Project on Starbucks India

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INDEX ACKNOWLEDGEMENT S.NO TITLE Sign of Teache r 1. ACKNOWLEDGEMENT 2. Starbucks Company Timeline 3. Starbucks Company Profile 4. Locations in Operation 5. Starbucks in India 6. Store Design 7. Starbucks Logo Changes 8. SWOT ANALYSIS 9. Starbucks Company Recognition

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a complete project on Starbucks India

Transcript of Project on Starbucks India

INDEXS.NOTITLESign of Teacher

1. ACKNOWLEDGEMENT

2. Starbucks Company Timeline

3. Starbucks Company Profile

4. Locations in Operation

5. Starbucks in India

6. Store Design

7. Starbucks Logo Changes

8. SWOT ANALYSIS

9. Starbucks Company Recognition

ACKNOWLEDGEMENT

I have taken efforts in this project. However, it would not have been possible without the kind support and help of many individuals and organizations. I would like to extend my sincere thanks to all of them.

I thank my God for providing me with everything that I required in completing this project.

I am highly indebted to the Teacher in Charge ___________ for his guidance and constant supervision as well as for providing necessary information regarding the project & also for his support in completing the project.

I would like to express my gratitude towards my parents for their kind co-operation and encouragement which helped me in the completion of this project.

I would like to express my special gratitude and thanks to Starbuck employees for giving me such attention and time.

My thanks and appreciations also go to my classmates in developing the project and to the people who have willingly helped me out with their abilities.

Starbucks Company Profile The Starbucks Story Starbucks story began in 1971. Back then it was a roaster and retailer of whole bean and ground coffee, tea and spices with a single store in Seattles Pike Place Market. Today, they are privileged to connect with millions of customers every day with exceptional products and more than 19,000 retail stores in over 60 countries.

Folklore Starbucks is named after the first mate in Herman Melvilles Moby Dick. Their logo is also inspired by the sea featuring a twin-tailed siren from Greek mythology.

Starbucks Mission Their mission: to inspire and nurture the human spirit one person, one cup and one neighborhood at a time.

Starbucks Coffee They always believed in serving the best coffee possible. It's their goal for all of their coffee to be grown under the highest standards of quality, using ethical sourcing practices. Their coffee buyers personally travel to coffee farms in Latin America, Africa and Asia to select the highest quality beans. And their master roasters bring out the balance and rich flavor of the beans through the signature Starbucks Roast.

Stores Its stores are a neighborhood gathering place for meeting friends and family. Customers enjoy quality service, an inviting atmosphere and an exceptional beverage. Total stores: 19,767 * (as of Sept. 29, 2013) Argentina, Aruba, Australia, Austria, Bahamas, Bahrain, Belgium, Brazil, Bulgaria, Canada, Chile, China, Costa Rica, Curacao, Cyprus, Czech Republic, Denmark, Egypt, El Salvador, England, Finland, France, Germany, Greece, Guatemala, Hungary, India, Indonesia, Ireland, Japan, Jordan, Kuwait, Lebanon, Malaysia, Mexico, Monaco, Morocco, New Zealand, Netherlands, Northern Ireland, Oman, Peru, Philippines, Poland, Portugal, Qatar, Romania, Russia, Saudi Arabia, Scotland, Singapore, South Korea, Spain, Sweden, Switzerland, Taiwan, Thailand, Turkey, United Arab Emirates, United States, Vietnam and Wales.Products Starbucks offers a range of exceptional products that customers enjoy in our stores, at home, and on the go. Coffee: More than 30 blends and single-origin premium coffees. Handcrafted Beverages: Fresh-brewed coffee, hot and iced espresso beverages, Frappuccino coffee and non-coffee blended beverages, Starbucks Refreshers, smoothies and teas. Merchandise: Coffee- and tea-brewing equipment, Verismo System by Starbucks, mugs and accessories, packaged goods, music, books and gifts. Fresh Food: Baked pastries, sandwiches, salads, salad and grain bowls, oatmeal, yogurt parfaits and fruit cups. Consumer Products Coffee and Tea: Whole bean and ground coffee (Starbucks and Seattles Best Coffee brands), Starbucks VIA Ready Brew, Starbucks K-Cup portion packs, Starbucks and Teavanna Verismo pods, Tazo tea filterbags, and tea latte concentrates. Ready-to-Drink (RTD): Starbucks bottled Frappuccino coffee drinks, Starbucks Discoveries chilled cup coffees, Starbucks Discoveries Iced Caf Favorites, Starbucks Iced Coffee, Starbucks Doubleshot espresso drinks, Starbucks Doubleshot Energy+Coffee drinks; Starbucks Refreshers beverages, Evolution Fresh bottled juices, Tazo bottled iced and juiced teas.

Brand Portfolio Starbucks Coffee, Seattles Best Coffee, Teavana, Tazo, Evolution Fresh, La Boulange and Torrefazione Italia Coffee.Investor Information Starbucks went public on June 26, 1992 at a price of $17 per share (or $0.53 per share, adjusted for subsequent stock splits) and closed trading that first day at $21.50 per share. Starbucks was incorporated under the laws of the State of Washington, in Olympia, Washington, on Nov. 4, 1985. Starbucks Corporation's common stock is listed on NASDAQ, under the trading symbol SBUX.

WebsiteGlobal- http://www.starbucks.com/Indian- http://www.starbucks.in/Online store- http://www.starbucksstore.com/ (Not in India)

Social Media presence (Global) Facebook- https://www.facebook.com/Starbucks Twitter- https://twitter.com/Starbucks Google+- https://plus.google.com/+starbucks/ Instagram- http://instagram.com/starbucks Pinterest- http://www.pinterest.com/starbucks/ YouTube- http://www.youtube.com/user/Starbucks

Social Media presence (India) Facebook- https://www.facebook.com/starbucksindia Twitter - https://twitter.com/StarbucksIndia

Locations in OperationAfrica - Egypt, MoroccoNorth America - Aruba, The Bahamas, Canada, Curacao, Costa Rica, El Salvador, Guatemala, Mexico, Puerto Rico, United StatesOceania - Australia, New ZealandSouth America - Argentina, Brazil, Bolivia (2014), Chile, Colombia (2014, PeruAsia - Bahrain, Brunei, China, Hong Kong, India, Indonesia, Japan, Jordan, Kuwait, Lebanon, Macau, Malaysia, Oman, Philippines, Qatar, Saudi Arabia, Singapore, South Korea, Taiwan, Thailand, Turkey, United Arab Emirates, VietnamEurope - Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, The Netherlands, Norway, Poland, Portugal, Romania, Russia, Spain, Sweden, Switzerland, United Kingdom

Starbucks in India

Tata Starbucks Ltd is a 50:50 joint venture company, owned by Starbucks Corporation and Tata Global Beverages, that owns and operates Starbucks outlets in India. The outlets are branded Starbucks "A Tata Alliance". Starbucks, through an agreement with Tata Coffee, serves coffee that is 100% locally sourced and roasted.History

India's first Starbucks outlet in Elphinstone Building, Horniman Circle, Mumbai.In January 2011, Starbucks Corporation and Tata Coffee, Asia's largest coffee plantation company, announced plans for a strategic alliance to bring Starbucks to India and also to source and roast coffee beans at Tata Coffee's Kodagu facility. Despite a false start in 2007, in January 2012 Starbucks finally announced a 50:50 joint venture with Tata Global Beverages, called Tata Starbucks Ltd., which would own and operate outlets branded Starbucks "A Tata Alliance". Starbucks had previously attempted to enter the Indian market, in 2007, with a joint venture involving its Indonesian franchise and Kishore Biyani of the Future Group. However, the joint venture withdrew its foreign investment proposal with the Indian government. Starbucks did not cite any reason for the withdrawalOn 19 October 2012, Starbucks opened its first store in India, measuring 4500 sq ft in Elphinstone Building, Horniman Circle, Mumbai. Starbucks expanded its presence to Delhi on 24 January 2013 by opening 2 outlets at Terminal III of the Indira Gandhi International Airport, and later one in Connaught Place. In early 2013, Tata Global Beverages announced that the JV would meet its target of opening 50 outlets of the world's largest coffee chain in India by this year, one year later than originally scheduled, with an investment of Rs4 billion(US$68 million)Initially, Starbucks opened a combination of standalone outlets located at malls, airports and metro stations, and commercial complexes. The company plans to expand its retail footprint in India by opening outlets in hospitals, near gyms or health stores, educational institutions and corporate campuses. similar to the strategy employed by competitor Cafe Coffee Day. The company also plans to avoid hypermarkets, as it would impact the positioning of the brand. The decision to open outlets inside Tata-owned retail stores and properties would depend on the brand's premium positioning.The third city of India to get a Starbucks outlet was Pune, where the company opened an outlet off North Main Road at Koregaon Park, on 8 September 2013. Starbucks opened a 3,000-square-foot flagship store opposite Raheja Arcade, 7th Block, Koramangala, Bangalore on 22 November 2013, making it the fourth city to have an outletProductsApart from the usual products offered internationally, Starbucks in India has some Indian style product offerings such as Tandoori Paneer Roll, Elaichi Mawa Croissant, Murg Tikka Panini and Chai Tea Latte to suit Indian customers.Free Wi-Fi is available at all Starbucks stores.Locations [edit]As of March 2014, Starbucks operates 45 outlets in 5 cities of India.CityState/UTNo. of OutletsFirst outlet

New DelhiDelhi NCR1324 January 2013

Gurgaon310 July 2013

MumbaiMaharashtra1619 October 2012

Pune48 September 2013

BangaloreKarnataka522 November 2013

MumbaiFortElphinstone building, Horniman Circle,Veer Nariman Road, FortMumbai 400001Timings: 08:00-00:30 hrs (Mon-Sun)

ColabaHotel Taj Mahal Palace & TowersApollo Bunder, ColabaMumbai 400001Timings: 07:00-01:00 hrs (Mon-Sun)

GoregaonOberoi Mall, Off Western Express HighwayGoregaon (East)Mumbai 400063Timings: 10:00-23:30 hrs (Mon-Sun)

PowaiPrudential Building , Hiranandani GardensPowaiMumbai 400076Timings: 07:00-00:00 hrs (Mon-Sun)

Elphinstone RoadIndiabulls Finance CentreTower 2 -LobbyElphinstone Road (West)Mumbai 400013Timings: 08:00-21:00 hrs (Mon-Sat)

Mumbai AirportDomestic Arrivals, Terminal 1BVille Parle (East)Mumbai 400069Timings: 05:00-01:30 hrs (Mon-Sun)

MaladInfiniti Mall, Link RoadMalad (West)Mumbai 400064Timings: 11:00-22:00 hrs (Mon-Sun)

GhatkoparR City Mall, LBS MargGhatkopar (West)Mumbai 400086Timings: 11:00-23:00 hrs (Mon-Sun)

ThaneKorum Mall , Off Eastern Express highwayThane (West)Mumbai 400606Timings: 11:00-23:00 hrs (Mon-Sun)

Bandra2/3, Chapel Road, ReclamationBandra (West)Mumbai 400050Timings: 07:00-01:00 hrs (Mon-Sun)

JuhuHotel Bawa Continental, Juhu Tara RoadJuhuMumbai 400049 Timings: 08:00-01:00 hrs (Mon-Sun)

ThaneViviana Mall, Opp Eastern Express HighwayThane (West)Mumbai 400606Timings: 11:00-23:00 hrs (Mon-Sun)

SantacruzBackstage Building, Plot No. 612,Ramakrishna Mission Road, 15th Cross Road, Santacruz (West)Mumbai 400054Timings: 07:00-01:00 hrs (Mon-Sun)

BandraFirst International Financial Centre, Near Platina building Land Rover showroom,BKC Road, Bandra Kurla ComplexMumbai 400051Timings: 08:00-22:00 hrs (Mon-Sun)

Mahavir NagarGround Floor, B-2, V Souk, Sector 10, near Kamla Vihar Sports Club, Mahavir NagarKandivali (W)Mumbai 400067Timings: 08:00-00:30 hrs (Mon-Sun)

Nariman PointGround Floor, Shree Nirmal Building, Opposite Oberoi HotelNariman PointMumbai 400021Timings: 08:00-23:00 hrs (Mon-Sun)

New DelhiDelhi AirportDomestic Departure near Gate 17Indira Gandhi Domestic Terminal 3New Delhi 110037Timings: 04:00-23:00 hrs (Mon-Sun)

Delhi AirportInternational Departure near Gate 15 AIndira Gandhi International Terminal 3New Delhi 110037Timings: 24 hrs (Mon-Sun)

Connaught PlaceHamilton House, A Block, Inner CircleConnaught PlaceNew Delhi 110001Timings: 08:00-01:00 hrs (Mon-Sun)

SaketSelect City Walk MallSaketNew Delhi 110017Timings: 10:00-23:00 hrs (Mon-Sun)

Vasant KunjAmbience Mall, Nelson Mandela MargVasant KunjNew Delhi 110070Timings: 10:00-23:00 hrs (Mon-Sun)

Greater KailashM33, Greater Kailash 1New Delhi 110048Timings: 10:00-00:00 hrs (Mon-Sun)

Nehru PlaceLower Ground Floor,Nehru Place Metro StationNehru PlaceNew Delhi 110019Timings: 10:00-00:00 hrs (Mon-Sun)

Punjabi Bagh1/83, GF , Club RoadWest Punjabi BaghNew Delhi 110026Timings: 10:00-23:00 hrs (Mon-Sun)

South Extension 2E -29, First FloorSouth Extension 2New Delhi 110049Timings: 10:00-23:00 hrs (Mon-Sun)

Netaji Subhash PlaceGround Floor, Flat no.G-10 & G-11, HB Twin Towers,Netaji Subhash Place, PitampuraNew Delhi 110034Timings: 10:00-23:00 hrs (Mon-Sun)

Connaught PlaceN 16, N Block, Outer CircleConnaught placeNew Delhi 110001Timings: 10:00-23:00 hrs (Mon-Sun)

Greater Kailash 2Ground Floor, M-11, M-block, Main MarketGreater Kailash Part 2New Delhi 110048Timings: 10:00-23:00 hrs (Mon-Sun)

Lajpat NagarI-1, Central MarketLajpat NagarNew Delhi 110024Timings: 10:00-23:00 hrs (Mon-Sun)

Kamla NagarFirst Floor, Spark, MLCPKamla NagarNew Delhi 110017Timings: 10:00-22:00 hrs (Mon-Sun)

Delhi NCRGurgaonAmbience Mall, Ambience Island, NH 8Gurgaon, HaryanaGurgaon 122001Timings: 10:00-23:00 hrs (Mon-Sun)

GurgaonNo- 39, opp Reliance Mart, Sector 29Gurgaon 122002Timings: 10:00-23:00 hrs (Mon-Sun)

GurgaonShop Nos K6 & K7, Sector 25DLF CybercityGurgaon 122002Timings: 10:00-23:00 hrs (Mon-Sun)

GurgaonGround Floor, South WingHUDA Metro StationGurgaon 122009Timings: 10:00-23:00 hrs (Mon-Sun)

PuneKoregaon ParkGalaxy Gardens, North Main RoadKoregaon ParkPune 411001Timings: 07:00-23:00 hrs (Mon-Sun)

HadapsarWest Block, Ground Floor, Amanora Town CentrePune 411028Timings: 10:00-23:00 hrs (Mon-Sun)

Viman NagarGround floor, Phoenix Market CityViman NagarPune 411014Timings: 11:00-23:00 hrs (Mon-Sun)

AundhGround floor, Unit 1 B, Centriole, ITI RoadAundhPune 411007Timings: 07:00-23:00 hrs (Mon-Sun)

MagarpattaF-25, First Floor, Seasons Mall, Magarpatta cityHadapsarPune 411028Timings: 11:00-23:00 hrs (Mon-Sun)

BangaloreKoramangalaReal Square Building, Opposite Raheja Arcade,No.115, Koramangla Industrial Layout, 7th BlockBangalore 560095Timings: 10:00-23:00 hrs (Sun-Thurs), 10:00-01:00hrs (Fri-Sat)

MahadevapuraUpper Ground Floor, Phoenix Market City, opp BBMP office, Whitefield RoadMahadevapuraBangalore 560048Timings: 10:00-23:00 hrs (Mon-Sun)

MalleswaramG16,Orion Mall, Brigade Gateway Road, Dr Rajkumar RoadMalleswaramBangalore 560055Timings: 10:00-23:00 hrs (Mon-Sun)

Church StreetGround Floor, Prestige RR BuildingChurch StreetBangalore 560001Timings: 10:00-23:00 hrs (Sun-Thurs), 10:00-01:00hrs (Fri-Sat)

BenniganahalliUnit 6, The Bay, RMZ Infinity,#3 Old Madras RdBenniganahalliBangalore 560016Timings: 09:00-22:00 hrs (Mon-Sun)

IndiranagarSamrat No.2013, 100 Ft Road, HAL 2nd StageIndiranagarBangalore 56000810:00-23:00 hrs (Sun-Thurs), 10:00-01:00hrs (Fri-Sat)

CustomerCareFor general inquiries, you can call us on +91 22 65296888. Alternatively, you can send us an email on [email protected], and well do our best to reply as quickly as possible.

Store Design according to Starbucks Sustainable design and build methodologies are part of our DNA. We believe a coffeehouse should be a place to find connection. We believe it should fit seamlessly within its neighbourhood. And we believe its environmental impact should be as minimal as possible.Our store designs are rooted in our coffee heritage, and in our Starbuck Shared Planet community involvement and environmental stewardship goals. So our designs reflect the character of a stores surrounding neighbourhood and help reduce environmental impacts.As our stores are built and renovated, we will source materials and employ craftsmen on a local basis and incorporate reused and recycled elements where possible. To guide our efforts, were using the US Green Building Councils LEED certification programme as a benchmark for success. (LEED is short for Leadership in Energy and Environmental Design.)We aim to achieve LEED certification globally for all new, company-owned stores beginning in late 2010.Each new and renovated store uses one of four design concepts. We invite you to explore them: Heritage coffeehouses reflect the mercantile roots of our first store in Seattles historic Pike Place Market with worn wood, stained concrete or tiled floors, metal stools and factory-inspired lighting. Large community tables, club chairs and wooden blinds evoke a turn-of-the-last-century feeling. Artisan stores echo the industrial past of urban markets, taking inspiration from the Modernism of the 1930s. This motif celebrates simple materials like exposed steel beams, masonry walls, factory casement glass and hand-polished woodwork in a creative gathering place for culture and the arts. Regional Modern embodies a trend-setting style that is comfortable and welcoming. We use bright, loft-like, light-filled spaces punctuated with regionally inspired furniture and culturally relevant fabrics to create a calm and contemporary respite from the clamour of the fast-paced world. Concept stores are unique environments created by our designers to explore innovations within the coffeehouse. We call them our design sandboxes. That sense of exploration is extended to everyone who visits, through daily coffee and tea cuppings, artistic events and community gatherings

Starbucks Logo ChangesThe Original Starbucks logo was used from 1971 until 1987. The Siren is the central part of the logo

In 1987 the company changed its name to the Starbucks Corporation after being purchased by Il Giornale. The logo was changed to represent both companies and the Tea and Spices was dropped. This was the beginnings of the modern logo

In 1992 the logo was made more modern. This happened around the same time that the company began being publicly traded on the stock market.

This year, 2011, the logo was changed once again. This time the name of Starbucks Coffee was removed from the logo. This changed upset many people and caused a lot of reactions.

The old logo is still being used in some areas though.

SWOT ANALYSISStrengths1. Sound financial records.Starbucks profitability has been rising for the past few years and is now 14%. The company also outmatches its nearest competitors with 24.54% return on investment and 29.16% return on equity.2. No. 1 brand in coffeehouse segment, valued at $4 billion.Starbucks has a strong brand reputation associated with quality coffee and excellent customer service. Its brand is the most valuable brand in coffeehouse segment and is valued at $4 billion.3. Starbucks experience.One of the strongest advantages Starbucks has is the experience it delivers to its customers with perfectly blended coffee, premium music, friendly staff and warm atmosphere, which results in incomparable customer service.4. Largest coffeehouse chain in the world.The company operates around 20,000 coffeehouses in 60 countries, making it the largest coffeehouse chain in the world.5. Employee management.The company offers its employees extensive range of benefits and a pay rate higher than offered by competitors.

Weaknesses1. Coffee beans price is the major influence over firms profits.Starbucks profitability and its coffee price are largely dependent on prices of coffee beans, which is a commodity and cannot be controlled by Starbucks. Due to hedge funds, weather conditions and many other factors, Starbucks cannot estimate the price of tis coffee and companys profitability.2. Product pricing.Starbucks offers great coffee and customer experience but that results in high price of its products. In comparison, McCafe premium coffee was price lower than Starbucks coffee and was better evaluated.3. Negative publicity.The corporate continuously receives negative publicity over its poor efforts of becoming greener company, tax evasions and poor treatment of some suppliers.

Opportunities1. To extend supplier network.Starbucks doesnt grow its own coffee beans but has to buy them from various suppliers, which are mainly clustered in South America, Arabia or Africa. For Starbucks to ensure critical supplies for its operations in Asia, reduce the dependence of good or bad harvests in Africa and South America and to save on shipping costs, Starbucks has to extend its supplier network.2. Expansion to emerging economies.There are great opportunities for coffeehouses in China and India, in which Starbucks has comparably only modest number of restaurants.3. Increase product offerings.The business could expand the number of coffeehouses that offer wine and beer, plus adding some new products and reaching broader customer group.4. Expansion of retail operations.Starbucks does not only manage coffeehouses and franchises but sells some of its products through other retailers. The firm should form more of such partnerships and offer to sell its coffee, for example, in supermarkets.

Threats1. Rising prices of coffee beans and dairy products.The chain strongly depends on the coffee beans and dairy products prices, which Starbucks cannot control or can hardly estimate.2. Trademark infringements.The company is often involved in cases over illegal use of its trademark, which is costly and detrimental for Starbucks.3. Increased competition from local cafes and specialization of other coffeehouse chains.Local cafes can offer much lower price and more suited menu for its customer. Big coffeehouse chains specialize so they wouldnt need to compete head-to-head with Starbucks. In both situations, Starbucks experiences intense competition and loses market share.4. Saturated markets in the developed economies.Coffee markets in the developed economies are already saturated and with intensifying competition, Starbucks will find it hard to grow in these markets.5. Supply disruptions.Due to political, economic and weather conditions Starbucks may experience supply disruptions, adding significant cost to the firm.

Starbucks Company Recognition

Since the beginning, Starbucks has been a different kind of company. One that is dedicated to inspiring and nurturing the human spirit. Committed to serving the finest coffee, creating an exceptional customer experience, and being a great place to work. They are grateful to their partners (employees) for making them the company that they are. And they are honored to be acknowledged for their efforts.Here are some of their recent awards and recognition.

No. 1 Best Coffee, Fast Food and Quick Refreshment categoriesZagats Survey of National Chain Restaurants 20092011

No. 1 Most Popular Quick Refreshment ChainZagats Survey of National Chain Restaurants 20092011

One of The 100 Best Companies to Work ForFortune 19982000, 20022012

One of the Most Admired Companies in AmericaFortune 20032012

One of the Worlds 50 Most Innovative CompaniesFast Company 2012

One of the Worlds Most Ethical CompaniesEthisphere 20072012

One of the 100 Best Corporate CitizensCorporate Responsibility/Business Ethics 20002012

Sustainability Design AwardGlobal Green USA 2011

Most Ethical Company, European Coffee IndustryAllegra Strategies 20092011

Business Person of the Year, Howard Schultz, Starbucks chairman, president and chief executive officerFortune 2011