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Starbucks' Value Chain Analysis

Starbuck's Value Chain *****

In analyzing the structure and performance of Starbuck's Value Chain, an analysis of the company's strengths, weaknesses, opportunities and threats have been completed, followed by an assessment of *****ir product, marketing *****d sales, and customer service functions. The value chain was originally defined by Dr. Micheal Porter as a means to defining how the key functional are***** ***** a company coordinate and synchronize with each other to accomplish their strategic objectives (Porter, Millar, 149).

Figure 1: Porter's Value Chain Model (Porter, Millar, *****)

The primary activities of Inbound Logistics, Operations, Outbound Logistics, Marketing and Sales ***** Service form the primary ***** of any value ***** according to (Porter, *****, 149) followed by the support activities ***** the organization, human resources, technologies, and purchasing. Taken together these combination of factors create the value chain the all companies rely on to produce products, deliver services, ***** c*****tinually develop next generation products to serve ***** needs ***** their cus*****mers.

SWOT Analysis


The catalyst of the core strengths that Starbucks has can be traced to their ability ***** expand retail locations quickly and pr*****itably. This strength of rapid retail expansion has been the basis ***** their second key strength, which is their wide geographic presence. Third, their robust financial ***** in inclusion in the Fortune 500 for the first time illustrate how tightly *****tertwined ***** three core strengths of the ***** are. What also has emerged as a key competitive differentiator for the company is the speed at which Starbucks can create new products. Their ne product *****ment process ***** is global in scope, taking into account seasonal variations in each hem*****phere, is also one ***** the key strategic strengths of ***** company. All ***** these factors contribute to one of the greatest strengths of Starbucks, which ***** ***** br***** (Henry, 56 - 59).


Starbucks continues ***** struggle to gain global growth opportunities, translating their retailing expansion techniques in the U.S. into more global success. The high reliance on the U.S. market, a continued weakness ***** ***** company, makes the challenges of global ***** all ***** more urgent. With an operating loss reported in Japan, and a lack of new customer growth in ***** nations, Starbucks is beginning to realize that their br***** alone cannot ***** global *****s as it does domestically. ***** is necessary ***** a more differentiated product strategy that centers on more localized beverages and foods, and less of a one-size-fits-all ***** mix in international locations (Pretorius, 21 - 28). In addition to these weaknesses, ***** is also challenged by the growing backlash a*****st ***** ubiquity ***** their br*****, especially in foreign countries.


There are many opportunities for Starbucks go*****g *****ward however, despite their weaknesses and the ***** they face. The opportunity for more effective global market expansion through the use of joint ventures, licensing, and wholly owned subsidiaries needs ***** be balanced against ***** r*****ks inherent in each approach. Starbucks ***** to consider jo*****t ventures in those ***** *****


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