Starbucks : Target Market And How Was Starbucks Essay

Starbucks : Target Market And How Was Starbucks Essay

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Question 1:When Howard Schultz launched Starbucks, who was the target market and how was Starbucks positioned to appeal to this target market?
When Starbucks started their target market were people who enjoyed coffee not just for the energy boost that they got from the caffeine, but people who enjoyed sitting down and drinking a well-prepared cup of coffee. Upon visiting Italy and falling in love with the coffee bars and the experience that they offered, Schultz envisioned a place between home and work where you could just sit and enjoy your coffee. Starbucks wanted to control their coffee from “raw green bean to the steaming cup” this meant that they had to talk with their farmers to make sure the quality was up to their standards. They were getting coffee from different places around the world that had different characteristics that would attract the type of coffee drinkers they wanted. When preparing the coffee they first would ground the roasted beans, this was one of the ways that they attracted people to drink their coffee because it was freshly grounded before brewing. They used manual coffee pots to brew their coffee, which is more time-consuming but showed how dedicated they were to the quality of their product unlike other big companies. Starbucks was priced as a premium cup of coffee compared to other coffee shops, because of the steps they took to make a high-quality cup of Joe from start to finish.
Question 2:Wall Street and Starbucks management placed great emphasis on the company’s ability to continue its impressive growth rate. What were some of the growth initiatives undertaken by Starbucks and how did they fuel company growth?
Starbucks wanted to first establish a hub in a large city of the region as its mode...


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...he actions, described in the case, taken to reinvigorate Starbucks.
Starbucks really matured as a company from starting in the early 1970s, first, they moved away from having to grind their own coffee to pre-ground coffee that was a seal on the bags to keep the coffee grounds fresh. This would cut down on the time it took to produce a cup of coffee; they also installed big automated espresso machines that also helped improve efficiency. They moved from a small target group who only like coffee drinks made with whole milk and coffee grounded in-house and brewed in a coffee pot, to having automated machines, pastries, and hot food items. Having many options for customers increase the target market because now not only do they sell coffee but teas as well. This increase in product mix really helped Starbucks become who they are today, the coffee powerhouse of America.

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Starbucks : Target Market And How Was Starbucks Essay

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