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Starbucks faced a generally favorable competitive environment. The company competed against smaller coffee chains, other fast food sources of coffee, independent coffee shops and drinking coffee at home. At the time of the case the other coffee chains were the biggest source of competition. These chains tended to be regional in nature. Some examples were Caribou Coffee and Gloria Jean's in the Midwest, Peet's on the West Coast, and Dunkin Donuts in the Northeast. The latter, along with other donut and bagel shops, competed by offering food to go along with their coffee. The coffee was of lower quality, and lower price. An advantage that chains like Dunkin Donuts had was that they were well-established, with strong brands and retail networks. In addition, because they offered a different atmosphere and product lineup, they were differentiated...
Peet's was a contemporary of Starbucks, but grew at a smaller pace and started its growth much later. Caribou and other regional operators had very similar in-store experiences to that of Starbucks, albeit with a different gimmick in the case of Caribou. A company like Gloria Jeans or Peets, however, bears little differentiation. These companies directly compete against Starbucks because they are so similar, but they also represent a threat to Starbucks because their regional strength can make it more difficult for Starbucks to enter that region with the same level of penetration that it has in markets without that type of regional…
Starbucks in India Identifying Global Opportunities Global Business Opportunities Starbucks is a global retailer of coffee, and is seeking new growth markets, since its largest markets (U.S., Canada, UK) are all mature. The company has nearly 20,000 stores (2011 Annual Report). The company has premium positioning in the market with its brand, logo and patents providing key intellectual property to expand globally. Potential Markets When looking for potential markets, Starbucks seeks the opportunity to license
Environments The real world companies that are being studied are Starbucks, Apple and FedEx. These three companies face different external environmental challenges and have focused on shifting their internal environments in order to better compete in their external environments. The PEST analysis will be used as the analytical framework (QuickMBA, 2012). Starbucks operates in the quick service restaurant industry, and is one of the top brands in that business (QSR Magazine, 2011).
Starbucks Situational Analysis ENVIRONMENT Important environmental factors relating to a firm include economic, cultural and social values, current values and trends, political and legal factors, and environmental threats or opportunities. These elements may impact or otherwise threaten a firm's success or opportunities for improving a firm's situation. With respect to the economic situation, both the United States and foreign economies are presently facing some degree of economic uncertainty. In addition to dealing
These refer to the characteristics of the political and regulatory environment (P), the economic environment (E), the socio-cultural environment and finally, the technological environment. The analysis of the climate in which an organization activates is also known as the PEST analysis. 4.1 Company Product Line Starbucks offers a wide selection of coffee-based beverages, with both caffeine and without caffeine. Aside their coffee beverages, they also offer whole-bean coffees, food items and coffee-related
The secondary campaign will be more informational in nature. The product at this point will be repositioned -- slightly -- from being a superior version of a new Asian-American favorite to being something that can appeal to all markets. By adopting a more global feel to the marketing, we believe that we will be able to develop new markets, increase our exposure among non-Asians and do this without compromising
The points of difference can vary based on the nature of the company, its resources or the industry in which it operates. Multinational corporations which possess vast resources, as is the case of Starbucks, are more and more focused on social and environmental responsibility in an effort to create points of difference. They promote the development and well-being of the communities in which they operate and they strive to improve