...Read the case titled "Starbucks, Bank One, and Visa Launch Starbucks Card Duetto Visa" in the Resources and address the following components in your assignment: • Answer discussion questions 2 and 4 at the end of the case. 2. Build the management-research question hierarchy for this project. Step 1: Management Dilemma Is there a brand fit between credit card and Starbucks? How does the customer value the different benefits being offered by the Starbucks Duetto Visa card? How does the customer value "the give back to the community component"? Step 2: Management Questions If there is a match between the brand and the customers value the benefits of Starbucks Duetto Visa card, the card should be launched to as large an audience as possible. Step 3: Research Questions Starbucks should go in for the full launch of Starbucks Duetto Visa card. Starbucks should go in for a limited launch of Starbucks Duetto Visa card Starbucks should launch the Starbucks Duetto Visa card without give-back-to-the community component. Step 4: Investigation Questions Does Starbucks Duetto Visa card clash with the image of Starbucks? How much do the benefits of Starbucks Duetto Visa card appeal to the customers? How much do the planned give back to the community component appeals to the customers of Starbucks Duetto Visa card? Step 5: Measurement Question What is the extent to which the perception of Starbucks is hurt by Starbucks Duetto Visa card. In dollars what is the perceived value to...
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...should concern Starbucks about this initiative Business Ethics and Compliance is a program that supports Our Starbucks Mission and helps protect our culture and our reputation by providing resources that help partners make ethical decisions at work. The program develops and distributes awareness materials, including the Standards of Business Conduct; facilitates legal compliance and ethics training; investigates sensitive issues such as potential conflicts of interest; and provides additional channels for partners to voice concerns. Partners are encouraged to report all types of issues or concerns to the programme through their choice of the offered communication channels. The majority of reports received by Business Ethics and Compliance involve employee relations issues. This trend is consistent with other companies – retail or otherwise – that provide alternative reporting mechanisms as part of a comprehensive ethics and compliance programme •By using the Visa Account of their Duetto Card anywhere Visa credit cards are accepted, cardmembers will earn one percent back in Duetto™ Dollars that will be automatically loaded on their Starbucks Card Account after each billing cycle. Duetto Dollars can then be used to purchase anything cardmembers want at Starbucks including beverages, food and store merchandise. Cardmembers will receive a one-time pre-load of $10 to their Starbucks Card Account after their first Duetto Card Visa purchase. By using the Starbucks Card Account...
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...Business Research Starbucks, Bank One & Visa Launch Starbucks Card 1. What types of research were done at each stage? Discuss the strengths of each different type given the stage of the project. Starbucks used the scientific method which consists of three different studies based on product functionality, product optimization, and brand tracking. The scientific method used to gather information about the target markets that they had or trying to approach. The product functionality study was carried out at the concept testing stage of the research, through the use of an online survey. The purpose was to understand which of the two credit card concepts customers preferred of the dual-function or two separate cards. This would determine if the product would or would not function as Starbucks desired, the findings of this study would be pertinent information to assist Starbucks and its affiliates in determining the strengths and/or weaknesses of the study’s design. The study of product optimization was used to see the concept stages of research. Starbucks used this study to see if certain features from the dual action card would determine if customer’s decision to apply for a credit card. The brand tracking was used to measure the return on the marketing investments based on the feedback after they launched the card. 2. Build the management-research question hierarchy for this project. The first question Starbucks had to answer was whether or not they would...
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...Starbucks Antoinette E. Hooks, Trish Leeper, Carlos Medina, and Crystal Truong RES/351 November 20, 2013 Amanuel Gobena Starbucks Starbuck partnering its famous Starbucks card into an all in one card could be a win-win situation or a win-lose. Either way Starbucks will maintain one of the largest coffee companies across the nation. One main factor to some of Starbucks consumers would be that of Starbucks rewards program. Now when you have a Starbucks gold card, customers that have one earn one star per purchase made be that coffee and or merchandise. On the other hand it would be a plus to Starbucks consumers to replace a major credit card with his or her Starbucks card now being a Visa card. One opportunity that consumers will now have is the ability to earn more points on coffee and retail purchase. When it comes to credit cards and opting to switch, the main issues consumers would ask about would be the interest rate of the Duetto card verses other major credit cards. If the interest rate is higher consumers would be hesitant to change to the Duetto card. The purpose of Starbucks doing this study is to see how many of its loyal customers would actual apply for the Duetto card and how many would rather carry two cards. Starbucks needed information on what was available to them and how it would benefits its customers along with if it could really work for Starbucks to offer consumer credit cards. Looking into interest rates and possibly additional rewards offered to...
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...different type given the stage of the project. * The first stage began with the use of exploratory research, which is useful when researchers lack a clear idea of the problems they will meet during the study (Cooper & Schindler, 2014). This stage began with early secondary research of the market and indicated that such a product did not exist in the credit services industry. Starbucks went on to explore possible partners by approaching major card service companies. It conducted interviews with bank executives, visited call centers; even listened in on phone calls to learn how each resolved customer credit card problems. Through exploration researchers develop concepts more clearly, establish priorities, develop operational definitions, and improve the final research design. * After Starbuck identified their perfect partners, stage two was conducting focus groups. They tested the idea of a dual functionality card with four focus groups, using the services of an independent moderator. The focus groups involved two major groups of Starbucks customers who owned a credit card: those who used the Starbucks Card and those who did not. The data obtained from the focus groups proved to be extremely helpful. In exploratory research, the qualitative data that focus groups produce may be used for enriching all levels of research questions and hypotheses and comparing the effectiveness of design options (Cooper & Schindler, 2014). This was definitely true for this case. “The focus groups...
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...Was the research well designed? Was it a good research? This case study detailed stages of research conducted by Starbucks, Bank One and Visa on the Duetto Card and overall the researches in all stages are well designed and are good examples of research. Firstly, the purposes of research, from understanding the perception of dual-function card concept, understanding user preference and finally to satisfactory level examination, are clearly defined. Secondly, the researches processes are detailed such as the steps to acquire participants, sampling method and the representativeness. Other researchers for card loyalty program can repeat similar research accordingly. Research design is thoroughly planned. For example, at the concept testing period, the feedbacks gathered from focus groups of existing customers is more relevant than asking the general public. Another good example is Bank One directly use observable business metrics to provide the return on marketing investment. Moreover, ethical standard is addressed during the research period. The intercept study outside the Starbucks store is discarded since they think they don’t own that space. Knowing the limitations of feedbacks, in the product optimization study, Bank One has compared the research results to norms that have resulted from more than 200 similar concept studies. On the other hand, for the quantitative online survey, the sample size should have been larger in order to give more reliable results. All three parties...
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...Mastering Teacher Leadership Read the case study Mastering Teacher Leadership. Answer questions 1 and 2 at the end of the case study. 1. Build the management-research question hierarchy for this opportunity. Research question hierarchy 1) Management Dilemma- Due to the large number of University’s within the area raises concern if developing another Master’s program would be successful. 2) Management Question- Would creating a new Masters of Arts degree program for Wittenberg University be beneficial to the school and the surrounding communities? 3) Research Questions- What are the needs of the various school districts? How can these needs be implemented and focused into Wittenberg University Masters of Arts program? What are the desired steps to develop an effective educational program? 4) Investigative Questions- Is there a demand for another Master’s of Arts program in the area? 5) Measurement Questions- How many teachers needing to receive their master’s degree would consider this program for their continual education? 2. Evaluate the appropriateness of the exploratory stage of the research design. This particular case used a communicative research design. By using focus groups consisting of local educational professionals and a mailed survey the University was able to collect the required data. The focus group narrowed in on the elements needed to build a strong program and determined the likelihood of its success. The distribution of the survey was a cost effective...
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...From there, management can find important information to answer that question and develop their strategy. In the case study, “Starbucks, Bank One, and Visa Launch Starbucks Duetto Visa”, the three companies collaborated to give Starbucks customers a new way to pay for their products. This new way was not designed to only benefit Starbucks, but also allow Visa and Bank One to benefit as well. The idea was to create a dual-function card that would allow customers to only swipe once but then provide different methods of payment. This would cut down on the number of cards customers would carry and cut down on transaction times. The dilemma in this case was how can Starbucks introduce a new credit card in an already mature and established industry, and be successful. Starbucks viewed this idea as an opportunity to reinvent the industry. They sought to make it relevant and exclusive to their customers in a way that was never done before. To figure this out, they needed to know if their customers could fully understand the value proposition of the dual functionality. One idea Starbucks used to answer these questions was to use focus groups moderated by an independent source. Through these focus groups, they were able to recognize areas that needed more explanation, and were able to measure the appeal of monthly rewards and possible ways of delivery. Starbucks used the data collected from their focus groups to refine their concept and restructure the way they communicated the idea with...
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...Start Date: 09/20/2012 PrintCOURSE DESCRIPTION This course evaluates the process of conducting business research for improving decision making within an organization. Students will learn to apply an understanding of commonly employed business research techniques to improve a situation, solve a problem, or change a process. Other topics include problem framing, data collection, data analysis, and data presentation. Week 1 - Topic 1: Recognizing the Situation Objectives Recognize a situation, problem, issue, or opportunity that needs addressing. Determine the significance, scope, magnitude and feasibility of finding a solution to the situation, problem, issue, or opportunity. Identify ethical issues involved in business research. Describe the business research process. Materials Week One Student Guide Sample Examination to prepare for Final Examination EBOOK COLLECTION: Business Research Methods, Ch. 1 EBOOK COLLECTION: Business Research Methods, Ch. 2 EBOOK COLLECTION: Business Research Methods, Ch. 3 EBOOK COLLECTION: Business Research Methods, Ch. 4 ARTICLE: Week One Topic Searches Assessment Individual Assigment: Current Events in Business Research Write a 300-word summary of the business research process by describing the business research process from your experience in the workplace or in an article you find through the University Library. Format your paper consistent with APA guidelines. Please see the instructor's syllabus for this week's assignments...
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...COURSE DESCRIPTION This course evaluates the process of conducting business research for improving decision making within an organization. Students will learn to apply an understanding of commonly employed business research techniques to improve a situation, solve a problem, or change a process. Other topics include problem framing, data collection, data analysis, and data presentation. Week 1 - Topic 1: Recognizing the Situation Objectives Recognize a situation, problem, issue, or opportunity that needs addressing. Determine the significance, scope, magnitude and feasibility of finding a solution to the situation, problem, issue, or opportunity. Identify ethical issues involved in business research. Describe the business research process. Materials Week One Student Guide Sample Examination to prepare for Final Examination EBOOK COLLECTION: Business Research Methods, Ch. 1 EBOOK COLLECTION: Business Research Methods, Ch. 2 EBOOK COLLECTION: Business Research Methods, Ch. 3 EBOOK COLLECTION: Business Research Methods, Ch. 4 ARTICLE: Week One Topic Searches Assessment Individual Assigment: Current Events in Business Research Write a 300-word summary of the business research process by describing the business research process from your experience in the workplace or in an article you find through the University Library. Format your paper consistent with APA guidelines. Please see the instructor's syllabus for this week's assignments. Week 2 - Topic 1:...
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...Services Marketing Case Submission 1: Starbucks Case By Narwaria Vishesh | 61502170 1. Is Starbucks a product or a service? * Starbucks is a perfect example of service industry, their service comprises of selling a product-fine quality coffee. Following characteristics classify Starbucks into a Service company: a. Intangibility: Their service of making coffee cannot be inventoried. Also it cannot be patented. Their products are not readily available. b. Heterogeneity: Service delivery of Starbucks is strongly dependent on the interactions of their customers and employees. They provide customized coffee as per customers taste requirements. Same product might be different in taste for two different customers. c. Simultaneous Production and Consumption: For Starbucks mass-production is not possible. Also customers consume the coffee just after its production. Employees play a major role in good quality service delivery. Perception of one customer might influence other customers. d. Perishability: It is very difficult to synchronize the supply and demand for service delivery. For e.g. There might lot of rush during breakfast time of evening time and meeting customers demand might be difficult for that store employees. Once a coffee is made, it cannot be resold to other customer. In addition to above characteristics, Starbucks can be classified into service because of the 3 additional P’s in its marketing mix: a. People: All human actors...
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...concept stage of research, Starbucks set out to test the idea of a card that utilized dual-functionality versus using two separate cards (Cooper & Schindler, 2011). To do this, online focus groups were used to determine customer preferences. Not only did this type of study measure how well customers understood the dual-functionality aspect of the proposed card and what concepts needed to be explained further, but it also revealed customer appeal to the card and its features (Cooper & Schindler, 2011). The product optimization study was another online study conducted during the concept stage to determine the impact certain features have on a customer's decision to apply for the card and which of those features could potentially increase sales (Cooper & Schindler, 2011). This information proves beneficial in knowing which customers would not apply for the card and why and how the most appealing features would affect the profit margin. In the final stage of research, Starbucks measured the return on their marketing investment, using customer feedback obtained through yet another online survey after their new card was launched (Cooper & Schindler, 2011) . The customer feedback responded to customer awareness and the reasons why customers chose to apply, or not apply, for the card. This type of study measured the success of the card launch and how that success came about, along with whether or not the desired goals were reached. Before Starbucks could embark upon such research...
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...Starbucks WEEK 2 Starbucks New Market Entrance Starbucks strategic goal is to increase market share of the non-coffee drinker; they have begun by introducing an extension of a product line targeted to this segment. To ensure market growth, Starbucks has repositioned one of its current products, the Frappuccino line, this product has been extended to include 3 new flavors; Double Chocolate Chip Crème, Vanilla Bean Crème, and Strawberries & Crème, introduced throughout the summer months. Faced with the challenge of entering a new competitive market Starbucks must compete to retain brand recognition of its primary products, yet increase awareness of its new product line. Situation Analysis Company Starbucks is the leading retailer for roaster and brand specialty coffee in the world (See Figure 1). It has over 7,500 stores, which are located in the United States, Canada, Europe, Asia and the Middle East . Besides high quality coffee drinks, Starbucks sells bottled coffee drinks, such as Frappuccino® and Starbucks DoubleShot™. Starbucks revenue is growing by 20% a year and is opening approximately three stores every day. Starbucks is capable of managing its successful operations by having steady market growth. It achieved this by financing through their cash flow instead of franchising, selling stock or increasing their financial leverage . Its strategy to success is “blanket an area completely.” This approach is to “cuts down on delivery and management costs, shortens customer...
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...Management Science and Engineering Vol. 6, No. 3, 2012, pp. 16-21 DOI:10.3968/j.mse.1913035X20120603.1788 ISSN 1913-0341 [Print] ISSN 1913-035X [Online] www.cscanada.net www.cscanada.org Study on Competitive Advantages of Starbucks Surfers’ Paradise Coffee Shop ZHANG Zhenjia[a],* [a] School of Tourism and Geographical Science, Shenyang University, Shenyang, Liaoning, China. * Corresponding author. Received 25 May 2012; accepted 9 September 2012 Abstract This study is conducted to give a clear picture of the competitive advantage of the Starbucks Surfers’ Paradise coffee shop. With this purpose as the direction, a thorough marketing research is conducted. According to results of the research, a conclusion of the competitive advantages of the shop is achieved based on the analysis of its marketing mix and positioning. Generally speaking, the Starbucks Surfers’ Paradise coffee shop’s convenient location, guaranteed high quality of both coffee and service, and the Starbucks brand itself give it assurance of success. Key words: Competitive advantages; Starbucks; Marketing mix ZHANG Zhenjia (2012). Study on Competitive Advantages of Starbucks Surfers’ Paradise Coffee Shop. Management Science and Engineering, 6 (3), 16-21. Available from http://www.cscanada.net/index.php/mse/article/ view/j.mse.1913035X20120603.1788 DOI: http://dx.doi.org/10.3968/ j.mse.1913035X20120603.1788 marketing theories including marketing mix, positioning, competitive advantages and...
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...Executive Summary Starbucks is the leading retailer and roaster for brand specialty coffee in the world. It has over 7,500 stores located worldwide. As Starbucks continues to expand, it will encounter all sorts of new product markets, with new and demanding customers for unique and appealing products. Starbucks has begun by introducing an extension of the Frappuccino line targeted to the non-coffee drinker. Entering this new market, Starbucks faces many challenges from having to compete to retain brand recognition of its primary products, yet increase awareness of its new product line. Our analysis and research of the market have resulted in keys findings as follows: • The new Frappuccino blended beverages, also known as the Summer Drink flavors will help Starbucks reposition itself in the developing non-coffee iced-beverage market; Starbucks will also need to enhance the product perception to maintain the perceived high quality. Customers of this segment are sensitive to taste and quality of food product and nutritional data. • With this new line extension, Starbucks will be facing many new competitors such as Jamba Juice, Orange Julius and other local non-coffee iced-beverage providers. Special care must be implemented to maintain Brand equity for it’s primary product, and not become to diversified the current customers seek alternatives. • Based on our research, we found that the married couples age 25-54 with children to be the primary potential target market...
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