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Starbucks: A Coffee Company Add in library

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Provide an elaborate background,Strengths, Weaknesses, Opportunities' and Threats about the Starbucks Coffee company?



About the firm

Starbucks is a Coffee company which is headquartered in the Seattle at Washington. The firm actually began in the year 1971 with merely single retail store in Seattle's historic Pike Place Market. Currently it is one of the leading brand as well as retailer throughout the world. Starbucks in reality went public in June 26, 1992 (, 2015). The firm operating in Singapore has several stores and offers a variety of regular otherwise decaffeinated beverages of coffee, a very special "coffee of day," as well as a broad assortment of all Italian-style drinks of espresso. Additionally, customers get options to choose from varied items that are available of fresh-roasted as well as whole-bean products of coffees. The actual product mix of each store varies and, depends on size as well as location of every outlet (Snyder, 2006).


Several numbers of coffee shops are attainable in the regional Singapore dialects and even in the Chinese market. There are many both old as well as new are seen in the city and majority are actually scattered within the town as well as in local places (Bertelsen, 2012). There are also local coffee shops that exist as competitors for Starbucks as they serve coffee in fewer prices and Starbucks is an expensive brand which every common person cannot afford. Businesses of the firm face several challenges as well as struggle while they actually focus upon the international market; and also have faced several of all these challenges yet it has now been capable of succeeding greatly within the global market. The firm has even narrowed down all of its tactical imperatives of the ways in which it could expand internationally, know and analyze the global context as well as develop intercontinental strategies. Starbucks also has overcome all the organizational challenges like developing a worldwide organization, and creating proper worldwide improvement as well as learning (Böhm, 2009).



  • Strong and vital brand name as well as image- The standing and repute of the firm’s brand name as well as image of the Starbucks permits the brand recognition as well as consumer retention. Thus, expanding of the outlets to many other parts of the city is a talented and capable approach of the firm and has resulted in the rise of the firm (Cole, 2008).

  • Healthy economic performance- financial performance of Starbucks has forever had a very positive impact on the firm’s strength. The earnings of the firm have helped the firm to attain better market share and has also supported in whatever expansions it has tried (Dealtry, 1992).

  • Highly-skilled team in the management- Starbucks also has greatly skilled as well as professional CEOs, and has a very effective management team which supports the firm in taking effective and good decisions. These also lead to rapid plus stable growth and development of Starbucks (Durevall, n.d.).

  • High technology- The firm brings technology into use in all its stores for extensively attracting extra customers. For example, there exist high-pace internet, website as well as prepaid cards for Starbucks. It may increase the traffic in stores generally in novel generation set.

  • Good quality as well as innovative products- The firm utilizes high quality coffee beans as well as dairy goods. Also, forever the firm tries to develop something new and make customers feel more contended (Fine, 2009).

  • Coffee also is extra of a opulence product thus it is also those people and places with most quantity of throwaway income towards spending which must be also targeted most intensely (Wurgaft, 2003). The firm would never like to locate towards any area where local populace has very poor attitude towards work. Thus Singapore is a very good market for the firm.

  • People here are ready to spend a lot behind such products and also like to spend their leisure time in the outlets of the coffee shops. Recruitment might be difficult and training arduous, as well as staff turnover might be high in places where people are lazy (Ghoshray, 2010).

  • Starbucks’ brand name has also allowed it to carry upper-hand as well as power towards leveraging in its discussions with many other firms. Starbucks even has utilized such alliances to support and then create innovative products which the firm might never have been capable to comprehend or justify even if it was to take them upon all alone (Finley, 1914).


  • High price- The firm has enhanced the price rate because of the rising cost and expense of the production, comprising of the cost of the dairy goods as well as cost of the rent. This increment in the price also has affected the firm and its sales have fallen and also the customer retention has become difficult (Halper, 2006).

  • Clusters of the outlet- As Starbucks carries several stores as well as these are actually located in very closed areas; it also leads to scramble of the customers in every store. Such clusters of outlets might even cause incompetent performance of firm (Kuada, 2008).


  • Large group of consumers- China has biggest population all over the world. Coffee drinking also is very popular amongst the young generation, particularly those who carry the overseas education that influences consumption of coffee. Several of the teenagers have actually lived in the western nations for a very long time also they are very familiar with coffee culture (Leake, 1982). While returning to their own nation they have also carried on the living within this fashion. Such teenagers also want to choose the western style of the coffee shops like their preferred place.

  • Lifestyle- The people carrying modern lifestyle of the Chinese teenagers as well as adults hold up the propagation of the western types of the coffee shops (Mohammad Arabzad an, 2012). Meeting as well as discussing business within very warm plus nicely designed shops for coffee has become extra popular within China. As a result, teahouse’s dominion has also been confronted by foreign house for coffee.

  • The income is actually distributed and this can be a factor the firm now needs to look at because this also shows ideal place towards aiming their marketing otherwise locating their outlets (Taylor, 2008).


  • Competitors- Global market for coffee is extra competitive segment. Starbucks is also facing increase of the competitions from many other overseas players. The newest Starbucks’ competitor actually is Canadian chain named as Blenz Coffee that plans to unlock a cord of café within China where customers can smoke because at the time of sitting within the store of Starbucks is people are not allowed to smoke (Pickton and Wright, 1998).

  • Intellectual-property infringement- Starbucks has filed a proper lawsuit intended for the trademark infringement all against the Shanghai Xingbake that signs, logos as well as names same as the Starbucks. It would even seem that there are chances of people getting confused (Shermer, 2001).

  • Starbucks must thoroughly investigate political constancy of the nations. Changes within the government could also lead to alterations in taxation as well as legislation.
  • The most recent organizational challenge which a firm faces is all about trying to get engaged in the cross-border teamwork. Starbucks has taken great care while determining the firms that would partner with it when moving into any novel new market (Ratnasingam, 2006).

  • Through such international alliances and joint ventures, as well as licensing Starbucks can also gain proper access to novel markets. The firm also likes to “influence its increasingly brawny brand via varied alliances towards selling the Starbucks coffee as well as developing novel products along with Starbucks name (Rypkema, 1987).”

In a nutshell here are all details regarding the firm named Starbucks in Singapore and a proper analysis of the firm’s strengths, opportunities, weaknesses and threats.



Bertelsen, B. (2012). Everything you need to know about SWOT analysis. [Newmarket, Ont.]: BrainMass Inc.

Bohm, A. (2009). The SWOT Analysis: GRIN Verlag.

Cole, G. (2008). Grande Expectations: a Year in the Life of Starbucks' Stock20081Karen Blumenthal. Grande Expectations: a Year in the Life of Starbucks' Stock . Loughton: Piatkus 2007. Management Decision, 46(4), pp.673-675.

Dealtry, T. (1992). Dynamic SWOT analysis. Birmingham (Prince's Corner, Harborne Park Road, Harborne, Birmingham. B17 0DE): Dynamic SWOT Associates.

Durevall, D. (n.d.). Competition in the Swedish Coffee Market, 1978-2002. SSRN Journal.

Fine, L. (2009). The SWOT analysis. [S.l.]: Kick It.

Finley, G. (1914). TESTING MARKET VALUES IN COFFEE. School Science and Mathematics, 14(8), pp.718-719.

Ghoshray, A. (2010). THE EXTENT OF THE WORLD COFFEE MARKET. Bulletin of Economic Research, 62(1), pp.97-107.

Halper, A. (2006). Starbucks Wars: Chinese Courts Say No Hitch-Hiking Allowed.  The China Quarterly, 188(01), p.1155.

Kuada, J. (2008). International market analysis. Adonis and Abbey.

Leake, A. (1982). Market analysis. London: Macmillan.

Mohammad Arabzad an, S. (2012). Improving Project Management Process in Municipality Based on SWOT Analysis. International Journal of Engineering and Technology, 4(5), pp.607-612.

Pickton, D. and Wright, S. (1998). What's swot in strategic analysis?. Strat. Change, 7(2), pp.101-109.

Ratnasingam, P. (2006). SWOT analysis for B2C e-commerce. Hershey, PA: Idea Group Pub.

Rypkema, D. (1987). Market analysis. Washington, D.C.: National Trust for Historic Preservation.

Shermer, M. (2001). Starbucks in the Forbidden City. Sci Am, 285(1), pp.34-35.

Snyder, M. (2006). State of the Profession: The Starbucks Effect. Academe, 92(1), p.70., (2015). Home. [online] Available at: [Accessed 3 Feb. 2015].

Taylor, S. (2008). Starbucks Spreads the Spirit of Giving with CARE. Advertising & Society Review, 9(1).

Wurgaft, B. (2003). Starbucks and Rootless Cosmopolitanism. Gastronomica, 3(4), pp.71-75.

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