Trouble Brews at Starbucks Case Study Analysis

Final Case Study Aguilar, Cristina Marie Starbucks Coffee, Tea, and Spice Company was founded in Seattle in 1971 by Jerry Baldwin, Gordon Bowker, and Zev Siegl, three guys with a passion for dark roasted, Europeanstyle coffee. They realized that coffee is more than a bland beverage because it has rich and sensuous flavor if roasted and brewed correctly. Starbucks successfully developed a devoted, local customer base and Howard Schultz, who joined the company in 1982, saw a bigger vision for Starbucks especially after he visited Milan for a trade show. After acquiring Starbucks, Schultz started his vision in recreating the Italian coffee bar culture in America by making a personal relationship between customers and coffee. Schultz positioned Starbucks as the “Third Place”, the place between home and work where people can gather, relax and interact with one another. Starbucks have a diverse target market but considering Schultz vision for Starbucks, he wants to capture the consumers who loves to drink high quality of coffee as they unwind and interact in the comfortable space of Starbucks with their family, friends, and co-workers. He wanted to build a camaraderie between customers, who knew each other well, and the barista, who was performing with a flair just like the way he saw it in the Italian coffee bars. Starbucks built the company based on their strong beliefs and values that they have shared to their employees and to their customers. I think Starbucks became successful because of the value they have shared to their customers by engaging with the customers on a deep and emotional level by connecting with them and understanding their needs. Segmentation Target Group Positioning Consumers who loves to drink high-quality of coffee and hang-out Youth and Adults in the middle and higher income groups The place between home and work where people can gather, relax and interact with one another.

1 | Trouble Brews at Starbucks

Final Case Study Aguilar, Cristina...