Starbucks Marketing Analysis
Executive summary .1
In 1971 three partners Jerry Baldwin, Gordon Bowker and Zev Siegl opened up a small coffee shop called Pequod, but this name was rejected by some of the current stakeholders and renamed Starbucks.
Starbucks has since grown into a multinational super chain that occupies over 20,000 stores, across 61 different countries. The company’s main objective is to be the “worlds most recognized and respected brand across the globe”.
By working with this goal Starbucks has a strong, positive brand image, engaging customers with every sale, and making an impact on local communities, whilst expanding its product range and development to customers. Starbucks will have to improve their promotional methods as well as products in order to take control of more market share.
Environmental Analysis 2.0
Political issues 2.1a
Tariffs and International Trade regulations:
* Multinational companies such a Starbucks will still be affected as they operate in over 50 countries around the globe. * APEC, G20 and the CAIRNS Group for agriculture are aiming to find new methods in which they are able to reduce current tariffs * Importing from different countries. Thus effecting is sales around the globe.
Government Stability:
* Introduce stores to the Middle East. They were then put under pressure to discontinue their sales due to disheartening boycotts.
* Rumor has caused for local economies and residents to lead violent situations involving their stores, employees and customers.
* Funding to the Israeli military for weapons against middle east.
Economical Influences 2.2a
Exchange rates
* If the dollar falls due to an economic recession, effects such as rise in tariffs, (coffee beans, Sugar etc.) * Prices inflate thus affecting the consumers as extra costs may be added. * Customers may go to local competitor for cheaper more affordable coffee as they may source locally grown beans or cheaper quality
In 1971 three partners Jerry Baldwin, Gordon Bowker and Zev Siegl opened up a small coffee shop called Pequod, but this name was rejected by some of the current stakeholders and renamed Starbucks.
Starbucks has since grown into a multinational super chain that occupies over 20,000 stores, across 61 different countries. The company’s main objective is to be the “worlds most recognized and respected brand across the globe”.
By working with this goal Starbucks has a strong, positive brand image, engaging customers with every sale, and making an impact on local communities, whilst expanding its product range and development to customers. Starbucks will have to improve their promotional methods as well as products in order to take control of more market share.
Environmental Analysis 2.0
Political issues 2.1a
Tariffs and International Trade regulations:
* Multinational companies such a Starbucks will still be affected as they operate in over 50 countries around the globe. * APEC, G20 and the CAIRNS Group for agriculture are aiming to find new methods in which they are able to reduce current tariffs * Importing from different countries. Thus effecting is sales around the globe.
Government Stability:
* Introduce stores to the Middle East. They were then put under pressure to discontinue their sales due to disheartening boycotts.
* Rumor has caused for local economies and residents to lead violent situations involving their stores, employees and customers.
* Funding to the Israeli military for weapons against middle east.
Economical Influences 2.2a
Exchange rates
* If the dollar falls due to an economic recession, effects such as rise in tariffs, (coffee beans, Sugar etc.) * Prices inflate thus affecting the consumers as extra costs may be added. * Customers may go to local competitor for cheaper more affordable coffee as they may source locally grown beans or cheaper quality
References: Bank of England. (n.d.). Monitary Policey. Retrieved january 10th, 2013, from http://www.bankofengland.co.uk/monetarypolicy/Pages/default.aspx CNN MONEY FORTUNE Engskov, K. (n.d.). Starbucks Coffee Company in the UK. Retrieved january 10th, 2013, from http://starbucks.co.uk/blog/starbucks-coffee-company-in-the-uk/1238 Higher Education Statistics Agency MarketingProfs (n.d.). What is a breakeven analysis and does it have any limitations? . Retrieved january 10th, 2013, from http://www.marketingprofs.com/Faqs/showfaq.asp?ID=138&CatID=10 Schwartz, P Snapsurveys (n.d.). Qualitative vs Quantitative Research. Retrieved january 13th, 2013, from http://www.snapsurveys.com/techadvqualquant.shtml Starbucks Starbucks . (n.d.). Responsibly Grown Coffee. Retrieved january 13th, 2013, from http://starbucks.co.uk/responsibility/sourcing/coffee Starbucks