Essay - Starbucks' Value Chain Analysis Starbuck's Value Chain Analysis in Analyzing...

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Starbucks' Value Chain Analysis

Starbuck's ***** Chain Analysis

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 ********** 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 ***** synchronize with each other to accomplish their strategic objectives (Porter, Millar, 149).

Figure 1: *****'s Value Chain Model (Porter, Millar, 149)

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

SWOT *****


***** 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 ***** ***** the basis ***** *****ir second key strength, which is their wide geographic presence. Third, their robust financial ***** in *****clusion in the Fortune 500 for the first time illustrate how tightly intertwined these three ***** strengths of the ***** are. What also has emerged as a key competitive differentiator ***** the company is ***** speed at which Starbucks can create new products. Their ne product development process ***** ***** global in scope, taking into account se*****onal variations in each hemisphere, is also one of the key ***** strengths of ***** company. All ***** ***** factors contribute to ***** of the greatest strengths of Starbucks, which ***** ***** br***** (Henry, 56 - 59).


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


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


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