Starbucks Coffee in the 21st Century Re
2. Recommendations Report
Contents
Introduction 2
Recommendations 2
Status to Date 3
Schedule 4
Financial Plan 4
Sustainability Considerations 4
Resource Plan 5
Relation to Strategic Plan 5
Communications Plan 6
Evaluation Plan 6
Risks and Approach 6
Additional Considerations 7
Conclusion 7
References 8
Introduction
Starbucks, one of the premier coffee brands across world is known to provide exceptional ‘Starbucks Experience’ to consumers through its wide-ranging products. The company has expanded its business well in USA and other countries and intends to maintain its position of market leader. Although its competitors are giving a tough competition to the company yet the innovative strategies adopted have helped it achieve a competitive advantage (Ryan, 2007). This report is based on making various recommendations as per the analysis of the key issues and challenges done in Report 1. These recommendations help the company to get a competitive advantage in the coffee market and maintain its position of being a premier coffee brand. Findings of the report reveal that strategies such as international expansion, employee training, more franchising and introduction of ‘loyalty cards’ can strengthen the image of the company in the coffee market and prepare it to confront various challenges.
Recommendations
There can be numerous recommendations that can help Starbucks confront the issues faced by the company in recent years. They can help the company to grow strategically and also become one of the most profitable coffee companies in world.
Expanding internationally: Starbucks has been depending heavily on American market. This is one of the most obvious reasons for the company to suffer from low sales. Hence, the company is self-cannibalizing its business in American market. Cannibalization refers to the negative impact of the company’s new product on existing market. Rather than focusing only on American market, Starbucks should open its stores in developing
Contents
Introduction 2
Recommendations 2
Status to Date 3
Schedule 4
Financial Plan 4
Sustainability Considerations 4
Resource Plan 5
Relation to Strategic Plan 5
Communications Plan 6
Evaluation Plan 6
Risks and Approach 6
Additional Considerations 7
Conclusion 7
References 8
Introduction
Starbucks, one of the premier coffee brands across world is known to provide exceptional ‘Starbucks Experience’ to consumers through its wide-ranging products. The company has expanded its business well in USA and other countries and intends to maintain its position of market leader. Although its competitors are giving a tough competition to the company yet the innovative strategies adopted have helped it achieve a competitive advantage (Ryan, 2007). This report is based on making various recommendations as per the analysis of the key issues and challenges done in Report 1. These recommendations help the company to get a competitive advantage in the coffee market and maintain its position of being a premier coffee brand. Findings of the report reveal that strategies such as international expansion, employee training, more franchising and introduction of ‘loyalty cards’ can strengthen the image of the company in the coffee market and prepare it to confront various challenges.
Recommendations
There can be numerous recommendations that can help Starbucks confront the issues faced by the company in recent years. They can help the company to grow strategically and also become one of the most profitable coffee companies in world.
Expanding internationally: Starbucks has been depending heavily on American market. This is one of the most obvious reasons for the company to suffer from low sales. Hence, the company is self-cannibalizing its business in American market. Cannibalization refers to the negative impact of the company’s new product on existing market. Rather than focusing only on American market, Starbucks should open its stores in developing
References: Ryan, C. (2007). “Starbucks a strategic analysis.”, International Journal of Strategic Management, pp. 67-100