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Case Study The Globalization Of Starbucks

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Key Summary and Problems: The purpose of this case study is to understand the globalization of Starbucks. Is Starbucks just a cup of coffee or is it more? Starbucks has taken a basic item and transformed it into a way of life. Individuals are no longer drawn out to savor coffee in the morning just to get the caffeine they require for the day; they can drink coffee any day of the year for entertainment purposes. Coffee is currently an agreeable affair that anybody can have whenever they please. What caused this intense change? Single word: Starbucks. When one purchases some Starbucks coffee, they aren 't purchasing only coffee; they are acquiring an experience. From the strong coffee smell, the laid-back climate, and the rich taste in any…show more content…
Starbucks had decided to use the same technique and store layouts as they did in the United States. All of the employees in Japan went through the same rigorous trainings as the employees in the United States. It was tough due to the cultural differences but Starbucks stuck through this with the joint venture with Sazaby, Inc. This joint venture turned out to be very promising and they opened close to 700 stores within a decade. Looking at the success that their aggressive business model proved in Japan, Starbucks eventually entered the European and Asian markets. They have continued to grow…show more content…
One of these factors was labor. Under this factor fall manufacturers, executive members, growers, processors, exporters, the roasters, and the staff that run all of their stores. Starbucks needed to ensure that everyone was cooperating and withstanding Starbucks standards. All of the “baristas” in other countries needed to go through a rigorous training to make sure they understand the menu and the procedures. A lot goes into the coffee that Starbucks customers are served, which most people are unaware of. Another factor is where was Starbucks going to get their coffee? Starbucks is known to buy their coffee from their three main growing regions: Africa/Arabia, Latin America, and Asia Pacific. Starbucks has been part of international trade for their coffee for many years now. They need to make sure that the coffee meets their requirements and that the farmers are following protocol. Starbucks is known to be very particular about how their coffee is harvested and processed. Additionally, they had to consider their capital goods such as their coffee machines, farming equipment and machinery to plant and process beans and also their roasters. Starbucks is very particular about what machinery they use especially in their