Starbuck case

Conclusion

The transformations adopted by Starbuck Corporations were informed by the need to improve performance of the company and to deal with different challenges in the dynamic and competitive market. The firm adopted strategic planning and decision making that introduced changes on overall performance, employee engagement and leadership culture. After adopting these changes that involved product diversifications, the management hoped to gain the ability to increase income generation at a rate that is higher than revenue generation. The achievement of this capacity seems to indicate that the company has attained consistency in delivering good results. While it seemed like the firm had succeeded in attaining an effective winning strategy, questions abound relating to whether the company can utilize its strategies to counteract the slowing of its major U.S coffee shop business. The other issue is whether the company can manage to face of a growing number of competitors in the industry whose products are more customers focused.

To address these issues the company should not wait take reactionary measures like before after performance was affected. To address the declining U.S coffee shop business, the company should implement proactive strategies aimed reversing the declining business through arresting the situation before it gets out of hand. To do this the firm should conduct market survey to determine the reason for the decline in its coffee market demand and come up with real time solutions that will improve its position by increasing market share. Achieving the desired goals requires management to carry perform a qualitative measure on customer satisfaction and use the results for corrective decisions (Jakhotiya, 2013). To deal with the growing number of competitors, the business should use the various strategic tools and planning it adopted to gain competitive advantage through customer satisfaction.

Reference

Jakhotiya, G. P. (2013). Strategic Planning, Execution, and Measurement (SPEM): A Powerful Tool for CEOs. CRC Press.21-27