Running head: STRATEGIC INITIATIVE
Starbucks Corporation: Strategic Planning
LT A: Tracy Cooper, Darlene Fausto, Quatisha Gooden, and Dorthey Knight
University of Phoenix, Birmingham Campus
The four key factors that a company must look at before doing any kind of expansion are: 1) human capital, 2) goals, 3) strategy, and 4) focal points (Harnish, p. 1). If the company is able to get these factors right everything else will fall into place much easier, and the company will dominate that particular industry, and will have three to five times the industry profitability, will grow revenues at twice the industry average, and will have a great deal of cash, and most important customers and employees will be attracted to that company (Harnish, p. 1). Many times in Starbucks history others have asked, “Has Starbucks has reached its limits?” but each time Starbucks has responded by reaching even greater heights (Starbuck Corporation, 2009, p. 1).
The transformation planes include improving the United States business by introducing new exciting products and programs for the partners, and to enhance the stores in order to increase the focus on the customers (Starbucks Corporation, 2007, p.4). Starbucks will be slowing the pace of the U.S. stores’ growth and closing under-performing stores, accelerating expansion and increasing the profitability of stores outside the U.S (Starbucks Corporation, p. 3). Starbucks will be building for the long-term, both ensuring that their support is focused fully on advancing the customer experience, and expanding their international success (Starbucks Corporation, p. 3)
About a decade ago Conservation International and Starbucks began working together to integrate more environmental conservation into Starbucks coffee-buying practices to ensue production of high-quality coffee, this effort became known as Coffee and Farmer Equity (C.A.F.E.) (Starbuck...