Cialis Case Study

External Analysis:

Nature of market:

From 2007 until 2011, Singapore's average annual GDP Growth was 5.51 %. The country’s GDP per capita is at $49,754, which is the third highest in Asia. Singapore has an array of restaurants, food centers, coffeehouses, and fast-food outlets that are easily accessible and offer a variety of foods at affordable prices. The market is characterized by the demand for coffee. Due to the high price of Starbucks coffee, demand for Starbuck’s coffee is more price-elastic than demand for normal coffee, which is more elastic than the demand for beverages. The first Starbucks coffee outlet in Singapore opened on December 14, 1996. Starbucks chose Singapore for its entry in the Southeast Asian market because of the highly westernized ideas and lifestyles. Despite the opportunities that exist for Starbucks in Singapore, competition is fierce with many players and stores in the market. Some of the biggest competitors of Starbucks are Spinelli, Suntec Dome Holdings, Coffee Club, Coffee Connection, Burke’s Coffee, The Coffee Bean & Tea Leaf, and McCafe. In 2010, the rise of the coffee drinking culture in Singapore was on the rise with the addition of new coffee chains such as Tokyo Deli Cafe and Tom n Toms. There was also a rise in new outlets for existing coffee chains such as Old Town White Coffee and Ya Kun Kaya Toast. Local consumers have plenty of options with restaurants, foodservice outlets and manufacturers offering a wide variety of coffee, in terms of flavours, ingredients, and types of coffee. The high density of coffee stores populated around Singapore resulted in an overall increase in coffee consumption. This resulted in a stronger growth of the coffee segment in 2010. [2] As local consumers become more affluent and travel more widely becoming more westernized, a rise in demand for fresh coffee in the off-trade channel over the forecast period is expected. A switch in consumer preferences from...