Identify a few specific opportunities for Starbucks based on the "Jobs To Be Done" (JTBD) or "Product/Needs" models. Using that info, how can Starbucks differentiate itself from competitors doing these jobs?

 

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MOHANBIR SAWHNEY Starbucks: Driving Growth Through New Dining Occasions When Howard Schultz returned to Starbucks as CEO in early 2008 after eight years, he concluded that Starbucks had lost its way in its quest for growth. In an interview in 2011, he commented that growth at Starbucks had become a "carcinogen" and that the company needed to pursue a strategy of healthy growth." According to Schultz, when growth is seen as a strategy it becomes seductive and addictive. He set about returning Starbucks to a more disciplined approach to growth. In the first few years, Schultz focused on the fundamentals-returning Starbucks to its roots of creating a national brand around coffee and offering a unique experience in the Starbucks stores. The growth strategy from 2008 to 2013 sharpened focus on the core business of coffee and pursued growth in both emerging markets and new products and brands like VIA instant coffee to leverage the Starbucks retail store footprint. The Five-Year Growth Plan-2014 to 2019 In December 2014, Starbucks announced the next phase of its growth strategy. It laid out ambitious five-year goals that included nearly doubling revenues (from $16 billion to almost $30 billion), doubling operating income, and operating more than 30,000 stores globally by 2019. Allen Webb, "Starbucks' Quest for Healthy Growth: An Interview with Howard Schultz," McKinsey Quarterly, March 2011, http://www.mckinsey.com/global-themes/employment-and-growth/starbucks-quest-for-healthy- growth-an-interview-with-howard-schultz. 2018 by the Kellogg School of Management at Northwestern University. This case was prepared by Professor Mohanbir Sawhney. Cases are developed solely as the basis for class discussion. Cases are not intended to serve as endorsements, sources of primary data, or illustrations of effective or ineffective management. Some details may have been fictionalized for pedagogical purposes. To order copies or request permission to reproduce materials, call 800-545- 7685 (or 617-783-7600 outside the United States or Canada) or e-mail custserv@hbsp.harvard.edu. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means-electronic, mechanical, photocopying, recording, or otherwise-without the permission of Kellogg Case Publishing. This document is authorized for use only by Zain Rehman in Marketing Management - GLEMBA - Spring 2023 taught by Maria Albrecht, University of Texas at Dallas from Jan 2023 to Jun 2023. MOHANBIR SAWHNEY Starbucks: Driving Growth Through New Dining Occasions When Howard Schultz returned to Starbucks as CEO in early 2008 after eight years, he concluded that Starbucks had lost its way in its quest for growth. In an interview in 2011, he commented that growth at Starbucks had become a "carcinogen" and that the company needed to pursue a strategy of healthy growth." According to Schultz, when growth is seen as a strategy it becomes seductive and addictive. He set about returning Starbucks to a more disciplined approach to growth. In the first few years, Schultz focused on the fundamentals-returning Starbucks to its roots of creating a national brand around coffee and offering a unique experience in the Starbucks stores. The growth strategy from 2008 to 2013 sharpened focus on the core business of coffee and pursued growth in both emerging markets and new products and brands like VIA instant coffee to leverage the Starbucks retail store footprint. The Five-Year Growth Plan-2014 to 2019 In December 2014, Starbucks announced the next phase of its growth strategy. It laid out ambitious five-year goals that included nearly doubling revenues (from $16 billion to almost $30 billion), doubling operating income, and operating more than 30,000 stores globally by 2019. Allen Webb, "Starbucks' Quest for Healthy Growth: An Interview with Howard Schultz," McKinsey Quarterly, March 2011, http://www.mckinsey.com/global-themes/employment-and-growth/starbucks-quest-for-healthy- growth-an-interview-with-howard-schultz. 2018 by the Kellogg School of Management at Northwestern University. This case was prepared by Professor Mohanbir Sawhney. Cases are developed solely as the basis for class discussion. Cases are not intended to serve as endorsements, sources of primary data, or illustrations of effective or ineffective management. Some details may have been fictionalized for pedagogical purposes. To order copies or request permission to reproduce materials, call 800-545- 7685 (or 617-783-7600 outside the United States or Canada) or e-mail custserv@hbsp.harvard.edu. No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means-electronic, mechanical, photocopying, recording, or otherwise-without the permission of Kellogg Case Publishing. This document is authorized for use only by Zain Rehman in Marketing Management - GLEMBA - Spring 2023 taught by Maria Albrecht, University of Texas at Dallas from Jan 2023 to Jun 2023.