Starbuck Strategic Diamond

Topics: Starbucks, Coffee / Pages: 3 (640 words) / Published: Nov 8th, 2013
Starbucks Case Study
Arenas
Product: Coffee drinks; paraphernalia for the preparation of coffee; breakfast menu(some locations); Frappuccino; Ice cream
Market: A high income segment of young and college educated adults; a group that tends towards higher luxury consumption levels
Geography: Globally
Core Technology: Marketing and Branding; Standardization of product
Value of Creation: Strict quality controls in its coffee sourcing and customer service; Free Wi-Fi; cozy atmosphere; rich taste of coffee, reliability and quick service
Vehicle
Internal Development: Expansion of the company both domestically and internationally. After opening several stores within the United States, Starbucks decided to explore and penetrate the European and Asia market. Overseas expansion began with stores location in Japan, Hawaii and Singapore. Behind the United States, China is seen as the country that will have the most Starbucks locations
Partnership: 40% of overseas stores are cooperated; Partnership with Dreyer’s to sell Starbucks Ice Cream. Partnership with Pepsi-Cola to sell bottled Frappuccino beverages; Partnership with Kraft foods for the distribution of Starbucks coffee into supermarkets; Partnership with apple by which customers could download itunes via wireless connection between both companies.
Subsidiary: Starbuck Coffee Singapore
Property Acquisition: The company acquired UK based Seattle Coffee Company; Acquired Torrefazione, Pasqua Coffee Co and Tazo Tea
Licensing: 60% of the 4,558 stores oversees are licensed
Differentiations
Starbuck experience! A place to sit down and relax as long as one wishes. This is different from the environment competitions like Dunkin and McDonalds creates, which is usually fast paced crowd.
Brand establishment: what sets Starbucks apart from its competitors is its high end atmosphere with an affluent customer base.
Predictability of store locations. If you are in the city you can predict to find a store location just

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