JIT and Process Standardization Paper The following report examines the JIT philosophy of Starbucks. It also discusses the process standardization and its effectiveness in its industry. Starbucks is one of the most popular coffee chains all over the world. It is an organization that prides itself on providing efficient service to its consumers and continuously looks for ways to improve. JIT Philosophy JIT can be used differently depending on the industry.
The products will be served in a friendly manner and the atmosphere will be a serene one that will leave our customers feeling satisfied after their encounter with our company. This will cause our business to succeed and thrive throughout the years. Caffe Umbria’s ideology is to provide its target market with high quality but mid-priced coffee on the go and in bagged blends to make and serve at home. By providing a cheaper alternative to places like Starbucks and other name brand expensive coffee shops, Caffe Umbria must make many smart choices when it comes to planning pricing, packaging and distribution. Companies with smaller profit margins must create a larger following of loyal customers because they need to rely on the quantity of customers, not the markup, for their profits.
Starbucks aims to give good quality products to theirs customers and that with those products they could make their business known. With fair trade products and good quality beans from Ethiopia, India etc. they bring different kinds of flavors for their drinks. And for objective since they have started from a small coffee house in Seattle, Washington, USA they would open more shops in the USA and make their business
Taking care of it’s employees and customers is at the forefront of every decision. And as Starbucks continues its growth in the global market, its customer base will continue to grow as long as Starbucks adheres to its principle of buying quality coffee beans and selling the highest quality coffee products, they should and most likely will increase revenue for
Therefore, he put more effort in providing benefits for employees. He shared his dream, thoughts, and vision to every member of Starbucks. He showed his appreciation to the contribution of each employee of Starbucks by listening and operating every potential idea of his co-workers and employees in expanding Starbucks, such as adding skim milk to choices, practicing the ideas of Frappuccino drinks, ice cream, and coffee bottles. Moreover, he provided bean stock options and health care benefits for both part-time and full-time employees. Because of the great relationship between employees and manager, Howard slowly closed the gap
Although Starbucks does face much competition, one of their biggest threats seems to be themselves. They have grown quickly which means they had to spend numerous amounts of money to open new stores and expand their products. “The company had its success through baby boomers in the 90’s, but now the Generation X is not liking the environment of the shop and the young generation feel out of place in the coffee shop, above all the price of coffee seems to be little expensive to them ("Case: Starbucks- Going Global Fast", 2012)”. With Starbucks wants to grow r rapidly and business oriented, it could be possible that they forget how to give customers that one on one customer service. Starbucks was a coffee shop that allowed friends to come together over a cup of coffee and now it has expanded with Wi-Fi in stores, and online stores.
Most of the time they promote their products to businesses but in this case they promoted their products to individuals as customers could purchase a coke with their name on it and it would get sent to their house. Coke has a relatively stable market as they have bought innocent and are now in the healthy drink industry. McDonald’s is in a rapidly changing market as peoples tastes are changing and to suit their customers they would need to change up their meals and advertises more healthier foods such as salads. McDonald’s have bought Starbucks and they use the good beans for
This is a good example of a first-mover advantage because customers will come to my store to try out a new product that is only offered at the Broadway Café. Making Business Decisions 1: The Buyer Power for the Broadway Café is very high because they offer many of the same products that their competitors, such as Starbucks, offer. Therefore, customers have many other coffee shops to choose from for their products at all different price points. The Supplier Power for the Broadway Café is low because there are many other supplies of coffee that can be chosen from. If there are any supplier issues, then the customer can quickly choose another supplier.
Additionally, Starbucks has distribution agreements with office coffee supplier, hotels, and airlines. Using a variety of distribution channels allows the company to reach a wider market, however the company needs to be careful with this approach due to the potential channel of conflict. Implementation of Pricing Strategy Starbucks is the leader of the coffee market. As an individual company, it controls several times more market than any of its competitors. More than just a high priced coffee shop, Starbucks offers a combination of quality, authority, and relative value.
In order to ensure the respondents accurately represented the SFU student body, we attempted to choose participants who were diverse in gender, faculty, nationality and year of study. This proved to be highly beneficial to the discussion, as it stimulated the exploration of ideas and topics that we had initially overlooked. This exploratory research refined the areas of investigation most beneficial to Renaissance, particularly key factors that affect food and drink choices, as well as to gain ideas and insights into Renaissance’s current brand perception and loyalty. From here, we were able to generate hypotheses about the following categories: a) Coffee Consumption Habits - Students consume the most coffee during exam week and lecture break. b) Factors Influencing Purchase Decisions - Students feel that price is the single most important factor when deciding where to purchase food or beverages.