Starbucks Case Study
Starbucks has been a household name for over 20 years. It is the largest coffee house in the world with over 17,000 stores in 50 countries (Wikipedia Website, 2011). How can a giant like Starbucks stay on top of the coffee market yet retain its personal small coffee house feel? Starbucks continuous strive and strategic management plans have proven beneficial in keeping to the goals of the organization. Strategic Management-Setting the Mission and Goals
The first step in the strategic management process is to identify the current goals of the organization (Coulter & Robbins, 2009). Starbuck’s original mission statement, as reported in the Jerusalem Post, was to "Provide a great work environment and treat each other with respect and dignity. Embrace diversity as an essential component in the way we do business. Apply the highest standards of excellence to the purchasing, roasting and fresh delivery of our coffee. Develop enthusiastically satisfied customers all the time. Contribute positively to our communities and our environment. Recognize that profitability is essential to our future success” (Klien, 1998). This statement has been challenged with the enormous growth and economical issues that Starbucks has faced over the last 40 years. In 2008, during the annual shareholder’s meeting in Seattle, Howard Schultz (Starbucks CEO) recognized that Starbucks had turned into a “commodity” instead of the personal coffee house experience that they originally intended (Besharov, Koehn, & Miller 2008). A new mission statement was born and a new plan set into motion to accomplish these goals. Starbuck’s new mission was simple; “to inspire and nurture the human spirit-one person, one cup and one neighborhood at a time” (Starbucks website, 2011). They aimed to do this by ethically growing and harvesting the best coffee available; treating their employees with respect and dignity; giving their customers a great coffee house...
Please join StudyMode to read the full document