STARBUCKS CASE STUDY Final
Ralston O. Lewis
MKT-651
Starbuck’s Case Study
Cornerstone University
12/11/2014
Introduction
Just before the market went into trouble in 2007, Starbucks was facing its own trouble, as the company had two quarters of flat growth in the store sales, experiencing its first decline in the fourth quarter. The increased gas prices affected the coffee chain and its competitors. Howard Schultz, former CEO of Starbucks from 1987 to 2000, was called back to aid with the restoration of the coffee chain.
The primary purpose of this paper is to analyse how the changing consumer experience affected Starbucks market opportunities.
The paper will also look at how the changing competitive landscape is affecting Starbucks’ marketing opportunities. And finally, how external circumstances can affect Starbucks’ marketing opportunities,
Analysis
Howard Schultz was a visionary, he wanted to create a romance with coffee. This idea was similar to coffee bars in Italy. He wanted a place where customers could have a relationship with the coffee and coffee bar. He believed that coffee was a social aspect which would create a link between the customer and Starbucks, if done right.
How are external circumstances affecting Starbucks’ marketing opportunities?
There are many external circumstances that is affecting Starbucks performance in the market, some of which include rise in fuel cost expansion, competition, and accessibility. The coffee chain had grown rapidly within a short time in-order to satisfy Wall Street requirements. The fact that Starbucks had doubled its pace of expansion while already being rapidly growing changed the profile of consumers, as well as the brand perception.
The rapid growth prevented the store from Howard Schultz ultimate vision of making the coffee chain a place where customers can have a relationship with coffee; rather the store has become a quick grab and go process. Accordingly to the case study, the more accessible the store
MKT-651
Starbuck’s Case Study
Cornerstone University
12/11/2014
Introduction
Just before the market went into trouble in 2007, Starbucks was facing its own trouble, as the company had two quarters of flat growth in the store sales, experiencing its first decline in the fourth quarter. The increased gas prices affected the coffee chain and its competitors. Howard Schultz, former CEO of Starbucks from 1987 to 2000, was called back to aid with the restoration of the coffee chain.
The primary purpose of this paper is to analyse how the changing consumer experience affected Starbucks market opportunities.
The paper will also look at how the changing competitive landscape is affecting Starbucks’ marketing opportunities. And finally, how external circumstances can affect Starbucks’ marketing opportunities,
Analysis
Howard Schultz was a visionary, he wanted to create a romance with coffee. This idea was similar to coffee bars in Italy. He wanted a place where customers could have a relationship with the coffee and coffee bar. He believed that coffee was a social aspect which would create a link between the customer and Starbucks, if done right.
How are external circumstances affecting Starbucks’ marketing opportunities?
There are many external circumstances that is affecting Starbucks performance in the market, some of which include rise in fuel cost expansion, competition, and accessibility. The coffee chain had grown rapidly within a short time in-order to satisfy Wall Street requirements. The fact that Starbucks had doubled its pace of expansion while already being rapidly growing changed the profile of consumers, as well as the brand perception.
The rapid growth prevented the store from Howard Schultz ultimate vision of making the coffee chain a place where customers can have a relationship with coffee; rather the store has become a quick grab and go process. Accordingly to the case study, the more accessible the store
References: dunkindonuts.com. (2014). Company Snapshot. Retrieved from dunkindonuts.com: http://www.dunkindonuts.com/content/dunkindonuts/en/company.html finance.yahoo.com. (2014). Starbucks Corporation (SBUX) . Retrieved from finance.yahoo.com: http://finance.yahoo.com/q/co?s=SBUX+Competitors