MIS 201

In this article the researcher has discussed the background where the history of Starbucks company has been discussed showing when it was formed and the progress and developments that have occurred till date. The operations of Starbucks have been discussed showing how the company operates in countries and how many stores the company has in several countries. Organizational structure, strategies and technology involved in Starbucks are also discussed. 

Starbucks company is a company that is involved with the sale of coffee products. It was started in 1971 as a coffee company by selling coffee and other non-alcoholic beverages together with food. In 1997, the company started Teavanabrand that was majorly for sell of tea products, La Bounlangewas introduced in 1999 that was meant for the sale of French pastries and breads only, evolution fresh was founded in 1992, that involved only the production of nourished juices and foods. Starbucks corporation started the Seattleite’s best coffee in 1991 majorly for production of coffee, non-alcoholic drinks and food.  (Azriuddin, et al 2020)

Starbucks company operates in 65 countries globally as either direct stores which are operated directly by the company or the stores are operated as licensed stores in some of the countries. This company operates more than 21000 stores globally which include starbucks coffee, Teavana, and other stores as mentioned in the background of information. According to the yearly report generated by Starbucks company, 80% of the total revenue that were collected in the fiscal year 2020 from the stores that are directly operated by the company while 20% were collected from the licensed stores. 

The organizational structure of Starbucks is shown in the diagram below, the executive chairman of this company as shown in the organizational structure is Howard Schutz, whereas the president of the company is Kevin Johnson. The management board of the company is made up of seven people as shown. 

strategies for competitive advantage.

Starbucks has used several strategies to ensure that it gain a competitive advantage over other companies in the same industry. the first strategy used by this company is differentiating its products. Starbucks company offers product differentiation by ensuring customer excellence experience and production of quality coffee which is “ the Starbucks experience.” Differentiation is achieved through having well stores that are well designed with good ambiance and well qualified staff. (Richey, 2020).

Starbucks has introduced new stores known as Starbucks pick up only stores. These storesare technology based stores, there is no sitting in these stores for coffee. Ordering of Starbucks products is done online, by using the mobile app developed by Starbucks to  make orders and monitor the orders to collect it only when it is ready. Starbucks pick up only stores use the latest technology for shopping, which is cloud computing, as all orders are done online, processing of payment is done online and only customers have to collect their orders when they are ready. 

Another technology that is used by Starbucks is the Alexa technology. This is an app that is on amazon that helps in selling of the products of Starbucks on amazon platform. This works by only talking, it uses sound instead of typing the orders. Once a customer is identified by Starbucks for having purchased for the first time using the mobile app, they can be able to use the Alexa app on amazon to make their orders. (Chang, 2020)

Azriuddin, M., Kee, D. M. H., Hafizzudin, M., Fitri, M., Zakwan, M. A., AlSanousi, D., ... & Kurniawan, O. (2020). Becoming an International Brand: A Case Study of Starbucks. Journal of the community development in Asia, 3(1), 33-43.

Richey, L. A., & Ponte, S. (2020). Brand Aid and coffee value chain development interventions: Is Starbucks working aid out of business? World Development, 105193.

Chang, W. J. (2020). Experiential marketing, brand image and brand loyalty: a case study of Starbucks. British Food Journal.

Guidelines for the assignment:

· Make sure to include the cover page with all information required. One mark will be deducted if there is no cover page

· This is a group project (2-3 students), which is part of your course score. It requires effort, research, and critical thinking.

· Use font Times New Roman, 12 font size

· Use 1.5 line spacing with adjust to all paragraphs (alignment).

· Use the footer function to insert page number.

· Ensure that you follow the APA style in your project and references.

· The minimum number of required references is 5.

· Your project report length Part 1 & Part 2 should be between 2500 to 3000 words in total.

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· Your file should be saved as Word doc [Example]: [Your Name] [CRN] MIS201 - Project Assignment Part 1.doc