Starbucks: Evolution of a Global Brand


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Case Details:

Case Code : BSTA064
Case Length : 18 Pages
Period : 2003
Organization : Starbucks
Pub Date : 2003
Teaching Note :Not Available
Countries : Global
Industry : Speciality retailers

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts Contd...

Operations

Starbucks' top management considered the quality of coffee products to be critical to the brand's strength. By controlling as much of the value chain as possible - from buying the raw beans to the roasting process to selling specialty coffee in company-owned stores - Starbucks attempted to ensure high quality standards for its offerings in a young market...

Brand Building

In a recent survey of the top global brands, conducted by Business Week and Interbrand, Starbucks had ranked 93 . Schultz felt that the equity of the Starbucks brand depended less on advertising and promotion and more on word of mouth...

Globalization

Industry experts expected the US gourmet coffee market to be fully saturated by 2004. Consequently, the need for Starbucks to expand in overseas markets became more pressing. For Starbucks, global expansion represented both a challenge and an opportunity...

Human Resources

As Starbucks grew bigger, Schultz set about identifying and correcting organizational weaknesses. He felt that Starbucks must pay more attention to the people who made, served and bought coffee. Baristas and other employees who directly affected the quality of products and the consumer experience in stores, exerted tremendous influence on the company's performance...

Ethics & Social Responsibility

Schultz's stated objective was to build a company with a soul. Starbucks was the largest corporate contributor in North America to CARE, a worldwide relief and development organization that sponsored health, education, and humanitarian aid programs in most of the Third World countries where Starbucks purchased its coffee supplies...

Exhibits

Exhibit I: Adults Who Drank Coffee or Specialty Coffee
Exhibit II: Starbucks: Mission Statement
Exhibit III: Starbucks: Stock Price Chart


 

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