This cooperation replied on both parties advantages; it helped to Starbucks strengthen the localization of innovation ability for ready-to-drink beverage product lines and better to meet the needs of Chinese customers.
To be better understanding the current market situation of Starbucks bottled coffee product in Chinese market. Following are the SWOT and PORTER FIVE FORCES analysis.
2.1 SWOT analysis for Starbucks
T able 1: SWOT analysis
Strengths Weakness Brand awareness is very high in China
Upper& middle class consumer recognized very well
Distribution channel is strong after cooperate with master kong.
Strong market position, especially in big city (Shanghai, Beijing, Hong kong) in China.
Single product can’t meet variety need of local consumer
Supplier chain is not strong
Price is high
weak innovation and creativity for coffee and coffee related products
Opportunities Threats High demand of coffee drink in China, especially bottled , fast consuming package.
Develop in small and middle city in China, the salary and market is