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SWOT Analysis Starbucks

Starbucks has many strengths including being a highly profitable global coffee brand with nearly 30,000 cafes in 80 countries. However, they remain vulnerable if innovation falters and overly reliant on the US market. Opportunities exist to expand their global operations into new markets and through co-branding. Threats include rising costs, competition from other coffee brands, and potential shifts in consumer preferences away from coffee.

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69 views

SWOT Analysis Starbucks

Starbucks has many strengths including being a highly profitable global coffee brand with nearly 30,000 cafes in 80 countries. However, they remain vulnerable if innovation falters and overly reliant on the US market. Opportunities exist to expand their global operations into new markets and through co-branding. Threats include rising costs, competition from other coffee brands, and potential shifts in consumer preferences away from coffee.

Uploaded by

OanaHasas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOC, PDF, TXT or read online on Scribd
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SWOT Analysis Starbucks

This SWOT analysis is about Starbucks.


Strengths.
Starbucks Corporation is a very profitable organization, earning in excess of $6 !illion in
"#.The co!pany generate$ revenue of !ore than $% !illion in the sa!e year.
&t is a global coffee bran$ built upon a reputation for fine pro$ucts an$ services. &t has al!ost '
cafes in al!ost # countries.
Starbucks (as one of the Fortune Top 100 Companies to Work For in "%. The co!pany is a
respecte$ e!ployer that values its (orkforce.
The organization has strong ethical values an$ an ethical !ission state!ent as follo(s, 'Starbucks
is committed to a role of environmental leadership in all facets of our business.'
Weaknesses.
Starbucks has a reputation for ne( pro$uct $evelop!ent an$ creativity. )o(ever, they re!ain
vulnerable to the possibility that their innovation !ay falter over ti!e.
The organization has a strong presence in the *nite$ States of +!erica (ith !ore than three
,uarters of their cafes locate$ in the ho!e !arket. &t is often argue$ that they nee$ to look for a portfolio of
countries, in or$er to sprea$ business risk.
The organization is $epen$ant on a !ain co!petitive a$vantage, the retail of coffee. This coul$
!ake the! slo( to $iversify into other sectors shoul$ the nee$ arise.
Opportunities.
Starbucks are very goo$ at taking a$vantage of opportunties. &n "# the co!pany create$ a C-.
burning service in their Santa /onica 0California *S+1 cafe (ith )e(lett 2ackar$, (here custo!ers create
their o(n !usic C-.
3e( pro$ucts an$ services that can be retaile$ in their cafes, such as 4air Tra$e pro$ucts.
The co!pany has the opportunity to expan$ its global operations. 3e( !arkets for coffee such as
&n$ia an$ the 2acific 5i! nations are beginning to e!erge.
Co.bran$ing (ith other !anufacturers of foo$ an$ $rink, an$ bran$ franchising to !anufacturers of
other goo$s an$ services both have potential.
Threats.
Who kno(s if the !arket for coffee (ill gro( an$ stay in favour (ith custo!ers, or (hether another
type of beverage or leisure activity (ill replace coffee in the future6
Starbucks are expose$ to rises in the cost of coffee an$ $airy pro$ucts.
Since its conception in 2ike 2lace /arket, Seattle in 7'87, Starbucks9 success has lea$ to the
!arket entry of !any co!petitors an$ copy cat bran$s that pose potential threats.
9Starbucks9 !ission state!ent is 'Establish Starbucks as the premier purveyor of the finest coffee in the
orld hile maintainin! our uncompromisin! principles hile e !ro.' The follo(ing six gui$ing principles
(ill help us !easure the appropriateness of our $ecisions9 5ea$ !ore...

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