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Opreations Manageemnt

In: Business and Management

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Starbucks – Going global fast case study
Prashansa Sunuwar
King’s College affiliated with Westcliff University
BUS 367 The Necessities of International Marketing and Culture
Dr. Thien-Huong T. Ninh
March 20, 2016

Abstract
This paper addresses the various factors and risks that a company has to face while going global. This report is based on the case study focused on Starbucks. It answers various questions regarding issues that an international company like Starbucks has to face. The answers incorporate the elements that are both controllable and uncontrollable when a business is going global. The sources of risks that Starbucks is facing and what can be done to eliminate the risk are provided. Also, there are few suggestions regarding what Starbucks can do to improve profitability in Japan.

Starbucks – Going Global Fast Case
Fifteen years ago, Starbucks had 17 coffee shops in Seattle. Now, it has 19,000 outlets in 58 countries. According to the official website of Starbucks, Starbucks serves a wide variety of hot and cold drinks including espressos, cappuccinos, and even pastries and other delectable treats. Starbucks has become a meeting place for people. People go to Starbucks to chat, meet up, and even for meetings and rejuvenation. The success of Starbucks grew after Howard Schultz purchased Starbucks on 1981 and introduced Italian coffeehouse tradition in the United States in 1983. After Starbucks went public, the sales have increased by an average of 20 percent annually. Starbucks is growing fast and its plan to colonize the world has a few setbacks as well. High quality coffee served in a sophisticated cup was not enough for Starbucks to succeed all over the world. This case discusses the elements that Starbucks can control and cannot control and what are the risks and how to prepare for them. As Starbucks expands in Japan, it faces profitability ad…...

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