Macro Environment Analysis

Good Essays
Coffee shops depend on the consumption of large amounts of fossil fuels and natural resources. Most Starbucks stores are located in areas where coffee is not cultivated, thus coffee must be transported thousands of miles. And with more than 4,500 of Starbucks shops in 47 countries, extensive resources must be used to construct, heat, cool and power these stores.

Starbucks has been under strong criticism recently because of wasteful water practices. Water ran continuously on dipper wells, which are used to wash utensils. This added up to an estimated 6.2 million gallons of water wasted each day. In response, the company is exploring alternatives to the dipper well system, some of which have been put in place this year. Starbucks also said it plans to conduct a comprehensive water footprint audit in 2009 to get a clearer picture of its water use and ways it might be reduced.

On a brighter note, Starbucks recently announced a goal to reduce energy use by 25 percent and purchase enough renewable energy credits for 50 percent of its energy needs by 2010. The company is working with the U.S. Green Building Council to create a prototype for a LEED (Leadership in Energy and Environmental Design) Silver certified store that can be duplicated across its portfolio. A standardized design would allow Starbucks to utilize green building principles for many stores in a more cost-effective manner. It does, however, limit use of location-specific green building practices that might be ideal in one climate or setting but not in another.

Macro-Environment Analysis
An enterprise successful outcome does not only rely on the effective managing methods of the organization. There are a lot of factors involved on how businesses behave on market. It is a matter considering all the possible aspects around the enterprise.
The macro environment is composed of the external and uncontrollable factors that affect the performance, strategies and decision making of an enterprise. These include



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