Question

Class: Marketing Management

Mission and Vision play a major role in the strategic planning process. Basic questions about our business need to be confirmed (see chapter two). The mission statement provides information about the special purpose of the firm, its opportunities, and direction. A vision looks beyond the mission to envision a future; it provides added challenge and creative tension for the firm.

Search for information about Starbucks. (A supplemental video is included in the Content area) and then answer the following questions. Discussion 2 is due by 11:59pm CT Sunday night.

1. What is the business?
2. Using Porter’s generic strategies (p.52) which strategy is Starbuck’s pursuing?
3. Who is the customer?
4. What is the value provided to the customer?
5. Does the company espouse any values?
6. What societal changes might account for the success of Starbucks?
7. What is the company’s mission?
8. Develop a vision for the future of Starbucks.

Answer 1

• Starbucks is a coffee house chain. It is known for taste and quality; the company provides great customer experience in its stores.
• The company’s generic strategy is to provide specialty coffee products which differentiates it from other companies. According to Porter’s model this is the differentiation strategy for the company. The intensive growth strategy is to used for the company’s growth and expansion. These intensive strategies for growth is directly linked with the company’s generic strategies to provide specialty coffee products to maximize the revenue of the firm.
• The target customers of Starbucks are men and women who are aged between 25 and 40.
• The value that Starbucks delivers to the customers is great experience and not only the just coffee. The company’s value drivers are mainly flavors, tastes, store ambience, customer experience and a personal touch with the customers. The personal connection with the customers is considered highly important by customer in this technological driven world.
• The company espoused the value of provide great customer experience to the customers.
• The environmentally social activities account for the success for the company.
• The company’s mission is to inspire the customers and nurture human spirit through a cup of coffee and one neighborhood.
• The company’s vision statement focuses on leadership in the coffee industry by providing value to the consumers. I recommend that the company focuses on high quality and low cost leadership in the industry.