Starbucks Coffee Company was founded in 1971, opening its first location in Seattle's Pike Place Market. Starbucks is the world's leading retailer, roaster and brand of specialty coffee with coffeehouses in North America, Europe, Middle East, Latin America and the Pacific Rim. Worldwide, approximately 33 million customers visit a Starbucks coffeehouse each week. It also sells a range of teas, Italian-style espresso beverages, cold blended beverages, baked goods, confectionery, coffee brewing equipment and a range of Starbucks branded gifts. It retails through a total of 11,522 stores around 35 countries, which includes company operated, joint venture and licensed locations. In addition to sales through its company-operated retail stores and licensed retail operations, Starbucks sells coffee and tea products through other channels of distribution targeting restaurants, hotels, universities and work places. Starbucks stated goal is to become the leading retailer and brand of coffee in each of its target markets and it aims to achieve this goal through continued aggressive expansion of company operated retail locations.
In Fiscal 2004, revenues totalled $5.3 billion, a 30% increase on the previous year. Net Income was $391.8 million in fiscal 2004, a 4.6% rise on the previous fiscal year. (Starbucks.com)
Starbucks has also become increasingly aggressive in international markets with a 2004 store opening in Paris marking its first in that country and an announcement of plans to try its hand at the Indian market.
2. Corporate Strategy
2.1. Objective and Aims
Starbucks' main objective is to establish itself as the most recognized and respected brand in the world. The company plans to continue to expand its outlets all over the world, grow its retail sales, introduce new products and develop new distribution channels in order to achieve its objective (Starbucks, 2005a).
The company's aim is to become the leading coffee...