Analysis for Starbuck’s Future

Analysis for Starbuck’s Future

BUS 402

Instructor

July 10, 2011

Analysis for Starbuck’s Future

Synonymous with coffee is in the twentieth century is Starbuck’s. How did it come to be? What were the tell-tale signs that would make a little known coffee store a near house hold name in the next two decade? One may express its success as nothing more than marketing ploy and the wherewithal to dominate street corners and strip malls by strong financial backing and a desire to see growth happen. This paper aims to answer these questions and describe a path Starbuck’s has taken for its success and its view for the future of the coffee conglomerate.

In conducting the future of Starbuck’s an analysis is considered by the acronym SWOT (strengths/weaknesses/opportunities/threats). Strength in numbers and a sheer determination to succeed beyond 9 coffee stores was the motto of Howard Schultz, Starbuck’s founder, chairman of the board and global strategist as related in Case: Starbucks’ Global Quest 2006: Is the Best Yet to Come? (Marcus, 2011). When there are models out there borrowed on the successes of a company such as Starbuck’s one may see what its strengths actually are. According to Caulfield (2001) Rona Home Solutions in Ontario mimicked the format of that of The Gap, the Great Indoors and Starbuck’s in their stores. Stated plainly, the furniture outlet “borrowed” décor set-up and marketing strategies from Starbuck’s in laying out their displays. The ambience and character found at each espresso store location developed by Starbuck’s is unique and a recipe for success.

Weaknesses within the Starbuck’s community may lie in the area where baristas move on to other opportunities, so do their loyal customers move on as mentioned in Case: Starbucks’ Global Quest 2006: Is the Best Yet to Come? (Marcus, 2011). Part of the reason for the turnover may reside in...