 STARBUCKS STRATEGY:

Starbucks focuses on providing the customer with unique experience with the help of
various strategies:

 PRODUCT DIFFERENTIATION: With this star bucks have a customized menu

according to the taste and preferences of the customers and as per the country
culture and customs.
 SUPREME CUSTOMER SERVICE: Starbucks believes in providing each customer with
unique experience so for that it provide customer various facilities such as: free wife,
live concerts etc. also allows customers to share their experience with star bucks so
that the company can provide unique experience to the customer each time they
visit the store.
 SHREWD STRATEGY AND ALLIANCE: Starbucks successfully maintains strategic
alliances with various organisation so as to deliver best to the customers like it has a
strategic alliance with “TATA BEVERAGES” which helps star bucks to get quality
coffees beans with minimum cost (helps in saving import cost) also star bucks has a
strategic alliance with local farmers around the globe which help the company in
growing the quality coffee as per the specification of the company this is called
contract farming.
 DIVERSIFY GEOGRAPHICALLY: Starbucks has its operations in more than 75
countries with 24000 stores across the globe. In India currently it has 136 stores and
the company is planning to open another 5-10 stores by the end of this year.

 REASON BEHIND STARBUCKS HIGH PRICE IN INDIA-

In India star buck’s strategy is to target the top 1% of the population (INNOVATORS) who are
having good purchasing power. Also the company is following a “UNIT ECONOMICS” where
the company charge premium for each unit which ultimately help the company in generating
revenue.