Assignment on MNC's company-Starbucks

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PRESENT FOR: PRESENT FOR: ASSOC. PROF. DR ASSOC. PROF. DR NORYATI BT AHMAD NORYATI BT AHMAD STARBUCKS STARBUCKS

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Transcript of Assignment on MNC's company-Starbucks

Page 1: Assignment on MNC's company-Starbucks

PRESENT FOR:PRESENT FOR:

ASSOC. PROF. DR ASSOC. PROF. DR NORYATI BT AHMADNORYATI BT AHMAD

STARBUCKSSTARBUCKS

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PRESENTATION OUTLINE

55•COMPETITOR HIGHLIGHTCOMPETITOR HIGHLIGHT

66•MARKETING STRATEGYMARKETING STRATEGY

77•CONCLUSIONCONCLUSION

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INTRODUCTION

Starbucks’ history began in Seattle in 1971

three students named Jerry Baldwin, Zev Siegel, and Gordon Bowker

be partners and opened a little shop in Pike Place Market to sell high-quality coffee beans and

equipment

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INTRODUCTION

1981, Howard Schultz, Vice President and General Manager of U.S. Operations for Hammarplast, noticed Starbucks’ success

He wanted to transmit that coffee passion by working for the Starbucks enterprise to expand outside Seattle

The founders were against hiring him because geographic expansion was too risky, but then finally agree to hire him as Head of Marketing.

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MISSION

Starbucks mission is to inspire and nurture the human spirit – one person, one cup and one

neighborhood at a time.

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THE PRODUCTS

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GLOBAL EXPANSION

As Starbucks reached the point of saturation and growth slowed in America, the firm set its sights

on overseas expansion

Starbucks adapts its international strategy in order to satisfy the

needs and requirements of every market, seeking to respect its

cultures and traditions

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GLOBAL EXPANSION

At present, the company uses three different strategies: joint venture, licenses and wholly–owned subsidiaries

Before entering a new country Starbucks conducts rigorous

quantitative market studies. The company also develops extensive

focus group interviews to get a pulse of the marketplace and potential

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GLOBAL EXPANSION

In order to succeed, a company needs to realize that it often cannot alone fill the

gap in serving the needs of its target market. Starbucks has mostly always

needed the help of another entrepreneur or another company with whom to work

and share financial risks

Starbucks’ involvement in the internationalization process varies only in degree (e.g. licensing, joint venture and

wholly-owned subsidiary) since the company is constantly in touch with

operators to keep abreast of the marketplace

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MODE OF ENTRY

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RISK MITIGATE

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OPPOTURNITY & RISK MATRIX

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OPPOTURNITY & RISK MATRIX

DECREASE RISK

INCREASE OPPO

UKUK NZNZ

SPAINSPAINSELECTED

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FINANCIAL HIGHLIGHT

EPS for fiscal 2012 was $1.79, compared to EPS

of $1.62 reported in fiscal 2011, with the

increase driven by the improved sales leverage,

partially offset by the impact of higher

commodity costs in fiscal 2012.

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