Stabucks Swot

Business Analysis

William Ekpenyong


21TH November, 2011
Instructor – Mike Riha
Business Analysis
      According to Starbucks, (2011). Starbucks Corporation is a dealer in coffee retailing, its product is known as specialty coffee product, with operation in many countries around the globe, headquartered in Seattle Washington State of the United States of America. Its operation includes regions like the Asia Pacific the Europe, Middle East, and Africa, presence is also felt in the Latin American region. The Starbucks Corporation has employees of about 137,000 people. With most of the retail stores operating under franchise licenses.   The revenues Starbucks recorded were $10,707.4 million in the financial year ending September 2010 (FY2010), boasting an increase of 9.5% compared to the FY2009. The Corporation had operating profit of “$1,419.4 million in FY2010 compared to an operating profit of $562 million in FY2009. The net profit was $945.6 million in FY2010 compared to a net profit of $390.8 million in FY2009” (Starbucks, 2011).
      The Starbucks Corporation known for its delicious premier retail roasted specialty coffee has its influence in 50 countries of the world, the operation is done under its exclusive signature ownership and licensed retail franchise stores. The presence of Starbucks in global market, is an indication of its intention of establishing its operation worldwide, while expanding into new regions of the world living its foot print and reducing its dependency on few markets. The Corporation may in future by the increasing cost of its major raw coffee bean (Starbucks, 2011).
The increasing expansion into many geographic regions
Continued expansion into new distribution channels
Relentless research and development results in innovation and strengthened the product quality.
Recall of appliances and associated coffee products could affect the brand image