Contents
This paper answers the following questions on the case study - - Answer all questions; each question has equal weighting (25 marks each)
- 1. Discuss the nature of the strategic options and choices faced by Starbucks and its operation, while considering the competitive nature of Starbucks’ business management. Explain what lessons are developed from Starbucks’ growth story that may help other firms.
- 2. Examine the principles and concepts that drove Starbucks to start expanding internationally. Discuss how the company created value for its shareholders by pursuing its international expansion strategy, via various methods of entry strategies.
- 3. Critically discuss the problems Starbucks may face in its continued international expansion and examine the value of the existing entrepreneurship and cultural ideologies that may or may not lead to future developments. Discuss the use of foreign direct investment in Starbucks’ expansion strategy.
- 4. Critically evaluate the ethical and cultural value in Starbucks’ push for ethical processes in its business expansion via exports and imports of coffee beans. Starbucks adheres to a “fair trade” program that requires the use of international trade; consider the limitations of international trade theory in Starbucks’ business activities. And evaluate how fair trade and the Starbucks Foundation may benefit Starbucks and the external environment.
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