Presentation
on

History of Starbucks
> Started in the 1970s as a small chain in Seattle, Washington.
> Starbucks grown widely in just two decades.
> And now one of the largest international power house.

Howard Shultz &
his friend
Very 1st coffee shop of
Starbucks
In the image Howard Shultz
and his friends .

Mission Statement
1990 – October 2008
• Establish Starbucks as the premier purveyor of the finest coffee in the
world while maintaining our uncompromising principles as we grow.

Starbucks Coffee’s Vision
Statement
• Starbucks Coffee does not readily present its vision statement.
However, a careful reading of the company’s website reveals
that its vision statement is “to establish Starbucks as the
premier purveyor of the finest coffee in the world while
maintaining our uncompromising principles while we grow.”
This vision statement has the following components relevant to
Starbucks:
• Premier purveyance
• Finest coffee in the world
• Uncompromising principles
• Growth

Starbucks' goals and objectives?
• Starbucks has developed a mission statement that includes cultural
development, innovation, high performance and accountability as elements
of the company's values. The corporate mission statement defines the
company's goals.
• Starbucks' mission is "to inspire and nurture the human spirit – one person,
one cup and one neighborhood at a time." The company aims to meet this
goal through the development of a culture that embraces acceptance and is
supportive of personal growth. As stated in the company's values, personal
growth occurs through challenge and grows the company as well. This goal
of acceptance extends into the company's diversity and accessibility policies.
Starbucks

Mission Statement
• “To inspire and nurture the human spirit – one person, one cup and one
neighbourhood at a time.”
• This is done through their commitment to the following principles:
1) Coffee
2) Partners
3) Customers
4) Stores
5) Neighbourhoods
6) Shareholders
(Starbucks Mission, 2012)

Company Profile
• Starbucks’s logo is inspired by the sea featuring a twin-tailed siren from Greek
mythology.
• Our Coffee: Believes in serving the best coffee possible - goal is to grow our coffee
under the highest standards of quality using ethical sourcing practices- our coffee
buyers personally travel to coffee farms in Latin America, Africa and Asia to select the
highest quality arabica beans.
• Our Stores: Perfect place for meeting friends and family or enjoying a quiet moment
alone with a book

• Our Partners: Our employees, who we call partners, are at the heart of the
Starbucks Experience- our store partners are committed to coffee knowledge,
product expertise and customer service.
• Our Products:
1) Coffee: More than 30 blends and single-origin premium Arabica coffees.
2) Handcrafted beverages: Fresh-brewed coffee, hot and iced espresso beverages,
coffee and non-coffee blended beverages, Vivanno smoothies and Tazo teas.
3) Merchandise: Coffee and tea brewing equipment, mugs and accessories,
packaged goods, music, books and gift items.
4) Fresh Food: Baked-pastries, sandwiches, salad, oatmeal, fruit-cups.

Corporate Social Responsibility
• Ethical sourcing: To develop strong, long-term relationships with farmers to
ensure that we buy the high-quality coffee our customers expect. By 2015, our
coffee will be grown using ethical trading and responsible growing practices.
• Environmental Stewardship: By 2015, 100% of our cups will be reusable or
recyclable and reduce our environmental footprint through energy and water
conservation, recycling and green conservation.

• Community Involvement: We believe in being involved in the communities we
are part of-bringing people together, inspiring change and making a difference
in peoples’ lives.
• By 2015, we plan to contribute one million volunteers hours each year to our
communities.
• Website: www.starbucks.com

Organizational Structure
• Basic Structure: Around the country, district managers oversee regional
groupings of stores who report directly to the Starbucks Corporation. At each
store, a store manager acts as the chief and under him are a collection of shift
supervisors who act as managers on duty when the store manager is out. Below
the shift supervisors are the rest of the employees, referred to as baristas.
• Licensed Stores: Starbucks does not operate under a franchise system but they
do license storefronts. Licensed stores are common in grocery stores,
bookstores or any other site where the Starbucks is not a stand-alone building
and are still controlled by Starbucks Corporation and must adhere to the same
guidelines. All items sold at licensed stores, including foods, must be approved
by Starbucks corporate offices. Starbucks maintains this control in an attempt
to protect the company name and ensure that it remains one that is associated
with quality.

• Partners: While Starbucks workers also have more specific titles, including
barista and shift supervisor, the Starbucks corporation has long referred to their
workers as "partners." This term is intended to make clear how integral
Starbucks employees are to the company's success.
• Responsibility: Starbucks aims to work ethically with all of its suppliers, offering
the providers of their fine Arabica coffees fair value for the beans they work so
hard to grow. The company also practices environmental friendliness, choosing
eco-friendly options whenever possible.

Organizational Culture
• We strive to create a culture that values and respect diversity and inclusion.
• We expect to be a leader in diversity and inclusion, from our partners in the field to our senior
leadership teams.
• We expect that all leaders within Starbucks practice a behaviour that demonstrates inclusion.
• The goals of the Diversity and Inclusion team include building a diverse workforce, increasing cultural
competencies, shaping a culture of inclusion and developing a diverse network of suppliers.

Mission Statement
October 2008 - Present

Strategies
• Maximize market penetration
• Provide a relaxing social atmosphere
• Offer high-quality products
• Encourages a great working environment
• Achieve profitability

Strengths Weaknesses
1.Sound financial records
2.No. 1 brand in coffeehouse segment
valued at $4 billion
3.Starbucks experience
4.Largest coffeehouse chain in the world
5.Employee management
1.Coffee beans price is the major influence
over firm’s profits
2.Product pricing
3.Negative publicity
Opportunities Threats
1.Extend supplier range
2.Expansion to emerging economies
3.Increase product offerings
4.Expansion of retail operations
1.Rising prices of coffee beans and dairy products
2.Trademark infringements
3.Increased competition from local cafes and
specialization of other coffeehouse chains
4.Saturated markets in the developed economies
5.Supply disruptions
SWOT Analysis

Markets Segments Which Starbucks
Targeted

Starbucks Positioning

Competition
McDonalds Dunkin Donuts
Second Cup New World
Coffee
Caribou Coffee
Starbucks 10/31/2011

Action Plan & Recommendations
• Enhance atmosphere
– Entertainment to attract more customers
• Increase marketing
• Advertise
• Sales promotions
• Promote healthy products

Marketing Mix

Products of Star-
Bucks
Refreshers
Ice-cream
Natural Fusions
VIA Ready Brew
Coffees
Cold Beverages
Double shots
Iced Coffee
cakes

Price
• Starbucks offer Affordability to its customers.
• At the same time an never forgettable experience.
• They created an Environment in which wealthy & poor should enjoy the cup
of coffee.

Placement
• Starbucks stores are located around the world.
• Which is helping its target customer to reach it.
• Starbucks have large network then Mccafe of Mcdonalds.

Promotion
• Starbucks is not only using Marketing Concept while Marketing.
• It is using Societal Marketing.
• Which is helping the society to develop.
• For Example
• Starbucks in U.S.A is working with NGOs to help the country in
the time of disaster.
• i-e creating positive image in the eyes of society.

Starbucks & its SBUs

Marketing Mix
In terms of 4 C’s