Starbucks Case Analysis
Table of Contents
Synopsis of the Situation………………………………………………………………..3
Key Issues……………………………………………………………………………….3
The Problem & the Opportunity…………………………………………………………4
Alternative Solutions…………………………………………………………………….5
Solution to the Problem………………………………………………………………….6
Implementation/Recommendations……………………………………………………...7
References……………………………………………………………………………….8
Synopsis of the Situation
Starbucks began as a single coffee house located in Pike Place Market in 1971. In 1987, its current chairman, president, and CEO, Howard Schultz, purchased the company with the help of some investors, and the Starbucks that virtually everyone knows today was born (“Our heritage”, 2013). Now in over 62 countries worldwide, it is probably the most successful coffee shop in the world.
Being so successful, this was a difficult case to analyze. The one issue I could think of was that Starbucks is known primarily for its coffee, along with a few specialty drinks (often seasonal), so I think that to become even more successful, Starbucks should promote some of its lesser known products. This could potentially bring in a whole new customer base.
Key Issues
The issue that I have identified for Starbucks is its lack of marketing for the products that they carry, coffee excluded. I think that if Starbucks began to market and promote their other menu items, such as their sandwiches, bakery products, teas, and energy drinks, they could reach a whole new market that could make them millions more than they already bring in annually. I am basing this opinion partially on myself; I have only been to Starbucks two or three times, not being a coffee drinker. I believe I remember ordering some kind of tea that was very good, and a specialty drink if I’m correct. Being that this was a number of years ago, I do not recall if I saw any food there (I don’t think I remember seeing any).
One other issue that I can identify is the cost of their products. I
Synopsis of the Situation………………………………………………………………..3
Key Issues……………………………………………………………………………….3
The Problem & the Opportunity…………………………………………………………4
Alternative Solutions…………………………………………………………………….5
Solution to the Problem………………………………………………………………….6
Implementation/Recommendations……………………………………………………...7
References……………………………………………………………………………….8
Synopsis of the Situation
Starbucks began as a single coffee house located in Pike Place Market in 1971. In 1987, its current chairman, president, and CEO, Howard Schultz, purchased the company with the help of some investors, and the Starbucks that virtually everyone knows today was born (“Our heritage”, 2013). Now in over 62 countries worldwide, it is probably the most successful coffee shop in the world.
Being so successful, this was a difficult case to analyze. The one issue I could think of was that Starbucks is known primarily for its coffee, along with a few specialty drinks (often seasonal), so I think that to become even more successful, Starbucks should promote some of its lesser known products. This could potentially bring in a whole new customer base.
Key Issues
The issue that I have identified for Starbucks is its lack of marketing for the products that they carry, coffee excluded. I think that if Starbucks began to market and promote their other menu items, such as their sandwiches, bakery products, teas, and energy drinks, they could reach a whole new market that could make them millions more than they already bring in annually. I am basing this opinion partially on myself; I have only been to Starbucks two or three times, not being a coffee drinker. I believe I remember ordering some kind of tea that was very good, and a specialty drink if I’m correct. Being that this was a number of years ago, I do not recall if I saw any food there (I don’t think I remember seeing any).
One other issue that I can identify is the cost of their products. I
References: Our heritage. (2013). Retrieved from http://www.starbucks.com/about-us/our-heritage Grewel & Levy. (2013). Marketing. New York, New York: McGraw-Hill/ Doyle, Jane. (2013). Key marketing factors for business. Retrieved from http://smallbusiness.chron.com/key-marketing-factors-businesses-26086.html Chritton, Susan. (2013). How to reach your target market. Retrieved from http://www.dummies.com/how-to/content/how-to-reach-your-target-market.html Dizik, Alina. (2013). 10 Questions to ask before determining your target audience. Retrieved from http://www.entrepreneur.com/article/226360