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

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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 their 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 and synchronize with each o*****r 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 ***** Sales and Service form the primary ***** of any value ***** according to (Porter, *****, **********) ***** ***** the support activities ***** the organization, human resources, technologies, and purchasing. Taken together these combination of factors create the ***** chain the all companies rely on to produce products, deliver *****s, and c*****tinually develop next generation products to serve ***** needs ***** their cus*****mers.

SWOT Analysis


***** catalyst of the core ***** that Starbucks has can be traced to their ability ***** expand retail locations quickly and profitably. This strength of rapid retail expansion has *****en the basis ***** *****ir second key strength, which is their wide geographic presence. Third, their robust financial performance in *****clusion in the Fortune 500 for the first time illustrate how tightly intertwined these three core strengths of the ***** are. What also ***** emerged as a key competitive differentiator for the company is the speed at which Starbucks can ***** new products. Their ne product development process ***** is global in scope, tak*****g into account se*****onal variations in each hem*****phere, is also one of the key ***** strengths of ***** company. All of ***** factors contribute to ***** of the greatest strengths ***** Starbucks, ***** ***** ***** br***** (Henry, 56 - 59).


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


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


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