Starbucks analysis. Starbucks Coffee in Malaysia. Starbucks face some challenges of modifying their existent strategies to gain and sustain their competitive advantage in a rapidly changing environment.

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EXECUTIVE SUMMARY

In this assignment, the organization that has been chosen is Starbucks Coffee in Malaysia. Starbucks face some challenges of modifying their existent strategies to gain and sustain their competitive advantage in a rapidly changing environment. As a store manager, below are some tools using in Starbucks which its internal and external environmental analysis been evaluated thru:

  • PESTLE analysis
  • Value Chain analysis
  • SWOT analysis

In order to compete with other competitors, have proposed several marketing strategies to the Managing Director, in which Starbucks may aim its sales at the young crowd, focusing more on the quality of its products and services to improve its profitability and achieve its long-term business vision and mission.

Through the analysis tools stated above, am required to evaluate three strategic options which are available in Starbucks, and then select one of the options evaluated that gives the best fit strategic option which can help Starbucks to strengthen its position and sustain its growth either locally or globally.

CASE IN POINT: STRARBUCKS

Starbucks is recognized as the most successful coffee chain in the past few years and has operated its business from a coffee bean seller to one of the world’s most familiar coffee houses. Throughout the years, Starbucks has expanded its business in both locally and globally. Starbucks has grown into an organization famous for its coffee houses, where customers can purchase food and beverages as well as packaged whole bean and coffee drinks. The instant coffee market in Malaysia is an attractive marketplace to go into the growing coffee culture locally, and Starbucks has a chance to launch a new instant coffee product that is uniquely placed against its competitors. This assignment is about the strategic options that Starbucks adopted to strengthen its position among competitors. In order to achieve Starbucks mission to be a global company, the
development strategy that Starbucks implemented to adapt with variety
market and local need are: joint ventures, licenses and company owned
operation (Starbucks Corporation, 2005).
The aim of this assignment is to analyze the competition within the instant coffee market and select a best fit strategy to successfully launch and sustain the growth of Starbucks.

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COMPANY BACKGROUND

Starbucks Coffee in Malaysia is jointly owned by Berjaya Corporation and Starbucks Coffee International and granted the licenses to expand and run Starbucks retail outlets in Malaysia. Starbucks has enjoyed a healthy growth within Malaysia’s coffee market since its first outlet opened in 17 December 1998 at KL Plaza, Kuala Lumpur. To date, there are 119 stores all over Malaysia (Starbucks Malaysia Website 2010).  In Berjaya Corporation’s 2009 Annual Report, it was stated that there was a 14% increase in revenue from previous year due to the continued growing acceptance of the brand and products as well ...

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