...WEEK 10 Starbucks Balanced Scorecard University of Maryland University College Professor AMBA 630 12/14/2015 Table of Contents Executive Summary……………………………………………………………………………3 Balanced Scorecard for Starbucks Coffee Company-Figure…………………………………..4 Vision Statement…………………………………………………………………………….…5 Mission Statement…………………………………………………………………………...…5 Values................................................................................................................................…….5 Balanced Scorecard for Starbucks Coffee Company………………………………………….6 Financial Perspective ………………………………………………………………………….6 Customer Perspective………………………………………………………………………….8 Internal Perspective……………………………………………………………………………9 Employee Learning and Growth……………………………………………………………...11 Conclusion……………………………………………………………………………….……13 References…………………………………………………………………………………….14 Appendix……………………………………………………………………………………...16 Executive Summary The balanced scorecard is a technique that helps organizations to implement strategies to reach their mission and vision. In this paper, I will discuss a balanced scorecard that managers of Starbucks Coffee Company should use to measure their business. The first store of Starbucks opened in Seattle, Washington. Jerry Baldwin, Zev Siegl and Gordon Bowker got the idea from Alfred Peet. At first, only coffee beans and coffee making equipment were being sold, but after 10 years Howard Schultz was hired as Director of Retail Operations and he wanted...
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...I’m sure that when thinking of Starbucks, many automatically think of strong coffee; Starbucks is more than just coffee. This company offers an appealing atmosphere and friendly helpful staff to assist customers with various services. Not only does Starbucks offer exceptional customer service they also pride themselves in offering an excellent working environment and benefits to their employees. Starbucks’ mission statement states: “Establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow. The following six guiding principles will help us measure the appropriateness of our decisions: - Provide a great work environment and treat each other with respect and dignity. - Embrace diversity as an essential component in the way we do business. - Apply the highest standards of excellence to the purchasing, roasting and fresh delivery of our coffee. - Develop enthusiastically satisfied customers all of the time. - Contribute positively to our communities and our environment. - Recognize that profitability is essential to our future success.” In order to maintain this mission many steps are taken to enhance each store within the vast company.” (Starbuck Corporation, Fiscal 2011 Annual report) Starbuck’s main competition is McDonald’s McCafe and then Dunkin Donuts Coffee. McDonald’s McCafe is marketing its low price strategy, while Dunkin Donuts, is offering that it simply has a better coffee and...
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...Managerial Accounting Project Assignment Starbucks Coffee Company Table of content 1. Introduction ………………………………………………………3 2. Management structure …………………………………………....4 3. Management of inventory ………………………………………..5 4. Ability to earn income ……………………………………………6 5. Reliance on debt financing ……………………………………….7 6. Types, volumes and prices of products sold …………………..8 7. Production processes …………………………………………….9 8. Management’s long term strategies ………………………………10 9. Efficiency of operation project …………………………………11 10. Conclusion ……………………………………………………….13 11. Appendix …………………………………………………………14 1. Introduction Starbucks Coffee Company stands as the biggest coffeehouse business in the world. Starbucks was established in 1971 by three local businessmen to sell high quality whole beans coffee. In 1981 when Howard Schultz visited the store he plan to build a strong company and expand high quality coffee business with the name of Starbucks. Starbucks air is to provide high quality of coffee to its consumer and aim to achieve product innovation, retail expansion and provide service quality for long term. Starbucks open its first coffee store in Seattle, Washington. In 1990 Starbucks expand its headquarters in Seattle and also build a new roasting plant. In 1990s Starbucks opens 60 retails shops in United Kingdom. At the end of 2000s Starbucks total branches was 3500. Coffee is one of the rapidly growing industry in this world due to its business strategy. According...
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...Future Financial Health Analysis: Starbucks S. Albright Grand Canyon University: FIN 504 March 5, 2016 Starbucks started back in 1971 in Seattle, Washington. Initially, Jerry Baldwin, Zev Siegl and Gordon Bowker sold only coffee beans and coffee making equipment (coffee .org). It wasn’t until the company was sold to its Director of Retail Operations, Howard Schultz, that Starbucks started selling coffee drinks and soon after, Schultz spread the chain of stores throughout the U.S. taking over many small coffee shops in the process (coffee .org) In the 1990’s Starbucks offered stock options to its employees and went public with an IPO which opened the door for higher earnings and more profitability (coffee.org). This analysis will discuss how a single coffee house in 1971 has grown to more than 22,000 stores in 66 countries in 2016. Starbucks’ goals, market strategies, revenue and financial outlook will be discussed. Strategies and Operating Characteristics According to the Global Responsibility Report (2015), Starbucks vision for the future and what will have the greatest potential for impact include working with farmers for ethically sourced coffee beans, pioneering sustainability economically, socially, and environmentally, and creating career opportunities for young people (2015). Starbucks Newsroom reported on March 18, 2015 that their seven strategies would grow market capital to $100 billion (2015). Revenues are currently at $16.4 billion and the U.S. comp growth...
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...EXACTUTIVE SUMMARY This report was commissioned to find out a solution of Starbuck current losing dominant position in Coffee shop industry. The current issues were brought by 20 years phenomenal expansion, which is also the only way that a company must be passed. The report draws attention to both of the company’s internal control and external environmental changes. Further analyzed company’s current situation by SWOT analysis and Market Mix analysis. Also, the report make a conclusion of 3 other strong competitor of Starbucks’, from a view of special ability and distribution channel using similarity and difference comparison method. The report also evaluates Starbucks’ different type of targeted customers, and finding out differential way to promote them. Products and service quality and licensing issues, which are brought by fast expansion, should be taking concern by partners. In order to solve this problem and reduce financial risk at the same time, this report have provide 3 alternatives, “Make the company franchises growth rate slow down; take control of the quality first. Qualify the licensing retail stores and share operating experience between these stores. Continuing provide variety products” is recommended. 1. Problem Statement The Starbuck coffee shop has become one of an expending company in Canada. However, current marketing strategy cannot corporate the situation efficiently, the share price was decline sharply, the customer not...
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...Strategic Marketing Plan for the Starbucks Coffee Company Table of Contents Introduction and background 3 Company mission, company objectives 3 Market definition and product or brand background 4 Evaluation of results and conclusion about problem 5 Situational Analysis 5 Internal analysis 5 Customer analysis 7 Industry analysis 8 Competitor analysis 11 Distribution and supplier analysis 11 SWOT analysis – Confrontation Matrix 12 Choice of option 13 Marketing objectives/ expected results 13 Marketing strategy 13 Target audiences 14 Brand and product position 14 Decisions regarding marketing mix elements 15 Objectives for marketing mix elements 15 Strategies and tactics for marketing mix elements 15 Financial indicators and budges 16 Evaluation criteria 16 Sources 16 Introduction and background Company mission, company objectives The first Starbucks café was opened in 1971 in Seattle’s historic Pike Place Market. It was only a small café, but it offered some of the world’s finest fresh-roasted whole bean coffees. The company’s name derives from Moby Dick, the novel was written by the American author Herman Melville in 1851. Starbuck is the first mate on a whaling ship named ‘Pequod’, he is an intelligent Quaker (religious group) and he is from Nantucket. The name evoked the romance of the high seas and the seafaring tradition of the early coffee traders. Starbucks chairman, president and chief...
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...Assignment 2/2 | An analysis on the external environment and its impact on Starbucks | | 5/25/2014 | While planning for the future direction of the business, Starbucks has to consider many factors. One of these is the external environment in which it does so, something which Starbucks has a limited extent of control over. The impact of the external environment is divided into three major categories: Economical, Socio-cultural and Technological. Through the study of their impacts, opportunities and threats are then identified and recommendations presented which best prepare Starbucks to meet them. | Table of Contents 1 Introduction 1 1.1 Starbucks 1 1.2 Core operations 1 2 Impact of external environments 2 2.1 Economical and Globalization Impact 2 2.2 Socio-cultural Impact 2 2.3 Technological Impact 3 3 Opportunities and Threats 4 3.1 Economic and Globalisation 4 3.2 Socio-cultural 6 3.3 Technological 8 4 Recommendations 10 4.1 Increased Range of Product Offering 10 4.2 Latte Art 10 4.3 Business Diversification 10 Bibliography 12 1 2 Introduction In order to determine their future plans, companies must first be able to understand not only their internal position, but also their external environment and how it affects their potential growth. This paper seeks to discuss the impacts that the external environment has on Starbucks, a world renowned coffeehouse chain, and provide holistic recommendations to...
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...Chapter 9 Assignment: Starbucks vs. McDonald’s Strategies | 1. How does Starbucks enter foreign markets? Do you agree with its rapid growth strategy? (Consider what has happened to the number of stores and locations during the last few years in answering this question). Consider where Starbucks is located, and markets that will be advantageous to Starbucks in the future in answering this question. Discuss how Starbucks entry approach is different/similar from strategies that McDonald’s uses to enter foreign markets. Are both companies currently competing head-to-head in certain markets? Explain. Be specific in your explanation and consider recent press releases and information from annual reports in responding to these questions. (9 points) Starbucks expands into global markets through joint ventures. A joint venture is, “an agreement under which two or more partners own or control a business” (Luthans & Doh, 2012 p. 625). Two businesses partners come together to pursue the same goal and opportunity. Starbucks entered a joint venture with Tata Global Beverages to begin opening and operating Starbucks cafes throughout India. An article titled Strategies for Researching Global Markets says, “In the U.S. close to two-thirds of Starbucks cafes are owned by Starbucks while outside the U.S. about two-thirds of their stores are partnerships” (Virginia’s Community Colleges, p. 1). We agree that Starbucks rapid growth strategy to join international joint ventures is...
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...Partner: Starbucks is the premier roaster and retailer of specialty coffee in the world and has become a truly global brand. From the beginning, we have recognized that you, our partners, are critical to our continued success. Starbucks reputation for the finest coffee in the world, legendary customer service and the highest integrity is the direct result of our collective efforts. We are all caretakers of Starbucks reputation. How we conduct our business and how we treat others—our fellow partners, customers, communities, suppliers and shareholders—will continue to determine how the world views Starbucks. “ tarbucksreputationforthefinestcoffee S intheworld,legendarycustomerservice andthehighestintegrityisthedirectresult ofourcollectiveefforts.” Each of us is personally responsible for supporting our core values, which require compliance with the law as well as ethical conduct. We have issued the Standards of Business Conduct to restate our longstanding commitment to uphold that responsibility and to provide guidance to our partners. As we move forward, the Standards will help ensure that our values continue to be reflected in each Starbucks store and business activity. A commitment to integrity, acting honestly and ethically, and complying with the letter and intent of the law are critical to our continued success. Thank you for your partnership. Warm regards, Howard Schultz chairman, president and chief executive officer Our Starbucks Mission ...
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...Business Ethics and Compliance Standards of Business Conduct Dear Fellow Partner: Starbucks is the premier roaster and retailer of specialty coffee in the world and has become a truly global brand. From the beginning, we have recognized that you, our partners, are critical to our continued success. Starbucks reputation for the finest coffee in the world, legendary customer service and the highest integrity is the direct result of our collective efforts. We are all caretakers of Starbucks reputation. How we conduct our business and how we treat others—our fellow partners, customers, communities, suppliers and shareholders—will continue to determine how the world views Starbucks. “ tarbucks reputation for the finest coffee S in the world, legendary customer service and the highest integrity is the direct result of our collective efforts.” Each of us is personally responsible for supporting our core values, which require compliance with the law as well as ethical conduct. We have issued the Standards of Business Conduct to restate our longstanding commitment to uphold that responsibility and to provide guidance to our partners. As we move forward, the Standards will help ensure that our values continue to be reflected in each Starbucks store and business activity. A commitment to integrity, acting honestly and ethically, and complying with the letter and intent of the law are critical to our continued success. Thank you for your partnership...
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...Kostelijk Student: Parisa Taghipoor Class: ICV4C Date: 19 November, 2010 ------------------------------------------------- 1.0 Introduction & Background ------------------------------------------------- 1.1 Background Established in 1985, Starbucks Corporation is today’s premier roaster and retailer of specialty coffee in the world. Starbucks purchases and roasts high-quality whole bean coffees and sells them, along with fresh, rich-brewed coffees, Italian-style espresso beverages, cold blended beverages, a variety of complementary food items, a selection of premium teas, and beverage-related accessories and equipment. The international coffeehouse has built one of the most powerful and recognizable brands in the world upon high-quality coffee and the unique "Starbucks Experience." Starbucks has sought to capitalize on its growing popularity through expansion; the addition of over 1500 stores in just over a year brought its total store count to over 16,600 in 2008. In fiscal 2008, the company's stores (retailer and licensed) generated US$ 10.4 billion in revenue. Starbucks first revolutionized the coffeehouse industry by marketing expensive, high-quality coffee as well as a "third place" between work and home - a warm, clean, and inviting environment where customers go to escape the chaos of daily life. Coffee throughout Europe In Europe the demand for coffee is...
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...External Analysis of Starbucks 1 RUNNING HEAD: STARBUCKS External Environmental Analysis of Starbucks and the Coffee Industry Harold Brown Strategic Management MGMT 4340 Dr. Nwabueze March 3, 2011 External Analysis of Starbucks 2 Contents 1.0.0. Executive Summary ...................................................................................................................... 5 2.0.0. Company History ................................................................................................................................ 8 2.1.0. Background ....................................................................................................................................... 12 Table 1: Starbucks Revenue Trends 2005-2010 ..................................................................................... 12 2.2.0. Purpose of This Study ....................................................................................................................... 14 3.0.0. External Analysis .............................................................................................................................. 15 Diagram 1: The Components of a Coffee Firm’s Macroenvironment .................................................... 16 3.1.0. General Environmental Analysis ...................................................................................................... 16 3.1.1. Demographic Segment ...................................................................
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...Starbucks Change in Strategy By Brandon L. Chow Dr. Darryl Mitry National University School of Business & Information Management October 22, 2008 Executive Summary The following report and presentation is an inside look at Starbucks Corporation’s strategy and how it is currently affecting their sales and the long-term results. This will be accomplished by exploring four concepts of strategic business, the process for crafting a strategy, components of a macro-environment, five forces of competition and a SWOT Analysis. Analyzing the information and making recommendations based on the information gathered will show how Starbucks should keep or change their strategic plans. Focusing on principle concepts will systematically uncover what Starbucks has done well in the past, what current areas could be improved, and if the new changes ultimately weaken Starbuck’s market share in the long term or strengthen them. OVERVIEW Starbucks Corporation: Starbucks is constantly reinventing their stores to keep and attract customers. With coffee houses popping up in every nook and cranny, Starbucks has to be fresh and innovative. New technology that allows coffee customers to download the music playing in Starbucks stores to their iPhones is just the start of a wave of options for impulse purchases. Starbucks has roasters and brands of specialty coffee operating in North America, Latin...
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...Starbucks Coffee Executive Summary STARBUCKS COFFEE COMPANY EXECUTIVE SUMMARY Starbucks Coffee Company is North America's leading roaster and retailer of specialty coffees. Headquartered in Seattle, WA, Starbucks has 931 retails stores and 75 major airport locations. The Company's objective is to establish Starbucks as the most recognized and respected brand of coffee in the world. To achieve this goal, the Company will continue to rapidly expand its retail operations, grow its mail order and specialty sales operations, and selectively pursue other opportunities to leverage and grow the Starbucks brand through the introduction of new products and the development of new distribution channels. Employees are one of the most important resources to Starbucks. If the company is to prosper, the employees must be treated well. All employees are eligible for Starbucks' health care and benefits package, as well as a starting wage above the minimum. Starbucks' strong commitment to the environment is guided by an environment committee. The Company endeavors to offer an environmentally safe product, as it believes that the welfare of people, plant and product are linked. Starbucks prides itself on being a "good citizen" locally and in the various coffee producing countries. They make significant contributions to local charities that focus on children, the environment, the homeless, and AIDS research/support. Financially, Starbucks has had solid earnings and returns. While still in the...
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...Starbucks Shared Planet - Our Responsibility MY CUSTOMIZED REPORT CREATED AT WWW.STARBUCKS.COM/SHAREDPLANET ©2009 Starbucks Coffee Company. All rights reserved. https://test.starbucks.com/SHAREDPLANET/customGRPage.aspx (1 of 108)6/1/2010 2:23:02 PM Starbucks Shared Planet - Our Responsibility Mission Statement Our Starbucks Mission To inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time. Here are the principles of how we live that every day Our Coffee It has always been, and will always be, about quality. We’re passionate about ethically sourcing the finest coffee beans, roasting them with great care, and improving the lives of people who grow them. We care deeply about all of this; our work is never done. Our Partners We’re called partners, because it’s not just a job, it’s our passion. Together, we embrace diversity to create a place where each of us can be ourselves. We always treat each other with respect and dignity. And we hold each other to that standard. Our Customers 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. It’s really about human connection. Our Stores When our customers feel this sense of belonging, our stores become a haven, a break from the worries outside, a place where you can meet with friends. It’s about enjoyment...
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