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 and 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***** of a company coordinate and synchronize with each o*****r to accomplish their strategic objectives (P*****ter, Millar, 149).

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

***** primary activities ***** Inbound Logistics, Operations, Outbound Logistics, Marketing and Sales ***** Service form the primary activities of any value ***** according to (Porter, *****, 149) followed ***** 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 services, and c*****tinually develop next generation products to serve the needs of *****ir customers.

SWOT Analysis

Strengths

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

Weaknesses

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 ***** U.S. market, a continued weakness ***** the company, makes the challenges of global ***** all the more urgent. With an operating loss reported in Japan, and a lack of ***** customer growth in other nations, Starbucks is *****ginning to realize that their br***** alone cannot ***** global *****s as it does domestically. What 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 ***** (Pretorius, 21 - 28). In addition to these weaknesses, Starbucks is also challenged by the growing backlash against the ubiquity ***** *****ir br*****, especially in foreign countries.

Opportunities

*****re are many opportunities for Starbucks go*****g *****ward however, despite their weaknesses 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 ***** r*****ks inherent in ***** approach. Starbucks ***** to consider joint ***** in those countries *****

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