Starbucks company - Research Paper Example

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Starbucks Company Starbucks Corporation, Washington based coffeehouse chain, is the largest coffeehouse company of the world. The business started in early seventies when Jerry Baldwin, an English teacher, Zev Siegel, a history teacher, and Gordon Bowker, a writer opened the first outlet called “Starbucks Coffee, Tea, and Spice” with investment of $1,350 each, and they had borrowed $5,000 more from bank (Auch-Roy, 3)…
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Download file to see previous pages The action for survival remained one of most important inside issues at Starbucks. Two years back, the company declared to close down overall three hundred stores and cutting more than six thousand jobs. Moreover, the pay cut and declined bonus of the higher executives were other marks of the crisis. ­At the same time they got reputation for development of new products and creativity. The availability of the branded coffee in several grocery chains is a remarkable creative effort. In collaboration with Kraft Foods the products were distributed in grocery markets. Starbuck has ended the long term contract, and announced the partnership with Green Mountain in order to improve their business. Moreover, the Starbucks are exposed to rises. The rising cost of coffee and dairy products are another challenge. However, the executives of the company failed to see certain facts. The products and services offered were not fit for the characteristics of market. The customer dissatisfaction issue is yet another problem. If retail is all about customer relationship, retail of Starbucks simply not attractive in present market. The current marketing strategies do not necessarily meet its objectives. That reflects the inside state of affairs. ...Download file to see next pagesRead More
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