Question: In order to create a shopping experience that would justify consumers time and money, some vendors have experimented with in-store technology such as internet- connected

In order to create a shopping experience that would justify consumers time and money, some vendors have experimented with in-store technology such as internet- connected kiosks and portable Wi-Fi devices that allow music sampling while roaming the store. Starbucks is opening coffee houses that offer 3,000 square feet of warmly lit space where you can linger with a latte/coffee while you listen to music and sift through thousands of songs stored in a computer database to create your own personalized masterpiece. In about five minutes a freshly burned CD complete with your own chosen title and funky artwork on the disc is ready for you to take home as you enjoy the beautiful ambiance and free Wi-Fi. It also provides a cool and clean environment.

Required

a) What key competitive priorities can you identify in a company like Starbucks? (8 marks)

b) Which facility layout type would be ideal for Starbucks? Give reasons for your choice (5 marks)

c) What factors would you consider in locating businesses such as Starbucks? (7 marks)

d) Faced with less capacity to meet demand, what would you recommend as the best capacity addition strategy for Starbucks? (5 marks)

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a The key competitive priorities for a company like Starbucks include Product Quality Starbucks is known for its highquality coffee and other products They strive to provide their customers with the b... View full answer

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