Visa Card Case Essay

843 Words Feb 22nd, 2016 4 Pages
Read the case titled "Starbucks, Bank One, and Visa Launch Starbucks Card Duetto Visa" in the Resources and address the following components in your assignment:
• Answer discussion questions 2 and 4 at the end of the case.
2. Build the management-research question hierarchy for this project.
Step 1: Management Dilemma
Is there a brand fit between credit card and Starbucks? How does the customer value the different benefits being offered by the Starbucks Duetto Visa card? How does the customer value "the give back to the community component"?
Step 2: Management Questions
If there is a match between the brand and the customers value the benefits of Starbucks Duetto Visa card, the card should be launched to as large an audience as
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Starbucks Duetto Visa card team should recruit a panel of Starbucks Cards users. The sample frame will be all present or past users of Starbucks Cards. The reason why this frame has been chosen is that these participants have already experienced the Starbucks Cards. It is necessary to know how additionally they will value the benefits and give back to the community component of the Starbucks Duetto Visa card.

• Describe any ethical issues that should concern Starbucks about this initiative.
There are strong ethical issues relate to Starbucks Duetto Visa card. Starbucks has joined banks and credit card companies in soliciting customers without regard for the consequences of high credit card debt for these customers. Ethical conflict of the sale of easy credit to Starbucks customers can too often result in high credit card debts for these customers. The promotions that Starbucks is using represent the unethical manner in which the Starbucks Duetto Visa card is being issued to coffee drinkers to promote its products. The purpose of issuing this card is to induce the customer to spend more than what she normally would have at Starbucks. For example, several of Starbucks customers are college students who are running up large balances and paying exorbitant interest on the balances.

• Summarize the use of qualitative data to support business decision-making. Consider different types of qualitative

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