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STARBUCKS
PRESENT FOR:
ASSOC. PROF. DR
NORYATI BT AHMAD
PRESENTATION
UTLINE
5

•COMPETITOR HIGHLIGHT

6

•MARKETING STRATEGY

7

•CONCLUSION
INTRODUCTION
Starbucks’ history began in Seattle in 1971

three students named Jerry Baldwin, Zev Siegel,
and Gordon Bowker

be partners and opened a little shop in Pike Place
Market to sell high-quality coffee beans and
equipment
INTRODUCTION
1981, Howard Schultz, Vice President and General Manager of U.S.
Operations for Hammarplast, noticed Starbucks’ success

He wanted to transmit that coffee passion by working for the
Starbucks enterprise to expand outside Seattle

The founders were against hiring him because geographic expansion
was too risky, but then finally agree to hire him as Head of Marketing.
MISSION
Starbucks mission is to inspire
and nurture the human spirit –
one person, one cup and one
neighborhood at a time.
THE PRODUCTS
GLOBAL
XPANSION

As Starbucks reached the point
of saturation and growth slowed
in America, the firm set its sights
on overseas expansion

Starbucks adapts its international
strategy in order to satisfy the
needs and requirements of every
market, seeking to respect its
cultures and traditions
GLOBAL
XPANSION
At present, the company uses
three different strategies:
joint venture, licenses and
wholly–owned subsidiaries

Before entering a new country
Starbucks conducts rigorous
quantitative market studies. The
company also develops extensive
focus group interviews to get a pulse
of the marketplace and potential
GLOBAL
XPANSION
In order to succeed, a company needs to
realize that it often cannot alone fill the
gap in serving the needs of its target
market. Starbucks has mostly always
needed the help of another entrepreneur
or another company with whom to work
and share financial risks

Starbucks’ involvement in the
internationalization process varies only in
degree (e.g. licensing, joint venture and
wholly-owned subsidiary) since the
company is constantly in touch with
operators to keep abreast of the
marketplace
BUSINESS
PERATIONS
MODE OF ENTRY
RISK MITIGATE
OPPOTURNITY &
SK MATRIX
OPPOTURNITY &
SK DECREASE
MATRIX
RISK

SELECTED

SPAIN
SPAIN

UK

NZ

INCREASE
OPPO
FINANCIAL
GHLIGHT
EPS for fiscal 2012 was
$1.79, compared to EPS
of $1.62 reported in
fiscal 2011, with the
increase driven by the
improved sales leverage,
partially offset by the
impact of higher
commodity costs in fiscal
2012.
COMPETITORS
GHLIGHT 5
PORTER’S

ORCES
MARKETING
TRATEGIES
VS

MARKETING
STARBUCKS

THE COFFEE BEAN & TEA LEAF

STRATEGY
PRODUCT
PRICE

Beverages: Coffee

Beverages: Coffee

In RM approx.:

In RM approx.:

15,700 outlets in 43
PLACE

900 outlets in 23 countries
countries

PROMOTION

Seasonal

Seasonal
MARKETING
TRATEGIES
COMPATITIVE

DVANTAGE
CONCLUSION
Starbucks Global Expansion Strategy

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Starbucks Global Expansion Strategy

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