Article:

The first Starbucks was opened in Seattle in 1971 by three partners, English teacher Jerry Baldwin, History teacher Zev Siegal and writer Gordon Bowker were inspired to sell high-quality coffee roasting entrepreneur Alfred Peet after taught them his style of roasting beans. The first Starbucks store was located in Seattle at 2000 western Avenue from 1971 to 1976. During this time, the company only sold roasted whole coffee beans and did not yet brew coffee to sell. In the mid 1980s they expanded domestically and opened their first store outside of North American in 1996 in Japan. A year later, they opened a store in the Philippines. Todays, Starbucks has more than 31,000 stores across 79 countries in 6 continents.

To analyze which countries, have the strongest expansion potential, we will look at the following indicators for various countries:

Starbucks 2017 store data

GDP by Purchasing Power Parity

Population

Ease of doing business index higher rating indicates simpler business regulation and stronger protections of property rights.

Top countries for Starbucks to expand their operation:-

Although theres worldwide growth potential, Asia is where Starbucks has expanded most, so we will analyze three counties in Asia such as China, India and Indonesia.

The main aim of Starbucks is to attain its position as a leading brand and retailer of finest coffee in both national and international market by selling high quality products, providing better services and build relationship between customers and the Starbucks also wants to become a global company and for this, it needs a development strategy. That will help it to adapt with variety market and local need. Moreover, Starbucks wants to launch itself as the most renowned and respected brand in the world. It also want to increase its branches all over the world in order to brad its retail business, develop new techniques, product and introduce new distribution channels in order to achieve its goals.

A spokesperson for Starbucks Canada has confirmed to Dished that the company will be closing up to 300 stores across the nation by the end of March as part of its next phase of store transformation. This news comes about six months after the coffee giant revealed it would be shuttering up to 200 locations across Canada over the course of two years, information the company released to stakeholders in June 2020. Many of these Starbucks stores have already permanently closed. Starbucks says the widespread closure is in response to a change in customer behaviour and preferences. Starbucks says most of the stores closing are located in metro, downtown core areas in Canada. The company says despite these closures the majority of stores will remain open in Canada as Starbucks repositions its store portfolio.

A decent cup of coffee is enjoyed by Canadians, but most prefer McDonald's and Starbucks to their homegrown rival, Tim Hortons.

With more than 4,300 locations around the country, coffee from Canadian icon Tim Hortons is not seen nearly as optimistic among Canadians. In reality, compared to the five different coffee chains, Tim Hortons came in last with just 49 percent of people interested in Tim Hortons discussing their coffee positively while a full 30 percent were negatively engaged in the product. Many people consider Tim Hortons coffee to be of poorer quality and not to taste as fine as its rivals, Polly found.

IS THIS ARTICLE INCLUDES external marketing environment, corporate and strategic planning, segmentation, retailing, positioning?

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