Starbucks’ strategy: it’s a small world after all.

Páginas: 8 (1893 palabras) Publicado: 25 de marzo de 2012
International Marketing
Case title: Starbucks’ strategy: It’s a small world after all.

Background:
Starbucks is an international organization consisting of coffee with more than 17,009 stores in 5 countries, 11000 U.S., 1000 in Canada and 700 in the UK.
This company originated in 1971 when Jerry Baldwin, Zev Siegl and Gordon Bowker opened a small coffee shop that a reason for the passionhe had for the coffee, began selling freshly roasted coffee, gourmet coffee beans and brewing and grilling accessories it was a great success and his company was growing and was becoming the largest roaster in Washington.
In 1982, Howard Schultz brought proposals to the company to increase sales of coffee, espresso and other products, but that idea was rejected because what the company waslooking for an idea of the coffee brewed at home, but Howard had another purpose and was selling coffee to go and the same amount as their own coffee shop called Giomale.
Years ago the main owners of the company decided to buy the company Peet, Peet's and Starbucks to sell the company to Howard who wanted to continue with the same name as Starbucks and not let the name of Giomale.
The company afterall the process and history took place in the stock market in 1992, since then the company has had steady growth.
The company began to internationalize, in 2003, Starbucks bought several companies expanding their chain with 6,400 stores and its growth was despite Impress began as a small business.
Update:
In the following table you can look at the record sales and earnings growth.
Table 1:Starbucks Coffee Company: Selected Financial Data (Starbucks Corporation
2006, 2007e)

OPERATING RESULTS
Net Revenues ($ Millions):
Period ending 1-apr-07 1-oct-06 2-oct-05 3-oct-04 28-sep-03 29-sep-02
Company-operate retail speciality 1,923 6,583 5,392 4,457 3,450 2,793
Licensing 235 861 673 566 410 312
Food service and other 98 343 304 271 216 184
Total speciality 333 1,204 977 837 626496
Total net revenues ($ millón) 2,256 7,787 6,369 5,294 4,076 3,289
Operating income ($ millon) 241 894 780 606 421 313

STORE INFORMATION
Stores opened during period
United States
01-apr-07 01-oct-06 02-oct-05 03-oct-04 28-sep-03 27-sep-02
Company-operated stores 271 810 580 521 514 507
Licensed stores 142 733 596 417 315 264
International Company-operate 42 230 166 144 126 118Licensed stores 105 426 330 262 246 288
Total stores opened 560 2,199 1,672 1,344 1,201 1,177


In 2006, Starbucks earned on sales of $ 7.8bn, an increase of 22% over 2005, and operating margin of 11.4%.
From 2002 to 2007,revenues have increased too much, due to its rapid expansion inretail outlets nationally and internationally.


Starbucks currently has 50% of stores that operate ascafes around the world, this company also built a sales area, the company's popular albums, settle's Best Coffee and Torrefazione Italia.
Starbucks and it has a concept is that your company has a homely atmosphere, as their local shows this with its modern design, warm and welcoming.

Organization Involve
Starbucks:
The Company was founded in Seattle in 1971. At the beginning was just kind ofcafeteria but after the director came back from a trip, he saw the opportunity of a great business. In 1987 Starbucks Corporation started and has quickly grown in the market.
The company is the protagonist of the case study and it is a company that has developed a strong accruable marketing strategy. They are in the highway of expanding, but they are finding some curves as becoming greater andgreater.
Sazaby Inc.:
The company was set up in 1972 as a furniture importer, later on they made acquisitions, and Sazay was lunched, with this company later on Starbucks will celebrate a joint venture, and Starbucks Coffee Japan, Ltda., will be launched in 1995.
Grupo Vips:
Large hostelry Spanish corporation that have commercial agreements with different brands of food and drinks, they...
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