Starbucks case

Topics: Starbucks, Coffee, Coffeehouse Pages: 1 (700 words) Published: April 28, 2015
Starbucks Corporation Case Analysis
Starbucks is one of the leading companies in the coffee industry, with more than 1,000 retail locations around the world. Starbucks is currently reviewing its strategy for the future success of the company. Starbucks stands out from its competitors because of the memorable experience that it offers to its consumers. However, Howard Shultz, the Chairman and CEO of Starbucks Corporation, is questioning whether it is growing in the best way possible and could they be overextending in the wrong direction?

Presently, Starbucks has a number of different product lines, partnered ventures, selling outlets, etc. However, has Starbucks overextended its growth and lost what is most important to their company strategy? Starbucks is known for the memorable experience that they offer their consumers, and this is seen through their extensive training programs offered to their employees. In order to continue growing in the best way possible, I believe that Starbucks needs to focus on what is important to the future sustainability of their company. Currently, Starbucks has numerous contracts with higher echelon restaurants and day-part chains. The case mentions this in a very small blurb as if it is not important to their future. However, as mentioned in the opening paragraph of the case, these higher echelon restaurants and day-part chains are a far cry from any Starbucks coffeehouse. If Starbucks hopes to continue growing because of its memorable experience then it should eliminate any opportunities or current ventures that have a negative impact on this.

I, as well as my friends will often end up in one of these higher echelon restaurants and day-part chains, because it is often the only coffee seller in the area. From my own experience at these shops, I can say that none of these places align with Starbucks’ brand image. In fact, they often have a negative impact on Starbucks’ brand. I find that when I purchase Starbucks’...
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