Starbucks Case Study

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STARBUCKS
Case Study

Alex Cochran May 2003

Starbucks – A Case Study. Table of Contents

Alex Cochran 2003

Executive Summary..................................................................................................................................3 Market Segmentation ...............................................................................................................................4 Methods of Segmentation................................................................................................................4 Lifestyle Segmentation in the Specialty Coffee Market ..............................................................5 Segments ................................................................................................................... 5 Identifiable ................................................................................................................ 6 Sizeable...................................................................................................................... 6 Actionability .............................................................................................................. 6 Accessibility ............................................................................................................... 7 Sustainable Competitive Advantage......................................................................................................8 The Path to Protection. ....................................................................................................................8 Raising the Bar – Starbucks Advantage.........................................................................................8 Customer Loyalty....................................................................................................... 9 Location .................................................................................................................. 10 Vendor & Supply Chain Relations ........................................................................... 10 Effective, Committed Employees ............................................................................ 11 Low- Cost Operations ............................................................................................. 12 Leveraging Partnerships ........................................................................................................................14 Developments. .................................................................................................................................14 Serving Starbucks..................................................................................................... 14 Product Developments ............................................................................................ 15 Store Developments ................................................................................................ 16 A Successful Mix..............................................................................................................................17 Preserving the Brand Equity & Gaining Growth.............................................................................18 Brand Image .....................................................................................................................................18 Brand Equity ........................................................................................................... 18 Brand Essence. ........................................................................................................ 18 Brand Identity.......................................................................................................... 18 Brand vision and culture .......................................................................................... 18 Positioning............................................................................................................... 19...
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