Starbucks Case Analysis Essay example

21168 Words Nov 12th, 2012 85 Pages
PLANET STARBUCKS

TABLE OF CONTENTS
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CONTENTS
Background Problem Identification Main Issue Narrow SWOT analysis Functional Area Analysis Alternatives Recommendation Implementation

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2 7 7 8 16 47 53 57

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PLANET STARBUCKS (A) ‘Group B’

BACKGROUND
About Starbucks: Starbucks is one of the finest coffee stores, popular among its customers for its aura with a very comfortable atmosphere to relax and the first rate music it plays. As in the 1990s, it is a store which has been almost everywhere throughout the United States and Canada. Starbucks was founded in Seattle by Gerald Baldwin, Gordon Bowker, and ZievSiegl in 1971. It started its operations as a gourmet coffee bean roaster and distributor. Howard Schultz joined
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The Starbucks Effect was a term that stood for every excellence in the coffee industry not only in terms of selling products of premium quality but also in terms of the delivery methods. Starbucks did more for its customers than just providing them with good, differentiated coffee, it also made its
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PLANET STARBUCKS (A) ‘Group B’ customers familiar to products they were not accustomed to, thus winning their loyalty through a sense of discovery. Product and Service: Starbucks even worked meticulously on creating a differentiated atmosphere for its customers to give them the Starbucks Experience. And for this it had to go far beyond just being a coffee house or a coffee brand. The employees made sure that they keep their customers engaged with their various services like special deliveries, special pastries and selected music to create warmth and comfort. They made their customers feel that they were not at home, not at work but at a third place. The maintenance and development of this quality experience required a strong organizational commitment which was facilitated by Howard Behar who joined the company as the director of store operations in 1989. Behar refocused much of the Starbucks development away from the pure product itself—coffee, to the consumer‘s experience in a Starbucks. To make sure that

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