Presentation Outline Indian Coffee Industry Tata Coffee Introduction to Starbucks Company Overview (INDIA) Pest Analysis Political Economical SWOT Analysis Conclusion
Indian Coffee Industry The coffee industry of India is the 5th largest producer of coffee in the world Accounting for over 4% of world coffee production Major Production in Southern States India is the only country that grows all of its coffee under shade. Indian coffee has a unique historic flavour.
Tata Coffee…..Area of Business –Grows coffee on its own estates, –Processes the beans, –Exports green coffee, –Manufactures and exports Instant Coffee
Introduction to Starbucks Company started in 1971 in Seattle, Washington Grew from 55 stores in 1989 to over 2,200 stores today Products sold include: - beverages - pastries - whole coffee beans - coffee-related retail items
Starbucks in India! Tata Global Beverages Ltd. And Starbucks Coffee Co. 50-50 Joint venture. Star Bucks – ‘A Tata Alliance’
Key Competitors: – Café Coffee Day – Barista – Costa Coffee Industry experts suggest the Market to be in the range of 700 crore by 2015.
Industry PEST Analysis Political Influences – Relationships between coffee producing nations and US – State & Local government controls Economic Influences – Constant demand for food and beverages – Changes in disposable income could influence purchase levels
Social Influences – Consumer preferences could shift from coffee to other beverages Technological Influences – Use of technology can improve operational efficiencies
POLITICAL Red Tape Risk Corruption Risk Regulation / Law Risk 2008 financial crisis Attitude toward foreign companies Geneva Convention
ECONOMICAL Maximize market penetration Provide a relaxing, attractive social atmosphere Offer high-quality products Create a great working environment Achieve profitability Cheaper Products Discounts/ New Offers
Conclusion….. This deal has given a new phase to both the company. Starbucks is able to enter in Indian emerging market. Tata Coffee are entering in coffee retail outlet business There may be revolutionized the Indian coffee retail outlet industry after this .