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2 pages/≈550 words
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Style:
APA
Subject:
Business & Marketing
Type:
Essay
Language:
English (U.S.)
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Topic:

International Opportunities: How does Starbucks identify basic appeal?

Essay Instructions:

International Opportunities - Starbucks opened its first store in Tokyo, Japan in 1996, and today it operates 24,000 retail locations in 70 countries. The chain has grown exponentially during its lifetime and has aspirations to open 500 new stores per year in China through 2021.
Instructions
In a two-page essay, answer the questions below and discuss the factors that influence how Starbucks determines optimal international opportunities. Your essay should use a 12 point font, be double spaced, and use APA formatting to cite references on the last page of your assignment. It should be submitted as a Word or PDF document.
Answer the following questions:
How does Starbucks identify basic appeal?
Explain the considerations that Starbucks has in assessing the national business environment of China as it expands. What are the cultural, political, and economic forces impacting their decision?
How does Starbucks measure and select the market site? Why do you think Starbucks chose China?
What are some of the steps Starbucks must take in selecting the market or site for their new locations?
What secondary and primary research do you think Starbucks uses in their evaluation?
What are some examples of other companies that you believe have similar opportunities for expansion in the global market? Why?

Essay Sample Content Preview:

International Opportunities
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How does Starbucks identify basic appeal?
Starbucks identify and establish basic appeal using its brand and personalized services. Personalized services include adjusting orders based on customer preferences, personal greetings, and always remembering regular clients' favorite orders. The company also offers quality coffee prepared and served according to each customer's taste and preference. Importantly, the company's branches are located in areas where customers can easily access them. A company appeals to people if its services have an element of respect and empathy (Wieseke et al., 2012). In the case of Starbucks, personalization establishes a human touch, which leads to a relaxing and enjoyable experience that aligns with its brand identity.
Explain the considerations that Starbucks has in assessing the national business environment of china as it expand. What are the cultural, political and economic forces impacting their decisions?
Any business organization aspiring to venture into any foreign market must carry out an in-depth assessment before setting up a marketing strategy. Therefore, Starbucks considered its capability, China's economic status, social-cultural factors influencing Chinese interactions, and legal factors influencing businesses, especially foreign companies. Political forces impacting Starbucks' decision regarding China include export policies, environmental and legal laws, and tax policies that impact foreign companies' revenues. Cultural influences include the Chinese lifestyle and traditional beliefs. Economic forces include inflation, interest rates, exchange rate, and economic growth.
How does Starbucks measure and select the market site? Why do you think Starbucks chose China?
Starbucks assesses and decides on its target market site based on demographic and geographic segments. Demographic factors include income, age, ethnicity, gender. Geographic segmentation includes the analysis of the market size and density of a region. Starbucks selected China because of the rising middle class that provides a ready market for coffee. Conventionally, it is believed that the Chinese love tea. However, there is a growing desire for American coffee. In the last decade, c...
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