Specialty Coffee Retailer Starbucks
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Starbucks has become the premiere specialty coffee retailer, operating more than 2,000 coffee shops in a variety of locations in Asia, Canada, the UK, and the United States, including office buildings, shopping centers, airport terminals, and supermarkets. Starbucks sells coffee drinks and beans, fresh pastries, and other food items and beverages as well as mugs, coffeemakers, coffee grinders, and storage containers. The company also sells its beans to restaurants, airlines, and hotels, and it offers mailorder and online catalogs. Starbucks has expanded into coffee ice cream (with Dreyer's) and makes Frappuccino, a bottled coffee drink (with PepsiCo).Starbucks was a small company with only four stores when Howard Schultz went to work for the company in Seattle in 1982. The company developed from the vision Schultz developed during this time. He and the former CEO disagreed on the direction the company should take. Schultz traveled around and saw what coffee shops and companies were doing. When Schultz returned to Seattle after seeing how small coffee boutiques were serving customers espresso, he wanted to make Starbucks into that kind of company, but the former CEO believed that idea clashed with the business Starbucks already had. Schultz tested the idea and showed that he could be successful, but he still encountered resistance. Schultz then opened his own stores, but when Starbucks went on sale, Schultz bought it. He decided to keep the Starbucks
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t the answers would be the same no matter which manager at any other store you met. The company strives for consistency down the line, especially in terms of decor, product, service, and shared values.
I asked what he would consider most interesting or unique about the company. He referred to the fact that the company is now becoming a brand name that is found virtually everywhere. He agreed that the company has been criticized for this, given that having stores close together cuts into the business of individual stores, but he notes the importance of convenience and of consumers feeling that they can find what they want and feel at home no matter where they are in most cities. He compared Starbucks to McDonald's, seeing both as part of American culture. The fact that the stores are on nearly every streetcorner in some cities adds to this perception.
I asked what he felt about the management of the company, and he said it was clear they were doing a wonderful job given the growth of the company over the last decade, the continuing high rate of growth today, the success of special promotions and new products, and the high return the company has achieved and maintained. He refers to the training program as one of the reasons
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Approximate Word count = 1961
Approximate Pages = 8 (250 words per page)
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