SWOT Analysis. Starbucks is considered as one of the mo

Added on - 16 Sep 2019

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SWOT Analysis
Starbucks is considered as one of the most popular brand globally. The target audience of thecompany is growing tremendously as the company is providing high quality of products andservices within the specific time framework. The company has a global supply chain whichprovides competitive advantage to the company. There are various subsidies which are acquiredby the company such asSeattle’s Best Coffee, Ethos Water, and Teavana. The SWOT analysis ofthe company shows diversification and global supply chain as the competitive advantage to thecompany (Ayub et al., 2013).The target audience of the company is higher middle class and prices are relatively higher whichacts as a weakness for the company. The company offers generalized corporate standards thatmake products less aligned in terms of café ambience and products. The SWOT analysis showsthat company has innovative products and services which enable to overcome its weaknessesthrough providing competitive advantage to the company. The company has variousopportunities in order to expand its profitability through expansion in Middle East and Africa asthe company has minimum presence here and the company can also expand its operation in Asiadue to high economic rate in these regions. The company has diverse range of products whichprovide competitive advantage to the company. The SWIR analysis shows that the company haswide opportunities to generate high profitability.The threats of the company include high competitors such as McDonald’s and Dunkin’ Donutswho are providing low cost coffee to the competitors. There is a high threat of new competitorswho can attract the target audience. There are various new entrants who are imitating such asStar and Bucks in Palestine territories. The trend of supporting coffee house by the socialmovement for independent coffee house is providing benefits to the company. This sectionshows that the company has potential threats and opportunities.
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