Starbucks

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1. Starbucks, according to the information provided in the case, has an array of products generally associated with coffee products. Starbucks started in 1971 selling gourmet coffee. Then Starbucks expanded its product mix into different types of products lines, most likely, to better meet the needs and wants of a wider target market and thus hopefully increase sales. Starbucks new product lines included more than 30 blends and single-origin coffees, handcrafted espresso and blended beverages, Tazo teas, a line of bottled Frappauccio coffee drinks, and Starbucks DoubleShot. All things considered, by Starbucks expanding the product mix it is, most likely, trying to segment the market further in hopes of creating a long term customer relationships, which should result in sustainable increase in sales.

Further expanding its market Starbucks broadened its product offerings into exclusive lines of Starbucks products. Some of the new products included, Barista home espresso machines, coffee brewers and grinders, freshly baked pastries, a line of ice cream, chocolate, sandwiches, salad, coffee mugs, and compact discs. All things considered, Starbucks has created different products that should capture different segments of the market and increase sales.

Further adding to the product mix is Starbucks new licensing agreements for its products with a number of other companies. Generally, the main purpose of creating the licensing agreements is to improve distribution and production methods of Starbucks products. The agreement with Pepsi-Cola Company to produce and distribute bottled Starbucks products in grocery and warehouse club stores is an excellent example of this type of licensing agreement. This new product mix should ...

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...stic with today’s market, catering towards diversity by stating that the company, “embrace diversity as an essential component in the way we do business.” All things considered, the mission statement has most, if not all, of the characteristics of a good mission statement.

The mission statement and supporting principles suggest a good deal about the company. Some of which has been described in the previous paragraph. The mission statement suggests that Starbucks is a for profit organization that wants to provide the best coffee possible to it patrons. Starbucks environmental mission statement strongly indicates that Starbucks is committed to having a role in protecting the environment in all of the fascists of its business. On the whole, according to the mission statement, Starbucks is, among other things, a well balanced, responsible, and innovative company.

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