Starbucks Essay -- GCSE Business Marketing Coursework

Star BucksProblem StatementHoward Shultz and the aged(a) management at Starbucks have to decide how to react to the opportunities that ar being made avail commensurate because of their rapid harvest-festival. The decision for a strategic growth plan has to be made in the near future. This will stress to be key for Starbucks reaching their long-term goal of becoming the close recognized and respected brand of coffee in the world.Situation abridgmentStarbucks is currently the industry leader in specialty coffee. They purchased more high gear quality coffee beans than anyone else in the world and keep in true standings with the producers to ensure they get the best beans. Getting the best beans is only the initiatory part, Starbucks in any case has a closed loop system that protects the beans from oxygen straightaway after roasting to the time of packaging. They did this through their invention of a unidirectional valve which let the natural gasses escape merely keepi ng oxygen out. This gave them the whimsical ability to ensure freshness and extended the shelf life to 26 weeks. Starbucks isnt only about the coffee, its also about a place where people can escape to enjoy music, reflect, read, or on the button chat. It is a total coffee experience. The retail outlet has been responsible for practically of Starbucks growth and has contributed substantially to their brand equity. The Starbucks case doesnt mention many weaknesses. The main one, however, is their supply chain operations. This hasnt caused any problems however but they mention that handling four business units is becoming challenging. They have yet to come up with a long-term solution for such thinkable problems. As mention earlier Starbucks has many opportunities of which it can take advantage. These embroil a joint venture with McDonalds, where the restaurant giant would supply its customers with Starbucks coffee. an different(prenominal) is the bottled Frappuccino pro duct that Pepsi and Starbucks have created. This has had a really positive response in the test markets and posses to be a lucrative option. Starbucks could also look at the vertical integration possibility of producing its own beans. This could prove to be very successful if they can capture a significant amount of the takings they could become a price setter in the coffee commodities. in addition because small coffee retail outlets argon so trendy it is practicable for them to set ... ...nal locations in the heaviest coffee drinking countries. This has to be done chop-chop as to get the jump on other that may also be considering this type of a move. At the same time they should be selling franchise right for the coffee carts. This will provide an change magnitude cash flow as well. During all of this Starbucks should be looking at coffee producers who are in financial trouble or are looking at selling their farms. This has to be done discretely as not to cause unne cessary bad press. After they run a couple up of these coffee producing farms for a few years they should be able to perceive how the whole operation works and determine its viability. Once its proved viable they should send out simultaneous offers to the biggest producers as to catch them and other coffee companies off guard. Starbucks also should be getting into the bottled Frappuccino as presently as possible. They should entrust the introduction of the product up to Pepsi because of their past experience. They should leave their entry into the grocery store market until some of these other strategies are implemented. This will prove to be the best strategy for Starbucks being able to reach their long-term gaol.