Starbucks Knowledge Management

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Starbucks Success in Innovation

José Alfonso Espinosa Galnares

Jones International University

September 25th, 2010


The research and development department is an area of the company that is considered really important in companies especially in global business. In globalized businesses R&D is something that should really be considered in order to be successful in any country. Starbucks has been developing different R&D strategies in the countries in which they have settled. For example in Starbucks China they have created different strategies in order to become successful in which drinking coffee is still seen as an event and not as a necessity (Bardsley, 2010). Also they have to put emphasis in that development because Chinese population is more a tea drinking society rather than a coffee drinking population (Starbucks).

The main Starbucks R&D units are located in their principal headquarters. This office is located in The United States of America in the city of Seattle, Washington, same city where Starbucks was founded and now has more than 4,500 stores. Recently this year the coffee company change its R&D vice-president; making Mary Wagner the new person in charge (QSR, 2010). She will not only be in charge of the local innovations, but also of taking care about what the consumers need. The main areas in which Starbucks concentrates in order to innovate are (Taghred Khattab):

* Coffee science
* New technology
* Equipment Technology
* Product Development
* Menu Development
* Coffee Quality Assurance
* Sensory Science

Starbucks try to locate their and R&D units in countries that exceed certain amount of stores, or in countries that they have been having a good future development. Usually these offices start in the regional agencies and if they shop capacity they can create their local bureau. Starbucks China is no exception to this; they started in...
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