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starbucks: a strategic report

  • Word Count: 7595
  • Approx Pages: 30

             This is a strategic report on Starbucks.
             First of all I will explain the external environment of Starbucks using PESTEL analysis, Porter’s five forces analysis and competitor analysis. Next will be an analysis of Starbucks’ strategic capabilities. These will be determined using a resource audit, a value system analysis, the identification of possible core competences and the identification of important stakeholders. After this I will present a SWOT analysis of Starbucks before discussing three possible strategic options open to the company. Using the information I generate I will decide upon the most suitable option and then critically evaluate all the models and techniques used.
             Howard Schultz bought a Seattle coffee company in 1987 then transformed the six coffee stores into a national, publicly owned company with more than 25, 000 employees and over 1,300 stores. By 2002 these figures had risen to 5,689 stores in 28 countries. He is the man behind, and CEO of, Starbucks.
             PESTLE analysis is a tool that can aid organisations making strategies by helping them understand the external environment in which they operate now and will operate in the future. It is a method of examining the many different external factors affecting an organisation – the outside influences on success or failure.
             Political – The current and potential influences from political pressures
             Economic – The local, national and world economy impact
             Social – The ways in which changes in society affect us
             Technological – How new and emerging technology affects our business
             Legal – How local, national and world legislation affects us
             Environmental – The local, national and world environmental issues
             The PESTLE analysis will be used to identify and understand the important factors Starbucks must consider in all areas of the business.
             • Taxation policy – high taxation imposed on farmers in those countries producing the coffee bean ...

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