Students will be provided with a case study on the marketing practices of a service organisation. The assessment requires students to think critically and decide what are the key issues pertaining to the case and how they can best be addressed. It is mandatory for students to submit a completed service diary.
1. What factors accounted for Starbucks' success in the early 1990s and what was so compelling about its value proposition? What brand image did Starbucks develop during this period?
2. Why have Starbucks' customer satisfaction scores declined? Has the company's service declined or is it simply measuring satisfaction the wrong way?
3. How has Starbucks al hinged since its early days?
4. Describe the ideal Starbucks customer from a profitability standpoint. What would it take to ensure that this customer is highly satisfied? How valuable to Starbucks is a highly satisfied customer?
5. Should Starbucks make the $40 million investment in labor in the stores? What's the goal of this investment?