Case Study Analysis: Starbucks Coffee Essay

Case Study Analysis: Starbucks Coffee Essay

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Case Study #1 Starbucks

The cause of this case study is to evaluate and recognize Starbucks growth in the past decades. Starbucks was established in 1971. The industry for coffee at the time was in decline for almost a decade. The consumption of coffee back then was mostly at home or “Away from home” either with a meal at dinner or restaurant. In larger cities like New York or San Francisco they have specialty coffee roasters for example Peet’s. The main goal of Schultz was aiming with that mentality to roast and vend great coffee (CRAIG, BUSSE, BROWN, “Aplia” Kellogg 1). By 1982 they had five retail outlets that served coffee beans and supplies for home but at the time they weren’t served prepared. As the growth of Starbucks is increasing it attracts the vice president, Howard Schultz, of a company called Hammerplast. They specialized in plastic cone coffee filters for home brewing purposes. Schultz travels to Seattle to discover why a small business called Starbucks orders an excessive amount than its other customers. Liked what he saw and joined Starbucks later that year and became the director of operations. He makes another travel to Milan, Italy and was in awe with the amount of abundant espresso bars. Returns to America with the mentality of making it “the third place” (CRAIG, BUSSE, BROWN, “Aplia” Kellogg 2) beyond home and work. Starbucks management turned down the idea to much because they don’t want to get into the “restaurant business” distracting its company from their core assets and activities. In 1986 Schultz made II Giornale based on selling espresso, cappuccino, and food items. While II Giornale was in operation the single year by itself its ambiance was a reproduction of a Milanese espresso bar (bow-tie...


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... We also have numerous top management that wants to improve such as, CEO Howard Schultz expands focus on innovation and next generation retailing and payments initiatives, CFO Troy Alstead promoted to chief operating officer, SVP of corporate Finance Scott Maw promoted to Executive Vice President and CFO, and last but not least Craig Russell Promoted to Executive Vice President, Global Coffee.(Starbucks newsroom, 5)
“Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality arabica coffee. Today, with stores around the globe, the company is the premier roaster and retailer of specialty coffee in the world. Through our unwavering commitment to excellence and our guiding principles, we bring the unique Starbucks Experience to life for every customer through every cup (Starbucks Newsroom, Starbucks Strengthens 5) .”



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