| STARBUCK´S SUCCESS CONCEPT |
Table of Content
1. Organization´s Historical Development 3
2. Introduction and Facts about Starbucks 4
3. Impact on Business Trade 7
4. Strategic Issue Analysis 8
5. SWOT Analysis 9
5.1 Strengths 9
5.2 Weaknesses 10
5.3 Opportunities 11
5.4 Threats 12
6. Conclusion & Future Trends 13
1. Organization´s Historical Development
In 2011 the worldwide most well known coffeehouse company celebrated their 40th anniversary. Worldwide, approximately 35 million customers visit a Starbucks coffeehouse each week. Starbucks Coffee Company was founded in ...view middle of the document...
The store primarily focused more on the sale of beans and coffee equipment than on selling coffee to drink in a store or even a coffee to go. For years the company stayed small and regional and there has not been much of a special coffee market nationwide yet. In 1988, the owners sold the company to Howard Schulz. Schultz's adventure with Starbucks started in 1981 when he traveled from New York City to Seattle to check out a popular coffee bean store called Starbucks that has been buying many of the Hammarplast Swedish drip coffeemakers he was selling. Howard Schultz´s first experience was similar as with most customers that walk into a Starbucks store: He immediately fell in love. However Schulz did not fall in love with carefully chosen coffee beans that make the coffee well tasting. Mr. Schulz fell in love with the unique culture, individualism, and the special opportunity for success through the Starbucks Coffee Company Stores, since the company only consisted of a three-store chain. Mr. Schultz was convinced that he wanted to be a part of such a great company and agreed with the owners about becoming Starbucks director of Marketing. After one year at Starbucks, Howard Schultz decided to travel to Milan, Italy where he immediately realized and experienced that coffee bars were able to provide a location for socializing and relaxing (Griffin & Moorhead, 2007, pg. 54). He believed that this was a new culture that could soon fulfill a social aspect that restaurants and shopping malls failed to address in the United States (Griffin & Moorhead, 2007, pg.54). When Mr. Schultz returned home he presented the owners the newly gained idea to enter the highly competitive restaurant business market in the USA. The owners refused Schultz’s idea, which led him to seek new opportunities in the coffee bar business. So Mr. Schultz went on and found a successful coffee bar business and subsequently eighteen months later, used the earned profits to buy the Starbucks Company (Griffin & Moorhead, 2007).
2. Introduction and Facts about Starbucks
"Rewarding everyday moments". The Starbucks Mantra clearly implies that they are not selling just coffee they maintain to sell the coffee experience. The well-appointed coffeehouses sell sterling coffee and also give customers an ambience where they can be themselves. Starbucks advertises themselves as the third place between home and office. A new spot for people to escape, relax, read, chat or study. With the company’s clear core values towards providing quality coffee, the best service and atmosphere, Starbucks has enjoyed great success since it was founded 40 years ago. The company has received numerous awards for their outstanding business practices. Fortune Magazine has ranked them as one of “The Best 100 Companies to Work For” in 1998, 2000, 2002, and 2012 (Starbucks recognition, 2012). The Starbucks Corporation is a very profitable organization since the company made a revenue of $13,29 billion...