Starbucks
1. What type of a business is Starbucks?
Starbucks is a coffee retailer that owns its own outlets and provides licenses to outsiders to open outlets. At these outlets, they provide premium coffee and food products while bringing, "the idea of the French and Italian cafe into the busy North American lifestyle." Ironically, while the idea was to bring the French and Italian cafe concept to North America, they have -- through international expansion -- brought this to idea to countries across the globe, including France and Italy. They operate three main segments worldwide: United States, International, & Global Consumer Products. The "Global Consumer Products" segment refers to prepared beverages, coffee beans, and other branded items sold at grocery outlets.
2. Are they at a start-up stage, growth stage, mature stage, or declining stage?
Even though Starbucks seems to already be on every corner within the United States-- over 9,200 company operated stores and nearly 7,500 stores run by licensees domestically & internationally-- the company continues to experience impressive growth. According to the text, "prior to 2008, Starbucks had generated impressive revenue growth rates of 20.9 percent in fiscal 2007 and 22.2 percent in fiscal 2006." Poor financial performance attributable to the great recession is not reason to think that Starbucks will not continue to flourish once the economy turns around. It is because of this that I believe Starbucks is still at the growth stage.
3. How have they grown in a past few years?
The great recession was responsible for one of Starbucks first poor financial performances in years in 2008. While the prior 2 years saw growth rates exceeding 20% annually, Starbucks still grew over 10% during the recession. One important detail to add involves a move towards restructuring. In 2008, Starbucks made an important decision to shut down approximately 600 poorly performing outlets. Of these, 205 were closed in
Starbucks is a coffee retailer that owns its own outlets and provides licenses to outsiders to open outlets. At these outlets, they provide premium coffee and food products while bringing, "the idea of the French and Italian cafe into the busy North American lifestyle." Ironically, while the idea was to bring the French and Italian cafe concept to North America, they have -- through international expansion -- brought this to idea to countries across the globe, including France and Italy. They operate three main segments worldwide: United States, International, & Global Consumer Products. The "Global Consumer Products" segment refers to prepared beverages, coffee beans, and other branded items sold at grocery outlets.
2. Are they at a start-up stage, growth stage, mature stage, or declining stage?
Even though Starbucks seems to already be on every corner within the United States-- over 9,200 company operated stores and nearly 7,500 stores run by licensees domestically & internationally-- the company continues to experience impressive growth. According to the text, "prior to 2008, Starbucks had generated impressive revenue growth rates of 20.9 percent in fiscal 2007 and 22.2 percent in fiscal 2006." Poor financial performance attributable to the great recession is not reason to think that Starbucks will not continue to flourish once the economy turns around. It is because of this that I believe Starbucks is still at the growth stage.
3. How have they grown in a past few years?
The great recession was responsible for one of Starbucks first poor financial performances in years in 2008. While the prior 2 years saw growth rates exceeding 20% annually, Starbucks still grew over 10% during the recession. One important detail to add involves a move towards restructuring. In 2008, Starbucks made an important decision to shut down approximately 600 poorly performing outlets. Of these, 205 were closed in