BM2207

QUIZ ON DEVELOPING MARKETING STRATEGIES

Starbucks
1. How does Starbucks differentiate itself from competitors?

Starbucks emphasizes using high-quality coffee beans and brewing techniques to provide customers

with a superior coffee experience. The locations are designed to be comfortable and welcoming,

providing customers with a "third place" to relax and enjoy their coffee and also focuses on providing

excellent customer service, with well-trained baristas who personalize the customer experience.

2. What opportunities and threats does Starbucks face based on the given case?

The opportunities for Starbucks are vast. The company has successfully tapped into the market for

gourmet coffee, creating a unique value proposition with its "third place" concept. Expanding globally

provides opportunities for market development, and the introduction of new products and services,

such as in-store merchandise and partnerships like the Starbucks Duetto Visa card, can increase

customer engagement and purchases. The threats Starbucks faces have increased competition in the

coffee industry, as evidenced by the Consumer Reports survey favoring McDonald's coffee. This

highlights the constant need for innovation and quality maintenance.

3. In your opinion, what other strategic direction can Starbucks pursue for future growth and achieve

greater global dominance?

Starbucks can continue to prioritize sustainability initiatives, such as further reducing plastic waste,

investing in renewable energy sources, and supporting fair trade practices. This would appeal to

environmentally conscious consumers and further differentiate Starbucks from its competitors and

Starbucks can further leverage technology to enhance the customer experience and personalize

offerings. This could involve initiatives such as expanding mobile ordering and payment options,

utilizing customer data for targeted marketing, and enhancing the loyalty program.