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By | October 2012
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Case study: Starbucks-going global fast
1. Identify the controllable and uncontrollable elements that Starbucks has encountered in entering global markets.
At all times, there are some elements occurred to be an uncontrollable elements to Starbucks organization itself in entering global market. The political, economy and cultural issues in the foreign countries can occurred at any time(sudden) and therefore, these are few elements which take into consideration when Starbucks trying to adapt into the foreign market. At any time, the foreign countries governments may change their fiscal and monetary policies which caused sudden change in Starbucks operation and with so, this given a big impact on Starbucks. As an example, during economic depression country like Japan, revised in customers' income and pulled down which caused Starbucks in losing instead of gaining profit or sales due to the coffee pricing. Besides, the increasing competition among rival shops in and natural disasters like SARS, H1N1, and etc disaster Japan might put Starbucks in risky business development. Fluctuations in world currency rates are one of the factors when Starbucks transform their profit to their home base market currency. In country such as France, Starbucks have to adapt into France's regulations and generous labor benefits which is legal and compulsory in order to enter into France market. In country like Vienna, their culture is different from any other country and this is due to the high number of young population who are always enthusiastic about the new things which appear around them and embrace the new. Therefore, the expansions of business of Starbucks in Vienna tend to be positive advantages. Controllable elements altered in the long run business in the foreign market. In common, the controllable elements usually are the marketing mix (4P's) which consist of price, place, products, and promotion. These elements face the same problems or almost similar with Starbucks...

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