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Starbucks - Business Case Study


After all he was in Seattle, the corporation's home as well as the home of the original store in Pikes Place Market. .
             The lieutenant chose a local Starbucks near his base to satisfy his temptation. He was not even sure if he wanted to drink coffee, but he knew he wanted to go inside. It did not hurt that most of the cliental seemed to be Starbucks traditional market, college educated females from age 22-35 years old. Once inside, the the fresh smell of brewing coffee mixed with different spices from around the world struck him with a calming effect; the music was soothing and relaxing, and lastly, the baristas greeted him with his name (he was wearing his uniform) and thanked him for his service. Looking up at the board, he noticed a selection of choices that seemed to be in a foreign language. Yet the barista was engaging and walked him through what he wanted which ultimately amounted to a 'venti' hot chocolate. Even with a full explanation of the choices, the entire ordering process was only 3-5 minutes. Afterwards, the young lieutenant sat down on a relaxing couch, sipped his beverage and listened to soft, soothing tones of an acoustic artist from the Seattle area playing on the sound system. Suddenly, the War on Terror and an impending deployment walked out his mind for a few moments. It was an escape. Today that Lieutenant is no longer in the army, and he has moved back east. Through the years he graduated from hot chocolates, to iced-coffees, to Pike's Place Roasts, and to even some exotic products like "Caramel Macchiato's." He is loyal to the brand and visits a Starbucks 5-10's a month. Each visit, no matter the store location, he escapes to the Pacific Northwest. Whether it is the music, the smell, the language, or the baristas, being inside a Starbucks simply makes him smile. Starbucks has this customer, because of a decision sponsored by Starbucks executive Christine Day in 2002, to invest $40 million into the 4,500 company stores to improve or maintain the "coffee experience.


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