TECHNOLOGICAL INSTITUTE OF THE PHILIPPINES

COLLEGE OF BUSINESS EDUCATION

BUSINESS POLICY AND STRATEGY
(BUS403)

CALISAY, JHOANA MARIE M.

DATE OF SUBMISSION:

CAMANGIAN, CARISSA ANNE D.

JANUARY 19, 2016

HERMIDA, GIANNE ERICA C.

MORANTE,CYNTHIA M.
OCAMPO,KRISTINE T.
PONIO, PRISCILLA LYNNE B.
REYES, MISSY VHIC C.

SECTION:

SIERRA,CHARMINE L.

FMA42FC1

EXECUTIVE SUMMARY
Gordon Bowker, Jerry Baldwin, Zev Siegl founded Starbucks at Seattle, Washington by
1971 as a single shop specializing in high quality coffee and brewing products, the company grew
to be the largest roaster in the state until the early 80s. With the success of the store they
expanded another branch at University Village, Washington a year after. The aroma of their
companys coffee brand reached Asian and European landmasses by 2000. In historical records of
the company, they offer their coffee in United Airline flights, through Tazo Tea Company they sell
premium tea, they also made internet purchasing, distributing their coffee beans to the markets,
formulating ice cream formula and selling CDs as promotion. Word of mouth and brand recognition
is their advertisement. As of December 2009, they have put up 16, 706 stores in over 50 countries.
Their track goes backward as their Japanese Operation has posted $3.9M loss, despite of
their 15% increase in revenue and opening of 108 new stores, and closure of first low performance
locations. Despite of their setbacks they continue their international expansion and marked 129 th
Seattles Best Coffee coffeehouses at Turkey. After 2 years of continued US-based expansions with
goal set at 15% and eventually they announced opening of 15, 000 domestic outlets and 30, 000
worldwide. By 2007, as the worldwide economic recession hit, the McDonalds entered coffee
business big time. By 2008 Starbucks closed 600 underperforming stores in the US but planned to
open 200 new stores by 2009. Business as one track, when it comes to coffee shops, different
establishments came competing the said company, like Dunkin Donuts, Caribou Coffee, Peets
Coffee and Tea, Krispy Kreme, and even McDonalds joined the race. A visible competition arises
when McDonalds offers less than a dollar worth of coffee compared to $4 coffee of Starbucks, with
this one sided competition they need clear strategies to offset the attacks of McDonalds that are
trying to attract all their customers.
In this recent state of economy, with closures of less profitable branches, the Starbucks
continues to be the coffee house of choice, but still the race to success stands with plenty of
competitors running alongside with. These said competitors using cheaper cups of coffee, lures
the customers away to the said coffee house, with this status, the contest gets more tricky requiring
new marketing strategy, but still Starbucks is not discouraged.

BACKGROUND

VISION
To inspire and nurture the human spirit one person, one cup, and one
neighbourhood at a time.

VALUES
Creating a culture of warmth and belonging, where everyone is welcome.
Acting with courage, challenging the status quo and finding new ways to grow the

company and each other.

Being present.
Connecting with transparency, dignity and respect.
Delivering the very best in all that they do, holding themselves accountable for results.
They are performance driven, through the lens of humanity.

OUR CUSTOMER
When we are fully engaged, we connect with, laugh with, and uplift the lives of our

customers even if just for a few moments. Sure, it starts with the promise of a perfectly made
beverage, but our work goes far beyond that. Its really about human connection.

OUR NEIGHBORHOOD
Every store is part of a community, and we take our responsibility to be good neighbors

seriously. We want to be invited in wherever we do business. We can be a force for positive

actionbringing together our partners, customers, and the community to contribute every day.
Now we see that our responsibilityand our potential for goodis even larger. The world is
looking to Starbucks to set the new standard, yet again. We will lead.

ORGANIZATIONAL CHART

I.

TIME CONTEXT
2nd to 3rd quarter of year 2009

II.

VIEWPOINT
Howard Schultz Chairman and CEO of Starbucks.

III.

STATEMENT OF THE PROBLEM

A. MAJOR PROBLEM
Poor Marketing Strategy.
B. MINOR PROBLEMS
Fierce competition with giants like McDonalds and Dunkin donuts.
The sheer scale of Starbucks business reduces the bargaining power of any single

IV.

group of buyer, which causes brand switch.

As their venture continues direct competitors joins the race.

STATEMENT OF THE OBJECTIVE

A.1.WANTS- LONG-TERM OBJECTIVES

To develop a strong and effective strategies for the company improvement.

A.2.NEEDS- LONG-TERM OBJECIVES

Mobilize partners (employees) and customers tosupport the newly implemented

marketing strategy.
To examine corporate social responsibility campaign of Starbucks and its impact
on brand building.

To assess long term objectives of Starbucks to aid its marketing strategies.

B.1.WANTS- SHORT-TERM OBJECTIVES

Starbucks aims to outweigh their competitors especially on sales.

B.2.NEEDS-SHORT-TERM OBJECTIVES

To consider brand differentiation strategies of company and rapid expansion

strategy analysis of organization.

Starbucks will sharpen its focus on developing alternative marketing strategies for

them to come up with the best one.

To analyze cultural attributes of Starbucks brand and uniqueness from other
brand.

V.

AREAS OF CONSIDERATION
A. SWOT ANALYSIS
Strengths:
1. Strong Market Position and Global Brand Recognition
Starbucks has a significant geographical presence across the globe and maintain a
36.7% market share in the United States and has operations in over 60 countries. Starbucks is
also the most recognized brand in the coffeehouse segment and is ranked 91st in the best
global brands of 2013.8 Starbucks effectively leverages its rich brand equity by merchandizing
products, licensing its brand logo out. Such strong market position and brand recognition
allows the company to gain significant competitive advantage in further expanding into
international markets and also help register higher growth in both domestic and international
markets. Over the years, they have achieved significant economies of scale with superior
distribution channels and supplier relationships.
2. Products of the Highest Quality
They give the highest importance to the quality of their products and avoid
standardization of their quality even for higher production output.
3. Location and Aesthetic appeal of its Stores
Starbucks has stores in some of the most prime and strategic location across the globe.
They target premium, high-traffic, high-visibility locations near a variety of settings, including
downtown and suburban retail centers, office buildings, university campuses, and in select
rural and off-highway locations across the world.10 This has earned them a significant
competence and advantage to be able to penetrate prime markets and tap into customers
convince factor. Their stores are visually appealing and have a cool factor attached to it with
being designed to reflect the unique character of the neighborhood they serve in and

environmentally friendly. They provide free wifi, great music, great service, warm atmosphere
and provide an environment of community meeting spot, which forms a wider part of the
Starbucks Experience. The main aim for the firm is to make their stores a third place besides
home and work.
4. Human Resource Management
Starbucks is known for its highly knowledge base employees. They are the main
assets of the company and they are provided with great benefits like stock option, retirement
accounts and a healthy culture. This effective human capital management translates into great
customer services. It was rated 91st in the 100 best places to work for by Fortune Magazine.
5. Goodwill among consumers due to Social Responsibly Initiatives
Their stores are community friendly, focused on recycling and reducing waste. They
build goodwill among communities where they operate.
6. Customer base loyalty
Starbucks has cult following status among consumers and they have also
implemented loyalty-based programs to drive loyalty with the Starbucks Rewards programs
and Starbucks Card. The Starbucks Card is a value card program that provides convenience,
support gifting, and increases the frequency of store visits by cardholders and integrated with
their mobile application.

Weaknesses:
1. Expensive Products
While Starbucks does differentiate their products with being highly quality couple with
the whole Starbucks Experience, in times of economic sluggishness, consumers to have so
switching costs to competitors products with lower prices and forgo paying a premium. These
premium prices could also pose some weakness for it to succeed in developing countries.
2. Self-Cannibalization through overcrowding
By aggressive expansion and high saturation due to overcrowding in the market leads
to self cannibalization and diminishes long term growth targets of Starbucks. This is happening
especially in the United States where Starbucks operates 8078 stores.
3. Overdependence in the United States market

In line with self-cannibalization of the US market with 8078 stores, Starbucks

generates a huge percentage of their total revenue from the US and this makes it very
sensitive to prospects of the US economy and growth.
4. Negative large corporation image
Like any large corporation, Starbucks does come under increased scrutiny and have
to invest in corporate social responsibility activates and maintain tight control over labor
practices.
Opportunities:
1. Expansion into Emerging Markets
The increase saturation and self-cannibalization of the US market makes its
international strategy even more important. Starbucks has made good inroad into many
countries, with India recently joining the list with a joint venture entry.18 Starbucks has a great
growth potential in further expanding into the emerging and developing markets. They can
leverage their size, experience, financial prowess and efficiencies to make new market share.
2. Expanding Product mix and offerings
Starbucks recently started to expand their product mix by venturing into the Tea and
fresh juice product offerings with a smart acquisition strategy.20 This provides significant
opportunities for Starbucks.
3. Expansion of retail operations
Starbucks currently sell its packed coffee products, iced beverages and merchandizes
through large box retailers. This markets potential is yet to be fully realized and this provides
Starbucks great opportunities for the future to future monetizes their brand.
4. Technological advances
Starbucks has leveraged the use of mobile applications and has an investment
partnership with Square, a mobile payments app that is integrated with its Starbucks app. This
creates an ease of use process for customers, aligns customer loyalty through reward
programs. Starbucks has already set the bar in the industry with this advancement and about
10% of its transactions in the US have been made using mobile applications.21 This is a
growing field and would drive more business to their stores as technology advances.
5. New distribution channels

Starbucks introduced a beta version of a delivery system called Mobile Pour. This
presents a great opportunity for the future by expanding their end product distribution systems
and could drive more revenue if the implementation is successful.
6. Brand extension
Starbucks carries a powerful brand image and it can leverage it to extend into
horizontal lines of its business and also venture into product diversification with keeping brand
dilution risk in check.

Threats:
1. Increased Competition
This is by far the biggest threat that Starbucks faces with the market being at a mature
stage, there is increased pressure on Starbucks from its competitors like Dunkin Brands,
McDonalds, Costa Coffee, Petes Coffee, mom and pop specialty coffee stores. Dunkin Brands
had at its main threat in the US market by trailing Starbucks with a 24.6% share.
2. Price Volatility in the Global Coffee Market
There has been a significant fluctuation in the market prices of high quality coffee
beans, which Starbucks cant control.
3. Developed Countries Market Saturation
Starbucks derives a significant amount of its revenue from the development markets
and there is increased market saturation currently.
4. Developed Countries Economy
In an increasingly economically integrated world, an economic crisis like the one in
2008 could have a trickledown effect from the developed markets to the developing markets.
This threat would hurt revenues for Starbucks as consumers shift away from premium product
mix to stay in limited budgets during economic hardships.
5. Changing Consumer tastes and lifestyle choices
The shift of consumers toward more healthy products and the risk of coffee culture being
just a fad represent a threat for Starbucks.
B. PORTERS FIVE FORCES ANALYSIS
Competitive Rivalry or Competition with Starbucks Coffee (Strong Force)

Starbucks Coffee faces the strong force of competitive rivalry or competition. In the
Five Forces analysis model, this force pertains to the influence of competitors on each
other. In Starbucks Coffees case, the following external factors contribute to the strong
force of competition:
Large number of firms (strong force)
Low switching cost (strong force)
Variety of firms (moderate force)
This part of the Five Forces analysis shows that competition is among the most important
of Starbucks Coffees concerns. The company faces a large number of competitors, which
have different sizes, specialties and strategies. For example, Starbucks faces the
competitive force of McDonalds and Dunkin Donuts, as well as other specialty coffee
companies. The strong force of competition is also due to the low switching cost, which
means that it is easy for customers to shift from Starbucks to other brands. Thus, based on
this component of the Five Forces analysis, competition should be among Starbucks
Coffees top-priority challenges.

Threat of New Entrants or New Entry (Moderate Force)

Starbucks faces the moderate force of the threat of new entrants or new entry. In
the Five Forces analysis model, this force refers to the potential effect of new players in the
industry. In Starbucks Coffees case, the following external factors contribute to the
moderate force of the threat of new entrants:
Moderate cost of doing business (moderate force)
Moderate supply chain cost (moderate force)
High cost of brand development (weak force)
This part of the Five Forces analysis model shows that new entrants have significant
but not strong effect on Starbucks Coffees business. New entrants can compete against
Starbucks because of the moderate costs of doing business and supply chain
development. However, new entrants find it difficult to compete against established brands
like Starbucks because it is very costly to develop a strong brand. Thus, this component of

the Five Forces analysis indicates that the threat of new entrants should be a secondary
priority in Starbucks Coffees strategies.

Threat of Substitution or Substitutes to Starbucks Products (Strong Force)

Starbucks Coffee also experiences the strong force of the threat of substitutes or
substitution. In the Five Forces analysis model, this force pertains to the impact of
substitute goods or services. In Starbucks Coffees case, the following external factors
contribute to the strong force of the threat of substitution:
Availability of substitutes (strong force)
Low switching cost (strong force)
Low cost of substitutes (strong force)
This component of the Five Forces analysis model indicates that substitutes have strong
potential to negatively impact Starbucks Coffees business. Starbucks customers can
easily shift to substitutes because there are many substitutes, such as beverages from
restaurants, and instant and bottled beverages and other goods from grocery stores. The
cost of shifting to substitutes is low because Starbucks customers do not need to spend for
the shifting process. In addition, many of these substitutes cost less than Starbucks
products. Thus, based on this part of the Five Forces analysis, Starbucks must consider
the threat of substitutes as among its top-priority concerns.

Bargaining Power of Starbucks Coffees Suppliers (Weak Force)

Starbucks Coffee faces the weak force or bargaining power of suppliers. In the
Five Forces analysis model, this force refers to the influence that suppliers have. In
Starbucks Coffees case, the following external factors contribute to the weak force or
bargaining power of suppliers:

High variety of suppliers (weak force)

Large overall supply (weak force)

 Moderate size of individual suppliers (moderate force)

This part of the Five Forces analysis model shows that suppliers do not have much impact
on Starbucks. The large overall supply lessens the effect of any single supplier on the
company. Also, Starbucks has a policy for diversifying its supply chain. This policy reduces
the influence of suppliers on the business even though each supplier has a moderate size
compared to the Starbucks supply chain. Thus, based on this aspect of the Five Forces
analysis model, Starbucks Coffee does not need to prioritize the concerns or demands of
suppliers.

Bargaining Power of Starbucks Coffees Customers/Buyers (Strong Force)

Starbucks Coffee experiences the strong force or bargaining power of buyers or
customers. In the Five Forces analysis model, this force is based on the effect that
individual and grouped customers have on business. In Starbucks Coffees case, the
following external factors contribute to the strong bargaining power of customers:

Low switching cost (strong force)

Substitute availability (strong force)
Small size of individual buyers (weak force)
In this component of the Five Forces analysis model, the bargaining power of
buyers is also among the most significant forces affecting Starbucks Coffees business.
Customers can easily shift from Starbucks to other brands because it is affordable to do
so. Customers can also stay away from Starbucks if they want to, because there are many
substitutes, such as instant beverages and drinks from restaurants. These strong factors
overshadow the fact that individual purchases are small compared to Starbucks Coffees
total revenues. Thus, this aspect of the Five Forces analysis model shows that the
bargaining power of customers should also be among Starbucks Coffees top-priority
challenges.
C. STEEPLE (PESTEL) FRAMEWORK
A STEEPLE analysis is a tool or framework for marketers. You can use it if you are
seeking to analyze and screen the external marketing environment of your company. You

can judge 7 types of environmental influences in the STEEPLE framework. They are
social, technological, economic, environmental, political, legal and ethical.
C1. Social

Changing family patterns in USA and Europe

Changes in lifestyles of population

Consumer Preferences
C2.Technological

Starbucks also provides electrical outlets and, in some stores, wireless access, for customers
who might need to use their MP3 players or laptop computers.

There have introduced the Starbucks card with the hope of strengthening customer loyalty

by improving service.

Starbucks also encourages the use of its Web site where customers are able to register

their Starbucks cards, receive nutritional information about Starbucks products, shop online,
search for careers, and much more.
C3.Economic

The Demand price curve for the consumption of coffee commodity shows that with the

increase in demand of coffee, the price of coffee increases whereas with the decrease in price of
coffee, the demand decreases. So Starbucks has to be very careful while pricing looking at the
consumption rate of market.

As Starbucks Imports coffee from various countries so they really have to be aware of

changing imports laws which could hinder the importing.

C4.Environment

Starbucks has been partner of Conservation International and the environmental defense

fund and accompanying them to do the best for the environment of the world. The other effort done
by Starbucks is they are providing customers 10% discount if the customers bring their own
reusable cups.

Reduce energy consumption by 25% by 2010. Purchase renewable energy equivalent to

50% of the electricity used by 2010

Starbucks has taken the ninth position in gaining renewable energy certificates among the

500 companies. Moreover, they are trying to find many other ways to save energy by using energy
efficient lightening in several shops. As per their measurement, 81% of the green house gas
emission comes from the electricity in stores and 18% comes from the coffee roasting.

C5.Political

The political condition of Starbucks is not good as it should be. They are being blamed for
the violation of wage and hour laws. Starbucks has two pending class-action lawsuits filed
by Starbucks, California, employees for being improperly denied overtime pay.

C6.Legal

Starbucks is in news for its within termination of the 12-year contract with Kraft. In 1998
Kraft and Starbucks entered into a retail grocery coffee business, which at the time was
generating less than $50 million in annual revenues.

C7.Ethical
The program develops and distributes awareness materials, including the Standards of
Business Conduct; facilitates legal compliance and ethics training; investigates sensitive
issues such as potential conflicts of interest; and provides additional channels for partners
to voice concerns. Partners are encouraged to report all types of issues or concerns to the
program through their choice of the offered communication channels.

The green coffee sourcing standard used by Starbucks to purchase their coffee is known
as the CAF (Coffee and Farm Equity) Practices program. The standard was developed in
partnership with Conservation International and an independent third-party company, SCS
Global Services.

C. INDUSTRY ANALYSIS
1. What are the products and services does it serve?
Their product mix includes roasted and handcrafted high-quality/premium priced coffees, tea, a
variety of fresh food items and other beverages.
a. What function does it serve?
Starbucks brand equity is built on selling the finest quality coffee and related products, and
by providing each customer a unique Starbucks Experience, which is derived from
supreme customer service, clean and well-maintained stores that reflect the culture of the
communities in which they operate.
b. What are the channels of distribution?

Starbucks mainly distribute and sell their products in their own stores,
but also cooperates with grocery stores in some countries that sell
their products.

2. What is the industry size in units or in dollars?

a. How fast it is growing?
This industry is the most rapidly growing segment of coffee industry. The competitive
environment its market share increased from 1% to 20% in the last 25 years.
b. Are products differentiated?

Yes, The core competence of Starbucks has been its ability to effectively leverage their
cornerstone product differentiation strategies by offering a premium product mix of high
quality beverages and snacks.
c. Are there high exit barriers?
Yes, and these are labour, high investment , technology, and supplier alliance.
d. Are there high fixed costs?
Yes, there are. These costs are the labor and occupancy cost.
e. Are there some forces that determine the strength of competition among existing
competition?
Yes, it has always been, and will always be, about quality is the key factor for companys
success.
3. Who are the major competitors?
Dunkin Donuts, Caribou Coffee, Peets Coffee and Tea, McDonalds, Krispy Kreme Doughnuts.
The major competitors of starbucks are those who have similar product selections.

a. What are their market shares?

b. Is the industry consolidated or fragmented?

Starbucks is a consolidated industry because its market has relatively high barriers to
entry, differentiated products, well established brands and high profit margins.
4. Who are the major customers of the industry?
The major customers of the starbucks are those who belong to the middle class to upper class.

a. Are they powerful?

Yes, they are powerful.
b. What gives them power?
The purchasing power of the customers that enables them to choose what they like to buy,
which leads the company to gain profits. Still the companys profits relies on customers
hands.
5. Who are the major suppliers of the industry?
The Company purchases green coffee beans from coffee-producing regions around the world
and custom roasts them to its exacting standards for its many blends and single origin coffees.
a. Are they powerful?
Yes, they are powerful because starbucks requires raw materials of high quality.
b. What gives them power?
It is the power to supply a high quality of raw materials.
6. Do significant entry barriers exist?
Yes, Barriers to entry exist.
a. What are they?
Companies who are willing to enter this industry should have large capital requirements, If
an entrant wants to enter a market it can sometimes be required to invest in a large
amount of advertising and R&D.
b. Are they effective in protecting existing competitors, thus enhancing profits?
Yes, they are effective in protecting existing competitors by copyright f products.
7. Are there any close substitutes for the industry products or services?
Yes, Other beverages apart from Starbucks coffee and tea there are close substitutes include
soda, fruit juice, smoothies, water, beer and other alcoholic drinks. Other quick grab foods
apart from pastries, muffins, doughnuts, etc sold at Starbucks. Examples include burgers,
burritos, tacos, sushi, snack food.

a. Do they provide pressure on price change in the industry?

No, they dont.
8. What are the basic strategies of competitors?

When there is rivalry among existing firms, they can use tactics such as
low prices, improvements in service, new products and advertising to
attract customers.

a. How successfully they are?

By the strategies implemented by the competitors, they gain an increase in market share
and attract new customers.
9. To what extent is the industry global?
Global expansion is essential to successful companies; Starbucks is no exception. While
Starbucks was very successful in its domestic market, the leaders of the company knew they
would have to exploit globalization and expand the company to foreign markets to fully utilize
the potential that the company had.
a. Are there any apparent advantages to being involved in more than one country?
Yes, expanding the company globally will capture wide range of customers.
10 . Is the industry regulated?
Yes, the industry is regulated.
a. What influence do regulations have on industry competitiveness?
As a regulated industry, they share their customers' commitment to the environment. And
they believe in the importance of caring for our planet and encouraging others to do the
same. As a company that relies on an agricultural product, it makes good business sense.
And as people living in the world, it is simply the right thing to do.
VI.

ALTERNATIVE COURSES OF ACTION (ACA)

I. DECISION MATRIX

Target Market
Location
Cost
Research
Development
Technology
Competitors
Total
ACA#1

ACA1
5
4
4
& 5
4
4
26

ACA2
3
3
4

ACA3
3
3
4

4
4
22

3
4
20

Increase the marketing efforts such as advertising campaign in order to convince the public
that its products quality and taste is not comparable to competitors and the price is
equivalent to the value.

Advantage:
It will increase the knowledge and interest of the consumers about Starbucks products.
Disadvantage:
It will be costly
ACA# 2
Adapting to Product diversification and still retain its competitive advantage.
Advantage:
Products tend to create or stimulate new markets; new markets promote product
innovation
Disadvantage:
Too risky of providing further opportunities that promise profitability than expansion
opportunities thus, making it struggle with implementing innovative approaches that ensure
the quality of the customer experience within its stores that was maintained.
ACA#3
International Expansion
Advantage:
Makes the business potentially more profitable but defenses them against competition.
Disadvantage:
It will take time before they can recover their expenses and cost.

VII.

RECOMMENDATION
We recommend alternative course of action 1 because for us it will really
increase the potential of the Starbucks globally. The marketing of brand is very important
in order to promote products of brand among the target market. The Starbucks gives very
first priority to customer satisfaction in order to form a loyal customer base of its brand.
The Starbucks focuses on customer relationship management by integrating
communication with customers. The Starbucks has positioned its brand in the market as
a high quality customer experience brand. Starbucks sells its high quality products and
services at premium prices. The high quality of products and good customer experiences
are the main differentiators of its brand from other coffee brands in themarket.

VIII.

CONCLUSION
We therefore conclude that Starbucks has been a very successful company, thus
they should Increase their marketing efforts such as advertising campaign in order to
convince the public that its products quality and taste is not comparable to competitors
and the price is equivalent to the value. Starbucks should also create innovative ideas and
persistent slow-growth it has gained a competitive advantage. The challenge now is
continue to grow and increase its market share. Expansion into the international market
will especially prove challenging. If Starbucks is to remain a stellar success, they need to
implement a plan to explore alternate sources for product procurement and find solid
partners in the international marketplace. Enhancing the connection to their loyal
customers, they will separate themselves from McDonalds and others.

IX.

DETAILED ACTION PLAN

Time Frame

1 week

Activities

Idea Generation

Person/ Department

Budget

responsible
Top management,

Not Applicable

Research and
Development Division
Top management,

3 days

Dimensional analysis

Research and

Not Applicable

Development Division
Top management,
5 days

Problem analysis

Research and

Not Applicable

Development Division
Top management,
3 days

Benefit Structure Analysis

Research and

Not Applicable

Development Division
Top management,
2 days

Product evaluation

Research and

Not Applicable

Development Division
Research and
2 weeks

Product development

1 week

Redesign Packaging

Development Division
Research and

P5,000,000
P10,000,000

5 days

Business and Financial analysis

Development Division
Top management

2 weeks

Test Marketing (free taste)

Marketing Division

P15,000,000

1 month
1 month
3 months

Advertisement development
Promos and freebies
Enhance selling strategy

Marketing Division
Marketing Division
Marketing Division

P20,000,000
P20,000,000
Not applicable

Not Applicable

BIBLIOGRAPHY
Starbucks Pestle Analysis - (Northumbria University - Newcastle Upon Tyne, UK)
http://www.slideshare.net/phongv/starbucks-pestle-analysis
Coffee wars: The Big Three: Starbucks, McDonalds and Dunkin Donuts Michael G. Brizek South
Carolina State University
http://www.aabri.com/manuscripts/131646.pdf
Starbucks Corporation
http://www.slideshare.net/asfawm/starbuckscasestudy
http://www.uhu.es/45122/temas/P&SC/Theme1_StarbucksCoffe_CaseStudy.pdf
https://news.starbucks.com/news/starbucks-accelerates-growth-of-store-formats
http://www.cnbc.com/2015/01/23/starbucks-will-continue-its-fast-growth-in-2015-schultz.html
https://news.starbucks.com/news/starbucks-2015-annual-meeting-of-shareholders
http://www.starbucks.com/responsibility/global-report
https://gupea.ub.gu.se/bitstream/2077/28685/1/gupea_2077_28685_1.pdf
http://www.slideshare.net/BenedettaPiva/starbucks-strategy-7178660
http://www.fool.com/investing/general/2011/04/20/what-is-starbucks-edge.aspx
http://economicsfiles.pomona.edu/jlikens/SeniorSeminars/harknessconsulting2008/pdfs/Starbucks.
http://www.mcafee.cc/Classes/BEM106/Papers/2008/Starbucks.pdf