Marketers Case

The company's product lines are the following:

* Beverages (coffee - juice - tea)

* Merchandises (mugs..)

* Whole coffee beans

* Pastries

Starbucks strategy:

* providing high quality products

* Create profitability

* Maximizing market penetration

* Offering attractive and comfortable atmosphere

The questions:

Q1) What factors accounted for the extraordinary success of Starbucks in the early 1990s?

The factors accounted for the success of Starbucks in the early 1990's are:

1. Atmosphere: Starbucks is a coffee shop but the purpose behind it is not just offering coffee, instead providing the customers with a comfortable environment. Customers can relax, enjoy a cup of coffee or whatever Starbucks offers and read the newspaper or simply meet friends. This will result in customers staying more and more inside the coffee shop and makes them come back frequently. Starbucks in this case is the biggest winner, its profit will increase, moreover customer relationship with Starbucks will be stronger resulting in customer loyalty.

2. Coffee quality: Starbucks offered and delivered the highest quality coffee in the world. It imported the coffee bean from Africa, Asia- pacific regions, Central and South America. Starbucks made sure that its coffee is on high standards.

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