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Marketing And Strategy Survey Report

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Running head: MARKETING AND STRATEGY
MARKETING AND STRATEGY
Name of the student
Name of the university
Author note

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1MARKETING AND STRATEGY
Table of Contents
Part 1................................................................................................................................................2
1. An Introduction to Starbucks...................................................................................................2
2. External Environment analysis................................................................................................4
2.1 PEST analysis of Starbucks...............................................................................................4
2.2 Porter’s five force analysis of Starbucks...........................................................................9
2.3 Industry life- cycle model................................................................................................13
3. Internal Environment analysis...............................................................................................14
3.1 VRIO analysis of Starbucks.............................................................................................14
3.2 Value chain analysis of Starbucks...................................................................................17
3.3 SWOT assessment of Starbucks......................................................................................21
4. Recommendations..................................................................................................................22
Part 2..............................................................................................................................................26
Priority stakeholder group- Customers of Starbucks.................................................................26
Application of Mendelow’s matrix in Starbucks.......................................................................27
References......................................................................................................................................29
Appendix: Stakeholders of Starbucks............................................................................................34
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2MARKETING AND STRATEGY
Part 1
1. An Introduction to Starbucks
The concerned organization, Starbucks Corporation, is an American coffee company and
coffeehouse chain which was established in the year 1971 and headquartered in Seattle,
Washington (Starbucks.com 2019). In accordance to the data collected in the year 2018, the
concerned venture operates through 28,218 locations worldwide while providing the customers
with wider range of beverage options (Starbucks.com 2019). The specialization of the venture
was based on the proposition of high quality coffee that are extracted from exquisite coffee beans
(Starbucks.com 2019).
However, the organization made subtle changes in the propositions based on the
assessment of the experience based demand of the customers. The organization introduced Fresh
juices, Frappuccino beverages, La Boulange pastries, and snacks as entrees for drawing the
attention of a wider range of customers (Starbucks.com 2019). The seasonal offerings of the
organization encouraged the growth of sales volume through increased customer engagement. It
has been noted that the concerned venture entered the UK markets in the year 1998 while making
an acquisition of around US$83 million (Chung, Liao and Chang 2018). Eventually, the
organization expanded to South America and Russia in the years 2003 and 2007 respectively
(Starbucks.com 2019).
The dynamic expansion rate of the organization in not only the developed but also the
developing economies contributed to its sustenance in the competitive markets with changing
preferences of the customers. The major competitors of Starbucks, as noted from the statistics,
are McDonalds and Dunkin’, where Starbucks holds a competitive position in relation to the
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3MARKETING AND STRATEGY
average sales per square footage, amounting to US$758 (Refer to figure 1). On the other hand, it
has been noted that the concerned business earns a greater return on invested capital, which is
around 16.84% which is greater than that of its competitors (Refer to figure 1). Therefore, the
assessment clearly indicated the highest return that the venture produced for its investors, which
is reflected through the lower amount of weighted average cost of capital from that of the ROIC
adjusted.
Figure 1: Key performance ratios of Starbucks and its competitors for the year 2017
(Source: Gupta, Nagpal and Malik 2018)
The net revenue of the concerned organization was o $22.4 billion in the year 2017 which
increased to US$ 26.51 billion in 2019 (Starbucks.com 2019). The concerned venture continued
to operate on the basis of the Europe, the Middle East and Africa (EMEA) segment while
improving their marketing activities for increasing the amount of potential customers to the
business lines (Atzori, Shapoval and Murphy 2018). However, Real and Percell (2018)
reflected on the research that Starbucks is suffering from diminishing rate of sales in the recent

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4MARKETING AND STRATEGY
years for which the business shifted to lean manufacturing through the closure of 900 stores and
34,000 job layoffs. It might be noted that the increase in the operational expenses affected the
margins of the business against the developments that are made by the competitors. However, the
growth of the coffee markets in different parts of the world holds a unique opportunity for
growth of the concerned business.
2. External Environment analysis
2.1 PEST analysis of Starbucks
Political
ď‚· The stabilized political situation in
most of the countries, where Starbucks
operates, permitted the venture in
making extensive market growth (Li
2018). On the other hand, the
minimized government interventions
through taxation programs or customs
again contributed to the wider
expansion of Starbucks.
ď‚· However, the US- China trade conflict
might afflict a fatal blow on the
earning opportunities for the venture.
It has been noted that the Chinese
markets meaningfully contribute to the
consolidated and CAP net revenues
and earnings of Starbucks (Koch
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5MARKETING AND STRATEGY
2019). Therefore, the increased
taxation in the Chinese markets would
affect the capabilities of the concerned
organization in retaining the value of
their sustainable earnings.
Economic
ď‚· The increasing rate of fluctuations in
the global economy might affect the
capabilities of the concerned
organization in empowering the
efficiency of the operations. It has
been noted that the major prospects of
growth for the concerned venture
depends on the developing economies
(Guler 2018). In this relation, apart
from the US, the most prospective
nation for the concerned venture was
China with a GDP of US$ 14,200
Billion (Kang and Namkung 2018). It
has also been noted that Starbucks
moved to a strategic partnership with
Alibaba on August 2018 to “transform
the coffee experience in China”
(Devia, Aisjah and Puspaningrum
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6MARKETING AND STRATEGY
2018). The adoption of Ele.me,
Alibaba's on-demand food delivery
platform, permitted the growth of
Starbucks in China (Donner and Loh
2019). However, the increased tension
of the US-China trade conflict might
affect the strategic partnership
drastically.
ď‚· The reduced employability or earnings
of the people in the developing
countries might restrict the market
scope for the concerned venture. It has
been noted that the US markets would
remain the major contributors to the
revenue and net margins for
Starbucks. The reduced earnings of
the population in the developing
economies might drive their
preferences towards the cheap
substitutes, which might affect the rate
of sales volume of Starbucks.
ď‚· The changing preferences of the
customers and the growing trend of

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7MARKETING AND STRATEGY
Socio- cultural
experience based buying have
diversified the market scope. In this
relation, the concerned organization
might face significant challenges
while adhering to the changing
preferences of their customer base. It
has been noted that most of the
Starbucks customers are business class
baby boomers within the age group of
25- 60 years (Purkayastha et al. 2019).
However, the growing millennial
population in most of the operating
countries might challenge the
sustainable capabilities of the
business.
ď‚· The growth of disposable income
among the different developing
economies would empower the
potentiality of the buyers. However,
the increased cost of the propositions
that are made by the concerned
venture might not be opted over the
cheap substitutes that are available in
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8MARKETING AND STRATEGY
the different markets (Alwaleed et al.
2019). It might affect the prospective
of the organization in sourcing
potential customers towards their
propositions in the developing
economies.
Technological
ď‚· The technological innovations that are
made by the organizations strongly
contribute to the competitive vantage
points of the same while operating in
the different markets. In this relation,
the concerned venture took the
initiative of collaborating with Apple
for introducing a new application that
would provide considerable amount of
discounts to the Apple users on every
buy of its propositions (Novak and
Richmond 2019). The strategy enabled
the venture in gaining a competitive
advantage while empowering the sales
volume of the same. On the other
hand, Starbucks also employed
technology while introducing the wi-fi
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9MARKETING AND STRATEGY
zones in their cafeterias (Liu and
Zhang 2019). It enabled the
organization in gaining the attention of
the business class people who
schedule their meetings in the
different outlets of the concerned
venture. The implementation of
relevant technologies in the
organization permitted the
organization in gaining a competitive
advantage over the existing players in
the market.

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10MARKETING AND STRATEGY
2.2 Porter’s five force analysis of Starbucks
Competitive rivalry
(High)
The competitive rivalry among the businesses
in the specialty coffee market is extremely
high, based on the parameters relating to
quality of the propositions, innovation,
service availability and price. The ambience
of the cafeterias might be taken as one of the
major contributing factors for the intense
competition in the markets (Prabandari,
Sembiring and Angela 2018). It has been
noted that Starbucks holds most of the market
share of the specialty coffee sectors.
However, companies like Dunkin’ Brands and
McDonald’s set up strong competition against
Starbucks through the proposition of premium
specialty coffee beverages at a slightly lower
price than that of Starbucks (Gray and Huels
2018). The improved propositions and
continuous innovations have again
contributed to the increased competition in
the markets.
The possibilities of new entrants is influenced
by the lower barriers to enter the specialty
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11MARKETING AND STRATEGY
Threat of new entrants in the market
(Moderate)
coffee markets. It has been noted that the new
entrants might make small investments for
their startups while taking lease stores,
equipment and the like. Again, the lower
switching costs of the customers would allow
the small regionalized coffee shops in
upholding a competitive position against
Starbucks. However, the brand value of
Starbucks and the increased economies of
scale that are applied by the same through
lowering cost and improving efficiency might
affect the vantage point of the new entrants
(Marie 2019). Therefore, the threat of new
entrants are moderate in the specialty coffee
markets. The increased loyalty of the
customers towards the coffee based
propositions of Starbucks is again an
important factor that nullified the effect of the
new entrants on the company’s brand image.
The threat of substitutes for the specialty
coffee sectors are based on the continuous
improvement in the propositions that are
made by the other firms in the beverage
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12MARKETING AND STRATEGY
Threat of substitutes
(Moderate)
industry like tea, fruit juices and carbonated
drink manufacturers. On the other hand, most
of the US households have supplies of
premium coffee makers which again could
affect the competitive edge of the concerned
venture. However, it might also be noted that
the concerned venture have their own line of
tea, fruit juices and other beverages including
Verismo, the premium household coffee
maker (Krishna 2018). Therefore, the wider
range of propositions that are made by
Starbucks assisted the same in retaining the
loyalty of their customers while moderating
the threat of the substitutes on their product
lines.
Bargaining Power of Buyers
The specialty coffee markets attracts the
attention of huge number of customers. It has
been noted that coffee is consumed by both
individuals and companies which empowers
the B2B and B2C trade directions of the
businesses in the sector. In this relation,
Starbucks holds a huge number of customers.
The differentiated propositions offered by the

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13MARKETING AND STRATEGY
(Moderate) concerned venture minimized the bargaining
power of the customers. On the other hand,
the increased competition in the specialty
coffee markets might affect the competitive
edge of the venture while operating in the
global markets. The brand image of the
venture and the loyalty of Starbucks’
customers towards their propositions
minimized the bargaining power of the
customers.
Bargaining power of the suppliers
(Low)
The bargaining power of the suppliers are low
due to the presence of huge number of coffee
supplying firms in the specialty coffee
market. It has been noted that the concerned
venture, Starbucks, holds collaboration with
some of the small coffee producing firms for
sourcing fine coffee beans for their
propositions (Yu and Yu 2018). Therefore, it
minimized the bargaining power of the
suppliers considerably while operating in the
different markets.
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14MARKETING AND STRATEGY
2.3 Industry life- cycle model
The industry life- cycle model depicts the position of an industry in accordance to the
demand that is being encountered by the same. In this relation, the concerned venture, Starbucks,
faced significant issues in empowering their margins due to the influence of low cost coffee
sellers, Moreover, the growing threat from the US- China trade conflict might inflict a fatal blow
on the rate of earnings made by the venture through its expansion in the Chinese economy
(Butler 2018). The concerned organization grew dynamically within the last two decades, while
creating a huge amount of loyal customers.
However, Starbucks is moving towards its decline stage with the intensification of
competition with the existing players like McDonald’s. It has been noted that the organization
had to lay off 5% of its employees from the Seattle headquarters and close 900 stores with the
objective of retaining their profitability in the markets (Kay 2019). Specifically, the introduction
of premium coffee by McDonald’s at a slightly discounted price affected the capability of the
concerned venture in retaining the loyalty of the customers (Aboulola 2018). The increasing
competition in the specialty coffee markets mandated the organization to reduce the price of the
propositions which did not correlate with the overriding operational expenses. Therefore, the
organization aimed at implementing a lean manufacturing with the objective of maximizing the
revenues at minimal operating expenditures for backing their profit based needs and slow down
their movement towards the decline stage.
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15MARKETING AND STRATEGY
Time
S
a
l
e
s
Introduction Growth Maturity Decline
Figure 2: Starbucks life cycle
(Source: Author)
3. Internal Environment analysis
3.1 VRIO analysis of Starbucks
The concerned organization, Starbucks, holds a strong brand image in the industry as it is
valuable for the venture along with inimitable for the venture. The brand image of the
organization enabled the same in gaining over the loyalty of the customers while operating in the
different markets. However, it has been noted that the quality of the product is imitable as most
of the companies, including McDonald’s have introduced a premium range of coffee at slight
lower price which might affect the capabilities of Starbucks in retaining the attention of the
customers (Nanda Dwipamurti, Mawardi and Nuralam 2018). Again. It has been noted that
most of the coffee makers employ skilled employees for the continuous improvement in the

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16MARKETING AND STRATEGY
organizational operations. Therefore, the skilled workforce of the concerned organization are not
rare.
However, the unique cultural influences that are induced by the concerned venture on the
skilled workforce enabled the venture in creating an inimitable workforce. The supply chain
operations and the extensive range of customer services that are being provided by the venture,
Starbucks, permitted the venture in gaining a competitive benefit to the same. Kurnia (2018)
opined that the extensive range of customer services permitted the organization in improving the
performance in accordance to the demand of the customers. The friendly environment in
Starbucks also contributed to the value propositions that are made by the same. However, it has
been noted that the friendly environment is not rare as most of the cafés take the initiative of
providing the clients with a friendly ambience. The competitive edge of Starbucks is specifically
grounded on the changing expectations of the customers. The millennial population expects
experience based services. Therefore, the concerned organization aimed at improving the
experience of the customers while developing the quality of the propositions in close correlation
with the needs of the venture.
Factors Valuable Rare Inimitable Organization Competitive
edge
Strong Brand
Image
Yes Yes Yes Yes Strong
competitive
benefit
Product
Quality
Yes Yes No Yes Competitive
benefit
Skilled Yes No Yes Yes Competitive
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17MARKETING AND STRATEGY
human
resource
benefit
Customer
Service
Yes Yes Yes Yes Strong
competitive
benefit
Supply Chain Yes Yes Yes Yes Strong
competitive
benefit
Friendly
Environment
Yes No Yes Yes Competitive
benefit
Global
Impact
Yes Yes Yes Yes Strong
competitive
benefit
(Source; Amir, Indah and Widayanti 2018)
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18MARKETING AND STRATEGY
3.2 Value chain analysis of Starbucks
Figure 3: Value chain analysis of Starbucks
(Source: Tikson 2018)
Starbucks Primary Activities
ď‚· Starbucks Inbound logistics
The inbound logistics of Starbucks encountered a restructuring session through the
introduction of simplified supply chain management operations and creation of a single, global
logistics system in the year 2010 (Jun, Ma and Lee 2019). The simplification of the supply
chain management initiatives permitted the venture in sourcing unroasted Arabica coffee beans
from Asia, Africa and Latin America to the US and Europe over the sea routes. The sourced
coffee beans are delivered to six regional distribution centers which ranged from 200,000 to
300,000 square feet (Starbucks.com 2019). On the other hand, it has been noted that he
concerned organization, Starbucks, aimed at exploring their opportunities of growing their own

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19MARKETING AND STRATEGY
fresh produce of coffee in a 240-hectar coffee farm located in Costa Rica, to reduce dependency,
since 2013 (Starbucks.com 2019). It added to competitive benefit of the organization while
operating in the different markets.
ď‚· Starbucks Operations
Starbucks operates in all of their markets through the company operated stores and
licensed stores. In this relation, the Company operated stores enabled the organization in closely
observing the shifting tastes and preferences of the customers while employing diverse market
expansion techniques (Li, Liu and Huan 2019). On the other hand, the licensed stores of the
organization enabled the same in making mass expansion in the different markets while making
the customers area of their distinguished propositions (Karam and Alexander 2018). It has been
noted that he organization holds around 49% of licensed stores out of their total outlets
(Starbucks.com 2019).
ď‚· Starbucks outbound logistics
The concerned organization aimed at developing multi- channeled distribution through
their online and physical presence in the markets. The customers of Starbucks might purchase
the offerings through the company-operated and licensed stores which are conveniently located
in the urban hubs (Becić, Stojanović and Nikolić 2018). On the other hand, the organization
also maintained an online presence from where the customers might purchase specially packaged
propositions like packaged coffee, tea, drink-ware and drink-related equipment. Moreover, the
organization also maintained the availability of their propositions in supermarket chains like
Walmart, Tesco and Sainsbury’s (Aboulola 2018). Therefore, it enabled the venture in improving
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20MARKETING AND STRATEGY
the availability of the propositions in close correlation with the changing preferences of their
customers.
ď‚· Starbucks Marketing and Sales
The concerned venture initially did not undertake any explicit marketing efforts as their
operations mostly relied on the increasing rate of word of mouth communication between the
different customers. However, the intensification of competition in the markets affected the
capabilities of the venture in retaining the simplicity of the marketing operations. It has been
noted that the concerned venture took the initiative of improving their online presence while
collaborating with Apple to develop a smart application (Butler 2018). On the other hand, it has
been noted that the rate of mobile orders increased with time and thereby significantly
contributed to their increasing sales volume. The increased marketing operations of the venture
and development of online payment options supported the venture in empowering their sales
while increasing the availability of the propositions in the market.
ď‚· Starbucks Service
The concerned business, Starbucks, aimed at maximizing the customer experience
through continuous developments in their propositions. The different changes in the
organizational operations are based on the efficient functioning of the different systems while
operating in the different markets. The concerned venture aimed at improving their service
propositions based on the changing preferences of the customers which provided the firm in
gaining sustainable brand repute. Novak and Richmond (2019) opined that the service sectors
follows a consumer- centric model. In this relation, Starbucks, focus mainly on empowering the
service propositions while providing the customers with explicit ambience.
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21MARKETING AND STRATEGY
Support activities of Starbucks
ď‚· Firm infrastructure
The firm developed the infrastructure facilities while meticulously planning on the store
design. The Starbucks stores are adapted to unique neighborhood while reflecting the themes.
Mostly all the stores reflect natural woody and earthy colors which helped the organization in
creating the rightful ambience for the customers (Koch 2019). Again, the major infrastructural
growth opportunities of the organization are based on the increased capital investments that are
made by the same while adhering to the demand of the customers. Therefore, the firm
infrastructure permitted the same in improving their service propositions in accordance to the
changing preferences of the customers.
ď‚· Human resource
Starbucks employs skilled and affluent employees and induce the value of their
organizational culture with the objective of perfecting the service propositions that are being
developed by the same. Whitten (2018) stated that the effective human resource planning permits
an organization in improving the performance of the same, correlating to the changing
preferences of the customers. In this relation, the concerned organization employs 291,000
employees as on 2018 (Starbucks.com 2019). The governance and policies of Starbucks
permitted the same in minimizing the rate of staff turnovers while improving their service
propositions.
ď‚· Technology development
Starbucks developed efficient technologies through development of online applications for the
customers along with integration of payment applications. The development of the online

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22MARKETING AND STRATEGY
payment options while making their propositions widely available over net empowered
Starbucks in increasing their sales volume while maximizing their market scope. On the other
hand, it has been noted that the organization created wifi zones in their Cafés with the objective
of drawing the attention of the business executives to their distinctive propositions
(Starbucks.com 2019). Therefore, the technological infusions that are made by Starbucks
permitted the venture in improving their marketing operations while making market expansion.
ď‚· Procurement
The agents of the concerned company, Starbucks, take the initiative of sourcing and
procuring the high quality coffee beans from Asia, Latin America and Africa (Starbucks.com
2019). The strategic alliance that the organization tends to establish through their agents enabled
the venture in improving their procurement based activities while sourcing the raw materials.
The effective functioning of the procurement activities empowered the organization in
maintaining the continuity of the operations in different global locations.
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23MARKETING AND STRATEGY
3.3 SWOT assessment of Starbucks
Strengths
ď‚· Global brand recognition and strong
market hold
ď‚· High quality propositions
ď‚· Conveniently located stores with
aesthetic appeal to the customers
ď‚· Skilled human resource
ď‚· Development of mobile applications
for increased market scope
Weaknesses
ď‚· High end products that are targeted
towards the niche customers,
restricting market scope
ď‚· Overdependence on the US markets
ď‚· Increased cost of operations
Opportunities
ď‚· Expansion in the emerging economies
ď‚· Diversifying the range of propositions
Threats
ď‚· Intense competition in the markets
from Dunkin Brands, McDonalds,
Costa Coffee
ď‚· Price volatility in the global coffee
markets
ď‚· Changing preferences and choices of
the customers
ď‚· US-China trade conflict restricting the
business growth in highly prospective
Chinese markets
(Source: Real and Percell 2018)
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24MARKETING AND STRATEGY
4. Recommendations
Sl. No. Specific Measurable Achievable Relevant Time bound
1. Minimizing
the cost of
operations for
improving the
margins and
reduction of
costs per
proposition
Reduction in
the
operational
costs by
2.7%
The
application of
the lean
management
principles
would allow
the venture in
minimizing
the
operational
costs through
reduction of
wastes while
operating in
the different
markets. The
application of
updated
semi-
automated
technologies
The
application of
the lean
principles
would allow
the venture in
minimizing
the price of
the offerings
while gaining
a significant
rate of
margin for
empowering
the
sustenance of
the same.
The
reduction in
the price of
the
6- 8 months

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25MARKETING AND STRATEGY
for
production
and lower
dependence
on the human
workforce
would be
contributing
factors for
the
organization
while
minimizing
the cost of
operations.
propositions
would also
allow the
organization
in gaining a
competitive
benefit over
players like
Costa Coffee
or
McDonald’s
which
introduced
premium
coffee in
lower price
2. Diversification
on the line of
coffee based
propositions
Increasing
the line of
coffee based
propositions
along with
other
propositions
The capital
resources of
the
organization
would allow
the same in
improvising
The
introduction
of
propositions
that are
widely
affordable
1- 1.5 years
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26MARKETING AND STRATEGY
by 5% new
developments
in the
propositions
while
increasing the
market scope.
The increased
capital
resources and
global
networking
would allow
the
organization
in developing
new line of
propositions
that are
affordable by
the
customers,
apart from
would allow
the
organization
in improving
the market
scope and the
source of
revenue
streams for
the venture.
Balancing the
high end
propositions
of the venture
with the low
cost
propositions
would permit
the business
in fueling its
growth in the
different
emerging
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27MARKETING AND STRATEGY
the business
executives.
economies.
On the other
hand, the
increased
market scope
of the venture
would allow
the same in
gaining a
competitive
benefit over
the existing
players like
McDonald’s
Part 2
Priority stakeholder group- Customers of Starbucks
The customers are the priority stakeholder for the concerned organization as the
organization operates on the basis of the changing preferences of the same. The increased loyalty
of the customers towards the exquisite experience that are being provided by Starbucks
contributed to the brand image of the same. However, the intensified competition in the specialty
coffee markets might affect the business. The organization developed a customer- centric
business model through which the business aims at satisfying the aesthetic needs of the end users

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28MARKETING AND STRATEGY
of their propositions (Starbucks.com 2019). Whitten (2018) opined that the customers play an
important role in the service sectors as most of the services and other propositions are targeted
towards their preferences.
Target customers of Starbucks hold a significant amount of loyalty towards the
propositions that are made by the brand. On the other hand, the increasing competition in the
specialty coffee sectors and the changing preferences of the customers towards consumption of a
more experience based propositions affected the propositions that are planned by the concerned
venture. The feedbacks that are provided by the customers after the Starbucks experience
assisted the venture in remodeling and customizing the service propositions in accordance to the
demand of the customers while operating in the different regional markets. According to Koch
(2019), the strategies that are framed by an organization in the service sectors are based on the
preferences of the customers. Therefore, the modifications that are mostly initiated by the
organization, Starbucks, depends on the changing preference patterns of the customers. It has
been noted that the concerned venture mostly targets the business executives for their proposition
which limited their market scope. Again, the improved propositions that are made by the
competitors of the concerned venture in a reduced price offerings might incapacitate Starbucks in
retaining the loyalty of the target audience. The pricing alternatives for the price sensitive
customers would have permitted the venture in improving their sales volume in the different
operational markets.
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29MARKETING AND STRATEGY
Application of Mendelow’s matrix in Starbucks
Figure 4: Mendelow’s matrix
(Source: Guler 2018)
The application of Mendelow’s matrix in the organizational case allowed in identifying
the power and interest of the customers while reflecting on the influence of the same on the
service delivery and quality of the propositions that are provided by Starbucks. The customers of
Starbucks have high power and lower interest. The high power of customers are subjected to
their changing expectations and the manner in which the same might empower critical changes in
the service propositions of the concerned venture. On the other hand, the low interest of the
customers are reliant on the relatively low switching costs to the propositions that are made by
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30MARKETING AND STRATEGY
the competitors like McDonald’s. Therefore, the concerned venture must take the initiative of
keeping the customers satisfied with the objective of improving the rate of operations in close
correlation to the demand of the customers.

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References
Aboulola, O.I., 2018. A New Model for Spatial Analysis Site Selection and Decision Making for
Small Retail Facilities: A Case Study for Starbucks-Seattle. Journal of Strategic Innovation and
Sustainability, 13(3).
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Appendix: Stakeholders of Starbucks
Stakeholder Group Internal or External Justification for including
them on your list
Employees Internal Collaborates in different
innovative measures that are
planned by the venture
Management Internal Governs and manages the
overall growth and expansion
related activities of the
venture for long term
sustenance
Local communities External Contributes to the brand
image of the venture
Customers External Empowers continuous
innovation in the business
processes through feedbacks.
Also a major source of
revenue stream for the
venture
Suppliers External Uninterrupted functioning of
the venture through
continuous supply of

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37MARKETING AND STRATEGY
exquisite coffee beans
Investors External Make investments for
backing the major R&D
operations apart from
business expansion and
growth
Government External Imposes different legislations
while empowering the free
growth of trade in different
nations
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