The Future Of Starbucks Essay

Length: 2 pages Sources: 2 Subject: Sports - College Type: Essay Paper: #31515331 Related Topics: Swot Analysis, Coffee, Heart Attack, Employee Turnover
Excerpt from Essay :

SWOT Analysis: Starbucks

The overarching goal of a SWOT analysis is to identify those issues that will provide practitioners with the information they need to develop an informed strategic approach or analyze an entity of interest (Cravens 37). In sum, a SWOT analysis identifies the respective strengths and weaknesses which are internal to the entity as well as opportunities and threats which are external to the entity (Cravens 37). This paper provides a SWOT analysis of Starbucks, followed by a summary of the research and important findings concerning this company in the conclusion.

Strengths

With more than 22,000 retail outlets in 67 countries, some of the major strengths of Starbucks's (hereinafter alternatively "the company") include its market saturation (the Starbucks brand includes Starbucks Coffee, Seattle's Best Coffee, Teavana, Tazo, Evolution Fresh, La Boulange, Ethos Water and Torrefazione Italia Coffee), commitment to

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In fact, the company only purchases its coffee beans from trusted business partners that have a proven track record of quality production (Company profile 3). Comment by Hassan: Not in your reference list? Is this from the Starbucks website? Please see works cited page.

Weaknesses

Perhaps the company's greatest weakness is the relatively high prices it charges for its beverage products. For instance, Allerton emphasizes that if you order a latte five days a week on your way to work every week [from Starbucks](deducting vacation time). The total: $921.20" (136). While a $6 cup of coffee may appeal to some consumers, it is reasonable to suggest that Starbucks has priced itself out of the price range of many consumers in the markets in which it competes. The company also suffers from a high level of unplanned employee turnover which adds to its operating costs (Allerton 136).

Opportunities

As noted above, at present, the company operates retail outlets in 67 countries but these are primarily located in the United States, Asia, Europe and the Middle East, and the only African country in which the company competes is Egypt (Company profile 5). Coffee is enormously popular, though, in a growing number of African countries today, making these countries a viable opportunity for the expansion of the Starbucks' brand in the future (Cafe society 51). In addition, the company could expand its product and service offerings to include…

Sources Used in Documents:

Works Cited

Allerton, Haldee E. (2004, May). "Ode to a Coffee Urn: Common Grounds."Talent Development58(5): 135-139. Print.

"Cafe Society: From Humble Beginnings as Both Food and Drink for African Hill Tribes as Far Back as the Ninth Century, Coffee Has Evolved into a Global Phenomenon." (2009, August). Geographical81(8): 50-55. Print.

Cravens, David W. Strategic Marketing, 6th Ed. New York: McGraw-Hill, 2000, Print.

"Company profile." (2016). Starbucks. Web.


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