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The Marketing Strategy of Starbucks Coffee

In: Business and Management

Submitted By Lendsmiguel
Words 9092
Pages 37
Chapter 1
THE PROBLEM AND ITS BACKGROUND Introduction
Starbucks has been leading the coffee shop market in more than 40 years now. It has always been the place to find the world's best coffees. Its first store was founded at Pike Place Market in Seattle, Washington, United States. It has given a positive outcome so they serve consumers all over the world. The success of Starbucks coffee had come this far because they expand their operation and services and didn't limit their products. They sell not just coffee but tea, pastries, frappuccino, beverages and smoothies as well.
Starbucks is the largest coffee house company in the world ahead of UK rival Costa Coffee, with 22, 551 stores in 65 countries and territories, including 12, 739 in Canada, 1,117 in Japan and 830 in the United Kingdom. From Starbuck' founding in 1971 as Seattle coffee bean roaster and retailer, the company has expanded rapidly. Between 1987 and 2007, Starbucks opened on average two new stores every day. Starbucks had been profitable as a local company in Seattle in early 1980's but lost money on its late 1989's expansion into the Midwest and British Columbia. Its fortune did not reverse until the fiscal year of 1989-1990, when it registered a small profit of $812, 000. By the time it expanded into California in 1991 it had become it trendy. The first store outside the United States or Canada opened in Tokyo in 1996, and overseas stores now constitute almost one third of Starbucks' stores. The company planned to open a net of 900 new stores outside of the United States in 2009, but has announced 300 store closures in the United States since 2008.
In different Starbucks location across the world they all serve hot and cold beverages, whole-bean coffee, micro ground instant coffee, espresso, cafe latte, full-leaf teas, pastries, and snacks. Most…...

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