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 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 ***** synchronize with each o*****r to accomplish their strategic objectives (P*****ter, Millar, 149).

Figure 1: Porter's Value ***** 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, Millar, *****49) ***** 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 services, ***** c*****tinually develop next generation products to serve the needs of their cus*****mers.

SWOT Analysis

Strengths

***** catalyst ***** the core ***** that Starbucks has can be traced to their ability to expand retail locations quickly and profitably. This strength of rapid retail expansion ***** ***** the basis ***** *****ir 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 ***** the company ***** the speed at which Starbucks can ***** new products. Their ne product development process that is global in scope, taking into account seasonal variations in each hemisphere, is also one of the ***** ***** strengths of the company. All of these factors contribute to ***** of the greatest strengths of Starbucks, which is ***** brand (Henry, 56 - 59).

Weaknesses

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

Opportunities

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

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