Business Management Essay
Business Management Essay
COMPANY: Starbucks
Subject; “Discuss the impact macro factors may place upon your chosen organisation in the future (1-5 years) and how the organisation may positively manage this”.
When speak from macro and micro perspective we must bear in mind that these are two different phenomenon’s. Micro factors can be described as factors that people and businesses keep in mind when making decisions concerning the allocation of resources, whereas macro factors can be described as the factors that are kept in mind when making decisions regarding not only specific companies but industries as a whole and economies, more over micro environmental factors are the one’s over which the business has control for example price, product and promotion whereas macro environmental factors are the one’s over which the business has no control as such as social, cultural, technological and political factors. Businesses operate in markets keeping in mind changing situations not only of their market conditions but also the trends of the economies that they operate in, so that they can adjust and survive in accordance with new situations because adaptation is a must for a business to survive and prosper otherwise a business might be forced to cease operations and shut down.
Starbucks is one of top five(Caribou coffee, Tully’s ,Coffee bean and tea leaf, Peet’s Coffee) businesses in a $11 billion industry. The coffee house industry grew from merely 500 stores in 1991 to over 40,000 in 2011. This shows how well adaptable the whole industry is to economic trends especially because these businesses stayed strong even in current economic downturn. When we discuss the impacts of macro factors on businesses and how well they are able to take advantage of most economic situations, Starbucks provides the best example because since it is a consistent brand therefore it cannot afford to change its marketing and its policies to suit a specific country therefore it must focus
COMPANY: Starbucks
Subject; “Discuss the impact macro factors may place upon your chosen organisation in the future (1-5 years) and how the organisation may positively manage this”.
When speak from macro and micro perspective we must bear in mind that these are two different phenomenon’s. Micro factors can be described as factors that people and businesses keep in mind when making decisions concerning the allocation of resources, whereas macro factors can be described as the factors that are kept in mind when making decisions regarding not only specific companies but industries as a whole and economies, more over micro environmental factors are the one’s over which the business has control for example price, product and promotion whereas macro environmental factors are the one’s over which the business has no control as such as social, cultural, technological and political factors. Businesses operate in markets keeping in mind changing situations not only of their market conditions but also the trends of the economies that they operate in, so that they can adjust and survive in accordance with new situations because adaptation is a must for a business to survive and prosper otherwise a business might be forced to cease operations and shut down.
Starbucks is one of top five(Caribou coffee, Tully’s ,Coffee bean and tea leaf, Peet’s Coffee) businesses in a $11 billion industry. The coffee house industry grew from merely 500 stores in 1991 to over 40,000 in 2011. This shows how well adaptable the whole industry is to economic trends especially because these businesses stayed strong even in current economic downturn. When we discuss the impacts of macro factors on businesses and how well they are able to take advantage of most economic situations, Starbucks provides the best example because since it is a consistent brand therefore it cannot afford to change its marketing and its policies to suit a specific country therefore it must focus