1. The factors that made Starbucks so successful in North America:
• The location selected for the Starbucks cafe’s was strategically implemented for ready access to consumers and also right in the strategic location where densely populated areas.
• Starbucks cafes started in many crowed unified areas such as grocery stores, airports, united airline flights, barnes and noble bookstores where costumer can relax and spend a piece of pleasant time.
• Starbucks’ success attainable and reliable on the environment and the method how they positioned Starbucks cafes; the Starbucks cafes is a comfortable center to have a good time.
• Compare to international market, North American consume coffee out of home averagely higher than most of the countries.
The values Starbucks provides to its customers are:
• Starbucks gives customers a central point to relax, read books and meet friends
• It became a gathering place for neighbors
• Starbucks being as a third place away from home and work for friends circles and co-workers teams
• An experience of uplifted, pleasant and diverse for customers to spent time
2. Starbucks market entry strategy were generally joint ventures and licensing agreements.
• From Austria to Taiwan, Starbucks connected locally with best possible partners as joint ventures and they set forward basic strategies expectation from its possible partners. Such as financial solvency, knowledge of local market conditions, prior retail experience, and creative ability.
• Starbucks also used licensing strategy dramatically used in countries like China Indonesia, Malaysia, Newland, Philippines, Singapore and Middle East.
• The critical decision in terms of market entry strategy was to go to Asian market first because of the developed of the coffee market in Europe was very strong and on the other hand Asian coffee market was under development, thus decision elevates the opportunity for Starbucks to position as a leader.