CASE STUDY- STARBUCKS

==INTRODUCTION==

Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.

CEO- Kevin Johnson
Founders- Jerry Baldwin, Zev Siegl, Gordon Bowker

==PRODUCT REVIEW==

Starbucks products include hot and iced coffee, tea, milkshakes, juices, pastries, cakes, sandwiches, salads, etc. it also has bottled drinks, at home coffee and merchandise.
Starbucks’ equipment include brewer machine, espresso machines, coffee grinders, etc.
Starbucks realizes its brand value and makes excellent products.
Starbucks has able to establish an ambiance of sophistication, brand loyalty and has gained many loyal customers.
To maintain success in future it must safeguard and develop brand value.

==MARKET STRATEGY==

Starbucks, which opened its first store in Seattle in 1971, has become mainstream.
It has changed minds on leadership and has grown to have more than 32,900 locations worldwide.
Its shares have risen 7.7% in 2017 to date, and the company's market capitalization is now $125.56 billion(in 2020).
Despite its high price Starbucks creates a sense of brand loyalty.
They have succeeded in creating a standard for their coffee.
Starbucks creates ideas which are difficult to imitate for their competitors.
Starbucks has created an aroma for their coffee which other coffee shops are not able to.
People spend more on Starbucks because of the logo and status they have.
Ensuring a positive customer experience has allowed it to become one of the leading firms in the coffee industry.
Target market is mostly the higher wage-earning professionals, business owners, or other higher-end customers in the 22-50 age group.
People with a fast-moving lifestyle want good quality coffee and some space to relax after a hectic day.
Starbucks offers all these privileges in a single place.
The target audience of Starbucks includes both male and female customers, and a large bunch of these customers are mainly in the 25-45 age group.

==SWOT ANALYSIS==

Strengths:-

· Strong market position

· High quality products

· Strong financial performance

· Location and appeal of stores

· Loyal customer base

Weaknesses:-

· Expensive products

· Overdependency on USA market

· Clash of European/American coffee culture

Opportunities:-

· Expansion into emerging markets

· Drive thrus

· Advanced technology

· Brand extension

Threats:-

· Increased competition

· Rising prices of coffee beans

· Developed countries economy

· Changing taste and lifestyle of consumer

==CONCLUSION==

In conclusion, Starbucks is leading the market because of its dominating global presence and leadership.
A consumer’s experience at a Starbucks location is arguably different from any other coffee shop because of its intimate atmosphere, welcoming environment, and unmatched service.
Their inviting “ideal coffee shop ambience” should prove to be a sustainable competitive advantage.
Starbucks’ implemented strategy of retail locations and on-site partnerships have received greater response rates, giving them the leading seat within the mature industry.
Starbucks, thus, has a strong market position through its all-inclusive marketing strategy.