......................................................................................................5 2. External Analysis ...................................................................................................5 2.1 Wider Macro-Environmental Analysis ............................................................5 2.2 Industry analysis .............................................................................................7 2.3 Industry Life cycle ..........................................................................................9 2.4 Competitor Analysis ..................................................................................... 10 2.5 Industry‟s Critical Success Factors ................................................................ 10 2.6 Opportunities & Threats................................................................................ 11 3. Internal Analysis .................................................................................................. 11 3.1 Starbucks‟s Strengths & Weaknesses ............................................................ 11 3.2 Evaluation of Starbucks‟ Main Capabilities .................................................. 12 3.3 Value Chain Analysis ................................................................................... 13 3.4 Starbucks‟ Main Internal Capabilities against industry‟s Critical Success Factors .........................................................................................
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...India. India is the world’s fourth largest producer of tea. The purpose of this report is to analyses the external Indian tea industry. The analysis is carried out by considering the PESTEL analysis tool to understand the macro environment in addition to PORTERS five forces analysis tool to explore the micro environment surrounding the tea industry. Furthermore, the report concludes with a recommendation to improve production of the Indian tea industry thus ensuring its growth and survival of the industry. BACKGROUND India is the world’s largest producer, consumer and exporter of tea. In 1823 tea plants were discovered in India’s north-eastern region in the state of Assam. Fifteen years later the first Indian tea from Assam was exported to Britain in 1838. India ranks with the world’s top four exporter of teas and has complete control over the Darjeeling and Assam orthodox teas Grant, Butler, Orr, and Murray (2014). There are three types of tea which depend on the fermentation that the tea has gone through. Unfermented tea is known as green tea and is the healthiest option of the three. Oolong tea is partially fermented. Lastly there is black tea which is fermented. All types of tea come from the same green plant known as the camellia sinensis. In 1954 the Indian government created the tea board to regulate the tea industry since it played such a crucial role to the economy. The board offers various incentives to protect tea workers such as welfare...
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... PESTLE Analysis of Starbucks What are you looking for? PEST ANALYSIS MARKETING SWOT ANALYSIS STEEP ANALYSIS BUSINESS PEST Analysis, PEST Examples GET MORE ANALYSIS Subscribe to our mailing list and get our articles and updates to your email inbox. Enter your name here PESTLE Analysis of Starbucks Jim Makos 1 Year Ago FACEBOOK 0 Comments PREV ARTICLE NEXT ARTICLE PESTLE is a strategic analysis tool. It is often seen as the most effective analytical tools to analyze the Enter your email here impacts of external issues. It is an extended version of PEST analysis. Other forms of this tool are PESTEL, SIGN UP NOW STEEP, and STEEPLE. The acronym PESTLE stands for 6 factors which affect the business. The factors are: We respect your privacy Political Economic http://pestleanalysis.com/pestleanalysisofstarbucks/ 1/9 5. 5. 2016 PESTLE Analysis of Starbucks Social Popular Recent Technological Legal Environmental In this article, I am discussing the PESTLE analysis of SWOT Analysis Examples for Every Business Situation December 30, 2013 Starbucks. The constant global economic recession has dented the macroeconomic environment which Starbucks operates in. The recession has hurt the consumer’s purchasing power. Recent market research re䈠ects that consumers have not cut down on their coffee consumption...
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...Business Success in the New Normal - Analysis Techniques Business Perspectives GB 500 December 2013 1.Organizations are directly influenced by the constantly changing external factors that directly and indirectly impact their business decisions and performance. Doing an analysis opens a portal to more informed decision making and plans, even if the future is not predictable. PESTLE is generally used in workshops, meetings or groups where collective information is being shared. It analyzes the social impact of external factors. Each letter in PESTLE represents a component of the external operating environment. They stand for Political, Economic, Socio-cultural, Technological, Legal and Eco-environmental. This analysis will lead to an assessment of external opportunities and threats. PESTLE analysis find out where the business or product is in the context of what is happening outside. In 2011 Starbucks conducted a PESTEL analysis, below are the findings: Political- 1) Industry explicit rules and regulations 2) the level of relationships between USA and countries that produce coffee beans 3) level of political stability within a country Economics – 1) Buying Power of consumers 2)Local currency exchange rates 3)Local economic environment within each market Starbucks operates 4) Taxation levels Social – 1)Changing family patterns in USA and Europe 2) Consumer preferences 3) Changing work patterns 4)Change in lifestyles of population...
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...Appendix…………………………………………………………………..Page 5 External Analysis of Industry Exhibit 1: Economic Characteristics & Driving Forces…………….Page 5 Exhibit 2: PESTEL Analysis……………………………………… .Page 7 Exhibit 3: Five Forces Analysis…………………………………….Page 8 Exhibit 4: Key Success Factors……………………………………..Page 9 Exhibit 5: Driving Forces…….……………………………………..Page 10 Internal Analysis of Yammer Exhibit 6: VRIN(E)……………………………………………… …Page 11 Exhibit 7: Weighted Competitive Strength Analysis.…. …………...Page 12 Exhibit 8: SWOT(TOWS)…………………………………………...Page 13 Exhibit 9: Strategic Group Map……………………………………..Page 14 Exhibit 10: Financial Analysis………………………………………Page 15 Executive Summary In 1981, Louis Kane and Ron Saich founded a bakery-café named Au Bon Pain that were opened up in airports, shopping centers, and malls throughout the east coast. Au Bon Pain found stiff competition from fast-food competitors, so they initiated a company overhaul and opened re-concepted restaurants which would soon become nation-wide. In August of 1998 they announced the sale of Au Bon Pain for $73 million in cash and the company changed its name to Panera Bread Company. Panera Bread Company was founded during a time of growth in the economy when customers were more willing to spend the few extra dollars for a higher quality meal. Panera offered unique baked goods such as bagels, pastries, and gourmet sandwiches for between $7-12$. The food industry has become a highly competitive market over the...
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...understand consumer needs and wants. Starbucks is one of the most successful coffee shop chains with over 17000 stores in 52 countries. The company also employs 137 000 people, Starbucks is leader of coffee shop industry. Starbucks attracts various generations from teenager to senior citizen. But, their main target is office worker in middle and upper class who want “third home”. Surprisingly, nowadays their main competitor is fast food chain such as Mc Café and Dunkin’ Donuts. One of the strongest strength is cozy ambience of their shop where customer can feel comfortable. However, the reputation of Starbucks’ coffee taste is not so good despite of their success; this is their weakness to improve. Likewise, conducting Macro analysis allows Starbucks to grow more. From the PESTEL analysis, Singapore is ideal country to spread their product. It is because the economy of Singapore is much prospered and grows 4.1% in 2013. Moreover, westernization of Singaporean will enhance value of Starbucks. After analyzing external and internal environment, company need to make marketing strategy to suite their target market. Starbucks clearly segment its clientele on demographic bases. They focus its offer on the age of its customers, often between 25 and 40, but also on income since these are quite high wages. As mentioned, Starbucks targets on upper class and middle class people and provides customers with premium coffee experience which cannot get from Mc Café and Dunkin’ Donuts. Starbucks...
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...• Subsidiaries: o Tazo Tea Company o Seattle’s Best Coffee o Torrefazione Italia o Ethos Water o Hear Music o Evolution Fresh • Key Executives: o Howard Schultz, Chairman, President and Chief Executive Officer o Cliff Burrows, President, Americas o John Culver, President, Starbucks Coffee China and Asia Pacific o Jeff Hansberry, President, Starbucks Channel Development and Seattle’s Best Coffee o Arthur Rubinfeld, President, Global Development o Michell Gass, President, Starbucks Europe, Middle East and Africa o Annie Young-Scrivner, Global Chief Marketing officer and President, Tazo o Troy Alstead, Chief Financial Officer, Chief Administrative Officer o Paula Boggs, Executive Vice President, general counsel and secretary o Peter Gibbons, Executive Vice President, Global Supply Chain Operations o Stephen Gillett, Chief Information Officer, Executive Vice President, Digital Ventures o Kalen Holmes, Executive Vice President, Human Resources o Vivek Varma, Executive Vice President, Public Affairs o Mary Egan, Senior Vice President, Global Strategy Company Direction The company’s mission is “to inspire and nurture the human spirit, one person, one cup and one neighborhood at a time” (Starbucks.com, 2012). In order to stay true to their statement, Starbucks has always pursued the perfect cup of coffee by buying the best beans and roasting them perfectly. Starbucks’ management team has also paid enormous attention to customer satisfaction through employees’...
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...between McDonald’s and its independent franchises is of fundamental importance to overall performance and to the McDonald’s brand. Being this large of a company, every decision that it makes is crucial for the survival of the company and any wrong moves can make a huge impact on them on a much larger scale. The company is always undergoing changes and every decision that McDonald’s makes needs to be greatly evaluated to make sure it doesn’t lead them towards failure. There’s a lot of competition in the fast food industry and competitors are always competing against each other when it comes to price, quality, advertising, deals, new items and more. There’s a lot of opportunity that has been made and still to be made in the fast food industry and all falls back on the decisions that these companies make and in this paper we will be conducting multiple strategical analysis on McDonald’s and evaluating it. One of the most challenging things looking at the fast food industry is that it is not an attractive market for new entrants, competing against the costs of existing companies is very difficult but they could exceed because of low start-up costs and massive market demand. The market is very attractive for existing firms who have established market, brand name and economies of scale to compete just like McDonald’s has done. They have a very strong brand image and are always looking to enhance it. It is often known that McDonald’s isn’t always the healthiest for you, but they often...
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...However, slow growth in many critical industry segments meant that the company was unable to increase shareholder value throughout 2011. Additionally, sales were stagnating and revenues were only increasing by raising prices. In order to address these issues, the Board of Directors at KFT announced in 2011 that the company would be restructured to create two new companies by the end of 2012. First, there would be a global snacks business that included all of KFT’s business units in Europe and developing markets, in addition to the United States snack business. This new company would be called Mondelez International (MDLZ) and the Board hoped it would be a high-growth global snacks business. The remaining business units would become Kraft Foods Group (KRFT) and would be a high-margin, slow growth, North American grocery business. The following report begins with assessing the processed food industry as a whole through a PESTEL and Porter’s Five Forces analysis. Second, a SWOT and financial analysis are used to evaluate MDLZ and KRFT. Lastly, final recommendations are made for each of the new companies. II. Industry Analysis The processed foods industry incorporates many different segments, including cheese, snacks and groceries; all of which KFT operated in. The following analysis will consider the environment that the processed foods industry operates within and the industry as a whole with notes if a specific segment within the industry...
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...environment with relevant models. Secondly, the design formulation of the business portfolio strategy to answer our question and thirdly, we give a conclusion. This approach will help the corporate parent to use its core competencies in an effective and efficient manner to help its multi-domestic strategy to earn above-average returns. WHITBREAD ENVIRONMENT ANALYSIS 1. INTRODUCTION Established in 1742, Whitbread is one of the UK’s oldest and well-respected companies. The story really begins in August 1720 with the birth of Samuel Whitbread, who began his brewing apprenticeship in 1736, then founded his first brewery six years later. In 2001, Whitbread become the company it is today. They sold their breweries and left the pub and bar business, refocusing on the growth areas of hotels and restaurants. Their reinvention as the UK's leading hospitality business naturally coincided with the ending of this country’s brewing and pub-owning tradition, started by Samuel Whitbread over 250 years earlier. Now Whitbread is the UK’s biggest hospitality company, it has got the UK’s no. 1 hotel brand, Premier Inn and the no.1 coffee shop brand, Costa. Also very proud of their much-loved restaurants, Brewers Fayre, Beefeater...
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...TABLE OF CONTENTS Executive Summary----------------------------------------- 1. Introduction 2. Situation analysis 2.1 External analysis------PESTEL analysis------------------------------------- 2.2 Internal analysis--------the value chain--------------------------------------- 2.3 SWOT-analysis-------------------------------------------------------------------- 3.Strategic concerns 4.Recommendations 5.Conclusion Reference list Executive Summary: The purpose of this report is to assess the current situation of Jollibee to determine whether the brand should enter the UK or not. The report is divided into five sections. The first section is the background to Jollibee and its international operations. The second section is the environmental analysis of Jollibee through the external analysis--- PESTEL and internal analysis---the value chain in terms of market trends, customers, competitors and current position along with the SWOT analysis. The third section is the strategic concerns faced by Jollibee in the UK market. The recommendations based on the previous discussion will be given for the UK market in the fourth section. In the final section, the conclusion will be given out. 1. Introduction: Jollibee Foods Corporation was an ice cream parlor named magnolia, started by...
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...MNGT2001 Business Strategy Starbucks Case Analysis Endang Abu Bakar 3171895 Dagamac Janelle Tan 3156283 Nguyen Dinh Duy 3158495 Le Duc Anh 3159239 Sutthisiriwattana Pimchanok 3175067 Ye Xintao 3156684 Tutor: Dr. Ha Huong Tutorial Group: A4 Table of content I. Introduction 1 II. Strategic Analysis 1 A. Macroenvironmental Analysis 1 1. Opportunities 2 2. Threats 2 B. Microenvironmental Analysis 2 C. Strategic Competitive Advantage 3 III. Strategic directions 3 A. Mission and Vision 4 B. Strategic Objectives 4 IV. Business Level Strategy 4 A. Differentiation 5 B. Market Penetration 5 C. Product Development 6 1. Seasonal Products 6 2. New Products 6 D. Other Strategies 7 V. International Strategy 7 VI. Strategic Implementation 7 A. General Perspectives 8 1. Strategy 8 2. System 8 B. Strategic Implementation Issues 8 1. Economic risk 8 2. Environmental risk 9 3. Global risk 9 VII. Strategic Evaluation 9 VIII. Recommendation 9 A. Financial 10 B. Customer 10 C. Internal processes 10 D. Learning and growth 10 VIII. Recommendation 11 IX. Conclusion 11 Reference 12 Appendix 13 I. Introduction Market conditions all over the world have fostered an evolution in modern business practice (Obstfeld...
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...UNIVERSITY COLLEGE Sofia PESTEL ANALYSIS FOR STARBUCKS COFFEE COMPANY Coursework in Business Environment Statement of originality We, the undersigned, declare that this coursework is our own original work. Student registration No: 101033 Signature: …………. 101047 Signature: …………. Program: Business Administration, Level 1 Lecturer: Prof. M. Malinowska The subject that we are going to focus on in the course work is a PESTEL Analysis on Starbucks Coffee Company. This analysis is aimed to familiarize the readers with the six types of factors that influence the activity of such a large and prosperous company as Starbucks. As we all know every business has its ups and downs but by taking into consideration what the influences are, better service and production could be achieved. The emphasis of this project is to discuss the major characteristics of a whole business and providing information about the way it functions. We will also talk about the reflection of Starbucks on the society all over the world. POLITICAL FACTORS Starbucks was established in Seattle, Washington, USA on March, 30, 1971. This is the largest coffeehouse in the world. Since the opening of the first Starbucks store, 30 years ago it becomes more and more popular. Till today Starbucks Co. owns 17,009 stores in 55 countries, which makes it one of the most popular places for a coffee drink. The following chart illustrates...
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...in roasting and distributing coffee. The company owns now more than 15 000 coffee shops around the globe: it is settled in North America, Latin America, Europe, Middle-East and Asia. The diversity and depth of its offer (from smooth to extra roasted coffee, African, Arabian or Latin, and all the muffins, cookies and sandwiches) allow them to count on an international exposure that has last for many years. Still, their business tends to be flattening. And the number of competitors in their core-business market, even if the competition stays way back them, is growing constantly. Considering these facts, the objective of Starbucks is to strengthen its leadership on the market. We were then approached by Starbucks in this particular goal. In this folder, you will find an entire analysis of the external environment of Starbucks Coffee Company: the macro-environment, the competitors and market and the stakeholders’ expectations will lead to being aware of opportunities and threats. Then, we went on the study of the internal capabilities: the resources and competences, the sustained competitive advantage and the diagnosis of strategic capability that will permit us to define Starbucks’ strengths and weaknesses. [Thus, owing to the results obtained, we endeavour to recommend Starbucks some new and relevant elements for the future strategic direction of the organisation. I. The External Environment a. Macro environment i. Pestel ii. Porter’s Diamond ...
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...External Analysis of the Coffee Industry History of Coffee The coffee industry provides its customers with coffee and sometimes other beverages (tea, soft drinks, snacks, etc.) According to Myers, coffee is the world’s most valuable agricultural commodity. Coffee consumers drink different types of coffee, including cappuccino, espresso, mocha, and latte. The coffee industry is in high demand, and the more people drink coffee, the more the quality and value of coffee become more important. Starbucks is in this coffee industry because it meets the consumers demand for a quick way of energy to get their day started. 69% of Americans consider coffee to be an “affordable luxury”. It is available in a variety of beverages and flavors to satisfy the most discriminating tastes. Starbucks missions statements states “Our mission: to inspire and nurture the human spirit- one person, one cup, and one neighborhood at a time” Starbucks coffee has always been and always will be about quality, according to them. In the five years to fiscal 2013, Starbucks revenue is expected to grow at an average rate of 7.5% per year, with an increase of 11.9% in fiscal 2013 to total $14.9 billion. In the Ethiopian highlands is where coffee trees were originated. The Arabs were the first to cultivate coffee as well as to start its trade. It was then brought to Europe, then in the mid 1600’s coffee was brought to New Amsterdam, which is now called New York by the British. In 100 years, coffee was established...
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