The Effectiveness of Franchising for Costa Coffee in Romania

This research project investigates the effectiveness of franchising as an entry strategy for Costa Coffee, focusing on its impact on business profitability, specifically within the Romanian market. The project begins with an overview of globalization and franchising, positioning Costa Coffee as a global brand utilizing franchising for international expansion. It establishes the research aim, objectives, and questions, including the concept of global brand emergence, challenges faced, and the impact on organizational reach. The literature review examines the concept of global brand emergence, emphasizing the importance of branding and the factors influencing it, such as competition, cultural differences, and customer preferences. The research then delves into the specific challenges Costa Coffee faced in Romania, including taste preferences, competition, and cultural differences. The project also explores the impact of brand emergence on Costa Coffee's global reach, highlighting its role in improving expansion and brand recognition. The research utilizes various sources to provide a comprehensive analysis of Costa Coffee's franchising strategy in Romania.

Research
Project
(The effectiveness of franchising as an
entry strategy and its impact on the
profitability of business. )

Table of Contents
TOPIC:- ...........................................................................................................................................1
INTRODUCTION...........................................................................................................................1
Overview of Research ...................................................................................................................1
Literature Review ............................................................................................................................3
Research Methodology ...................................................................................................................6
..........................................................................................................................................................9
Data Analysis and Interpretation .................................................................................................10
Discussion .....................................................................................................................................22
Recommendation and self Reflection ...........................................................................................23
CONCLUSION..............................................................................................................................25
REFRENCES.................................................................................................................................26
Appendix 1 ....................................................................................................................................28
Appendix 2 ....................................................................................................................................30
Research Proposal Form............................................................................................................30
Research Ethics .........................................................................................................................35

TOPIC:-
Costa analysing the effectiveness of franchising as an entry strategy and its impact on the
profitability of business. A study on Costa Coffee Romania.
INTRODUCTION
Globalisation is refers to the process through which businesses and other organisations
create their international influence by started performing their operations at global level. It also
help in integrating the economy as well as culture among two nations that contribute toward
improvising the organisational practices and mark its global presence (Holbeche, 2015). Costa
Coffee is the chosen organisation for this particular project; it is the largest coffee shop in the
globe and has its business operations at global level. The overall investigation is based on the
franchise of Costa Coffee in Romania, thus it is an effective expansion of the firm. The company
is using franchising as an entry strategy which has a huge impact over the profitability of
business, thus it is the most suitable way to expand business in proper manner.
Overview of Research
Franchising is considered as an essential aspect which is based on marketing concept that
can be adopted by a business as a strategy for business expansion. In this a franchisor licenses is
implemented which is known how procedures, intellectual property, use of its business model,
brand, and rights to sell its branded products and services to a franchisee. This also refers as an
effective aspect of globalisation thus it creates value for the firm in entry into new market by the
help of franchising, Thus its is an effective and most reliable strategy which can be implemented
by the businesses as their core strategy of business expansion. However it has a huge impact over
the profitability of firm. Costa Coffee operates as an international brand which has its global
operations and the company has operated its operations all over the world by applying the
strategy of franchising, thus it is the most suitable way for the business to attain growth and
profitability within a new market.
Globalisation concept is very wide which help an organisation in running its business at
large scale by targetting customers over several geographical area (Hammedi and et. al., 2015).
Apart from this internationalisation of business also support people to buy good or services from
several companies that help in improving the living standard of people.
1

Costa Coffee is an international brand which is headquartered in London which started as
a wholesaler of roasted coffee which they supply to specialist of coffee shop and caterers. Now it
expended its business world wide by setting up approx 1280 outlets overseas within around 31
countries. It has now consider to be world's second largest coffee house chain and largest in UK
(Costa Coffee, 2019). This brand name and popularity of Costa Coffee supported it in expanding
its reach in developing country like Romania. With the emergence of brand in this country Costa
coffee become able to enhance its customer base because coffee is in the culture of Romania and
after this offering of high quality coffee it become able to enhance is profitability base. In
addition to this despite of being a developing country, Romania is one of the tourism attraction
place which in turn also supported in increasing its profitability and growth in this country
(Randrianasolo, 2017). It also help in enhancing its brand recognition in new country and among
tourist who visit that place and have the coffee Costa.
Research Aim:
“To investigate the role of emerging global brand in improvising organisational reach at
international level : A case on Costa Coffee franchise in Romania”
Research Objective:
 To analyse the concept of global brand emergence.
 To determine several issues that Costa coffee face while its brand emergence in Romania.
 To evaluate the impact of brand emergence over improvisation of Costa coffee reach.
 To identify the challenges could be faced by Costa Coffee.
Research Questions:
 Explain about the concept of Global brand emergence?
 Describe about several issues that Costa Coffee have while its brand emergence in
Romania?
 What is the impact of brand emergence over improvisation of Costa coffee reach?
 What Challenges could be faced by Cost?
Rationale:-
Main aim behind selecting this topic is to determine several issues that has been faced by
Costa Coffee during its expansion in Romania with the help of franchise so that by
representation of this research investigator will be able to represent number of issues that an
organisation face during its global expansion. In addition to this it also help in determining the
2

impact that brand emergence have over the market performance of Costa Coffee. This research
involve a broad concept that help both researcher as well as reader to enhance their knowledge
about particular area of concern i.e. globalisation and its influence over business reach as well as
practices (Temporal, 2011). This research also have its own academical significance as it can
also be used for educational or academical purpose that support in enhancing the knowledge of
students as they would be able to determine the role of globalisation in enhancing organisational
reach by taking real life example of Costa Coffee.
Literature Review
Literature review is defined as the process of critical evaluation of information that has
been collected from several articles in order to develop an understanding regarding particular
topic of concern from the information provided by other researcher. This help in creating a base
for the research that can be further used to explore the things in order to combine both previously
searched as well as fresh data for providing more authenticated information.
Concept of global brand emergence
According to Müller-Mahn, 2012, global brands are the one that get recognition
throughout the world through expanding its business activities by adopting appropriate
marketing strategy to support brand and its development everywhere. The advantage of it is that
the firm can gain economies of scale by accessing resources at affordable cost. A strong brand
identity will build through its awareness, inspire affection and allegiance with consumer. Many
company derive global branding , in this the company enters new country and expand its
operations which is also known as brand emergence. Expansion decision are made generally
country by country or on product – division basis. There is importance of branding both from
consumer as well as manufacture side. From consumer side they got to know about the quality of
product, know about maker of the product and from manufacture side they know about value of
asset, premium price and the financial return. Global brand emergence required a company to
consider factors like consulting, marketing and planning in order to prepare an effective plan
related with global expansion. This is because a company have to face several issues while its
brand emergence within the new country in terms of competition, cultural differences, customer
taste & preferences and legal issues. Hence in order to get success at new market place and
overcoming such risks it is very essential for an organisation to consider these factors in order to
develop effective strategy that leads to maximum success out of all efforts.
3

As per the view point of Te Velde, 2016, Brands emergence is basically affected by
competition, regulations, distribution issues and manufacturing cost while requiring constant
advancement. Global business has become yardstick for almost all brand. Further rapid growth
of e-commerce has increased its demand as a result of which companies are trying to expand
their operations at global level by getting access through e-commerce promotional activities.
This in turn them in developing brand recognition at new place before entering into market that
help in reducing the risk of failure. As companies usually face several challenge while they enter
in new market which can be reduced with the help of creating brand recognition before entering
in market. These efforts are usually made by companies with the help digital technologies in
order to make there brand relevant and also deliver efficiency and shareholders return. So that
they can get ease in practising brand emergence even when the competition is higher. This in
turn also support company in positioning its business at new place much effectively.
Several issues faced by Costa coffee while its brand emergence in Romania
As per the view point of Antonio Iftimescu, 2017, Coffee is in the culture of Romania
and there are number of specialist which work toward setting up their business as a coffee shop
or restaurant. In addition to this there are number of suppliers within Romania which supplies the
material required for preparation of coffee. This is reason behind the expansion of Costa Coffee
in Romania as there is greater scope within this country. But apart from this there are certain
challenges that Coast Coffee has faced through its journey of brand emergence in Romania.
These are explained below:
 Taste preference of customer:- The major issues faced by Costa Coffee is that people in
Romania prefer to have more strong coffee but on the other side they also want a coffee
which is rich in sugar. But access of sugar usually drown out the other flavours that make
it more harder to get acceptance and appreciation from targeted customers. This create
several problem in front of company as it find difficulties in attracting and maintaining
customer at initial stage.
 Competition:- Another issues faced by Costa Coffee in Romania is competition which
restrict company to expand its business in country. This is because there are number of
young rosters entrepreneurs who set up their business as a coffee shop or restaurant and
now they are famous over that area. As a result of which people prefer to visit those as
they offer coffee as per the taste which they prefer. This in turn take a lot of Costa
4

Coffee's time to attract its potential customer to visit the stores and have taste their
offerings.
 Culture differences:- One of the major issue that usually found by Costa Coffee during
its brand emergence is Romania is the difference between the two culture. This also have
an huge influence over the operation as well as performance of comp[any at new place.
The reason behind this is that there is a huge difference between the business activities
performed within the Romania as taste and preference of customers are totally different.
This is because the people of Romania prefer strong coffee and more sugary at the same
time which affect the taste of coffee. But on the other side Costa Coffee focuses over
taste of its offering without going excess over sugar. Hence this was the major issue that
has been faced by company at new location.
Impact of brand emergence over improvisation of Costa coffee reach
According to the view point of Bliss, 2011, Brand emergence plays a crucial role with the
growth as well as success of an organisation. As it help in approaching larger number of
customers over several geographical area. Brand emergence also supported Costa coffee in
improving its global reach by providing it an opportunity regarding setting up its franchises over
several geographical area and approaching larger number of customers. This brand emergence in
Romania also helped Costa Coffee in increasing its reach as Romania is rich in culture of coffee
and after branding its outlet in country, company become able to expand its operations
throughout Europe. This become possible after getting acceptance in Romania as through which
company get enhancement in brand recognition. Hence it support Costa Coffee in expanding its
global reach through brand emergence.
As per the view point of Taylor and Derudder, 2015, the action of Costa Coffee toward
the global brand emergence helps it in improving its reach at global market up to a great extend.
This is because, Romania country is best known for its coffee which is rich in taste and of high
quality. As a result of which its expansion in Romania supported Costa coffee to adopt the
culture of country in term of its practices and procedure to prepare coffee. The achievement of
success at this market supported Costa Coffee not only in increasing customer base within the
country but it also support in enhancing brand image at global market. This positive brand image
also help Costa Coffee in marking its name at global market which in turn further help while
approaching customers or expanding its business in new country. As people prefer to take
5

product or services from the brand which have higher recognition in marketplace and get positive
reviews from its experienced customers. Hence, its expansion within the Romania help in
creating a positive brand image which in turn help it in further approaching customers much
easily that leads to maximisation of Costa coffee reach at global market.
Challenges faced by Costa Coffee.
Apart from this there are several challenges faced by Costa coffee while doing franchise.
Explanation of these are as follows :-
 Costa Coffee face issue related to skilled employees because in Romania their are several
people whose education and skills don't matched with each other. Thus, it will be the
major issue which faced by respective organisation within franchise process. Along with this, company have to work on rules and regulation stick by the company.
Franchise taker cannot implement their own policies within working of company.
Franchising:
Franchising is the type of licensing which party acquire and it allow them to access
business's proprietary knowledge, trademark and processes. Taking franchise allow party to sell
goods and services under the name of business. For gaining franchise, franchisee have to pay
initial start-up as well as annual licensing fees to franchisor. There are some pros and corns of
franchise explanation of these are as follows :-
Pros Cons
Franchises offer individual small business
ownership which is supported through the
advantages of high business network.
Along with this, franchises have higher rate of
success in comparison of start-up business.
Perhaps one of the biggest advantages to
buying a franchise is the training and
ongoing support receive from the
franchisor. There will always be someone
to call when a question or problem arises.
Most franchisors require franchisees to pay
ongoing royalty and/or advertising fees.
Though you benefit from the support and
marketing efforts this affords, you will
always owe a percentage of your profits to
the franchisor.
Depending on the system, start-up costs for a
franchise can be steep. Many franchise
owners find it necessary to secure
financing in order to purchase their
business.
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SWOT analysis of Romania
Strength Weakness
 Macroeconomic stability
 Romania have relatively predictable as
well as favourable fiscal policy.
 Along with this, increasing share of
high and medium-high technology
industrial production.
 Romania have under developing
infrastructure as well as large share of
informal economy.
 Along with this, several organisation
are using outdated technologies.
 Mismatches within education and skills
of people.
Opportunity Threats
 Membership of EU gives access to the
single market and also important
signalling effort to investors in relation
of essential legal guarantees.
 Improvement within infrastructure will
be opportunity for Romania.
 Challeneges for public finances due to
ageing.
 Lack of well qualified specialists as
well as political instability.
PESTEL analysis – It is conducted for identifying macro environmental external factors. Here,
PESTEL stands for political, economic, social, technological, environmental and legal.
 Political factors – Organisation working within Romania faced several political
challenges after Brexit in taxes, duties paid on import as well as export and so on. Their
is no stability of political factors within respective nation.
 Economic Factors – This factor within Romania include economy situation, economy
trends, general taxation issues, taxation specific to product and services, market and trade
cycle etc..
 Social factors - Number of inhabitants, consumer attitudes and opinions, media views,
law changes affecting social factors, buying access and trends, advertising and publicity.
 Technological factors – Romania is the country which have high technology development
as because there are few traditional industries. Thus,advancement in such sector result in
development of overall economy.
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 Environment factors - It also well-known that Romania enjoys advantageous ecological
and climate conditions, though touristic exploitation of these advantages are hindered by
the poor infrastructure.
 Legal factors - The legislative environment was not extremely tempting to potential
consumers, foreign investors or transnational companies, especially before acceding to
the European Union, though since 2007 alleviating measures have been enforced.
Research Methodology
Methodology is consider as most essential part of an investigation which includes set of
tools and techniques that are used to collect, analyse and interpret the information for achieving
main aim behind a particular investigation. Number of tools and techniques used under
methodology to collect information are given below:
Research Approach : It is the procedure that consist of detailed method of data
collection , analysis and interpretation. Research approach are of two type : deductive and
inductive (O'Brien and Saldanha, 2014). Deductive approach test validity of theories while
inductive approach contributes to the emergence of new theories. In order to conduct this
research inductive approach is used.
Research Philosophy:- There are basically two type of philosophy that are consider
within an investigation such as interpretivism and positivism. In interpretivisim philosophy is
basically used for qualitative type of investigation as it help in providing accurate and valid
conclusion by researcher. On the other side positivism based on approaches which help in
creating hypothesis and then testing it to prove right or wrong. It can be used for both qualitative
as well as quantitative type of investigation. But for conducting this investigation positivism
philosophy will be used.
Research Choice : There are generally two type of research such as qualitative and
quantitative which are explained below:
 Quantitative research: It refers to a research method which focuses over quantifying
the problem by collecting numerical data over particular problem so that it can be
converted into usable statistics. It includes paper survey, mobile survey etc.
 Qualitative research : It refers to a research method that provide an insight into problem
which can be further used to develop ideas for potential quantitative research. Methods
used for this data collection is interview, group discussion etc. in order to conduct this
8

research qualitative method will be used by researchers. In this research qualitative
method will be used to collect information.
Data Collection : It refers to the process of gathering information over variables of
interest in a systematic manner. There are numerous of sources of data collection on the basis of
which company gathers information in order to conduct an effective research. It main sources
includes online sources, books, Journals, magazines, published data, questionnaire, survey,
interview, focus group etc. It can be said that these sources are basically divide in to two types
that is Primary as well as secondary sources of data collection. Both of these methods are stated
as below along with their brief description. Elaboration of the both the methods are stated as
below:
 Primary method of data collection: Primary data collection method work toward
gathering information which is totally new and freshly collected by the researcher. In this
method, investigator directly gathers information from customers or other respondents by
personally interacting with them. This method of data collection is considered as the most
effective one as researcher could analyse that collected data is valuable or not. In addition
to this, main drawback of this method is that it is time consuming as it is based on
personal interaction which consumes time of both the researcher as well as investigator. It
could also delay in overall project deadline. The sources of primary data collection
method are Questionnaire, survey, interview, focus group, observation etc.
 Secondary method of data collection: On the other hand secondary data collection
refers to the method of collecting information from other sources such as books, journals,
articles or online source etc. In this method of data collection, main focus of researcher is
to conduct an effective research with some past researches that have been conducted by
some other investors. This methodology is seen as the best one as in this information is
gathered through published articles provided by other researchers that are authenticated.
It can be said that secondary method of data collection is less time consuming in
comparison to primary method. Along with this, it is the only method that provides best
outcome within less period of time without compromising with authenticity.
Under this investigation both primary as well as secondary data will be used by
researchers in order to develop an in-depth understanding regarding the current research topic
9

(Kieras and Just, 2018). For collecting primary data structured questionnaire will be used and in
order to collect secondary data literature review will be used under this research.
Sampling:- It refers to the process of selecting group of respondents from the overall
population to collect information regarding topic of concern. Sampling are of two type random
and non-random sampling. In this research random sampling will be used to avoid any kind of
partiality and relevant information can be gathered. For this current research, investigator has
chosen 30 respondents in order to collect appropriate information so that appropriate outcome
could be attained.
Data analysis:- It is one of the most essential part of this investigation in which data will
be analysed with the help of thematic approach. In this themes will be prepared on the basis of
questionnaire which provide a short introduction or understanding regarding the meaning that
particular question holds which make it easier for reader to understand.
Cost: In this present research, investigator has used around 14K for conducting this
research in effective manner. The chosen amount is used by investigator in effective manner
without wasting this amount in non required area.
Ethical Consideration: Ethics are seen as the norms that help in differentiating between
right or wrong. Every profession has its own ethical values that help them in justifying whether
they are performing in right manner or not. In context to present research, there are certain
ethical consideration for investigator which are required to be followed by them that means
researcher is required consult with respondents before using confidential information of
respondents. Along with this, they are required to be complete this research within provided time
limit with authenticity.
Data access:- It is consider as most essential part of research methodology which
contains the detail about the people who are authorised to access the information which is
gathered with the help of investigation. The information collected through investigation can be
access by researcher as well as participants and in case another person want to access the
information then they have to take permission from researcher.
Time Scale:- A research is consists of number of activities that are required to be perform in
systematic and effective manner in order to achieve desired result. For this Gantt chart will be
used to conduct this research which help in represent the number of activities that are required to
perform for completion of research along with the time required by them.
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11

Data Analysis and Interpretation
Questionnaire
Q1) Have you ever been go through by the concept of global brand emergence? Frequency
Yes 26
No 4
Q2) Does global brand emergence is effective in improvising the reach of an
organisation at international level?
Frequency
Agree 28
Disagree 2
Q3) What are the potential benefits are attained by Costa Coffee through the
global brand emergence?
Frequency
Increasing brand image 8
Enhancement of customer base 7
Higher profitability 7
Competitive edge 8
Q4) What are the issues that Costa coffee face while its brand emergence in
Romania?
Frequency
Taste preference of customer 8
Competition 12
Culture Differences 10
Q5) Which kind of impact does have brand emergence over improvisation of
Costa coffee reach?
Frequency
Positive 25
Negative 2
Neutral 3
12

Q6) What factors influences Costa Coffee in putting its action towards global
brand emergence?
Frequency
Threat of Rivals 10
Financial Risk 8
Market acceptance 6
Labour access 6
Q7) Which kind of changes are anticipated in Costa Coffee after its expansion in
Romania?
Frequency
Idea of preparing variety of Coffee 10
Changes in organisational culture 12
Use of advance technology 8
Q8) How global brand emergence helps Costa Coffee in improving its market
reach?
Frequency
Effective Offerings 8
Integration of Culture 7
Quality Services 8
Expansion at new location 7
Q9) What aspects are required to be considered by an organisation while
expansion of business at global level?
Frequency
Culture 10
Legal and regulatory Policies 10
Foreign Business standards and Norms 10
Q10) What measures are undertaken by Costa Coffee to overcome with the risk
present at global market?
Market Analysis 15
Improving Organisational Structure 8
13

Performing Ethical Practices 7
Q11) Recommend the ways through which Costa Coffee can attain higher market
reach?
14

Theme 1) Yes people have been go through by the concept of global brand emergence.
Q1) Have you ever been go through by the concept of global brand emergence? Frequency
Yes 26
No 4
Interpretation:
Globalisation brand emergence is a wider concept and it provides the exclusive
marketing, consulting and the strategic planning services in order to preparation for expand at
global level. It provides benefits to organisation to develop its positive brand image in
international markets. There are 26 respondents which said that they have better knowledge
about the concept of global brand emergence. On the other hand, there are 4 respondents which
said that they are not aware about this concept.
15
Yes No
0
5
10
15
20
25
30 26
4
Frequency

Theme 2) Global brand emergence is effective in improvising the reach of an organisation at
international level.
Q2) Does global brand emergence is effective in improvising the reach of an
organisation at international level?
Frequency
Agree 28
Disagree 2
Interpretation:
The global brand emergence is helpful in reaching at large number of people at the global
level. Under this, firm recognize the brand at large scale so that every people can aware about it
and purchase its products as well as services. On the basis of above mention graph, it has been
analysed that there are 28 respondents and according to them global brand emergence is effective
or better in make improving to reach of company at the internal level. It will help in enhance
development as well as productivity of business. On the other hand, there are 2 respondents
which are disagree with this statement and said that firm can find some other effective ways to
reach at the global level.
16
Agree Disagree
0
5
10
15
20
25
30 28
2
Frequency

Theme 3) The potential benefits are attained by Costa Coffee through the global brand
emergence.
Q3) What are the potential benefits are attained by Costa Coffee through the
global brand emergence?
Frequency
Increasing brand image 8
Enhancement of customer base 7
Higher profitability 7
Competitive edge 8
Interpretation:
Costa coffee is a large size company and it has strong brand image at the market place.
From the brand emergence at global level, it takes some benefits. There are 8 respondents which
said that thorough brand emergence the brand image of Costa Coffee can be enhanced at large
scale. 7 respondents said that through conducting business at the large scale, the customer base
of Costa Coffee will be enhanced. According to 8 respondents, firm can gain the competitive
edge. On the basis of 7 respondents that brand emergence at global level is helpful in maximise
the profit level of Cost Coffee.
17
Increasing brand image
Enhancement of customer base
Higher profitability
Competitive edge
6.4
6.6
6.8
7
7.2
7.4
7.6
7.8
8
8
7 7
8
Frequency

Theme 4) There are multiple issues that Costa coffee face while its brand emergence in Romania.
Q4) What are the issues that Costa coffee face while its brand emergence in
Romania?
Frequency
Taste preference of customer 8
Competition 12
Culture Differences 10
Interpretation:
From the description of above given data it has been analysed that 8 peoples out of 30
said that Costa Coffee had an issue in dealing with taste and preference of customer in Romania
which is different from usual places. Among them 12 people addressed that costa coffee is facing
an issue due to high competition in market place. Apart from this 10 state that the company faced
issues regarding culture difference.
18
Taste preference of customer Competition Culture Differences
0
2
4
6
8
10
12
8
12
10
Frequency

Theme 5) Positive impact does have brand emergence over improvisation of Costa coffee reach.
Q5) Which kind of impact does have brand emergence over improvisation of
Costa coffee reach?
Frequency
Positive 25
Negative 2
Neutral 3
Interpretation:
Brand emergence have a positive impact on the improvisation of Costa Coffee as felt by
the 25 out of 30 of respondents, as respondents feel that the expansion of Costa Coffee will have
positive impact on the rise of Costa Coffee. Albeit, there are some people who feel that it will not
have a major impact but it will definitely be able to reach to lot of people. Like, there are two
respondents who feel it will have a negative impact on Costa Coffee and around three who are
neutral to all the facts.
19
Positive Negative Neutral
0
5
10
15
20
25
25
2 3
Frequency

Theme 6) Different factors influences Costa Coffee in putting its action towards global brand
emergence.
Q6) What factors influences Costa Coffee in putting its action towards global
brand emergence?
Frequency
Threat of Rivals 10
Financial Risk 8
Market acceptance 6
Labour access 6
Interpretation:
As per the detailed analysis of the given graph it has been interpreted that 10 out of 30
respondents said that threat of rivals is the major factors that influences Costa Coffee in putting
its action towards global brand emergence. Thus in the service industry competition is so high
within the market place and organisations are widely concern on providing competition to their
rivals by improvising its services. 8 people are in favour of financial risk as this also a major
factor because finance is the primary source which is requires to be considered by an
20
Threat of Rivals Financial Risk Market acceptance Labour access
0
1
2
3
4
5
6
7
8
9
10
10
8
6 6
Frequency

organisation for managing its services, 6 people are go with the option of marketing acceptance
and remaining people are go with labour access.
21

Theme 7) Different kind of changes are anticipated in Costa Coffee after its expansion in
Romania.
Q7) Which kind of changes are anticipated in Costa Coffee after its expansion in
Romania?
Frequency
Idea of preparing variety of Coffee 10
Changes in organisational culture 12
Use of advance technology 8
Interpretation:
According to the analysis of the project it has been evaluated that multiple changes are
anticipated in Costa Coffee after its expansion in Romania 10 out of 30 respondents said that the
major change which take place in Costa Coffee is the idea of preparing variety of coffee, thus is
the major attraction for the customers, 12 people are in favour of changes in organisational
structure and remaining people are in favour of use of advance technology.
22
Idea of preparing variety of Coffee
Changes in organisational culture
Use of advance technology
0
2
4
6
8
10
12
10
12
8
Frequency

Theme 8) Global brand emergence helps Costa Coffee in improving its market reach.
Q8) How global brand emergence helps Costa Coffee in improving its market
reach?
Frequency
Effective Offerings 8
Integration of Culture 7
Quality Services 8
Expansion at new location 7
Interpretation:
From the detailed represents by the mentioned graph it has been determined that there are
so many aspects of global brand emergence that helps Costa Coffee in improving its market
reach. 8 out of 30 respondents said that Effective Offerings is the key aspect of global brand
emergence, 7 are go with Integration of Culture, 8 are in favour of Quality Services and
remaining people are go with Expansion at new location.
23
Effective Offerings
Integration of Culture
Quality Services
Expansion at new location
6.4
6.6
6.8
7
7.2
7.4
7.6
7.8
8
8
7
8
7 Frequency

Theme 9) Various aspects are required to be considered by an organisation while expansion of
business at global level.
Q9) What aspects are required to be considered by an organisation while
expansion of business at global level?
Frequency
Culture 10
Legal and regulatory Policies 10
Foreign Business standards and Norms 10
Interpretation:
The above mentioned projects interpreted that there are various aspects that are required
to be considered by an organisation while expansion of business at global level. 10 out of 30
respondents go with culture, 10 are in favour of legal and regulatory policies and remaining
people are go with foreign business standards and norms.
24
Culture
Legal and regulatory Policies
Foreign Business standards and Norms
0
1
2
3
4
5
6
7
8
9
10
10 10 10
Frequency

Theme 10) Different measures are undertaken by Costa Coffee to overcome with the risk present
at global market.
Q10) What measures are undertaken by Costa Coffee to overcome with the risk
present at global market?
Frequency
Market Analysis 15
Improving Organisational Structure 8
Performing Ethical Practices 7
Interpretation:
According to the analysis of the project it has been founded that different measures are
undertaken by Costa Coffee to overcome with the risk present at global market. 15 out of 30
people are go with market analysis, 8 are in favour of improving organisational structure and
remaining people are go with performing ethical practices.
25
Market Analysis
Improving Organisational Structure
Performing Ethical Practices
0
2
4
6
8
10
12
14
16 15
8
7
Series1

Discussion
Concept of global brand emergence
From the above study it has been discussed that,a new generation of global brand is
emerging Global brand is the brand which can be easily recognised throughout the world. All
brands that are on internet have the potential to become global brand. In a Globalised world
technology has brought everyone from across different countries closer, so it has become easier
to operate on a global scale. By assessing resource at affordable costs, production becomes
efficient due to which firms can attain economies of scale. Global brand emergence will help in
building strong brand identity which will help to capture the market share thoroughly and will
lead to high attainment of profits. Global companies has some influence both positive and
negative, on society's well-being,They expects firms to address their problems in regard to how
they conduct business and what they sell. Customers are always at the centre of every brand or
service and it is not at all possible to be a global brand without understanding customers. While
going global, many of them do not realise but the name is most important while creating a brand
which would be identity of the company and every global brand has managed to get its name
right, so the brand name must be chosen accordingly.
Several issues faced by Costa coffee while its brand emergence in Romania
From the above study, it has been analysed that, coffee is a culture in Romania and there
are varied number of individuals who work towards setting their business as a coffee shop. As
there are many suppliers of materials required for preparation of coffee, which is the reason
behind the expansion of costa coffee in Romania. But there are some challenges too, which
should be considered while brand emergence of costa coffee's in Romania. They are that the
organisation should focus on the taste preferences of customer and should try to make coffee
based on the taste requirements of the customers, so that people can develop a taste which will
help them in generating more profit.
Another major issue faced by costa is the competition prevailing in the market which restrict the
company to expand its business in country as customer prefer to visit only those stores who are
best at their work, so costa should try to adapt the change according to the changes taking place
in the environment.
Impact of brand emergence over improvisation of Costa coffee reach
26

From the above study it has been concluded that brand emergence play a very important
role in the growth and success of the organisation, as growth and success are the most important
element of every business organisation. Brand emergence helps in approaching varied number
of customers throughout the world. By approaching huge number of customers it will help in
building goodwill of the organisation and will be able to capture high market share . Brand
emergence has helped in improving services of costa coffee , which was done by setting
franchises over many geographical areas has helped in building lots and lots of customers which
reflected in generating huge amount of profits. The brand name itself has helped costa in
increasing its reach in a country like Romania is not at all easy. Costa was able to enhanced its
customer base and increased its reach as there is rich culture of coffee in Romania and has
helped in enhancing its profitability base. As Romania is one of the tourism attraction, it helped
in enhancing its brand recognition among the tourist also who visit that place .
Recommendation and self Reflection
The research into consideration is based on the analysis of investigating the role of
emerging global brand in improvising organisational reach at international level. This is a wide
area of research that helps an organisation in attaining higher growth and success From the
above study it is recommended to the Costa Coffee that they should make some innovation in the
food and should try to include some healthier foods, as well as some authentic Italian feel, such
that it can attract the individuals crossing through the shop. As the coffee compares well to other
high street chains and is the main attraction they can develop a personality behind the brand from
the local community initiative and cultivate a more vibrant Costa voice through which they can
generate more customer awareness. By creating some special offers for the customers who visit
there on a daily basis, so that they do not shift to other brand they can provide Costa coffee book
award or some other special services which may include coupons, offers, etc. And as far as
concerned the prices of coffee and food offered at Costa are a way too much in line with other
chains. They should work on the comport and cleanliness of the stores and company can refer
some suggestions from the customer to improve the service quality.
The prior obligation for conducting an investigation is to overcome with the research issue in
respect to reaching at the potential outcome. Research methodology is considered as the key
section of an investigation work that provides a significant or systematic direction to the
researcher carry out the work in right manner. From the overall analysis of the project I have
27

been analysed that a research is qualitative or quantitative in nature and the selection is based on
the nature of accumulated data. In this particular investigation work qualitative tool has been
applied by the researcher, thus I have found that this is the suitable tool to gather accurate
information. As per my own observation I have been found that various methodologies are
providing support to the work in effective manner, thus descriptive research design has been
applied to creating descriptive analysis on the research issue and interpritivism philosophy was
the most suitable tool for developing an effective theoretical frame work to reach at the final
outcome. Along with this, this project also helps me in developing my data collection ability and
I have been analysed that in this both primary as well as secondary tools are applied by the
researcher to accumulation of valid and reliable information. Secondary tool is useful for
executing literate review as in this data is being gathered through books, journals, published
research articles, past research projects etc. On the contrary, primary tool is successful in
direction of survey with the help of questionnaire that covers the aim and objectives of this
particular exploration work. Questionnaire is the most suitable tool because it is effective in
accumulation of large amount of data within a less time duration.
Alternative tool
Data Collection is the primary aspect of an investigation thus the overall research is based
on the data that are accumulated by the investigator related with the subjective area of research.
In this present research project questionnaire is applied through the researcher to gather primary
data, as it is the most successful technique for collect large range of data within a small time
duration, thus this is also effective in analysing the perspective of people on a similar area of
study. There are multiple sources are available for gathering primary information like survey,
observation, interview, focus group etc. Among all of them Interview is an alternative method
which can also be used by the investigator for the purpose of gathering more authentic
information. This is a reliable tool that assist an investigator in gathering small range of data as
in this information is accumulated sby the people on personal basis, thus in this a personal
interview session is designed for accumulation of actual and fact-full information.
28

CONCLUSION
From the above study it has been analysed that, becoming a global brand is exceptionally
difficult, as global brand are those which can be easily recognized throughout the world or which
helps a company to market its product or service in many different countries across the world. To
make a global brand like, Costa Coffee successful, appropriate and effective channel structure
and strategies to effectively market a product should be determined. The basic reason for going
global is to make a product or service unique and different from that of competitors. Global
branding creates a stronger competitor advantage over their opponents as it allows a company to
adapt changes according to the needs based on customer demands, costa coffee should also focus
on improving their services on the basis of customers demand. As it is seen that emerging global
brand has offered a chance to business to conquer new territories and reach more of consumers
so it will company in increasing company's perceived image, as global operation can help name
brand recognition to support future business scenario.
29

REFRENCES
Books and Journals
Bliss, S., 2011. Globalisation: Coffee from Bean to Cafe.Geography Bulletin. 43(3). p.17.
Hammedi, W., and et. al., 2015. Online customer engagement: Creating social environments
through brand community constellations.Journal of service management. 26(5). pp.777-
806.
Kieras, D. E. and Just, M. A., 2018. New methods in reading comprehension research.
Routledge.
Müller-Mahn, D. ed., 2012.The spatial dimension of risk: how geography shapes the emergence
of riskscapes. Routledge.
O'Brien, S. and Saldanha, G., 2014. Research methodologies in translation studies. Routledge.
Randrianasolo, A. A., 2017. Global brand value in developed, emerging, and least developed
country markets.Journal of Brand Management. 24(5). pp.489-507.
Te Velde, V., 2016.The commonwealth brand: Global voice, local action. Routledge.
Temporal, P., 2011.Advanced brand management: Managing brands in a changing world. John
Wiley & Sons.
Valentin, J. L. and Watling, R. J., 2013. Provenance establishment of coffee using solution ICP-
Taylor, P.J. and Derudder, B., 2015.World city network: a global urban analysis. Routledge.
Holbeche, L., 2015. The Agile Organization: How to build an innovative, sustainable and
resilient business. Kogan Page Publishers.
Oshri, I., Kotlarsky, J. and Willcocks, L. P., 2015. The Handbook of Global Outsourcing and
Offshoring 3rd Edition. Springer.
Epp, A. M., Schau, H. J. and Price, L. L., 2014. The role of brands and mediating technologies
in assembling long-distance family practices. Journal of Marketing. 78(3). pp.81-101.
Amankwah-Amoah, J., Boso, N. and Debrah, Y. A., 2018. Africa rising in an emerging world:
an international marketing perspective. International Marketing Review. 35(4). pp.550-
559.
Neacşu, N. A. and Bărbulescu, O., 2015. Quality Strategies Used by Market Leader in the
Competitive Coffee Industry. Ovidius University Annals, Series Economic
Sciences. 15(2).
Farsani, N. T., Coelho, C. O. and Costa, C. M., 2014. Analysis of network activities in geoparks
as geotourism destinations. International Journal of Tourism Research. 16(1). pp.1-10.
Steenkamp, J. B., 2017. Global brand strategy: World-wise marketing in the age of branding.
Springer.
Unlucan, D., 2014. Jersey manufacturers in football/soccer: the analysis of current jersey
manufacturers of 1061 football/soccer clubs in top leagues of 72 countries. Soccer &
Society. 15(3). pp.314-333.
Martins, M. R., Rachão, S. and Costa, R. A. D., 2018. Electronic word of mouth: Does it really
matter to backpackers? Booking website reviews as an indicator for hostels’ quality
services. Journal of Quality Assurance in Hospitality & Tourism. 19(4). pp.415-441.
ONLINE
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Iftimescu. A. 2017. Romania’s Coffee Industry. [Online] Available
through:<https://www.perfectdailygrind.com/2018/08/how-romanias-coffee-industry-is-
introducing-people-to-specialty/>./
Costa Coffee. 2019. [Online] Available through:<https://www.costa.co.uk/>./
31

Appendix 1
Questionnaire
Name:
Age:
Gender:
Email:
Q1) Have you ever been go through by the concept of global brand emergence?
Yes
No
Q2) Does global brand emergence is effective in improvising the reach of an organisation at
international level?
Agree
Disagree
Q3) What are the potential benefits are attained by Costa Coffee through the global brand
emergence?
Increasing brand image
Enhancement of customer base
Higher profitability
Competitive edge
Q4) What are the issues that Costa coffee face while its brand emergence in Romania?
Taste preference of customer
Competition
Culture Differences
Q5) Which kind of impact does have brand emergence over improvisation of Costa coffee reach?
Positive
Negative
Neutral
Q6) What factors influences Costa Coffee in putting its action towards global brand emergence?
Threat of Rivals
Financial Risk
32

Market acceptance
Labour access
Q7) Which kind of changes are anticipated in Costa Coffee after its expansion in Romania?
Idea of preparing variety of Coffee
Changes in organisational culture
Use of advance technology
Q8) How global brand emergence helps Costa Coffee in improving its market reach?
Effective Offerings
Integration of Culture
Quality Services
Expansion at new location
Q9) What aspects are required to be considered by an organisation while expansion of business at
global level?
Culture
Legal and regulatory Policies
Foreign Business standards and Norms
Q10) What measures are undertaken by Costa Coffee to overcome with the risk present at global
market?
Market Analysis
Improving Organisational Structure
Performing Ethical Practices
Q11) Recommend the ways through which Costa Coffee can attain higher market reach?
33

Appendix 2
Research Proposal Form
Student Name Student ID
Tutor Date
Unit
Proposed title: Costa analysing the effectiveness of franchising as an entry strategy and its
impact on the profitability of business. A study on Costa Coffee Romania.
Section One: Title, objective, responsibilities
Title or working title of research project ( in the form of a question, objective or hypothesis)
“To investigate the role of emerging global brand in improvising organisational reach at
international level : A case on Costa Coffee franchise in Romania”.
Research project objectives (e.g. what is the question you want to answer? What do you
want to learn how to do? What do you want to find out?):
Research Objectives
 To analyse the concept of global brand emergence.
 To determine several issues that Costa coffee face while its brand emergence in Romania.
 To evaluate the impact of brand emergence over improvisation of Costa coffee reach.
 To identify the challenges could be faced by Costa Coffee.
Research Questions:
 Explain about the concept of Global brand emergence?
 Describe about several issues that Costa Coffee have while its brand emergence in Romania?
 What is the impact of brand emergence over improvisation of Costa coffee reach?
 What Challenges could be faced by Cost?
Section Two: Reasons for choosing this research project
Reasons for choosing the project (e.g. links to other subjects you are studying, personal interest, future
34

plans, knowledge/skills you want to improve, why the topic is important):
The potential reason for conducting research is to exploring the idea and knowledge base regarding
the specified area of study which is related with the role of emerging global brand in improvising
organisational reach at international level.
An another reason for conducting the research is the personal interest area of researcher, thus
researcher wants to enhance their own knowledge regarding chosen area and develop their
professional skills regarding the same.
Section Three: Literature sources searched
Use of key literature sources to support your research question, objective or
hypothesis:
Literature review is defined as the process of critical evaluation of information that has been
collected from several articles in order to develop an understanding regarding particular topic of
concern from the information provided by other researcher.
Concept of global brand emergence
According to Müller-Mahn, 2012, Global brands are the one that get acknowledgement all through
the world through growing its business exercises by emerging suitable advertising methodology to
help brand and its improvement all over the place. Its upside is that the firm can pick up economies
of scale by getting to assets at reasonable costs. A good brand image will work in building
awareness in regards to the offered products and services of firm to attain significant growth and
success. Many organization derive global branding, in this the organization enters new nation and
grow its activities which is otherwise called brand development. Global brand rise required an
organization to consider factors like counselling, marketing or planning so as to set up a viable
arrangement related with global expansion.
Several issues faced by Costa coffee while its brand emergence in Romania
As per the opinion of Antonio Iftimescu, 2017, Coffee is in the culture of Romania and there are
number of specialist which work towards setting up their business as a coffee shop or restaurant. In
addition to this there are large number of suppliers within Romania which are significantly make
arrangement of the ingredients that are necessary for preparing a coffee. This is reason for that the
expansion of Costa Coffee in Romania as there is greater scope within this area rather than
anywhere else. At the time of business expansion certain challenges that Coast Coffee has faced
through its journey of brand emergence in Romania. These are explained as under:
35

 Taste and preference of customer thus it is the major issue which has faces by the firm
through rapid change arises in the taste and preference of customers. Competition is also an another major issue faces by the organisations belongs from service
industry. In this sector competition is so high within the market and organisations are widely
concern over attaining higher competitive edge in respect to providing competition to its
rivals.
Impact of brand emergence over improvisation of Costa coffee reach
According to the view point of Bliss, 2011, Brand emergence performs a vast role in developing the
business operations of an organisation at extended level. The aspect of brand emergence basically
helps in attracting larger number of buyers over several geographical areas thus it create value for
the firm in attaining higher customers base which may resulted in attainment of higher profitability
and growth. Brand development likewise upheld Costa coffee in improving its global reach by
giving it an open door with respect to setting up its establishments more than a few geological area
and moving toward bigger number of clients. This brand emergence in Romania additionally helped
Costa Coffee in expanding its span as Romania is wealthy in culture of espresso and in the wake of
marking its outlet in nation, organization become ready to extend its tasks all through Europe. This
become conceivable in the wake of getting acknowledgement in Romania as through which
organization get improvement in brand recognition. Subsequently it bolster Costa Coffee in growing
its worldwide reach through brand rise.
Section Four: Activities and timescales
Activities to be carried out during the research project (e.g. research,
development and analysis of ideas, writing, data collection, numerical
analysis, tutor meetings, production of final outcome, evaluation, writing the
report):
How
long
this will
take:
36

37

Milestone one: .........................................................................................
Target date (set by tutor): .........................................................................................
Milestone two: .........................................................................................
Target date (set by tutor): .........................................................................................
Section Five: Research approach and methodologies
What type of research approach and methodologies are you likely to use and why?
Research methodology is recognised as the most essential part of an exploration work which
provides a systematic direction to the researcher to completion of the work in proper manner. This
section is based on various applications in which are described as under:
Type of Investigation: A research is either qualitative or quantitative in nature, thus the selection of
investigation is based on the data accumulated by the researcher. In this particular research
qualitative research tool is the most suitable thus it is effective in providing detailed analysis on the
chosen area of study and this is majorly consist over qualitative aspect of data.
Research Approach: This aspect of methodology is emphasises on two potential aspects one is
deductive and other one is inductive research approach. In this present research work inductive
approach will be applicable for the researcher as it is most suitable tool for quantitative analysis and
helps on conducting in-depth evaluation by the help of theories and hypothesis.
Data Collection tool: It basically refers to the procedure of gathering data over covariant of
interest in a systematic manner. There are generally two types of data collection method i.e. primary
and secondary. In this present investigation work both primary as well as secondary sources will be
effective in accumulation of information from the different sources. Primary data collection tool is
applied to gathering data for the very first time with the help of conducting survey as in this
information is being gathered through filling the questionnaire by the respondents. On the other side
secondary tool will be effective in conducting the section of literature review by the help of
gathering data from books, journals, published research articles etc.
Data Sampling: This mainly replicates from the original population thus it basically emphasises on
two types like probabilistic and non-probabilistic data sampling. In this present investigation work
random sampling method from non-probabilistic type will be applicable to gather reliable and actual
38

data. The sample size for this particular investigation is 30.
What your areas of research will cover:
The area of research will cover the aspect of globalisation and how global expansion is benefited for
the growth and development of a business.
Comments and agreement from tutor
Comments (optional)
I confirm that the project is not work which has been or will be submitted for another
qualification and is appropriate
Agreed Name: Date:
Comments and agreement from project checker (if applicable)
Comments (optional)
I confirm that the project is not work which has been or will be submitted for another
qualification and is appropriate
Agreed Name: Date:
Research Ethics
All students conducting research activity that involves human participants
or the use of data collected form human participants are required to gain
ethical approval before commencing their research. Please answer all
relevant questions and note that your form may be returned if incomplete.
For further support and guidance please see your respective Unit Tutor:
39

Before completing this form, we advise that you discuss your proposed
research fully with your unit tutor. Please complete this form in good time
before your research project is due to commence.
Section 1: Basic details:
Project title:
An investigation of the benefits of globalization on the marketing activities of an organisation. A Case
study on Blue Inc.
Student name:
Student ID number:
Programme:
College Name:
Intended research start date:
Intended research end date:
Section 2 Project summary
Please select all research methods that you plan to use as a part of your project:
 Interviews Yes No
 Questionnaires Yes No
 Observations Yes No
 Use of personal records Yes No
 Data Analysis Yes No
 Action Research Yes No
 Focus Groups Yes No
 Others (Please specify) :
40

Section 3: Participants
Please answer the following questions, giving full details where necessary.
Will your research involve human participants?
Yes, in the research human participants are effective in regards to collection of actual information that
support the research issue.
Who are the participants? Tick all that apply:
Ages 12-16: Young people aged: 17-18 Adults: more than 18
How will participants be recruited (identified an approached)?
The participants of the research will recruited by the process of interview.
Describe the processes you will use to inform participants about what you are
doing:
Investigator has select email facility thus it is the most easy and reliable process for informing
participants about the actions of the research.
How will you obtain consent from participants? Will this be written? How will it
be made clear to participants that they may withdraw consent to participate at
any time?
Email is the most appropriate source for providing consent to the participants. This is written in the form
of message. The researcher should also ensure the participants that they can withdraw their consent from
the research as per their own choice, thus participants are free to withdraw their consent from the
research any time.
Studies involving questionnaires: will participants be given the option of omitting
41

questions that do not wish to answer?
Yes No
If no please explain why below and ensure that you cover any ethical issues
arising from this
Studies involving observation: Confirm whether participants will be asked for
their informed consent to be observed.
Yes No
Will you debrief participants at the end of their participation (i.e give them a brief
explanation of the study)?
Yes No
Will participants be given information about the findings of your study?(This
could be a brief summary of your findings in general)
Yes No
42