Strengths ?Global presence Starbucks has a widespread global presence. The company operates nearly 13,168 retail inclose locations. The companys widespread presence provides it with widespread brand recognition and a blind drunk customer base. ?A disciplined innovator Starbucks is a disciplined innovator. The company effectively manages its first appearance time line generating consistency in same enclose sales. Starbucks ability to roll out new products relatively chop-chop is a considerable competitive advantage for the company. ?Increase in revenues and profits The company recorded revenues of $5294.2 million during the year ended kinfolk 2004, an increase of 29.9% over 2003. The companys revenues grew at a heighten annual growth rate of 25% from financial 2000 and fiscal 2004. This significant rise in revenues provides the company with a strong financial base and enables it to undertake new business ventures. ? clustering of company units With the continued growth of the coffee market, the company has looked to fill out its business, including those areas where it has an established presence. Starbucks has targeted clustering its units so as to dominate position areas.
A strategy of unit clustering, and a focus on stores that have convenient access for pedestrians and drivers, represents further opportunity for Starbucks to seizure an increasing share of the coffee market. ?Fortune Magazines blow best list of companies to work for. Weaknesses ?Reliance on US market Starbucks, headquartered in Seattle, derives approximately 85% of its revenue from its domestic US market. Given the company is an international brand with wide ranging operations, it should be looking to generate a greater proportion of revenues from remote the US. ?Reliance on beverage innovation An important long-term encounter to the companys stock is a lower valuation caused by a slowdown in US sale store growth. Starbucks store sales growth has been largely driven by beverage... If you want to get a full essay, order it on our website: Ordercustompaper.com
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