Industry Overview And Competitive Strategy Essay

Industry Overview And Competitive Strategy Essay
Industry Overview and Competitive Strategy
The coffee retail industry is a growing industry, which consists of companies that sell coffee based
drinks and other foods and beverages for consumption either on premises or takeout. Annually the
industry sees about a 10% growth rate. Coffee is the second most sought after commodity in the
world, making it worth over $100 million worldwide.
The coffee industry, particularly coffee shops have become increasingly popular in recent years.
Three companies who dominate the coffee industry are Dunkin Donuts, McDonalds, and Starbucks.
These coffee giants have secured themselves at the top of the industry, and although they are
different in many ways, they still compete directly with one another.
Marketplace competition from major rivals is the strongest market force that Starbucks has to
address. Although it holds a preeminent position in the coffee shop marketplace, there is fierce
competition from rivals such as Dunkin ' Brands Group and McDonald 's "McCafe".
Like its major competitors, Starbucks ' marketing strategy has relied heavily on establishing a strong
brand identity and promoting brand loyalty sufficient enough to induce customers to pay a
reasonable premium for its products. Starbucks has a competitive advantage over its competitors
because in the past few years they have introduced a 'Starbucks Evening' menu, which includes
Alcoholic beverages, such as beer and wine. About 70 percent of Starbucks customers drink wine,
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The Revolutionary Coffee Company, And The Variables That...
Section One – Background
The Keurig case study is an interesting examination of the revolutionary coffee company, and the
variables that will shape the future of the company and industry. The basis of the Keurig case study
is the transition for niche product aiming for the mainstream success of everyday use by consumers
in their homes, to one of the industry leaders among the coffee industry giants. "Keurig had been
founded to commercialize an innovative technology that allowed coffee lovers to brew one perfect
cup of coffee at a time" (Hitt, Hoskisson, & Ireland, 2016, p.C–87). Hence, the attempt to create a
new segment within the coffee industry would take time, and education efforts to promote and sell
the benefits of the new coffee makers. After 11 years of trying to perfect the desired product the
company believed could change the industry, Keurig was able to develop the K–cup.
The K–cup brand was built of the idea of the consumer being able to brew a single cup of coffee at
the perfect temperature and superior tasting at the convenience of their home (Hitt, Hoskisson, &
Ireland, 2016, p.C–87). As a result, this new product began to set the market on fire because the new
features were never available for customers, which in turn created the issue of competition. Patents
are key to protecting the intellectual property that generates the sources of knowledge, technology,
and designs used by companies such as Keurig to obtain and maintain an advantage within the

The Effects Of Pesticides On The Coffee Industry On Coffee
Coffea commonly known as a coffee plant is the member of the Rubiaceae family (USDA 2015).
While there are various species of the coffee plant, Coffee Arabica and Coffee Canephora are mostly
grown. However, between them Coffee Arabica is considered to have greater quality and flavor.
With the increase in demand of coffee within coffee drinkers globally, coffee has successfully
ensured its place to become the world's second largest commodity. Brazil is known as the top
manufacturer of coffee followed by countries such as Vietnam, Indonesia, Colombia, and Ethiopia
(USDA 2014). The rising demand for coffee has augmented the dependence of the coffee industry
on countries that grows coffee. Using pesticides on coffee fields seemed to be an ultimate solution
for farmers who were hoping for maximum productivity of coffee. Pesticides are used in agriculture
in order to protect plants from fungal diseases, pests, insects that affect the growth of food crops. On
the short run, using pesticides has an advantage as it increases the production and the quality of
coffee. However, pesticide practices have negative issues on the environment, the quality and the
amount of coffee manufactured, and the health of the coffee drinkers and the farmers in the long run.
The agricultural practice that involves the usage of pesticides has contributed in the exploitation of
the environment. The consumption of pesticides in countries that grows coffee has increased rapidly
over the decades. For example,

Drug Trafficking Has Caused The Coffee Industry Essay
Continuous war in combination with rampant drug trafficking has caused the coffee industry in
Colombia to struggle for many years, though Colombia's long history with coffee predates that
struggle. The coffee plant first reached Colombia sometime in the late 1700s (Encyclopedia of
World Trade: From Ancient Times to the Present) and Colombia entered the coffee trade in the
1830s (Wikipedia, Coffee Production in Colombia). The geography of Colombia lends itself well to
coffee production. Located in southern South America, Colombia is home to the Andes Mountains,
which provides an optimal altitude for coffee (and coca) to grow. The Andes have three sets of
mountain ranges, the Western Cordillera, the Central Cordillera, and the Eastern Cordillera. The
majority of the coffee plantations in Colombia are on the western side of the Eastern Cordillera
(Philip's World Factbook 2008–2009).
Colombia's history is full of conflict as well as coffee. Greater Colombia, consisting of today's
Colombia, Panama, Venezuela and Ecuador, was created in 1819 when it gained independence from
Spain. This entity lasted until 1830, when both Venezuela and Ecuador gained their independence.
Colombia's first civil war started in 1899 and ended in 1903, when Panama became an independent
country, but Colombia's conflict–ridden history didn't start to extensively affect the coffee industry
until 1949 when Colombia had a second civil war, called La Violencia (The Hutchinson Unabridged
Encyclopedia with

Exploring The Coffee Shop Industry
Introduction:
A cup of Joe, Java or brew, it goes by many names. It can be your morning jump–start or as an
afternoon pick me up, to be enjoyed alone or with the company of others. It 's a drinkable source of
energy that is enjoyed in the United States and in many other places around the globe. Its no wonder
that coffee is such a popular commodity. Companies such as Starbucks and Peets' have
revolutionized the coffee shop industry in the US, by making it easy and convenient for consumers
to purchase single–serving cups of coffee. Not only is the service quick and convenient but it also
allows consumers the ability to personalize their drinks to their desired preference, making it a more
enjoyable experience than just having a cup of ... Show more content on Helpwriting.net ...
From there, it was introduced throughout the Americas, and so began the history of the coffee shop
industry in the United States. Now a day coffee shops are seen as a go to place to either relax, get
work done, or to go socialize with friends. This has in turn created a new type of coffee culture,
making coffee shops the place to be.
"When a firm offers a variety of products in response to different consumer taste, it is called
horizontal product differentiation" (pg 130). Since firms like Starbucks, Peets', and Dunkin' Donuts
are able to differentiate the same product (coffee) in order to reach out to a larger number of
consumers with different preferences, they will be considered a market with horizontal product
differentiation. To add more variety from the selling standpoint, firms like these who excel in coffee
sales also choose to sell complementary goods to be had on the side with the consumer 's beverage
of choice, such as pastries, fruit, sandwiches, etc. and they even have substitutes for coffee, such as
teas and frappuccinos.
This is an important industry to look at since about 64% of Americans consume coffee daily
(Statista). Out of the Americans who consume coffee, about 63% buy their coffee from places like
Starbucks and Dunkin' Donuts showing how relevant this industry is in the

Starbucks Strategic Analysis
UNIVERSITY OF GREENWICH COURSEWORK COVERSHEET Student Name: | Bethlehem H.
Yerdaw | Student ID number: | 000709239 | Course Code: | * BBUSI 1546 | Title of Course: |
Foundations of Scholarship | Title of Assessment: | The Role of Culture in Business | Type of
Assessment | Essay *Reflective Report Group work report Other (Please specify
__________________) | Tutor's Name: | Taye Regassa | Date Assessment Due:Turnitin report | ___
% | Contents Part One Introduction 3 Part Two External Analysis 4 2.1 Brief overview of the
company 4 2.2 Starbucks a global corporation 5 2.3 Environmental opportunities and constraints on
the company 5 2.3 PESTEL Macro level analysis 5 Political factors 5 Economic ... Show more
content on Helpwriting.net ...
He tested their caffelatte fell in love with it, and immediately decided to make lattes part of the
menu offerings of Starbucks. The inspiration for the Starbucks today, importing the authentic Italian
coffee bar culture in the United States, was born in Schultz heart at that spring. Starbucks
corporation the company of Schultz' passion was established in 1985 under the symbol "SBUX" on
the NASDAQ global selected market (2010 Starbucks Annual report). 2.2 Starbucks a global
corporation According to a Starbucks case study in 2008 Starbucks, a specialty coffee retailing
company, operates at a global level with 16,664 company owned and licensed stores in North
America, Europe, Middle East, Australia and Africa(Shah, A. Thompson, A., 2010). In the US and
Canada Starbucks is everywhere; with stores located within a short block away and in most grocery
chains and shopping malls. Worldwide Starbucks is located in most major streets, airports, big
shopping malls and metro stations. Starbucks aims to become a leading global company by making
a difference in the lives of people worldwide. 2.3 Environmental opportunities and constraints on
the company It is difficult trying to confine the type of industry Starbucks operates in. The company
is a vertically integrated company which imports its own green coffee beans, roasts the beans to
perfection, distributes it to its chain coffee houses, and then puts it into the hands of the

Starbucks And Its Impact On The World Coffee Industry Essay
Millions of people all over the world will take time out of their day to walk into a Starbucks for a
"cup of Joe". Coffee is the most popular leading beverage that is enjoyed throughout the world and
in so many different forms. You can get coffee just about anywhere, but there is a reason why people
choose Starbucks coffee. Starbucks is known for their friendly, positive environment with staff that
is truly accommodating and welcoming. People buy Starbucks for what it represents and the status
image that comes along with it. Starbucks has an excellent business structure due to its national and
global success. Starbucks stands strong in the world coffee industry and still is financially
succeeding even in hard economic times with coffee that may seem overpriced to many.
The coffee industry is continually growing regardless of the increase cost of coffee since January
2009. The price has been rising not because of the price of coffee itself, but because of the supply
chain and the current economic situation around the world. In 2012, Starbucks had to raise their
prices globally, but especially in the United States and China, due to rising prices of coffee and other
ingredients they use to make their signature drinks. Although prices were raised globally due to high
demand of the product and the cost of producing it, there is still a strong demand for Starbucks
because of their large consumer base. Starbucks main competitors are McDonald's and Dunkin
Donuts. Starbucks knows

UK Coffee Industry
Coffee Industry in the UK
The coffee industry has grown rapidly since the 1990s; before Starbucks emerged, people were used
to drinking low quality coffee from tins. Starbucks introduced fresh coffee made from top quality
beans that have excellent taste and drinks such as the caffe latte and cappuccino, which have helped
to fuel the development of the coffee market into a multi million pound industry. The size of UK
branded coffee chains have quadrupled from 1999 to 2004, with a current market turnover of over
£1 billion.
2 Market Forecasts
The coffee market is forecast for continued growth and expansion, without threat of saturation in the
near future. In 2004 the coffee market was estimated at having around 2,299 outlet ... Show more
There is increasing pressure for businesses to trade ethically, that is, socially, environmentally, and
economically responsible.
This is reflected in the coffee industry by an increased demand and rising market value for
sustainable coffees such as certified coffee and fair trade coffee, which guarantees a fair price to
producers. The fair trade market which is now worth £100 million, is growing with developments
such as Tesco's launch of their own Fair trade range. Fair trade is also a means by which the coffee
shop industry can differentiate their products and gain a socially responsible reputation; Starbucks
customers now have the option to buy fair trade coffee. Oxfam have claimed there is a 'niche' in the
coffee shop market and have responded by launching their own brand of Fair trade coffee
'Progresso' which is sold on already established premises such as bookstores.
Technological
Consumers are less inclined to buy coffees and teas in supermarkets due to the wide variety of
coffees that are available in coffee shops today. Hi–tech equipment and premium ingredients are
now easily accessible and are used to make a variety of hot and cold beverages that are sold in
coffee shops; from cappucinos to the ice blended coffees. As a result consumers are becoming more
knowledgeable about the ranges of specialised fresh coffees and premium teas that are

The Issues And Facts Of Coffee Industry
The issues and facts of Coffee industry
Instant coffee is as the main market of the coffee industry in addition to coffee hall, the coffee
industry can be divided into 3 types, one is mainly to coffee hall, for example: Starbucks, Costa and
etc; second is a set pattern generation of meal of coffee, for example: the Island, Babylon; the third
is the theme coffee hall, for example: Turandot and Carving.
The global instant coffee market share is occupied 70% by Nestle. Through puerile way, Nestle
achieves a global coffee market enlightenment and the rapid popularization, causing a high degree
of monopoly and the lack of sufficient competitive market situation. The high–end market is the
lack of impressive brand, its fast, low prices are ... Show more content on Helpwriting.net ...
Brand building is absolutely crucial things for Coffee chain enterprises and Coffee stores. Coffee
and coffee shops is not a "food" level, but a set of mental, emotional, personality, cultural and
psychological products. Therefore, the coffee and coffee shop coffee franchise chain enterprise
brand should be a kind of built on top of these factors of the brand. Nowadays, coffee has attracted
people in different countries and areas with its unique glamour. It not only has a rich flavor and
buttery texture but also unique efficacy. It has become one of the most popular drinks in the world.
As a result, coffee has a large market potential. Now, there are a lot of coffee company in this world.
In this part, it will introduce three representative companies from some issues and facts about them.
From the introduction about them, readers can understand the current condition of coffee industry in
this world.
Starbucks
Today, Starbucks owns many other kinds of products except coffee, such as tea, coffee ice cream
and other desserts. Besides, Starbucks begins to offer online service so that customers can book on
the internet. With more and more people prefer to drink coffee. In addition, some retail stores of
Starbucks sell CDs to customers to improve profits. With more and more people begin to know
coffee culture, Starbucks is developing rapidly. In February 2014,

Marketing Analysis : The Coffee Industry
Coffee has been a subject of research in recent times given the evolving number of alternative
beverages that are there in the market today. As history suggest, coffee was first discovered in Africa
as a hot beverage in the 11th century and since then it has become the preferred beverage of choice
for many. As such, it has become a global industry that provides massive employment to millions of
people worldwide. In fact, if the recent statistics of more than 400 billion cups being consumed
globally are anything to go by, then coffee can be rated among the most popular beverages globally
(Simon 2009). It is because of this demand that saw the formation of a major corporation in the
coffee industry. Such corporations are inclusive of ... Show more content on Helpwriting.net ...
Before, all this happened, Starbucks sales, as well as that of the entire coffee industry, was
consistent with growth being reported each passing year. However, with the economic crisis,
consumers were forced to spend less and luxurious eating was no longer a habit. Thus, companies
were forced to drop the prices of their products to meet the needs of these consumers.
Starbucks was no exception to this. Because of this drop, the industry has shown slow growth in
previous years with the highest of this in the span of five years following the great recession being
that of 3.9 %( Simon 2009). It is must be understood that the demand for coffee and snacks alike any
other food substances is mostly determined by the amount of disposable income. This very well
explains the drop in the consumption of coffee and snacks. However, although there has been a
sharp drop in the consumption of coffee in the United States, the same has risen in other countries.
This result of this has been supplying shortages in these countries that are a problem that needs to be
urgently addressed. Also, the shift towards the eating habit has also affected the demand for coffee.
To ensure that there is increased consumption of coffee and snacks, there are measures that have
been taken by Starbucks. Among these measures include making a variety of beverages from this
same coffee. This, however,

External Analysis of Starbucks 1 Running Head: Starbucks
External Analysis of Starbucks 1 Running head: STARBUCKS
External Analysis of Starbucks Nancy Vu MGMT 4340 Strategic Management Dr. Uchenna
Nwabueze March 6, 2011
External Analysis of Starbucks 2 Table of Contents
1.0.0. Executive Summary ...............................................................................................................4
2.0.0. Company History ...................................................................................................................5
2.1.0. Background ...........................................................................................................................5
2.2.0. Purpose of this study ... Show more content on Helpwriting.net ...
Rivals Anticipated Strategic Moves ....................................................................................35 3.3.3.
Summary of Competitive Analysis .....................................................................................38 3.3.4.
Key Success Factors ...........................................................................................................39 4.0.0.
References ...........................................................................................................................40
External Analysis of Starbucks 4 1.0.0. Executive Summary The Starbucks Corporation is the
largest coffee chain in the United States and internationally. To better understand the coffee industry,
the purpose of the paper will provide a detailed external analysis on Starbucks' global operations.
Included in the study will be an explanation on Starbucks' initial founding history followed by its
background as well as the purpose of the study. In addition, the paper gives a detailed assessment of
the external analysis which consists of six portions. The first portion is the general environment
analysis of the coffee industry's operations and the way it factors in the demographic segment, the
economic segment, the political/legal segment, the socio–cultural segment, the technological
segment, and the global segment. The second

The Coffee Industry Of Colombia
The coffee industry in Colombia is unique in its production process. To describe the social and
environmental conditions of the commodity chosen for this project, Juan Valdéz café, we have to
understand the complex system of the coffee production in Colombia and how coffee in general, and
Juan Valdéz café in particular is brought into fruition. Juan Valdéz café is an internationally
renowned brand of Colombian coffee that...
As far back as 1860, coffee had become the major export in Colombia (Equal Exchange). By the
1920s, however, the coffee industry in the country was undergoing difficult times as a result of
unstable international market forces. Thus, coffee growers were not guaranteed a steady income.
Out of these circumstances arose an ... Show more content on Helpwriting.net ...
Juan Valdéz café includes both it's own brand logo (the signature) and the Juan Valdéz character,
which informs the consumer that it's 100% Colombian coffee.
Juan Valdéz café is 100% washed Arabica coffee produced within the "Coffee Triangle" of
Colombia. Ideally, the coffee is grown within 1200 to 1800 meters above sea level, temperatures
between 17 and 23 degrees Celsius and a precipitation level of 2,000 milliliters. Moreover, the
coffee is produced in soil originating from volcanic ash, thus it possesses high content of organic
material that enhances the quality of the coffee. The specific seasons and methods of coffee growing
can vary slightly depending on the region. However, for the majority of coffee growing, the
flowering period is from January to March, while the main harvest is from September through
December. Certain areas yield particular qualities. For example, places such as Sierra Nevada,
located in the north of Colombia, expose coffee to more solar radiation. These coffees tend to be less
acidic and have a fuller body compared to the regions of southern Colombia like Nariño in which
the coffees are more acidic and sweet. Cultivation processes can vary by region and include
traditional plantations with lower productivity or more advanced methods that make use of total sun
exposure, partial shade or full shade. To meet the high demands of consumers and the quality
standards of the

Essay on Porter's Five Forces
COMPETITIVE ADVANTAGE This paper addresses the use of Porter's Five Forces model and how
it can benefit Broadway Cafe by identifying and analyzing the effect of these forces on its business.
The benefits include improved decision making, faster time to market, better productivity, improved
competitive advantage, more profits and greater customer satisfaction. It also helps in achieving
operational excellence. Porter's Five Forces Model Threat of Entrants Porter's First force is the
threat of Potential Entrants. Statistics have shown the industry to be slowing down, therefore making
competition high and the threat of new entrants low. Broadway Cafe has a small market presence,
but the presence of its competitors like Starbucks ... Show more content on Helpwriting.net ...
The supply of coffee is affected by weather conditions, and the health of coffee trees. According to
the article "Coffee Industry to Adopt New Pricing Plans," the major players in the coffee industry
have seen profits decline because of over–crowding of the market. An over–crowded market will
give the coffee suppliers bargaining power. As Broadway Cafe demands high quality coffee and
there is no availability of substitutes for the coffee beans that Broadway Cafe use. Therefore, the
bargaining power of supplier increases. Threat of Substitute Products In the premium foods and
coffees industry, there are substitute products. According to Mary Coulter, the best way to evaluate
this threat is to ask whether other industries can satisfy the customer need that this industry is
satisfying (Coulter). Other beverage industries can satisfy the customer's need for a drink, and other
food industries can satisfy the customer's need to eat. There are obviously good substitutes to
Broadway products and the threat is high. This is why it is very important for Broadway Cafe, to
innovate and differentiate. By providing free Wi–Fi in the Cafe and marketing signature food
products from the famous old recipes of Grandfather, Broadway Cafe can create different image
than its competitors. Rivalry Among Existing Competitors Porter's fifth force that Porter describes is
current rivalry among existing firms. In the specialty eateries industry,

The Coffee Cafe Industry Using Porter 's Five Forces And...
Introduction
Starbucks first opened in 1971 in Seattle's Pike Place Market. They came up with the name inspired
by Moby Dick and the high seas that coffee trade was done over. In 1982 Howard Schultz was
introduced to the company, and quickly joined the team. Schultz then traveled to Italy and was
instantly inspired by the Italian cafes he visited. He wanted to incorporate the Italian coffee bars into
the American markets by adding food to the menus, and providing a romantic setting for friends to
meet at. Eventually his ideas took form and the brand Starbucks became what it is today. They tested
this idea by selling espresso at their locations and the business took off. At the end of 2014
Starbucks had 21,366 stores worldwide and they continue to be a major name in the coffee and food
industry. Although different competitors have risen in the market, Starbucks still remains strong with
a competitive advantage to most.
1. Analyze the specialty coffee café industry using Porter's Five Forces and Macroenvironmental
Analysis. What are the key success factors in this industry? Please include the Role of Compliments
as a Sixth Force.
Risk of Entry by Potential Competitors
Risk of entry into the specialty coffee is very minimal in the case of Starbucks within the United
States. Nationally Starbucks competes against brands like Caribou Coffee, Dunkin Donuts, and
McDonald's in the retail coffee and snacks store industry. Within the domestic market

Coffee Industry Analysis Essay
Market Analysis
Industry Analysis
Nowadays people tend to follow the trend from the western culture. Compare to tea, coffee is more
famous among the Malaysian. According to the reader's poll conducted by I.M. Magazine in year
2012, they found out that 81.2% of Malaysians consider themselves as a coffee person. Almost 44%
of them guzzle 2 to 3 cups per day, 25% drink 1 cup per day and 19% consume less than 1 cup per
day but more than 1 cup per week.6.3%will sip less than 1 cup per week. When the surveyor are ask
if they could survive without coffee for a week, 43.8% of Malaysians said no, 37.5% said yes and
18.8% were unsure about the answer.
Besides that, according to the analysis, we knew that 45% of the Malaysians buy almost 25% to
50% of their coffee outside of their home and workplace, while 18.8% will brew their own ... Show
more content on Helpwriting.net ...
"Adventure in life is good; consistent in coffee even better." This is a quote from a coffee lover
Justine Chen, North of Beautiful. A strong coffee waves had been strike to Malaysia business world
and become a business trend. It is not a new trend in Malaysia but have a growing trend. Making
Coffee has become an art form especially in Penang.
Independent cafes have joined the bandwagon in making coffee with more exotic beans and the
perfectionism in the making cup of coffee. Most of the cafes owners are focused on coffee and they
are looking for higher quality beans. Therefore, our company will sell coffee beans that meet their
needs and this will be an opportunity to our company to start and expand our business.
According to the market report released by Euromonitor International, Malaysian coffee industry
was likely to see positive growth. This growing trend is boasted by the young consumers 'demand
for convenient and fashionable products. This shows that the industry and market are large and our
company can grow rapidly in this and this benefits to our

Coffee Industry
Coffee Industry
Industry Introduction
From the discovery of small, brightly colored red berries on trees in Ethiopia came the largest
imported commodity in the world, second only to oil. The coffee bean provides a livelihood for over
20 million people worldwide with an estimated worldwide retail sales expected to grow by a
compounded rate of 6.9% from 2005–2010, reaching $48.2 billion by 2010, according to The U.S.
Market for Coffee and Ready–to–Drink Coffee. [1] The two main species of coffee beans are
Arabica and Robusta. Arabica is a high–quality coffee typically grown at higher elevations where
the optimal climatic conditions necessary to grow this specialty grade of coffee are found. Arabica
coffee is traded in two ways:
• ... Show more content on Helpwriting.net ...
Under a Fair Trade agreement producers are guaranteed a fair price consisting of a floor price of
$1.26 per pound and $1.41 for certified organic coffee. [2] From 2002 to 2004, USAID invested
over $57 million on coffee projects in over 18 countries in Latin America, East Africa and Asia in an
effort to create sustainable supplies of coffee. Other movements such as Organic and Shade Tree
coffee have had similar goals to help with environmental and quality concerns on the producing
farms. [4]
Coffee consumers are continuing to show a preference for premium coffees. While most brands
have declined in sales during the past year, premium coffees have managed growth, according to
data from Information Resources Inc., which measures sales through supermarkets; drug stores and
mass merchandise outlets. Ground coffees lost 1.8 percent of sales for a category total of $1.6
billion, but whole bean coffees were up 2.2 percent. Starbucks grew in both segments, with a 13.2
percent increase in ground coffee sales and 6.4 percent in whole bean sales. [5] Retailers such as
Starbucks in the specialty coffees use the highest–quality Arabica. Specialty coffee is a broad
category of coffee positioned as the highest quality and/or roasted with the ideal techniques or even
coffee from particular plantations. "Even though the overall U.S. coffee market has been sluggish
lately, the specialty component has seen significant growth, with retail dollar sales approaching $9
billion in

Starbucks Is A Leader Of The Coffee House Industry
There is no doubt that humans love their coffee, and with thousands of corporate and franchised
stores all around the world, Starbucks is a leader in the coffee house industry. Formed in Seattle,
Washington over forty years ago, this humble coffee shop has expanded into most every major city
in the nation. According to an article from Huffingtonpost.com, 80% of the population in the lower
48 United States lives within twenty miles of a Starbucks, and nearly 50% of that population lives
within five miles of one. At any given moment, no one is farther than one hundred and seventy miles
away from a Starbucks– that's a lot of coffee! An article from BusinessInsider.com stated that since
1987, Starbucks has grown an average of 2 stores per ... Show more content on Helpwriting.net ...
They are making an effort to reduce their carbon footprint by offering incentives to utilize reusable
cups, manufacturing stores out of sustainable materials, and encouraging everyday customers to
practice eco–friendly behavior.
STARBUCKS' EFFORT TO LOWER THEIR CARBON FOOTPRINT 3 Since the number of paper
cups that Starbucks goes through on an annual basis is in the billions, a reduction of these cups
would have a great positive impact on the environment. Walk into any Starbucks store and a wide
variety of reusable cups are available for sale. They vary in size, shape, price, and design, but all
encourage the same thing – recycling. Starbucks even offers a discount of ten cents when a customer
brings in their own cup, which they display in print on their menu reader board. In early 2013, a
Whittier Daily News article announced the roll out of a new Starbucks reusable plastic cup priced at
only a dollar. Starbucks is trying to reduce the amount of paper cups that end up in a landfill every
year. The plastic reusable cup can withstand about thirty washings in the dishwasher and then once
it's no longer usable, the cup can be recycled, as well. Starbucks kept the cup the traditional white
and green themed design to emulate their standard cup, attempting to reinforce customer's continued
loyalty to the brand (Scauzillo, 2013). Currently, Starbucks is offering a white and red holiday
themed plastic reusable cup for $2.00.

Coffee Industry
An Analysis of the Coffee Service industry in Metro Manila...
AN ANALYSiS OF ThE COFFEE SErViCE iNdUSTrY iN mETrO mANiLAANd ThE BUYiNG
BEhAViOr OF iTS CONSUmErS
Cynthia A. henson
Abstract this study focuses on the unique coffee drinking culture, the specialty coffee industry, and
the behavioral patterns of coffee drinkers. Coffee drinking in specialty coffee shops is compared
with coffee drinking behavior at home, in school or in the office. the results are based on two
consumer surveys, each involving three hundred respondents. One survey was conducted among
current in–store coffee shop customers and the other among consumers aged sixteen to thirty,
randomly picked among store/mall visitors, residential subdivisions and offices. ... Show more
Coffee drinking in shops will be compared with coffee drinking behavioral patterns at home, in
school or in the office. REViEW OF RELAtEd LitERAtURE there have been prior studies made on
the coffee industry, consumer behavior of coffee drinkers, store atmosphere in retail coffee shops,
emotion–driven choices of consumers, and lifestyle behavior of consumers in the coffee shop
culture. Past empirical studies show a strong relationship between store atmosphere and purchasing
behavior. in–store marketing activity, total ambience and feel, in–store promotions, all–around
music and lighting of the store, all exhibit a strong influence on the buying behavior of the
consumer, even much stronger than the product offering itself. the results of this study indicate that
consumers exposed to different environments exhibit significant differences in their brand loyalty,
promotion sensitivity, price sensitivity and response to new brands. these differences in behavior are
found to be related to environmental attributes such as width of product offerings and promotional
activity. Elements such as lay–out, lighting, color and music all serve as powerful marketing stimuli
and thus play a significant role in the purchasing behavior of consumers. Consumers who find a
particular in–store environment to be more favorable and suitable to their tastes and preferences, are
more likely to stay loyal to the brand and receptive

Historical Research Paper on the Coffee Industry
Running head: THE COFFEE INDUSTRY
Historical Research Paper on the Coffee Industry
Amanda Cox
BBA110
Jones International University
Battery acid, brain juice, cup of Joe, java, liquid energy, caffeine fix, morning brew, and day starter
are all nicknames for that wonderful hot liquid that many people around the world call coffee. I am
one of those many people. Whether it is brewed in my coffee pot in the morning or someone does a
run to a coffee shop for me; coffee is one of those things I just can't live without in the morning. The
origins of coffee are still a perplexity. While nobody knows the true origin of coffee there are three
main stories that are said to explain how this remarkable indulgence came to be.
The three stories ... Show more content on Helpwriting.net ...
Due to the fact that employees are regarded as partners, they need to go through 'Starbucks New
Partner Training' which includes training on ethics, safety, legal aspects of the company, as well as
outstanding customer service and showing the customer that they are what has made the business
what it is today. Education is not just found in the businesses within the coffee industry.
Education tends to be taken for granted in this country, yet it is something that coffee workers in a
lot of the coffee producing countries fight for. This is where the Fair Trade Act and non–profit
organizations like the IWCA come into play. The International Women's Coffee Association has
provided grants in many of these third world countries that have funded nurseries, kindergartens,
and other schools. This in turn helps the families because the mother is able to go into the coffee
farms and work. The Fair Trace Act guarantees that coffee farm workers will earn at least a living
wage (or $1.26 per pound of coffee beans) and allows them to be able to get their communities
grants which in turn are used for food, shelter, health facilities, and education. In these countries,
coffee doesn't just mean miniscule amounts of money in the poverty stricken workers' pockets but it
also means that the workers are able to afford to send their children to school in the hopes that they
cycle of working ones' self almost to death can be broken. These countries look at children as

Exploring The Coffee Shop Industry
Introduction:
Coffee, a cup of Joe, Java or brew, it goes by many names. It can be your morning jump–start or
even used as an afternoon pick me up, to be enjoyed alone or with the company of others. It is a
drinkable source of energy that is enjoyed in the United States and in many other places around the
globe as well. It's no wonder that coffee is such a popular commodity. Companies such as Starbucks
and Peet's Coffee have revolutionized the coffee shop industry in the United States by making it
easy and convenient for consumers to purchase single–serving cups of coffee on a regular basis. Not
only is the service quick and convenient, but it also allows consumers the ability to personalize their
drinks to make it to their desired preference, making it a more enjoyable experience rather than just
having a cup of instant coffee at home. In this paper, I will be exploring the coffee shop industry,
which will be defined as firms who sell single–serving cups of coffee to their consumers. Brief
History
During present day, one immediately thinks of coffee consumption done in the form of liquid, but
this is not how people originally consumed it. Beginning around 575 C.E., coffee beans were only
eaten as a source of energy (especially during times of war). Starting in 1000 C.E., coffee began to
be consumed in a liquid form, a method in which eventually spread throughout the Middle East. It
became very popular in areas such as Mecca and Constantinople, which influenced the first

Starbucks : The Coffee Industry
After many years in the coffee industry, Starbucks is well on their way to achieving their vision, "a
place that offers interesting coffee–related drinks in a theatrical atmosphere, pivoted around the
espresso machine and become most recognized and respected brand of coffee in the world."
However, in order to maintain their position as the leader in the specialty coffee industry several
obstacles have been identified. This report identifies three major issues in relation to financing,
sales, and expenses and provides the most optimal strategy to surmount each issue.
Issues
Starbucks has recognized that there is much room to grow in the specialty coffee segment, and plans
to uses the same strategy of issuing common shares to finance its growth. This can be a very
successful form of financing as it allows ownership to remain with the organization. However, the
issue that arises is that financial projections must be upheld in order to maintain Starbucks strong
financial position and investor confidence. In order for Starbucks to continue its plans for expansion,
heavy equity and debt financing will be needed to meet the expected projections and will be
imperative in order to secure such financing for the upcoming year 1997 where the anticipated
increase in weighted average shares outstanding is 7,769 shares or 10% respectively. This figure is
supported with an approximate 44% increase in the value of common stock from 1996 to the
anticipated value in 1997.
Furthermore,

Case Study of Csd Industry, Rte Industry and Specialty...
A Comparison of the Carbonated Soft Drink, Ready–to–Eat Breakfast Cereal and Specialty Coffee
Industries Using Porters Five Forces Michael Porter's framework describes an industry as being
influenced by five forces: buyer power, supplier power, threat of substitutes, threat of new entrants
and the degree of rivalry between existing firms within the industry. A strategic business manager
can use Porter's model to more clearly understand the industry environment in which its firm
operates and to therefore develop a competitive edge over rival firms. After analyzing the
carbonated soft drink, ready–to–eat breakfast cereal and specialty coffee industries using this
framework, I found that the three industries were very similar in their ... Show more content on
Helpwriting.net ...
According to the Cola Wars case, a bottling plant could cost as much as 75 million dollars and
"Coke and Pepsi each required close to 100 plants to provide effective nationwide distribution."
(Yoffie, 3). Additionally, Coke and Pepsi have deals with many distribution channels; such as
cooperative merchandising agreements and franchise agreements with their bottlers that forbids the
bottlers from carrying "directly competing brands." (Yoffie, 3). These agreements limited the ability
of new entrants to utilize the distribution channels that would make them successful in the industry.
Lastly, Coke, Pepsi and Cadburry Schwepps claimed about 89.3 percent of the soft drink industry,
with Coke and Pepsi accounting for the majority. The ability of a new entrant to wedge itself
between these highly established branded firms and their loyal consumers is nearly impossible.
Likewise, brand loyalty to the major firms in the ready–to–eat cereal industry was strong as these
companies alone accounted for 59% percent of the industries' sales by volume in 1993 and for about
86 percent of market shares in the industry. (Corts, 2). Also similar to the carbonated soft drink
industry are the rest of the major barriers to entry in the ready–to–eat cereal industry: capital
requirements, access to distribution channels

The Coffee Industry Analysis
The Coffee Industry Analysis
The gourmet coffee industry has continued to grow for the Great Cups of Coffee company since it
began in the year 1997. It seems that gourmet coffee has become in great demand for the American
workforce and for people who love it. Coffee shops can serve as place to relax, read, socialize, work
and study. Some coffee shops even provide wireless hot spots. The current trend seems to be
spending five dollars on a cup of gourmet coffee. Some coffeehouse competitors of Great Cups of
Coffee Company are Starbucks, Panera Bread, Dunkin Donuts and McDonalds.
Some of the competitors have more employees to contend with. According to the McDonalds
website, "The Company has 1.6 million employees." (McDonalds.com, ... Show more content on
Helpwriting.net ...
One of the greatest issues with GC3 faces is that with their acquisitions they have three different
types of stores with different benefit plans, cultures and food items. GC3 must face a nightmare
trying to keep track of employees, orders, and benefits. To bring GC3 into a truly unified company
several things have to occur. First, and foremost, is the need for standardization of the accounting
process and the MIS software that goes with it. Every store needs to report to Headquarters in the
same way; this is the only way to see true profitability.
Secondly, every store needs to offer the same items. The executive staff seems unable to take their
acquisitions and bring them into a mold that is GC3. Thirdly, if company cares are going to be used
then there needs to be uniformity throughout the company as to who has the right to one. GC3 has
not added to their upper echelon of executives as the company has grown. This means that the
original four individuals are carrying too much weight and cannot do everything that needs to be
done. Considerations needs to me made to add more middle management positions at a central
location.
In today's economy people are being laid off right and left it seems. With this in mind, a coffeehouse
or fast restaurant might want to stay competitive by offering their products at a lower cost.
McDonalds is now offering gourmet coffees. According to The Poly Post, McDonalds will offer the
McCafe, and state s that, "Complete with

Starbucks Corporation : The Special Eateries Industry
Section I
Introduction
Jerry Baldwin, Gordon Bowker, and Zev Siegl founded Starbucks in 1971 in Pike Place Market in
Seattle, Washington. They were inspired to pursue this company by coffee roasting entrepreneur
Alfred Peet after he taught them his style of roasting beans. Since then, Starbucks has grown into the
largest coffee chain in the world, with over 23,000 locations worldwide. This case analysis will go
over Starbucks Corporation's industry, as well as the company's financials and provide an in–depth
analysis of their operations. Recommendations will be provided at the end detailing a suggested
course of action for the company. To start the analysis, Starbuck's industry will be given an
overview.
Industry
Starbucks Corporation ... Show more content on Helpwriting.net ...
The coffee industry is an $30 billion dollar a year market and continues to grow. Starbucks leads the
way in terms of the Coffeehouse chain with over 23,000 locations and a market capitalization of
$57.8 billion. The next two coffee house companies are Dunkin Donuts and Tim Hortons with
market capitalizations of $4.53 billion and $7.42 billion respectively. Since Starbucks become the
leader in the Coffeehouse industry, other companies have entered to grab a hold of the of some of
the market share. In 2003 Mcdonalds launched their own coffeehouse in the form of McCafe in
2003. With over 35,000 locations world–wide and most, if not all, locations offering McCafe, they
have become a threat to Starbucks in the coffeehouse portion of the coffee industry. Starbucks also
offers packaged coffee that has its own set of competitors. Not as dominant in this portion of the
industry, Starbucks posts the third largest coffee brand in the United States with roughly ten percent
market share, along with another brand run by Starbucks Corporations, Seattle's Best. The
companies currently ahead of Starbucks, in terms of market share, are Folgers and Maxwell House
with market shares of roughly 22% and 15% respectively. Macro Environment The dominant
economic characteristics are the components of the

Coffee Industry And Its Impact On The United States
With time the small industry of coffee has modernized into a multibillion dollar industry that
surrounds the world. With the growth of the industry there has been many world wide changes. Over
the past 30 years coffee shops have jumped to the front of the public culture. New coffee shops have
changes the face of American cities along with British, German, Colombian, Kenyan and Indonesia
towns to name few. (Coffee a comprehensive guide to the bean, the beverage, and the industry)
Around the world coffee has become part of the daily culture and coffee shops have grown to
accommodate the massive demand that people ask for. Without the growth of the industry there
would be a shortage of the product and many would have to go without their beloved beverage. In
the United States alone there has been a massive increase in the number of coffee shops. In 1980 the
number of coffee shops was a year 2,000 and by 2008 there was an astonishing 27,715. (Coffee a
comprehensive guide to the bean, the beverage, and the industry) This was an increase of over ten
times in the short time. 11,000 of those stores, almost half, were Starbucks one of the biggest coffee
brands in the worlds. The growth of Starbucks is due to the work of Howard Schultz a worker for
the company before they became as massive as they are today. Starbucks started very small in
Seattle, Washington in the mid 1970's. Howard bought out the owners and then went on to turn the
small company into a massive corporation. (Coffee a

International Investment Analysis : Jamaica And Coffee...
Introduction
In this report is aimed to analyze about international investment analysis. The country that we
choose to investigating is Jamaica and in coffee industry. This assignment will examine in Macro,
Micro economy, free cash flow, risks and opportunities of the country and how can we manage those
risks or turn it into the opportunities. Consequently, we have to recommend this analysis to
Starbucks and it is going to extend more knowledge research and explore further more information
about doing business in Jamaica.
Macro economy
Inflation
In term of, an overall view in macro economy in Jamaica. Jamaica has decreased in inflation rate
from 9.77% in 2014 and right now is 5.30% (Tradingeconomics, 2015). Despite in many serious
kind ... Show more content on Helpwriting.net ...
Exchange rate & Currency
Follow by exchange rate and currency, Jamaican is using a Jamaica dollar (JMD) with the exchange
rate of 1 United States Dollar (USD) is equal to 115.39 JMD (Tradingeconomics, 2015). Jamaica
has a very low value of currency as their exchange used to be 60 JMD to 1 USD and right now is
115 JMD. The low value of currency is good for solving an unemployment rate and beneficial for
making exports cheaper but imports dearer to solve the trade deficit. However, it still may create
inflation rate problem.
GDP, GDP per capital & GDP growth rate
Gross domestic product (GDP) in Jamaica is 14.36 billion USD, GDP per capital is 5562.24 USD
and GDP growth rate is 0.6% in 2013 decreased to –1.2% in 2014 (Worldbank, 2015). It shown that
people become less effective in the country or tend to save money and spend less money on
purchasing the products.
Population growth
For the population in Jamaica is recorded at 2.72 million people (Tradingeconomics, 2015). Jamaica
has a generally increasing for population in every single year from 2.65 million in 2006.
Unemployment rate
Nevertheless, unemployment rate in Jamaica is reduced from 15.3% in 2013 to 13.4% in 2014 with
364,480 people are jobless (Tradingeconomics, 2015). That is the main reason why the government
decreased a value in currency to solve this unemployment rate issue. Even though they are having
quite a high number of unemployment but they are still trying to decrease it year

Monopolistic Market Competition Of The Coffee Shop...
Monopolistic Market Competition
In the UK, the three leading competitive coffee brands are Costa Coffee (with 1,992 outlets),
Starbucks Coffee Company (with 849 outlets) and Caffè Nero (with 620 outlets). They enjoy a 3–
firm concentration of 53%; (Market concentration measures the market share of the largest
companies in an industry)
The coffee shop industry is a monopolistically competitive market; this entails a market situation
where there are a lot of large companies competing, but each company has some degree of market
power, being able to determine its own price and ergo have an insignificantly small share of the
market (low concentration). A monopolistically competitive market besides being a perfect
competition has its characteristics of a monopoly too. (imperfect competition). (Monopoly is a
market situation where a single company has most of the market for a certain type of product or
service and often times accompany inflation of prices which deem inferior products over other
companies.)
When companies are making decisions, the companies do not worry about how the rivals will react,
in part to each company's actions are unlikely to affect its rivals to a great extent hence they are
independent. In addition, there is perfect knowledge in the market hence new companies have the
freedom to enter into the industry. The companies are also profit maximizers, producing output
where marginal revenue equals marginal cost; the profit maximising condition. Companies in a

External Environmental Analysis of Starbucks and the...
External Environmental Analysis of Starbucks and the Coffee Industry Harold Brown Strategic
Management March 3, 2011
External Analysis of Starbucks 2
Contents
1.0.0. Executive Summary
...................................................................................................................... 5 2.0.0. Company History
................................................................................................................................ 8 2.1.0.
Background ....................................................................................................................................... 12
Table 1: Starbucks Revenue Trends 2005–2010 ... Show more content on Helpwriting.net ...
30 3.2.6. Five Forces Analysis
......................................................................................................................... 31 Diagram 3: Five
Competitive Forces in the Coffee Industry .................................................................. 32 3.2.6.1.
Threat of New Entrants .................................................................................................................. 32
External Analysis of Starbucks 3
3.2.6.2. Power of Suppliers
......................................................................................................................... 33 3.2.6.3. Power of
Buyers ............................................................................................................................. 33 3.6.2.4.
Power of Substitutes ...................................................................................................................... 33
3.2.6.5. Intensity of Rivalry
........................................................................................................................ 34 3.2.7. Summary of
Industry Analysis ......................................................................................................... 34 3.3.0.
Competition Analysis........................................................................................................................ 34
3.3.1. Industry Competitors

Coffee Industry In Canada
In our society, we can see many different kinds of social setting and one of the most common
settings is coffee shop. Indeed, there is at least one coffee shop on each block. According to Coffee
Association of Canada, the market size of coffee industry in Canada is more than 6.2 billion dollars.
It shows that how big and important this social setting is. Among a lot of coffee shops, Starbucks,
Tim Horton, and Second Cup are the biggest and the most popular franchisers in Canada. If the
purpose of visiting coffee shop is only for coffee itself, they might have not been grown like these
days. People go there not only for coffee but also other reasons. Coffee shop is one of the best place
to interact with others because this social setting provides

Tim Hortons Case Study
Tim Hortons' Industry
Tim Hortons belongs to a vast sector, termed the Hotel, Restaurant, & Leisure Industry. This sector
is comprised of owners and operators from casinos and gaming facilities, betting services, hotels and
cruise–ships, travel agencies, tour operators, leisure facilities, restaurants, bars, pubs, fast–food or
take–out facilities and services (CMDportal, n.d). Industry Sector Classification is often used to
specify businesses at the Legal Entity level. At the Legal Entity level, the classification is based
upon their industry activity. In terms of Tim Hortons, its activity lies within its Coffee and Snacks
industry.
Coffee, Tim Hortons most significant source of income, is produced in more than fifty developing
countries, including Latin America, Africa, and Asia. Understanding the importance of keeping costs
low, Tim Hortons has strategically chosen to develop their coffee in these regions. Keeping costs
low means an increase in profitability, appealing stakeholders. However, The roasting and branding
of coffee is more capital intensive, subsequently relocating that aspect of their business to northern
industrialized countries ( COFFEE VALUE CHAIN & P3G ANALYSIS, n.d).
The coffee value chain involves four main phases: cultivation, processing, roasting, and
consumption. Each phase in the process has environmental, social, economic, and governance
outcomes, affecting the future sustainability of extracting the coffee bean. The photo below
illustrates the

Performance of Coffee Industry in Brazil
PERFORMANCE OF COFFEE INDUSTRY IN BRAZIL
by Student's name
Code+ course name
Professor's name
University name
City, State
Date
Performance of Coffee Industry in Brazil
Introduction
Brazil is the world's largest coffee producer. It produces approximately twenty five percent [25%] of
the world's total supply of the commodity. It has dominated this position for the last over hundred
and fifty years [150]. Eighty percent [80%] of the coffee from Brazil is the Arabica coffee with the
remaining percentage being the Robusta type. The Brazilian climate is very ideal for coffee growing
with favorable soil type that supports coffee growing. Approximately twenty seven thousand
kilometer squares of the country are under coffee ... Show more content on Helpwriting.net ...
Despite the fall in production however coffee earnings continue to grow in Brazil owing to the
favorable global prices of the commodity. It should be noted carefully that Brazil is the only great
producer of coffee that experiences frosts conditions. This puts its global competitiveness in terms
of quantity and quality to be at stake since the other large scale producers do benefit a lot during the
periods when Brazilian coffee is affected by frost. Additionally, these frosts are advantageous to the
other suppliers in that when Brazilian coffee is affected an extremely large supply gap is felt by the
global market. This makes the demand for coffee to outstrip its supply leading to increased prices of
coffee in the world market. This scenario was experienced in the year 1994 when heavy frost struck
Brazil and destroyed vast coffee estates. This caused a reduced volume of coffee in the market and
consequently the prices of the good in the world market skyrocketed, (Ponte, 202).
Graphical Representation of Coffee Production in Brazil
As seen in the above graphical representation of major world production it's true that Brazil is the
leading producer of coffee globally and its production capacity is seen to increase recently. This is
despite the fact that its land area under coffee has been diminishing owing to adverse climatic
conditions.

The price of the Arabica coffee is dominantly high as compared to Robusta. We noted that
approximately 80% of total

Five Forces of Starbucks
Porters Five Forces
Current Competitive Force
Porter 's first force that Porter describes is current rivalry among existing firms. In the specialty
eateries industry, Starbucks ' current and direct U.S competitors are Diedrich Coffee, Seattle 's Best
Coffee, and Einstein/Noah Bagel Corporation (hoovers.com). The competition, however, is not
equally balanced. Diedrich Coffee operates 370 coffeehouses in 37 states and 11 countries
(hoovers.com). Seattle 's Best Coffee operates 160 coffee cafes and 20 Italian coffee cafes in 17
states and 8 countries (hoovers.com). Einstein/Noah Bagel Corporation operates 460 bagel cafes in
the U.S (hoovers.com). Starbucks has 4,709 locations in over 20 countries (hoovers.com). It is clear
that ... Show more content on Helpwriting.net ...
This is an opportunity for Starbucks. Customers will face no switching costs in switching premium
coffee suppliers from Starbucks, to, for example, Seattle 's Best. This is a threat to Starbucks.
Another threat to Starbucks is that their customers have the ability to brew their own coffee.
Starbucks has tried to offset this threat by offering Preferred Office Coffee Providers as well as
directions on how to make the perfect cup of Starbucks Coffee at home, called the "Four
Fundamentals of Coffee" (starbucks.com). The perfect cup of Starbucks Coffee includes, of course,
Starbucks ' ingredients! It is clear that Starbucks customers have some bargaining power in the
industry.
Score: –2
Bargaining Power of Suppliers
Porter 's fourth industry force is bargaining power of suppliers. Coffee is the world 's second largest
traded commodity (Bruce). South and Central America produce the majority of coffee traded in the
world. Starbucks depends upon both outside brokers and direct contact with exporters for the supply
of green coffee (Bruce). The supply of coffee is affected by weather conditions, and the health of
coffee trees. According to the article "Coffee Industry to Adopt New Pricing Plans," the major
players in the coffee industry have seen profits decline because of over–crowding of the market
(Brains Trust). An over–crowded market will give the coffee suppliers bargaining power. According
to

Starbucks Is A Worldwide Coffee Industry That Is Making...
Defining the Industry What industry is Starbucks in? Starbucks is a worldwide coffee industry that
is making the world a little better one cup at a time. Established in 1971, the company was just a
single store in Seattle's Pike Place Market. Since then it has grown into a global industry and one of
the most ethical businesses in the world. Starbucks is known for customers expecting more than just
coffee. This is why they have such a wide customer base. Their customers range from children to
older adults. The primary target is adults from ages 25 to 40. This age range alone makes up almost
half of its total business. Starbucks grabs the attention of this age group through its contemporary
design and constant advertising. Most of ... Show more content on Helpwriting.net ...
Starbucks completely dominates the competition in market share within the traditionally defined
coffeehouse industry with a market share of almost 33% and the closest single competitor being
Dunkin' Donuts with 16%. In such a specifically defined industry, it is fairly easy to overlook the
niche market that Starbucks serves. As a firm, they have a very distinct reputation in the market with
not only their name, but also the specialty products they serve such as their coffee, foods, and
starting in August of 2015, beer and wine. It is this sort of product offering that makes it possible to
also categorize them in a "niche consumable" industry, however, doing so would have ironically
placed them within a niche industry where the competitors have much less in common than in other
industries. A common trend that could become a future occurrence is that the socio–cultural and
competitive forces will call for products to be more ethically procured, better quality and lower
priced. Another recession or increased social awareness of how coffee beans are procured could
slow the growth of the current coffeehouse industry and allow for these new entrants to enter the
market. Opportunities for Industry Future There are many opportunities for Starbucks to succeed in
their industry. These opportunities include expanding of product offerings, entering foreign markets,
and brand awareness. In expanding of product offerings, we have seen Starbucks

The Growth Of The Coffee Industry
The growth of the coffee industry is expected to keep growing even become larger in the near
future. Without new innovation the industry would never grow. There have been some tiny and some
large changes in the coffee world that in toll add up to a new experience that many cannot refuse to
be a part of. One of the goals of many coffee shops is to make the customer comfortable and happy.
To do this many Starbucks' around the world have installed new wireless charging stations in there
stores so that when costumers are there they can easily charge their phones without worrying about
bringing a charger of their own. This new addition to the stores is just one part of getting ready for
the future. Phones and technology in general is a huge part of everyday life and this has to be
incorporated into many places people shop. By adding technology to stores it makes the entire
buying process more streamline. Starbucks has also integrated the use of phones in to the payment
system at every store. Customers use their own phone that has a barcode to pay for their goods. With
just the touch of a button the entire buying process can be completed. This makes it easy because
you do not need to worry about remembering your wallet all you need is your phone and many
people already have it with them. Included in the app is also a rewards system that provides user
with rewards bases on how often they go and even recommendations for what a customer may enjoy
next time. One of the newest changes

The Success Of The Coffee Industry
The legend states that a goatherd or goat herder in the mountain tops of Ethiopia, known as Kaldi,
noticed over a hundred years ago that his goats would become vastly spirited and energized when
eating barriers from a certain tree. This discovery has lead to one of the worlds most demanded
commodity crop; missionaries and travellers, traders and colonists continued to carry coffee seeds to
new lands and coffee trees were planted worldwide. Fortunes were made and lost throughout these
years and in the 18th century, coffee had become one of the worlds most profitable export crops.
Even with the struggling economy and the financial crisis that attacked industries worldwide, the
coffee industry was vastly growing and people with less ... Show more content on Helpwriting.net ...
The company's focus was on premium travel, and business–to–business operations, fashion and
culture. Illy coffee was also one of the first coffee companies to assimilate automated systems and
sophisticated machinery to guarantee the best quality beans and zero defects. Having found success
and established a name familiar in most households' world wide, Illy sought to expand and create
new opportunities to grow, and seized the coffee shop industry with Espressomente. The coffee
shops mission, passion and obsession is to delight, using the best available technologies while
expressing values and ethics that lead the premium coffee industry.
Christophe Reale, the managing director of Espressamente at Illy, acknowledges the demand
prospects for coffee, and is aware of the growth of niche markets in traditional consuming countries
and the opportunities of new consumers in emerging and exporting countries. Christophe anticipated
Espressament's place within the global market and the company's opportunities for future growth, he
knew the importance of prioritizing markets to achieve the global route to markets. Based on
previous given knowledge, sales potential analysis and a ton of research, Chistophe decided to focus
only on the markets or countries with the most potential. And with this diligent research and vast
experience Christophe will foresee where the greatest potential for success lies, and what kind of
strategy should be pursued

America 's Largest Coffee Industry
Introduction As everyone knows, America is the world 's largest coffee consuming countries,
Americans can drink coffee at everywhere, whether at home, schools, parks, offices and public
places, the aroma can be smell everywhere. American coffee culture is unrestricted, like a game of
don 't need rules. In General, Americans lived life in the fast lane, they always have a big pot with
drip–style coffee, drinks from morning to night. Because of too much water with less coffee,
coffee's taste particularly weak, and therefore, many people thinks that American coffee is difficult
to drink. America is the largest instant coffee export countries, however, not many people drink
instant coffee in America. Most Americans are more willing to buy coffee from cafe, which is
convenient not taste bad. In America's cities, there are numerous coffee chains distributed on
different streets, such as The Coffee Bean, Costa Coffee, McCafe, Peet's Coffee & Tea, Tully's
Coffee and etc. In so many coffe chain brands, the most famous band is Starbucks.
History/Company background 窗体顶端 Speaking of Starbucks, we have to mention a person who
is the current Chairman and CEO Howard Schultz. From the 1980s, Schultz has been working with
the Syarbucks to grow. Unknow to the public, Starbucks was originally founded by three non–
business person: Zev Siegl (history teacher), Gordon Bowker (writer) and Jerry Baldwin (English
teacher). They want to brought the best coffee to Seattle, so in

Coffe Cafe Industry- Barista vs Cafe Coffee Day
COFFE CAFE INDUSTRY– BARISTA Vs CAFE COFFEE DAY
OBJECTIVE The objective of this project has been to understand the marketing mix of Barista and
Café Coffee Day and compare the two firms in terms of their operations and other aspects. We took
up organized coffee retailing as we wanted to understand what it takes to sell not only a coffee but a
whole experience in a country where coffee is not as preferred & popular as tea. The firms that have
ventured into coffee retailing business in the country are Café Coffee Day, Nescafe Café, Café
Mocha, Georgia Coffee, Chimayo Chains owned Qwiky's brand of coffee pubs and Barista to name
a few. Out of these we chose Barista and Café Coffee Day for our study because of their popularity
and wide ... Show more content on Helpwriting.net ...
Being a consumer good, it can be classified as being a convenience good that be further classified as
both staple good (hanging out at Barista may be a routine for many people, young professionals) and
impulse good (for people who happen to pass by the wonderfully attractive and comfortable shop
after a day of shopping or hard work). It has a long list of product mix as indicated in the figure. The
product lines are indicated in columns. These individual items keep on changing according to the
unique seasonal promotional offers refer to http://barista.co.in/guiltypleasures/product.html all the
new offers.
Coffee & Teas Refreshing Alternatives Eatables
Coffee with milk Smoothies Sandwiches
Cappuccino
Caffe Mocha
Caffe Latte Guava
Mango
Grape Paneer Tikka
Cheese & Tomato
Smoked Chicken
Black Coffee Granitas Rolls
Espresso Italiano
Esperano
Americano Blue curacao
Lime Ice
Mixed Fruit Tango
Guava Crush Kadhai Paneer Roll
Chicken masala roll

Dessert Coffees Milk Based Pastas
Latte Bianco
Café Borgia Strawberry Freeze
Mocha Freeze
Icepresso Tangy Tomato Pasta
Creamy Chicken Pasta
Cold Coffees Iced Tea Other Foods
Brrrista
Brrrista Frappe
Brrrista Blast
Iced Caffe Mocha Lemon
Peach BBQ Chicken croissant
Coffee Add– Ons Other Drinks Desserts
Various Flavors
Chocolate Fudge
Whipped Cream
Espresso Shot
Ice cream Scoop
Ginger Fizz
Kinley Water Walnut Brownie
Mocha Express
Chocolate Express
Dark Temptation
Chocolate Mousse
Chocolate

Coffee rust disease is the greatest threat to the coffee...
Coffee rust disease is the greatest threat to the coffee industry worldwide and has the potential to
improve or hurt Brazil's economy while having a significant impact on the United States. Coffee is
second only to petroleum for exports in developing countries. Over 500 billion cups of coffee are
consumed globally each year. The worldwide coffee supply comes primarily from Central and South
America accounting for 67 percent of production (Goldschein, 2011). Coffee rust disease is a wind–
borne fungus that spreads quickly. Once infected, crop yields are significantly reduced (Arneson,
2000). In their annual reports from recent years, Starbucks and Dunkin' Donuts both list increases in
coffee commodity prices and shortages due to increased ... Show more content on Helpwriting.net ...
As the coffee industry in Brazil grew so did the infrastructure of the country. By the 1900's coffee
made up 70 percent of exports from Brazil. The increased productivity led to an excess in the market
that coupled with diminished demand caused a Brazilian depression and created discontent with the
current political system that led to dictatorship control (E, 2008) (The Library of Congress, 2010).
With the emergence of a more democratic political system and deregulation other crops developed
as important exports. This was further encouraged by the government due to a need to have a more
diversified economy (The Library of Congress, 2010). Even with shifting production to other crops
Brazil remains an important part of the world's coffee supply as shown in figure 1.
Figure 1 Worldwide Coffee Exports November 2013 (Statista, 2014)
The coffee grown in Vietnam is Robusta leaving Brazil and Columbia as the two largest sources of
Arabica. Brazil has the largest market share of all coffee production and the largest share of Arabica
production. Arabica coffee plants are more susceptible to coffee rust disease (International Coffee
Organization). In 1869 an outbreak occurred in Ceylon, present day Sri Lanka. This outbreak
affected 90 percent of their crops and shifted their production to tea. Britain, a major coffee importer
and grower in Ceylon at the time, shifted their

What Is The Porter's Five Forces Of Coffee Industry
nalyze the specialty coffee café industry using Porter's Five Forces and Macroenvironmental
Analysis. What are the key success factors in this industry?
Porter's Five Forces
1– Internal Rivalry (Strong Force)
There are many sellers in the market heating up pricing competition. Competitors like McDonald's,
Dunkin Donuts, Peet's Coffee and other specialty coffee companies incentivize price wars.
Furthermore, coffee's demand is elastic which makes it difficult to increase prices without greatly
reducing the demand. This makes differentiation and positioning very important. Also, it is easy for
customers to switch from coffee vendors. Whichever company is most convenient for the customer
will likely win the business. Competition is a top priority in the industry.
2– Entry (Moderate force)
Entrants erode the market and rarely grow it enough to the incumbent's advantage. New entrants
have an impact on the industry business but at a moderate level. This is mainly because new firms
will find it difficult to compete against the incumbents' strong brand, like Starbucks and McDonalds,
and because the market is saturated. However, the costs of entry are relatively low. Most of the raw
materials are cheap and the distribution chain is not complicated. This makes it easy for new
companies to enter the market. Also, established companies might leverage their brands as they
enter the industry to compete against the incumbents.
3– Substitute and complementary products (Strong force)

Industry Overview And Competitive Strategy Essay

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