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Elora Sakal

on 24 April 2013

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Transcript of Starbucks

RICHARD VELANDIA STARBUCKS PRODUCTS STARBUCKS - THEN & NOW STARBUCKS ADVERTISEMENT COMPETITION In an economy that favors cheaper deals, Starbucks struggles to compete against competitors such as Dunkin' Donuts and Mc. Donald's who are notorious for cheaper prices. HISTORY The first Starbucks opened in Seattle, Washington, on March 30, 1971 by three partners that met while students at the University of San Francisco:
English teacher Jerry Baldwin, history teacher Zev Siegl, and writer Gordon Bowker. WEAKNESSES COST: Starbucks products are more expensive as opposed to rivals such as Dunkin' Donut & McDonald's, thus risking the loss of customers. Lack of coupons, deals & promotions. LOCATIONS: Needs more of a wide spread customer base. Size of stores: stores can become crowded at times Starbucks' locations are scarce in suburban areas WEAKNESSES OTHER: Health implications of coffee consumption are a matter of debate, and many of the company's products have high calories and fat content. Limited products at different locations. Not enough Drive-Thru services. Not enough bi-lingual employees. WEAKNESSES WITHIN THE ORGANIZATION EMPLOYEES: Employee's do not do their job because of laziness or lack of care. Employee's are not properly trained so they do not know what to do and do not know what their duties are. MANAGERS: Store Managers or Assistant Managers were not trained properly and therefore do not know how to manage a store. Managers are not actually managing the store and are not maintaing the atmosphere and ensuring that the employee's are performing to their best ability. Threats McDonald's Globally known brand
Lower prices
Varity Brand Image: Starbucks is one of the companies that has succesfully created awareness for the quality of their coffee while maintaining supremacy on their brand making this company particular. Employees are not happy with their pay rate and therefore they do not work to their full potential. MISSION STATEMENT The Old: The New: "To establish Starbucks as the premier purveyor of the finest coffees in the world while maintaining our uncompromising principles as we grow." "To inspire and nurture the human spirit - one person, one cup, and one neighborhood at a time." RECOMMENDATIONS Market Outside of US: There are not many (if any) Starbucks' in other countries. Strengths - Internal Analysis
Starbucks remains a place where employees want to work because it offers health care and a relaxed environment.

Increased sales as a result of social-media promotions.

These efforts led to a rise in net income and revenue from the first quarter last year to this year. As a result, employees can have bonuses as an incentive to keep them motivated by the company.

Human Resources activity is concerned with recruiting, training, motivating and inspiring the employees who work for Starbucks. Strenghts Strengths - Internal Analysis
Starbucks has valued and motivated employees; good work environment.

Good relationships with suppliers

Marketing and sale: This activity involves the marketing communication tools that Starbucks uses to attract more customers. OPPORTUNITIES: •Significant opportunities exist, especially outside domestic US market for joint ventures. Starbucks could overcome planning restrictions, reduce costs through co-locating at supermarket chains, pubs & restaurants.

•Product range diversification into greater food ranges and non-food items. The company has experimented with warm sandwich lines, and I-tunes. Also, sold music CD’s and linked with clubs etc. OPPORTUNITIES • Licensing its name could provide new streams of revenue.

• Continued focus on improving efficiency and effectiveness in the organization, from procurement, to supply chain to customer service delivery.

• Become more of a socially responsible brand. Better public relations activity, introducing more fair trade products, better distribution of profits to farmers and ethical sourcing practices THE END! THANK YOU FOR YOUR TIME!
ARE THERE ANY QUESTIONS? Strengths - Internal Analysis It is not only the training about customer relations or service, but it is also the activities related to technological equipment that employees use at Starbucks.

Young and affluent workforce.

Individual training regimens.

Involved employees Strengths - Internal Analysis Starburcks is a company that employees want to work for.

Starbucks as a company has a motivating incentive policy.

People Oriented Structure.

They have a Market Dominance

Employee looks to grow in other ways. DunKin Donuts Name Reconigtion
Great pairing products
Great following Panera Bread Premium Coffee
Premium Clients
Premium Price Provide More Training: Employees should be trained when hired and on different occasions to ensure top quality performance. Lower Prices : They offer more specials, coupons, or promotions. Help Employees Provide better benefits, salaries, incentives
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