1. Starbucks
A Story Of Growth
Case Sysnopsis
History
Founded in 1971
originally sold coffee
beans
1987, acquired by II
Giornale
start making coffee like
italian
Execution
start with retail outlets,
coffee roasting facilities
and wholesale operation
1996, Starbucks began
executing two initiatives
Selling Starbucks
products through mass
distribution channels
Dramatically expanding its
footprint
Problem Defination
CEO Howard Schultz
growth strategy?
operation was disbalanced
should they acquired coffee
equipment company
supply chain management
distribution & logistics
17,000 retail stores in 50
countries
lacking in Informational
technologies
independent coffee shops
competition by rivelry
Situational Analysis
rescission crisis
Declining customer
traffic
Decline in operating income
from 14.3% in 2007 to 6.0% in
2008
Mass Distribution Channels
“ to accelerate growth of the
Starbucks
Licensing Agreements! By
2008, 16% of of Starbucks
revenue comes from other
retailers
SWOT Analysis
Strenghts
unique taste
avaliablity
best services
fresh and authentic
Weekness
operational system
SCM
IT system
Opportunities
other segments
instant coffee
growth by 15%
Threats
competitiors
rescission crisis
disbalance in system
Recommendations
they should acquire coffee
equipment company
they should try some new
products
try with new segments
with unique taste
should improve their
operation
should enhance their SCM
should enhance their IT
technologies
Conclusion
starbucks journey was faced
with several threats from
time to time still it retain its
position through constant
operational startegies
highest store worlwide