Upload
sonya-dewi
View
265
Download
0
Embed Size (px)
Citation preview
7/23/2019 Tugas Pak Zein
1/28
Good morning my dear colleague, its a pleasure to be here . Thank you very much for coming
today, and its great to have Mr.Zein Arifin here with us as you all know he guiding us for
preparing our presentation.
My talk today entittled Starbucks s strategic analysis Past decision and future options
7/23/2019 Tugas Pak Zein
2/28
ell, ladies and gentleman the ob!ective of my presentation today is describing the "tarbucks
past decisions and their new strategies
7/23/2019 Tugas Pak Zein
3/28
#m going to divide this talk into $ chapters. The first chapter namely "tarbucks snapshot, in this
part # will describe about who is "tarbucks, overview about their history and some data about
their e%pansion. Moving on to ne%t chapter # would like to e%plain what is "tarbucks original
generic strategy , # will elaborate this later. &e%t we have Michael porters five forces analysis
past ' present comparison, this model is to develop an optimum strategy for success based on
specific parameters.
Turning to chapter ( # will describe some factors behind "tarbucks success
7/23/2019 Tugas Pak Zein
4/28
)aving thoroughly analy*ed the past, present and future of the specialty coffee industry and the
general strategies necessary to attain success, in chapter + # would like to e%plain some
recommendation for "tarbuckss future action. The last chapter of my presentation is summary
' conclusion.
ell, if everyone is ready lets start
7/23/2019 Tugas Pak Zein
5/28
This is the picture of first store in "eattle,ashington. ight now, "tarbucks become world
leading coffee company
7/23/2019 Tugas Pak Zein
6/28
7/23/2019 Tugas Pak Zein
7/28
"tarbucks was established in -/- in "eattle by 0 scholars. At first they speciali*ed in whole
beans coffees, later move to espresso drinks and other baverages
This is the 0 founder of "tarbucks
7/23/2019 Tugas Pak Zein
8/28
This is )oward "chult*, the 123 of "tarbucks. #n -45, he was hired as a director of retail
operation. hile on a business trip in #taly he visits famous espresso bar, he sees potential in
"eattle. "chult* wanted to bring the #talian caf6 culture to the 7nited "tates. "elling espresso by
the cup was the first test, he began working with the founder 8erry 9aldwin
7/23/2019 Tugas Pak Zein
9/28
"chult* left 9aldwin to open his own and raised money from investors to purchase the #talian
1offee )ouse Giornale.
#l Giornale ac:uires "trabucks assets in -4/ with the backing of local investor and changes its
name to "tarbucks corporation.3pens in 1hicago and ;ancouver 1anada. At that time, total store
-/.
7/23/2019 Tugas Pak Zein
10/28
&ow, turning to "tarbucks mission, this is the mission of "tarbucks now and then. To accomplish
current mission, "tarbucks has seven principles which is 3ur 1offee, 3ur
7/23/2019 Tugas Pak Zein
11/28
=et us proceed to "tarbucks menu. 9asically, there are 0 products > drink, food and merchandise.
ight now there are more than 0? blends ' premium coffee, as we can see from that picture they
sell various fresh food like sandwiches, salad, pasteries ' baked, beside that they also offer
Merchandise for e%ample coffee tea brewing e:uipment, mugs, coffee makers etc.
7/23/2019 Tugas Pak Zein
12/28
=ets now take a close look at this bar graph. This is the bar graph of "tarbucks retail e%pansion
from -4/ to 5?-? . This bar graph show us the trend between -4/@-0 are stable this is due to
"tarbucks e%pands beyond "eattle, first to the rest of the 7nited "tates, then the entire world.
=adies and gentleman,as you can see This bar graph show us a significant rise in the "tarbucksretail e%pansion ,its more than doubling every two years , with (5+ stores in -( to -??$ stores
in -$, and its keep growing until now. This is due to their integrated strategy e to e%pand their
brand around the world. 2ssentially, it was "tarbucks mission to have a green twin tailed siren on
every street corner. ight now "tarbucks have 5?.-+ stores across the world as we can see in
this picture below
7/23/2019 Tugas Pak Zein
13/28
7/23/2019 Tugas Pak Zein
14/28
The ne%t area #d like to focus on strabucks original strategy. As defined by Michael overall cost leadership, differentiation and
focus
3verall cost leadership can be done through tightly controlling overhead, avoiding marginal,
less profitable consumers and sacrificing research and development, customer service,
advertising and other areas not pertinent to the direct manufacturing of a product.
ifferentiation ,This can take on many different forms including but not limited to brand image,
technology, features, dealer ,networks and customer service.
The last generic strategy mentioned is focus, which targets a particular group, geographic
market, or segment of a given product line
7/23/2019 Tugas Pak Zein
15/28
=ooking at the characteristics of a company pursuing the generic strategy of focus, as illustrated
by Michael
7/23/2019 Tugas Pak Zein
16/28
Moving on now to success factors of starbucks. This is the three factors behind their success #
will elaborate one by one
7/23/2019 Tugas Pak Zein
17/28
#n todayBs interconnected world it is important to develop a feeling of community. ay
3ldenburg, a Clorida sociology professor, attributes much of "tarbucks success to its ability to
offer this third place or as he puts it, the great good place in modern society. Two of the most
prevalent themes during the -?s and early millennium were that of increasing numbers of
people working from their homes and the increasing use of the #nternet and mobile computing
devices capable of accessing it. Today, "tarbucks has gone to great lengths to take advantage of
these environment change. Cor e%ample, they have recently struck a deal with AT'T, which will
allow them to offer free wireless internet access to some customers at the ma!ority of its 7"
stores.
7/23/2019 Tugas Pak Zein
18/28
The second factor is employee satisfaction. Crom the perspective of the "tarbucks corporate
team, the :uality of the baristas and other employees was the most important ingredient of
"tarbucks success, ne%t to the specialty coffee itself. 9y involving all employees in the e:uity
success of the company, "tarbucks effectively created a clear incentive for employees to both
reduce costs and treat customers with e%ceptional service.
7/23/2019 Tugas Pak Zein
19/28
The last facor of starbucks succsess is maintaining :uality of Arabica beans. There are many
different reasons why an organi*ation such as "tarbucks would undertake a strategic alliance
with an organi*ation such as 1onservation #nternational. "ome of the primary reasons include
the attempt to reduce risk, the attainment of economies of scale, preemption of competition, an
attempt to overcome government barriers.
9y collaborating publicly with 1onservation #nternational, "tarbucks stands to increase their
legitimacy with other &G3s, thus reducing the risk of protests and the negative implications
those protests would have on their brand image. This alliance also allowed "tarbucks to attain
economies of scale in regards to their ability to contribute positively to the community and the
environment
7/23/2019 Tugas Pak Zein
20/28
&ow we turning to Michael porters five forces analysis. #n this part # compare between past and
present in order to make us undrestand the different between past and present starbuckss
environment. The first comparison is industry rivalry The environment in which the specialty
coffee industry had to compete during the late -4?s was made up of both product based
competition and retail@based competition, they now compete against companies of varying si*es
and different e%posures to specialty coffee.
Turning to second factor the potentials for new entrance 1umulatively, the barriers to entry seem
high in the specialty coffee industry in the late -4?s due to high product differentiation, high
speciali*ed capital re:uirements . &owdays it can be ascertained that the barriers to entry in the
specialty coffee industry have increased substantially. As a conse:uence, the potential threat of
new entrants has gone down.
=et us proceed to the third factor
7/23/2019 Tugas Pak Zein
21/28
#n the past, the only true direct substitute for specialty coffee available was basic coffe. )owever,
basic coffee was considered to be of significantly lower :uality than specialty coffee. As a
result, it actually presented the industry with little threat of substitution. Today, Many companies
that presented the specialty coffee industry with a threat in the form of substitute products have
actually entered the industry and now compete directly by offering their own premium coffee
selections. The primary substitute products still posing a threat to the specialty coffee industry
are the caffeinated soft drinks offered by
7/23/2019 Tugas Pak Zein
22/28
or supplier costs which greatly reduces their bargaining power. The amount of bargaining power
that can be e%erted by the buyers within the specialty coffee industry today,has increased as a
result of the availability of information regarding market variables. This along with the other
previously discussed changes to the dynamics of buyer bargaining power has increased its
overall magnitude from the level it was at in the late -4?s.
The last factor is the suppliers bargaining power. hen comparing the bargaining power of
suppliers today in the specialty coffee industry to the bargaining power of suppliers during the
late -4?s, it is apparent that suppliers are more powerful today. The increased unity among the
coffee farmers, decreased significance of specialty coffee retailerBs purchases as a proportion of
premium coffee bean sales and increased importance placed on high :uality coffee beans by the
purchasers have all acted to increase the bargaining power of the supplier group.
7/23/2019 Tugas Pak Zein
23/28
=ets turn now to recommendation for future action. )aving thoroughly analy*ed the past,present and future of the specialty coffee industry and the general strategies necessary to attain
success, a list of recommendations specific to "tarbucks can be ventured. Cirst, increase
international e%pansion . The international market provides an ideal target for e%pansion because
the lack of penetration of specialty coffee in many nations and the potential market share which
these nations represent.
The second ,rewards program "tarbucks should concentrate on creating more elaborate
discounting techni:ues to employ with their most fre:uent customers. This both eliminates thepotential degradation of the "tarbucks brand and increases the bond customers will e%perience
with "tarbucks.
&e%t, "tarbucks should create a more business and technology friendly atmosphere in its stores.
The meeting space should be offered at a per hour rate while the printers should charge per copy.
7/23/2019 Tugas Pak Zein
24/28
=astly, increase connection with customers, "pecifically, "tarbucks encourages feedback from
their customers to induce a family like feeling and instructs all baristas to greet every customer
with the :uestion Dhow are you doing todayEF. To further increase this emotional connection
with their customers, "tarbucks could implement digital picture frames in all store locations and
upload local customer photos and perhaps even customer supplied family photos, which are
appropriate in nature, upon re:uest.
7/23/2019 Tugas Pak Zein
25/28
Cinally, let me remind you of some of the issues weBve covered. The first
starbucks store opened in seattles pike place market in -/- and the company grow
7/23/2019 Tugas Pak Zein
26/28
to be largest roaster in ashington with multiple location in early -4?.The "tarbucks
3riginal Generic "trategy is differentiation and focus. "ince the 5?? recession, the
company has sharpened its focus on increasing international store count to mitigate
the risks attributable to local unfavorable economic conditions. #t has also been
attempting to improve international brand awareness.
Their success was fostered as a result of some action taken by starbucks.the
starbucks aggressive e%pansion plan was more ambitous than any other speciality
cofee retailer. At starbucks, employee satisfaction also played a pivotal role in their
success Cactor which added to their success was their ability to consistently produce
the highest :uality speciality coffee 3vertime the speciality coffe industy has become
much more competitive.
7/23/2019 Tugas Pak Zein
27/28
Cinally, we can conclude that "tarbucks corporation has arguably been the most
successful coffee chain in the pas t few decades, using their aggressive e%pansion
strategies to push out much of its competition.Through its e%pansion, starbucks has
focused on creating a dense network of stores all around America, while also opening up
new location around the world .
7/23/2019 Tugas Pak Zein
28/28
# think thats all my presentation entitled "tarbuckss strategic analysis@ past decision and future
option. Thank you for your time and your attention. As always, let me know if you have any
:uestions about presentations or this particular topic by email me.