Value Chain Analysis for Starbucks
Cereal Industry: Global, Irish and European
Market Size and Growth Rate:
Global Figure 1 (Appendix...1)
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Year Market Size (Billion) Growth % $ 2004 21.6 2005 22.3 3.20 2006 23.0 3.30 2007 23.8 3.30 2008 24.5 3.30 2009 25.3 3.30 2010 26.2 3.30 2011 27.0 3.30 2012 27.9 3.20 2013 28.7 3.10
CAGR, 2004-2008: 3.3%
European Figure 1.1 (Appendix...1.1)
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Year Market Size (Billion) Growth % € 2004 4.5 2005 4.5 1.20 2006 4.6 1.30 2007 4.7 1.30 2008 4.7 1.30
CAGR, 2004-2008: 1.3%
Figure 1.2
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%Market Share (Company’s)
Number of Rivals (Appendix...2)
Global, European and Irish Markets are oligopolies; they are dominated by a few large companies.
Global European Irish (Hot Cereals)
Kellogg’s Kellogg’s Flahavan’s
General Mills Cereal Partners Worldwide Odlum’s
Kraft Weetabix Ltd Kelkin Other Other
(Breakfast Cereals Industry Profile: Europe 2009), (Breakfast Cereals Industry Profile: Global 2009)
Scope of Competitive Rivalry (Appendix...3) * The scope of competitive rivalry is multinational
Buyer needs and requirements (Appendix...4) * Supermarkets/Hypermarkets – need to meet consumer demand * Catering companies – need to buy in large bulk capacity * Hospitality industry – need smaller individual selection of boxes to meet consumer needs * Individual customers – all have different needs and requirements (taste preferences or health reasons)
Degree of product differentiation (Appendix...5) * Packaging – Different
Market Size and Growth Rate:
Global Figure 1 (Appendix...1)
-------------------------------------------------
Year Market Size (Billion) Growth % $ 2004 21.6 2005 22.3 3.20 2006 23.0 3.30 2007 23.8 3.30 2008 24.5 3.30 2009 25.3 3.30 2010 26.2 3.30 2011 27.0 3.30 2012 27.9 3.20 2013 28.7 3.10
CAGR, 2004-2008: 3.3%
European Figure 1.1 (Appendix...1.1)
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Year Market Size (Billion) Growth % € 2004 4.5 2005 4.5 1.20 2006 4.6 1.30 2007 4.7 1.30 2008 4.7 1.30
CAGR, 2004-2008: 1.3%
Figure 1.2
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%Market Share (Company’s)
Number of Rivals (Appendix...2)
Global, European and Irish Markets are oligopolies; they are dominated by a few large companies.
Global European Irish (Hot Cereals)
Kellogg’s Kellogg’s Flahavan’s
General Mills Cereal Partners Worldwide Odlum’s
Kraft Weetabix Ltd Kelkin Other Other
(Breakfast Cereals Industry Profile: Europe 2009), (Breakfast Cereals Industry Profile: Global 2009)
Scope of Competitive Rivalry (Appendix...3) * The scope of competitive rivalry is multinational
Buyer needs and requirements (Appendix...4) * Supermarkets/Hypermarkets – need to meet consumer demand * Catering companies – need to buy in large bulk capacity * Hospitality industry – need smaller individual selection of boxes to meet consumer needs * Individual customers – all have different needs and requirements (taste preferences or health reasons)
Degree of product differentiation (Appendix...5) * Packaging – Different