Case 1-1: Going Global Fast
Case Study 1-1
Starbucks- Going Global Fast
Starbucks is one of the world’s largest success stories when it comes to the business world. What began as a little shop in Seattle has turned into more than a house hold name; it’s a name that everyone everywhere can associate with. Even if you have never stepped foot in a store, or don’t drink coffee at all you know the name. Starbucks has spread into global markets in the last few years, and with its U.S. ventures has been received very well, even in cities that weren’t forecasted to have open arms for the corporate giant. There really is nowhere for the company to go but up, especially at this time, Starbucks survived the recession, and along with a few other businesses all across the world they are holding their heads high, saying we are still here and ready to serve you.
With the expansions to foreign markets Starbucks has been met with many uncontrollable elements, most of which is anticipated by marketers and can be met head on and worked out by using controllable elements. Expanding to any foreign market is a complicated task, let alone to do it on such a mass level as Starbucks has, and in such a short amount of time. They are now taking up market shares in 44 different countries (if not more), and doing so with an average profit of thirty percent each year. While the uncontrollable elements the corporation has faced are diverse depending on the country in which you are analyzing, they share allot of similar characteristics. Some of the uncontrollable elements found in different countries that Starbucks inhabits are listed below, along with the controllable elements that can be used to solve them: * Economic forces- the company has to take into consideration the nature and direction of the economy in a particular country. When planning its strategy for a particular location Starbucks has to take consumption patterns into consideration. Starbucks has overcome this problem by saturating the market,
Starbucks- Going Global Fast
Starbucks is one of the world’s largest success stories when it comes to the business world. What began as a little shop in Seattle has turned into more than a house hold name; it’s a name that everyone everywhere can associate with. Even if you have never stepped foot in a store, or don’t drink coffee at all you know the name. Starbucks has spread into global markets in the last few years, and with its U.S. ventures has been received very well, even in cities that weren’t forecasted to have open arms for the corporate giant. There really is nowhere for the company to go but up, especially at this time, Starbucks survived the recession, and along with a few other businesses all across the world they are holding their heads high, saying we are still here and ready to serve you.
With the expansions to foreign markets Starbucks has been met with many uncontrollable elements, most of which is anticipated by marketers and can be met head on and worked out by using controllable elements. Expanding to any foreign market is a complicated task, let alone to do it on such a mass level as Starbucks has, and in such a short amount of time. They are now taking up market shares in 44 different countries (if not more), and doing so with an average profit of thirty percent each year. While the uncontrollable elements the corporation has faced are diverse depending on the country in which you are analyzing, they share allot of similar characteristics. Some of the uncontrollable elements found in different countries that Starbucks inhabits are listed below, along with the controllable elements that can be used to solve them: * Economic forces- the company has to take into consideration the nature and direction of the economy in a particular country. When planning its strategy for a particular location Starbucks has to take consumption patterns into consideration. Starbucks has overcome this problem by saturating the market,
Cited: * http://www.academicmind.com/unpublishedpapers/business/marketing/2002-04-000aag-catching-the-starbucks-fever.html * http://www.businessweek.com/globalbiz/content/jul2008/gb2008072_462789.htm * http://marketingteacher.com/swot/starbucks-swot.html