Case Study

1336 words - 6 pages

Starbucks

Brief History:
The first Starbucks location opened in 1971. The name is inspired by Moby Dick’s first mate.
This name and the mermaid logo were inspired by the love of the sea, from Starbucks original location
in Seattle Washington in the heart of Pike Place Market. Starting as a single shop specializing
in high quality coffee and brewing products the company grew to be the largest roaster in
Washington with multiple locations until the early 80’s. In 1981, current CEO Howard Schultz,
recognized a great opportunity and began working with the founder Jerry Baldwin. After a trip
to Italy to find new products, Schultz realized an opportunity to bring the café community ...view middle of the document...

According to Garza by 2004 Starbucks had reached 1,344 locations.

Updated history and Current Status
Today, according to the Starbucks website, they have 16,706 stores (as of Dec. 27, 2009) in 50
countries. In 2009 they made strives socially as they opened the Farmer Support Center in Kigali,
Rwanda and became the world’s largest buyer of Fair Trade CertifiedTM coffee.
Their mission statement from the company profile is as follows:
“Our mission is to inspire and nurture the human spirit – one person, one cup, and one
neighborhood at a time.”

Their core competencies can be defined as high quality coffee and products at accessible locations
and affordable prices, provided a community to share in the coffee drinking experience,
and variety of choices. They also value ethics and good business practices and are a leader being
voted one of 2010’s most ethical businesses by Ethisphere magazine for the 4th year running.
(“Starbucks”)

Starbucks is facing its own struggles however as it saw sales start slipping before other companies
did in the recent recession. According to Melissa Allison in her article Starbucks has a
new growth strategy — more revenue with lower costs, Starbucks has closed 900 stores and
eliminated 34,000 jobs. Starbucks new strategy is to refocus on some of the areas that decrease
risk and up front investment. This includes expanding foreign stores, with aid of partnerships
that share risk and costs, selling VIA instant coffee and other products in retail and convenience
stores, and reinvigorating the Seattle’s Best Brand coffee.

A statement from CFO Troy Alstead this March paints this picture:
“We clearly hit a wall and didn’t do very well in the 2007/2008 time period. From here
forward, when we grow Via, Seattle’s Best Coffee and consumer products, there’s less
investment for each dollar of revenue.”

BCG MATRIX
Above is the Boston Matrix. It shows the cash cows as the regular Starbucks line of Coffee’s,
Latte’s and Frappacinos found at nearly every location. These are stable products that account
for the bulk of sales. A potential star is the International locations, which hold less financial risk
and open doors for innovation and stability. Question marks are the recently added VIA instant
coffee to be expanding to grocery stores and convenient stores. Current products like this such
as the dog, pre-bottle frappacinos account for a tiny fraction of sales. Another question mark
is the oft forgotten sub-brand Seattle’s Best. The company will be revamping this brand and it’s
future is unknown.

Swot analysis

SWOT Analysis
Internal Factor Analysis Summary (IFAS)
Strengths
S1- Brand Identity
S2- Quality
S3- Variety
S4- Locations
S5- Convenience
S6- Store Ambiance
S7- Ethics
Comments

S1- the company consistently
Maintains its brand, even without heavy
Marketing.
S2- They search for quality beans
Worldwide.
S3- They offer drink variety and
Customization.
S4- locations...

Other Papers Like Case Study

Case Study

992 words - 4 pages Objective: Case Study 1 1. Interview: After completing your assigned readings for this week, interview someone who has a customer relations/customer service role or responsibility where the person has organizational responsibility and knowledge of the company’s customer relations policies. This person could be in your own organization or in any other company. Ask the interviewee to describe the role and importance of customer relations

Case study

533 words - 3 pages The main problem in this case study is that the Mission statement,"With the foundation and commitment of our spiritual heritage and values, our mission is to promote the health and well-being of the people in the communities we serve through a comprehensive continuum of services provided in collaboration with the partners who share the same vision and values.", speaks of integrity and well-being of the community. The Problems in the study are

Case Study

2568 words - 11 pages CASE STUDY: STARBUCKS COFFEE BY: KATHLEEN LEE GRC 411 CASE STUDY: STARBUCKS Brief History: The first Starbucks location opened in 1971. The name is inspired by Moby Dick’s first mate. This name and the mermaid logo were inspired by the love of the sea, from Starbucks original location in Seattle Washington in the heart of Pike Place Market. Starting as a single shop specializing in high quality coffee and brewing products the company

Case Study

616 words - 3 pages Case Study | Quantum Telecom Questions 1. How do we eliminate politics from gate review meetings? Gate review meetings are a form of project close. Gate review meeting could result in the closure of a life-cycle or the closure of the entire project. At each gate, the continuation of the process is decided by the project manager or a steering committee. The decision is based on the information available at the time, including the business

Case Study - 661 words

661 words - 3 pages Case Study Alzheimer’s Jamie Newell HSC/245 Intro to Health and Disease September 8, 2014 Gwendolyn Ivy Case Study: Alzheimer’s Case Study Chapter 21 Alzheimer’s disease is a progressive, degenerative disorder that attacks the brain’s nerve cells, or neurons, resulting in loss of memory, thinking and language skills with noticeable behavioral changes. (Alzheimer’s foundation, 2014). In the case of Jenny’s grandma

Case Study - 1978 words

1978 words - 8 pages [pic] OPERATIONS MANAGEMENT MGCR 472 CASE STUDY ASSIGNMENT Due on November 23 in class INSTRUCTIONS: 1. Make sure to write down the name, student # and section # for each student in the group on the cover page of the case study report. 2. This assignment counts for 14% of your final grade. 3. Late submissions and submissions by e-mail will not be accepted. 4. You have to work in this assignment in groups. The number of

Case Study - 985 words

985 words - 4 pages Identification – This case study looks at the tension firms experience between adequate research in the safety of a product and pressure to minimize development costs and bring the product to market as soon as possible. Description – The case study “Primark Versus Marks & Spencer” compares these two different corporations and how each of them are reacting to the increased demands that arise from operating in a global, constantly wired

Case Study - 559 words

559 words - 3 pages Case Study Simon Olivarria Hum/114 March 28, 2012 Philip Reynolds Case Study Helen, in this case study, is a third year student at a leading University who was sexually harassed twice, by the same person. Her University has a policy which clearly states that any incident of alleged sexual harassment must be reported to the University so they can investigate, remedy, and resolve the problem. Helen did not want to report to her University

Case Study - 539 words

539 words - 3 pages Case Study 2 Embry Riddle Aeronautical University MBAA 607 An HRD evaluation is a collection of data that allows a judgement to be made on a training program. This evaluation provides the necessary information for selection, adoption, value and modification of instructional activities “Werner, 2012, p.226). In this case a large manufacturing plant is determining whether it is worth implementing a training program to train employees and

Case Study - 1999 words

1999 words - 8 pages CASE STUDY Chapter SIX CASE 6-1 Case Study on “Transfer Pricing Problems” Case SUMMARY Division A of Lambda Company manufactures product X, which is sold to Division B as a component of product Y. Product Y is sold to Division C, which uses it as a component of Product Z. Product Z is also sold to customers outside of

Case Study - 874 words

874 words - 4 pages Case Study 7-1: Prosperity Painting Equipment (p. 232)  Instructions: Use the following framework for your case analysis. Your case analysis assignment is designated above and can be found in your textbook.  Step 1: Read the case thoroughly with a view to understanding the international marketing issue illustrated by the case. Make sure you discriminate between information which is relevant and that which is superfluous and/or ambiguous

Related Essays

Case Study 1495 Words

1495 words - 6 pages A. Definition The case study method is a research strategy that is different from every other teaching method. A case method is a teaching approach of the study of a situation, used as a tool to help students analyze a real-life business case in-depth. In order to follow this type of process, students will have to identify the problem, gather the most accurate and important information and facts that the case provides to find a solution to

Case Study 534 Words

534 words - 3 pages Running Head: Case Study 1 Case Study #1 Clinical Psychology: Severe Depression Princess Coles ABS 200 Introductions to Applied Behavioral Sciences Instructor Weniger 08/4/2015 Severe depression is one of the many mental illnesses that affect one out of ten Americans. Severe depression involves, extreme or constant feeling of sadness, loss of interest in activities and even relationships. Those suffering from depression

Case Study 2855 Words

2855 words - 12 pages 1 How to Write a Case Study What Is a Case Study? A case study is a puzzle that has to be solved. The first thing to remember about writing a case study is that the case should have a problem for the readers to solve. The case should have enough information in it that readers can understand what the problem is and, after thinking about it and analyzing the information, the readers should be able to come up with a proposed solution. Writing an

Case Study 941 Words

941 words - 4 pages Analysing a Strategy Case Study - Some TipsCopyright: Adrian Haberberg and the University of Westminster, 1998Give yourself time to assimilate a caseThe longer that a case study is given to "sink in" to your subconscious, the deeper the understanding you will get and the better your answers will be. Read the case material for the first time as soon as you have been allocated it as an assignment or seminar example. Get a general impression:Which