Business Research Methods -Starbucks
This business problem and optional proposal is designed to address the issues Starbucks is facing as a result of the increased competition and market saturation in the coffee industry. Using statistics to remedy the issue, Team C will develop a hypothesis to study using an appropriate sample pool as well as primary and secondary data sources. The outcome of the research will result in a final recommendation related to the problem and the hypothesis that was tested.
Subject ProblemIncreased competition and market saturation has caused Starbucks Coffee Company to reevaluate its business strategies in order to eliminate the closure of many of its stores in recentlyexpanded areas. Consumers are feeling the prices in their pocket and are mindful of the next dollar they spend.
Dependent and Independent VariablesA recent slump in sales and revenue has forced the coffee powerhouse company Starbucks to close several hundred stored over the last year and upcoming moths. The new sales plummet will be the dependent variable in our research of the independent variables and their effect of the overall sales.
When looking at Starbucks many recent events can be attributed to its sales drought such as the huge unemployment which can be defined as our independent variables. The first independent variable to consider is the over saturation of Starbucks 's locations across the country. Each Starbucks location needs a certain amount of profit to stay open, thus several locations will have to resort to closing
References: orporate Social Responsibilityhttp://www.starbucks.com/aboutus/csr.aspCraving a caffeine high, SMU opens Java City on campus as coffee houses battle to attract students off the Hilltop, by Melissa Cooper, retrieved on the internet at http://media.www.smudailycampus.com/media/storage/paper949/news/2003/01/16/News/Craving.A.Caffeine.High-2273665.shtmlStarbucks Case Study (2007). Retrieved on April 20, 2009 fromhttp://www.datamonitor.com/Products/Free/CompanyReport/CSCM0140/020CM0140.htmStarbucks Investors Relations - Annual Reporthttp://investor.starbucks.com/phoenix.zhtml?c=99518&p=irol-reportsAnnualStarbucks Corporationhttp://www.starbucks.com/aboutus/FY06_CSR_AR.pdfStarbucks Validates Commitment to Transparency in New Corporate Social ResponsibilityAnnual Report http://www.csrwire.com/News/2624.html