Strategic Analysis of Starbucks Corporation - Essay Example

Being in 62 countries, the company has employed over one hundred and eighty-two thousand people. They offer their services in their coffee shops, homes and even in offices. The flexibility has made them acquire the loyalty of many customers. They operate in the stock market and have the majority of the market shares (The New York Times, 2014, retrieved fromhttp://topics.nytimes.com/top/news/business/companies/starbucks_corporation/index.html ). They have a variety of brands that help meet the varying demands of customers.

Starbucks operates in a highly competitive environment with many and strong competitors. The coffee business has no entry limitations and therefore competition grows each day. Despite the situation, Starbucks has managed to remain competitive and providing its customers with high-quality products. Starbucks operates well-maintained stores in terms of health and comfort (Michelli, 2007, p. 22). Their neatness maintains their customers and attracts new customers too. The management in each of the stores is strategic.

They have ensured that all the services offered are premium. The managers have ensured that their customers feel that the products are adapted and personalized. The comfort in the coffee shops has made them become social places and hence, attracting many customers. The many people meeting in the Starbucks coffee shops have been their largest strong point in terms of expanding and increasing their economies of scale. The organization is very selective when hiring their staff. Well-trained employees who have a sense of customer service run the corporation.

They train their employees on a yearly basis, hence growing to the world’s leading coffee shop in terms of restaurant service. Starbucks trains their employees not only to make coffee but also on service value of the corporation. This has improved their employees’ productivity and innovation capacity. They motivate their employees through provision of medical covers and