Starbucks' International Operation

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Agenda
• Company Overview • Starbucks’ International Operation • Problem which Starbucks face in International market.

Company Overview
The Starbucks Story
Their story began in 1971.Back then they were a roaster and retailer of whole bean and ground coffee, tea and spices with a single store in Seattle’s Pike Place Market. Today, they are privileged to welcome millions of customers through our doors every day, in more than 16,000 locations in over 50 countries.

Starbucks Mission
To inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.

Company Overview
Product Lines


• Beverages (Coffee, Tazo Tee, Soda, Juices) • Pastries • Whole coffee beans • Coffee – Related hardware and equipment • Merchandises



Howard Schultz, CEO of Starbucks

Starbucks’ International Operations

Starbucks’ International Operation
When the US market reaching saturation Starbucks could no longer depend on the U.S. market to growth. Analysts felt that to maintain its growth rates and to boost revenues, Starbucks should venture abroad. They decided to enter the Asia Pacific Rim market first. And the first country that day choose is Japan and successful with “no smoking rules” in it’s place

Starbucks’ International Operation
Starbuck apply 3 pronged strategy to make an entry to international market. 1. Joint venture : Asia pacific country 2. Licensing : Middle East Country

3. Wholly owned subsidiaries : Canada

Problem which Starbucks faces in International market
• The volatile political environment.

• A boycott of American goods & services. • Criticism from non-governmental organizations (NGOs) • Stiff competition • Store traffic in Japan.

How Starbucks solve each problem
• The volatile political environment ,Starbuck solve this problem by licensing it’s product. • A boycott of American goods and services, Starbucks distance itself from Schultz’ comments, saying that they represented his personal...
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