Starbucks Research Paper

1847 Words 8 Pages
Starbucks is a multinational company which has various operations in many countries around the world including Japan, malaysia, China and New Zealand all of which are member who belong to APEC. Bloomsberg, (2014) state they are a retailer which specializes in coffee and a variety of beverages. By foreign direct investment, licensing and also exporting they have been able to expand their operations and have performed successfully. However the globalization of this company within Japan also brings about the shrink of their domestic market. Regardless of the domestic struggle, starbucks continues to expand their operations in japan introducing new products and schemes. 1. Critically analyse how Starbucks entered Japan and how they have performed. …show more content…
C.E.O Howard schultz provides informative and strict training regimen to properly train and educate employees to provide excellent customer service. He has provided benefit programmes and stock options for employees which encourage productivity. This keeps employees happy and looks after their welfare which is an important and constantly argued point of MNC`s.

Market strategy:
Gaijin Pot, (2011) explains starbucks change their stores according to their customers within that area. e.g In the metropolitan area customers like to come alone and for longer periods of time, so they have made their seating arrangements more flexible. By doing so accommodates and retains customers and builds reputation. By analysing each region and making specific changes builds a strong competitive reputation in the market, and allows them to penetrate new ones.
Vara & Dhar, (2005) explain starbucks were able to succeed in an already saturated market by introducing new products into their menu. By incorporating strong western and japanese elements together, e.g a variety of green tea beverages, they were able to retain a strong market
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This gave Starbucks full control and used better experienced expatriates to better implement their strategies. Afolabi, (n.d) explains starbucks international (which is their international division) is comprised of mostly partnerships as oppose to subsidiaries with Japan and asia as their main targets. They choose these markets as they resembled their aims, had multiple market networks and valuable expertise. Some coffee bars have been localized in order to better fit the consumer and have resulted in store differentiation within a single

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