Starbucks Corporation: Strategy Analysis

The Starbucks business commerce is trade, and the products include coffee drinks and coffee related products. Since the company has thousands of branches throughout the world, it is very convenient to “run in and out” and grab a coffee. Starbucks has a very loyal customer base and high profit margins. Through the loyal customer base and always being

Analyze the corporate-level strategies for the corporation you chose to determine the corporate-level strategy you think is most important to the long-term success of the firm and whether or not you judge this to be a good choice.

After review the information on past and estimated in the future, company, products, competitors and branding, I recommend the following strategy:

Corporate-level strategies are liable for market definition; they address the entire scope of the business. This strategy helps a business to diversify its service. It gives them direction in which geographic region they should operate and which service markets to strive in. “Thus, an effective corporate-level strategy creates, across all of a firm’s businesses, aggregate returns that exceed what those

Strategy formulation has been acknowledged as one of the most crucial factors of ensuring the long-term growth of the business. However, the manner in which strategy is formulated, and most importantly, the nature of the strategy chosen for the company determines its future position in the marketplace (Grant, 2005).

In a nutshell therefore, the corporate-level strategy would make decisions regarding strategic alliances, diversification, resource allocation, acquisition, and new business ventures formulation (Thomas, n.d).

Strategy is a tool to prepare and implement plans in time to come. The business level strategy guides an organization, UBA in this case, to analyze its competitive environment and understand its clients, suppliers and competitors. The corporate level strategy helps decide which business areas to operate in and which markets to enter remain or quit. It tells about the level of diversification that suits business. In educational sector, an organization can choose to remain confined to single campus or grow beyond to offer courses in several different areas. UBA is currently offering 25 majors courses in the field of business and administration.

(b) Communicating to middle and lower management is crucial when implementing corporate strategy. They are the ones who are doing the physical work, they are the face of the customer. Having them working towards the main goal, which has been determined by the strategy, will help the customers perceive the organization the way it wants to be viewed. If the strategy isn’t created with the lower and middle management considerations and opinions in mind they might not agree with the direction they company is trying to head and will not support it. This would not be a good situation to have at hand because without all levels of the organization being on the same page the implementation of strategy will be weak.

Thus Starbucks has to treat the environment with respect to leave little waste for the environment to consume, have efficient processes, low energy costs, high degree of recycling, high product quality, high social standing and high levels of customer satisfaction. It becomes a Win-Win Strategy for the Starbucks enabling it to improve its environmental or cultural record while reducing costs and/or increasing competitiveness and productivity.

The concept of corporate strategy battles with the perennial issue of determining the overall purpose and scope of an organisation. From a contemporary perspective, it involves the specification of long-term goals and objectives that will add value to the business and cope with the uncertainty of modern times. As a practice, it consists of adopting courses of action and allocating resources in ways necessary for carrying out the overall objectives.

The above ideas on how to address the opportunities in the Starbucks case are prioritized from highest to lowest ideas. The criteria used was looking at solving the key gaps, providing for long term sustainability, positively impacting the company’s profitability, and cost of solution. The top three will be explored in further detail below.

A Company can only gain its market position and to survive in business through sustainable business development. Hence, to gain competitive advantages, it is essential that every company has a better strategy which will finally help them to turn their weakness in to strengths and threats into opportunities. According to Johnson and Scholes, he defines strategy as “the direction and scope of an organization over the long-term: which achieves advantage for the organization through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfill stakeholder expectations" (tutor2u, 2015). In order to determine and identify the best strategy, internal and external environmental factors that affect company should be fully understood. A thorough strategic analysis needs to be done to help businesses understand where their companies best fit into the wider marketplace. The strategic analysis of the company aims mangers to think about the key influences on the company's current position and to begin thinking about how those influences can be manipulated to get the company where it wants and

This strategy level seeks to determine what businesses a company should be in or wants to be in. Corporate strategy level determines the direction that the organization is going and the roles

Corporate strategy is the game-plan developed by top management for how a corporation intends to compete within its respective industry (Goold et al. 1995). It concerns two main issues; what business should the company be in and how the corporate office

Seattle, Washington USA. It was founded in 1971 with the sole mission to bring the unique