PESTLE Analysis of Starbucks: A Comprehensive Report

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Assignment
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Contents
Introduction..............................................................................................................................3
Pestle Analysis..........................................................................................................................4
Conclusion.................................................................................................................................6
References.................................................................................................................................7
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Introduction
This assignment is related to the Pestle analysis of the organisation Starbucks. The Pestle
analysis includes the different factors that are essential in any business organisation. The
Pestle analysis includes political factors, environmental factors, social factors, technological
factors, legal factors, and economic factors. The Starbuck operates by the economic recession
and affected the purchasing power of consumers. All of these factors affect Starbucks
operations and activities. The analysis of these factors can be given various benefits to the
organisation.
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Pestle Analysis
The market research of Starbucks includes the Pestle analysis which gives various
information regarding the process of the organisation. The Pestle analysis of this organisation
are described below-
 Political Factors
The main political factor related to the process of the Starbucks is the sourcing of its raw
materials and it has been attracted the attention of the politicians and the various countries
that affect the raw materials of the organisation (Nguyen, 2016). That's why Starbucks
follows the various sourcing strategies to improve the organisation.
 Economic Factors
The ongoing economic recession is them sot economic factor related to the Starbucks. This
affects the profitability of the organisation. The economic studies show that consumers give
lower priced alternatives instead of cutting down coffee consumption.
 Socio-cultural factors
The social factors without sacrifices the quality and offer cheaper alternatives. The main
social challenge faced by the Starbucks operation is to expand the customer base. The green
and ethical chic of the customers affects the social and cultural factors of the organisation.
The social factors of Starbucks improve the overall process of the organisation. The
Starbucks organisation look after the taping Gen X and Millennial as the best strategy of the
organisation and this improves the overall
 Technological Factors
The Starbucks used the emerging mobile wave to increase the benefits and this organisation
tied up with Apple to start the app based discount coupons. This process makes the ease with
the mobile wave. This company starts the Wi-Fi capabilities so that customers can easily use
the web process and easily do their work while sipping the coffee (Morais, et. al., 2014).
This can increase the experience of the customers in a specific organisation. The mobile
online payments are also started by the company which increases the use of technology and
increase the experience of the customers.
 Legal Factors
The legal factors are related to the laws and regulations used by the organisation to maintain
the process of the business. The market can be easily managed by using the laws in the
process of the organisation.
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 Environmental Factors
There are many concerns related to the environment in the organisation and this is related to
the business practices of the activists. Starbucks needs to maintain the importance of the
environment in their business. This can also maintain the trust of the consumers.
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Conclusion
This assignment is related to the pestle analysis if Starbucks organisations. All the factors
included in the Pestle has been analysed in this assignment. This can help in analysing the
different parts of the organisation and increase the satisfaction of the customers. All the
factors are really very important in the profitability of the organisation.
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References
 Morais, U.P., Pena, J., Shacket, K., Sintilus, L., Ruiz, R., Rivera, Y. and Mujtaba, B.G., 2014.
Managing diverse employees at Starbucks: Focusing on ethics and inclusion. International
Journal of Learning and Development, 4(3), p.35.
 Nguyen, D.L., 2016. Vietnamese coffee in the path of International Integration: The United
States export market analysis.
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