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Starbucks Is A Company Built "One Cup At A Time"

1654 words - 7 pages

Starbucks is that rare business story, a company that has single-handedly brought life to an old commodity and established anew. Thirty-three years ago few US consumers drank premium coffees like lattes, and espressos let alone pronounced them correctly; today millions do. It is all part of a coffee trend that Starbucks largely started. More than a fad product, an entirely new food 'agenda' is taking shape. Starbucks has had great success in developing its company. Unlike many traditional consumer companies, such as Proctor & Gamble, Starbucks did not develop its name through the supermarket. Rather, Starbucks grew its reputation through company owned retail outlets. These outlets, which combine company standards of design with location-specific tailoring, are the engines that have powered Starbucks growth. Starbucks first store was opened in 1971 at a waterfront in Pike's Place. This tiny Seattle based chain with innovative ideas of how to do business exploded in a few years and has changed the process of drinking coffee not only in US but worldwide. Starbucks has since exploded turning coffee shops into a global trend. According to figures found on starbucks.com, there were one hundred and sixteen Starbucks in the country in 1991, and then by 1996, there were one thousand fifteen. As of today, they now have over 8,000 stores in numerous different countries in every hemisphere, all for the purpose of serving the best quality coffee and products. With so many company owned stores across the world and with the intention yet of increasing, the company has transformed coffee into a lifestyle accessory with as much elegance as the latest fashion trend.Starbucks Coffee is an example of a successful international launch of a U.S. business. Howard Shultz CEO, and writer of, 'Pour your Heart into it', says 'since our first international store opened in Japan in August 1996, we have demonstrated the power of the Starbucks brand and the relevancy of our in-store experience to consumers worldwide'. He also said, 'We embarked on a growth plan to build a global company and today we are recognized as one of the leading brands worldwide. Starbucks success was built on two things:1) the store experience (Starbucks' image)And2) the quality of its productswhich consumers believe "really is a better cup of coffee". As it has grown the company has reported years of revenue growth of over 50%. Starbucks Coffee is a part of an American culture that has proven not only to be a successful company, but also one of great morals and business ethics. Starbucks made coffee not only 'cool' but created an immensely successful business. Starbucks success was not always so easy. Back in the 70's, there were no signs of coffee as a strong business. Coffee consumption in the US peaked in the 1960s, but by 1971 was on a steady decline. Following price fluctuations in the 1950s and 60s, several quotas for how much coffee was to be produced were set. These quotas helped keep...

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