Topics: Coffee, Starbucks, Caffeine Pages: 5 (1140 words) Published: December 30, 2014
There are the known international company that become the competitor for the Starbucks. There are: Coffee Bean & Tea Leaf
The endurance and popularity of The Bean, as it is affectionately referred to by devotees, can be attributed to the high standards that were established from the beginning. From trend-setting drinks like the World Famous Ice Blended, to the employees who become a part of the communities they work in, The Coffee Bean & Tea Leaf ® has discovered the formula for a successful coffee and tea company.

San Francisco Coffee
The company that serve fresh coffee sourced from the best coffee farms on this green earth and the roast master, uses company to concoct blends and roasts that have the people wringing their hands, anxious for their next hit.

Secret recipe
Secret Recipe Cakes & Café offers a friendly and personalised full-service dining experience for customers and incorporates a modern contemporary and vibrant interior concept with comfort ambience, and great food. It provides a great respite for customers to enjoy good food and quality time with friends, family or associates, after a long day at work.

Old town white coffee
To be Asia Pacific’s leading white coffee brand, providing high quality products to customers globally

All the competitors try to win the demand of the customer who loves to drink coffee. Each company have their own strategy and uniqueness of their product.

For the Starbucks micro and macro environment factor, we can use PESTEL element to evaluate and observed about the Starbucks. The (PEST) element included:

Political factors

The first factor which shall be kept in mind while studying the macro environment of Starbucks is the political aspect. It has been seen that, Starbucks has significant levels of presence in the coffee market. Starbucks consists of various types of products for government offices, corporate offices. The growth of Starbucks has increased and it means there are lots of demands about the Starbucks Coffee.

However, in certain country, the political try to avoid the Starbuck because some of the countries try to boycott the Israel product. The cases of the boycott make the Starbucks have problem for their expansion of the business. Indirectly, the political of the country will affect the performance and growth of the Starbucks.

Economic factors

Economic factors such as recession which hard a big impact to the different organizations also to the consumer ability to purchase their product due to been unemployed and having debts. The way income is distributed among the individuals impact the marketing activities such as higher income earners, middle and low earners. These economic factors influence marketing segmentation and decisions.

The exchange rate also will affect the Starbucks Company. When the currency decreases their value, it affects the monetary policies. Most of the supplier of the coffee comes from outsider. When the monetary decrease, it will affect the higher cost and the raw material become expensive. Finally, this situation makes the price of the Starbucks become expensive. It’s also become risk for Starbuck in making its coffee with the higher cost.

Social factors

Social factors that influence marketing decisions are such as demographic factors which is relating to the population where when the population increases creates good opportunity for the marketing activities but if it decreases results to great impact in the market. Age, marketers tend to target their market according to the number of age available in an area.

Behaviour also may influence the marketing decision where by some ethnics may not be able to purchase certain products due religion aspects also due to consumer’s different in taste, style and fashion some may like the products others may find them not attractive.

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