Starbucks Case Study : Starbucks Coffee Company Essay

Starbucks Case Study : Starbucks Coffee Company Essay

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Starbucks is one of the world’s leading coffee companies. Starbucks is certainly famous for its coffee brand, which is a global premium coffee. Starbucks is a company that has exceeded its strategic goals by becoming one of the top global companies. Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting high-quality Arabica coffee (Leadership Team, 2014). As of 2012, Starbucks has more than18,000 stores around the world. Starbucks specializes in catering unique experiences for customers with every cup of coffee. With so much coffee companies, people wonder how Starbucks has maintained a famous and leading coffee company.
“Where there is no vision, the people are unrestrained, but happy is he who keeps the law” (Proverbs 29:18). Howard Schultz knew he wanted to be a part of the Starbucks establishment after he smelled and taste the coffee, in which he immediately knew that it was something distinct about Starbucks coffee. Schultz vision and strategy has made Starbucks a national name that Americans and other ethnicities cannot live without. Howard Schultz had changed Starbucks vision three times or more. Schultz strategies and visions has evolved. For this reason this is why Starbucks uses the broad differentiation strategy, which it is discussed in chapter 5 in the Crafting and Executing Strategy textbook.
Differentiation strategies are attractive whenever buyers’ needs and preferences are too diverse to be fully satisfied by a standardized product or by sellers with identical capabilities (Thompson, Strickland, & Gamble, 2014). There are a lot of competition in the coffee industry, such as Dunkin Doughnuts, McDonald’s, and quick stops. Starbucks differentiation strategy is what p...


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...strategies made Starbucks the most famous coffee brand in the world. Not only is the strategy good for retaining customers, but Starbucks strategy financially is very healthy. Starbucks is a very profitable company. Although the company witnessed a decline in sales during 2008, which was due to the recession, but Schultz decision to close stores, and focus more on supporting growth was very rewarding (Starbucks Corporation, 2011). 1 Peter 4:10 states, “each of you should use whatever gift you have received to serve others, as faithful stewards of God’s grace in its various forms.” Businesses should always make sure whatever it is doing, it should be a service to others first and foremost. Money is a good thing, but it should not oversee the loyalty to others. Starbucks uniqueness and its dedication to its customers is what make the company successful.









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