and seasonal novelty items. It also sold coffee products through non-company-operated retail channels.
Schultz was passionate about creating an experience for Starbucks’ customers—providing a space that was a special treat where people could meet friends and visit. Is his 2010 strategic vision for Starbucks different from the one he had in the 1980s? How many times has his strategic vision changed? Is his present strategic vision likely to undergo further evolution? 2.