Course Hero Logo

Starbucks - Globalization.docx - Global Strategy...

This preview shows page 1 - 4 out of 18 pages.

Global Strategy Development &ImplementationIntroduction21
Strategy to Internationalise3Starbucks International Strategy - Key takeaways4Porter’s Diamond Model -Starbucks’s strategic Analysis4Factor Endowments5Demand Conditions5Related and Supporting Industries6Strategy Structure and Rivalry6Government and Chance7Target Country Analysis:7PESL Framework:7Porter Model9Competition in the industry (Strong force)9The threat of new entrants (Moderate force)10The bargaining power of suppliers (Weak force)10The bargaining power of customers (Strong force)11Threat of substitute products or services (Strong force)11Mode of entry:12Possible Managerial or Organizational Issues:13I. Organizational Co-ordination13II. Cultural Complications13III. Centralization vs decentralization14Recommendations:15References162
IntroductionIn Seattle, Washington, Starbucks opened its first coffee shop. In 1990, Starbucks built a newroasting facility and expanded its Seattle headquarters. In the 1990s, Starbucks opened 60 retaillocations in the UK. Starbucks had 3500 locations worldwide as of the year 2000. Due to itsbusiness strategy, coffee is one of the industries in the world that is expanding quickly. 49% ofAmericans who are 18 years of age and older consume coffee every day, according to thenational coffee organisation. At the end of the 1990s, the coffee industry was at its height ofpopularity. Starbucks shares its specialty coffee with customers while concentrating on consumerhabits.Strategy to InternationaliseThere are four types of international strategiesInternational,Multi-domestic,TransnationalGlobal.When a company is focused on imports and exports and the majority of operations are kept in thehome country, this is referred to as having an international strategy. In contrast, a multi-domesticapproach is when a company uses a totally separate set of sales, production, and marketingtactics depending on the particular companies they are working in. Small country-specific brandsexist in place of a single global brand. Nestle Corporation is one of the most well-knowninstances of a multi-domestic strategy. On the other side, a transnational strategy describes whena company maintains additional international operations and corporate assets in addition to itsconcentrated operations in a single nation. According to this theory, any brand's level of globalintegration and local response is reflected in its transnational strategy (Smartling, 2022).The Internationalization plan appears to be the most suitable for Starbucks entering Pakistan,according to the many internationalisation techniques. This approach is among those thatStarbucks has most commonly adopted in prior internationalisation projects and carries thelowest chance of business failure.

Upload your study docs or become a

Course Hero member to access this document

Upload your study docs or become a

Course Hero member to access this document

End of preview. Want to read all 18 pages?

Upload your study docs or become a

Course Hero member to access this document

Term
Summer
Professor
N/A
Tags
The Land, Starbucks International Strategy Key takeaways

Newly uploaded documents

Show More

Newly uploaded documents

Show More

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture