Swot Analysis Starbucks

SWOT Analysis Starbucks

Strengths.

• Starbucks Corporation is a very profitable organization, earning in excess of $600 million in 2004.The company generated revenue of more than $5000 millionin the same year.
• It is a global coffee brand builtupon a reputation for fine products and services. It has almost 9000 cafes in almost 40 countries.
• Starbucks was one of the Fortune Top 100 Companies to Work For in 2005. The company is a respectedemployer that values its workforce.

• The organization has strong ethical values and an ethical mission statement as follows, 'Starbucks is committed to a role of environmental leadership in allfacets of our business.'


Weaknesses.

• Starbucks has a reputation for new product development and creativity. However, they remain vulnerable to the possibility that their innovation may falterover time.
• The organization has a strong presence in the United States of America with more than three quarters of their cafes located in the home market. It is often argued that they need to lookfor a portfolio of countries, in order to spread business risk.


Opportunities.

• Starbucks are very good at taking advantage of opportunties. In 2004 the company created a CD-burning service intheir Santa Monica (California USA) cafe with Hewlett Packard, where customers create their own music CD.
• New products and services that can be retailed in their cafes, such as Fair Tradeproducts.
• The company has the opportunity to expand its global operations. New markets for coffee such as India and the Pacific Rim nations are beginning to emerge.
• Co-branding with other manufacturersof food and drink, and brand franchising to manufacturers of other goods and services both have potential.
• Could be able to change negative image of coffee into positive one.
• High consumerism...