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Starbucks' Value Chain Analysis

Starbuck's Value Chain Analysis

In analyzing the structure and performance of Starbuck's ***** 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 areas ***** a company coordinate and synchronize with each other to accomplish their strategic objectives (Porter, Millar, 149).

Figure 1: *****'s Value ***** Model (Porter, Millar, *****49)

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

SWOT *****

Strengths

The catalyst ***** the core ***** that Starbucks has can be traced to their ability to exp***** 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 performance in *****clusion in the Fortune 500 for the first time illustrate how tightly intertwined ***** three core *****s of the company are. What also ***** emerged as a key competitive differentiator ***** the company is the speed at which Starbucks can ***** new products. Their ne product development process ***** ***** global in scope, taking into account seasonal variations in each hemisphere, is also one of the ***** strategic strengths of ***** company. All of these factors contribute to one ***** the greatest strengths of Starbucks, ***** is their br***** (Henry, 56 - 59).

*****

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

Opportunities

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

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