LEARN MORE...

Starbucks Corporation Social Performance of Organizations Paper

Content type

User Generated

Subject

Business

Type

Essay

Uploaded By

oxylaphgvr

Pages

Showing Page:

1/4

SOCIAL PERFORMANCE OF ORGANIZATIONS

Brandi White

Professor Rodney L. Baker

May 7, 2020

Strayer University

Showing Page:

2/4

Social Performance of Organizations

Introduction

Starbucks Corporation is a firm that has been built on customer satisfaction, high quality, and

environmental responsibility. Recently, the firm has been expanding beyond the coffee, along

with increasing its menu with diverse gourmet-style foods. The study discusses the nature,

structure along with the type of products offered by Starbucks. It also delves into the critical

factors in its external environment that affects its success. Besides, it highlights the ways that the

primary stakeholders are can impact the financial performance of the firm while looking at the

controversial corporate social responsibility associated with it.

Nature, structure, and type of products

In 1971, Starbucks Corporation was founded as an American company in Seattle, Washington.

The company is a premier roaster, retailer as well as a marketer of specialty coffee around the

globe. It has over 180,000 employees throughout its 19,767 stores operated by the company and

licensed in more than 60 nations (Gereddy, 2020). Most importantly, its product mix comprises

roasted along with handcrafted, high-quality/premium-priced coffee and tea, assorted fresh food

items coupled with other beverages. It also sells numerous coffee together with tea products

along with licensing its trademarks via different channels like licensed stores, national and

grocery foodservice accounts. Besides, the firm markets a mix of its products with numerous

brand names within its company's portfolio. They comprise Verismo, Starbucks VIA, Teavana,

Evolution Fresh, Seattle's Best Coffee, La Boulange, Tazo, and Starbucks Refreshers.

Importantly, Starbucks undertakes its operations along with competes in the snack store together

with the retail coffee industry. In 2009, the industry faced a significant slowdown as a result of

the economic crisis coupled with the changes in consumer tastes. During this period, the revenue

of the sector in the US dropped by over 6% to $25.9 billion (Geereddy, 2020). Before this, the

industry had experienced a decade of consistent growth. As a result of the economic snarl-up, the

consumption behavior of consumers has been less on luxuries, including earing out, as well as

for opting for low-priced items rather than expensive coffee drinks. From 2008 through to 2013,

the growth of the industry has been at a low annualized average rate of growth of below 1%,

with current revenues in the industry at $29 billion. Notably, Starbucks dominates with a lion

share of the market of 36.7%, followed by Dunkin Brands along with other rivals such as Tim

Horton, McDonald's, and Costa Coffee taking the rest. It is worth noting that Starbucks operates

in four segments, including the Americas, inclusive of Latin America, US and Canada, Europe,

Africa, and the Middle East as well as China/Asia Pacific (Sakal, 2018). Notably, it also as

various non-reportable operating segments. The most mature business comprises America's

section with the most significant scale.

Critical external factors influencing Starbuck's success

Economic factors

The high growth of developing nations where Starbucks operates in conjunction with the

declining rates of unemployment creates opportunities for the firm to gain significant revenue

from the different markets around the globe. Notwithstanding, the increasing costs on labor is an

Showing Page:

3/4

End of Preview - Want to read all 4 pages?

Access Now

Unformatted Attachment Preview

SOCIAL PERFORMANCE OF ORGANIZATIONS Brandi White Strayer University Professor Rodney L. Baker May 7, 2020 Social Performance of Organizations Introduction Starbucks Corporation is a firm that has been built on customer satisfaction, high quality, and environmental responsibility. Recently, the firm has been expanding beyond the coffee, along with increasing its menu with diverse gourmet-style foods. The study discusses the nature, structure along with the type of products offered by Starbucks. It also delves into the critical factors in its external environment that affects its success. Besides, it highlights the ways that the primary stakeholders are can impact the financial performance of the firm while looking at the controversial corporate social responsibility associated with it. Nature, structure, and type of products In 1971, Starbucks Corporation was founded as an American company in Seattle, Washington. The company is a premier roaster, retailer as well as a marketer of specialty coffee around the globe. It has over 180,000 employees throughout its 19,767 stores operated by the company and licensed in more than 60 nations (Gereddy, 2020). Most importantly, its product ...
Purchase document to see full attachment

Tags: social performance of organizations Starbucks Corporation Customer satisfaction business management snack store