We've updated our privacy policy. Click here to review the details. Tap here to review the details.

Activate your 30 day free trial to unlock unlimited reading.

Case study Solution on Starbuck’s Company

Nahid Hossen

You are reading a preview.

Activate your 30 day free trial to continue reading.

Case study Starbucks

Check these out next

starbucks case study solutions

Download to read offline

This presentation was given by Nahid Hossen Khan Nishad.


starbucks case study solutions

More Related Content

Slideshows for you (20).

starbucks case study solutions

Similar to Case study Solution on Starbuck’s Company (20)

starbucks case study solutions

Recently uploaded (20)

starbucks case study solutions

Share Clipboard

Public clipboards featuring this slide, select another clipboard.

Looks like you’ve clipped this slide to already.

You just clipped your first slide!

Create a clipboard

Get slideshare without ads, special offer to slideshare readers, just for you: free 60-day trial to the world’s largest digital library..

The SlideShare family just got bigger. Enjoy access to millions of ebooks, audiobooks, magazines, and more from Scribd.

starbucks case study solutions

You have now unlocked unlimited access to 20M+ documents!

Unlimited Reading

Learn faster and smarter from top experts

Unlimited Downloading

Download to take your learnings offline and on the go

Instant access to millions of ebooks, audiobooks, magazines, podcasts and more.

Read and listen offline with any device.

Free access to premium services like Tuneln, Mubi and more.

Help us keep SlideShare free

It appears that you have an ad-blocker running. By whitelisting SlideShare on your ad-blocker, you are supporting our community of content creators.

We've updated our privacy policy.

We’ve updated our privacy policy so that we are compliant with changing global privacy regulations and to provide you with insight into the limited ways in which we use your data.

You can read the details below. By accepting, you agree to the updated privacy policy.

Decoding the Success of Starbucks: A Social Media and Digital Marketing Marketing Case Study

starbucks case study solutions

By Aditya Shastri

Starbucks Marketing Strategy Case Study - Featured Image


Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. The company operates in over 30,000 locations in 70 countries worldwide as of early 2020.

This blog is an in-depth analysis of Starbucks’ marketing strategies, complete with touching upon their target market, social media strategy, Starbucks’ marketing mix, digital marketing presence, campaigns, and their marketing efforts through the ongoing pandemic.


About the Company

As the world’s largest coffee-house chain, Starbucks is seen to be the main representation of the United States’ second wave of coffee culture. Starbucks coffee houses serve-

In 2010, the company began its Starbucks Reserve program for single-origin coffees and high-end coffee shops. It planned to open 1,000 Reserve coffee shops by the end of 2017. Starbucks operates six roasteries with tasting rooms and 43 coffee bars.

Starbucks Marketing Strategy Case Study - About the Company - Starbucks

Let us now get to know how Starbucks made a mark for itself in the Indian market.

Starbucks In India

In the 2010s, Starbucks was keen on entering the Indian market. The company wanted to capitalize on the rise of coffee culture by targeting the niche upper-class segment in India. In 2007, it announced its entry in India but withdrew without any explanation. It was in 2011 that Starbucks finally made a grand entry into the market.

When the world’s biggest bistro chain wanted to enter the Indian market, they entered into a 50-50 joint venture with Asia’s largest coffee grower, Tata Consumer Products Limited.

After successfully launching their brand, the next important step in ensuring they were here to stay, was to nail their target audience.

Starbucks Target Market

Starbucks is a premium coffee brand; its customers are mainly from the upper economic segment or the upper middle class and upper class. The brand targets people who want a peaceful space to drink coffee and lose stress. These are mostly the higher wage-earning professionals, business owners, or other higher-end customers in the 22-50 age group. People with a fast-moving lifestyle want good quality coffee and some space to relax after a hectic day. Starbucks offers all these privileges in a single place. The target audience of Starbucks includes both male and female customers, and a large bunch of these customers are mainly in the 25-45 age group. Mainly the urban, health-conscious, and class-conscious consumers. The truth is, the company has done so well by knowing exactly who its target audience is at any point in time and going all-out to cater to those set of people.

So summed up, their target audience is-

Now that we understand their foundation and business, let’s finally begin to uncover the marketing strategies that have led to Starbucks becoming the giant it is today.

Marketing Strategies of Starbucks

Initially, Starbucks’ marketing mix in India was segmenting consumer markets on a socio-economic basis. Concentrating on working professionals and their need for a soothing workspace. Starbucks also segments its market on a geographic and demographic basis by setting up the stores where they can find their target audience mentioned above. Most companies enter a new market by focusing on a single segment, and if they happen to achieve some success, branch out into more segments. Starbucks did the same and now caters to teenagers and young adults as well, by developing its product range and social media marketing presence.

Starbucks’ marketing mix has helped the brand develop a unique market position for its products, where it’s about the brand’s overall differentiated experience. They have positioned themselves as a highly reputed brand. The company’s marketing mix, to target the modern, tech-savvy generation, has also grown the use of digital technology as well as social media for promotions and customer engagement.

Digital Expansion

One of Starbucks’ key priorities is to expand its digital interactions with customers. To do so, it is implementing new ways to attract digitally registered customers beyond the rewards program. For example, the coffee chain is offering mobile order services and leveraging Wi-Fi sign-ins at its brick-and-mortar stores.

Starbucks Social Media Strategy

Most people are familiar with Starbucks on social media. The company’s many social media accounts are known for their distinctive branding, interactive posts, and visually pleasing content. The diverse range of content includes recipes, photography, articles and features. But there’s more than meets the eye. The stream of content can be broken down into a series of campaigns geared at creating a greater sense of brand awareness and community.

Starbucks Product-based Marketing Campaigns

Starbucks focuses on promoting unique and fan-favorite beverages. The brand knows how popular their flagship items are, but more importantly, they know their audience craves this kind of content. They’ve even created social accounts for customers’ favourites -Pumpkin Spiced Latte and Frappuccino- where they push relevant and relatable memes to their die-hard audience. This is also where user-generated content (UGC) comes in. Consumer images of the more Instagrammable products, such as the Unicorn Frappuccino, are often selected to be re-shared via the official channels and also used in influencer campaigns.

Starbucks Corporate Social Responsibility-based campaign

Starbucks uses social change as a marketing tool, positioning itself as open-minded and inclusive. One example is the #ExtraShotOfPride campaign that supports the LGBT+ community.

Community-based campaigns

Starbucks Marketing Strategy Case Study - Marketing Strategies of Starbucks - Community-based campaigns

Another facet of Starbucks’ digital strategy is its emphasis on highlighting individuals and communities. Take a look at the #RedCupArt campaign, which not only increases engagement but also provides them with a library of UGC content. They use storytelling to show acts of courage and kindness in American communities, localizing the content. Starbucks puts in conscious efforts to humanize the company by sharing stories on their account which highlights the employees who play an essential role especially when consumers are distrustful of big brands. This sense of community also makes online coffee content social, very similar to how they practically invented the modern coffeehouse culture back in the day.

Festive Marketing

Starbucks has also initiated a new seasonal whole-bean coffee, #StarbucksDiwaliBlend, for their consumers across the country and select global markets. The latest exquisite blend is hand-picked and sourced from Tata Estates in Karnataka and Tamil Nadu. Starbucks Diwali Blend is intended as a tribute to the region’s rich and cultural coffee heritage and expertise.

Starbucks Marketing Strategy Case Study - Marketing Strategies of Starbucks - Festive Marketing

Starbucks Digital Marketing Presence

Starbucks knows its audience is technologically advanced, which makes it imperative for them to have a strong digital marketing strategy. It’s clear how Starbucks prefers marketing on platforms where they have two-way communication instead of platforms like print and television which is more of one-way communication.

The recent Flipkart Starbucks twitter battle was an example of how active and fun a brand like Starbucks is and shows exactly why the brand is sought after with its target audience, especially the millennials. Outside of campaigns, they show numerous images on their platforms of friends and family enjoying drinks of Starbucks coffee together, interspersed with high-quality content that promotes seasonal products. By doing this, Starbucks has integrated itself into consumers’ social life.

Starbucks Marketing Strategy Case Study - Starbucks Digital Marketing Presence

Marketing During Covid-19

We are all aware of how suddenly the Covid-19 pandemic took over the world. All businesses, globally, were hit overnight. And had to figure out how to sustain themselves in these unprecedented times. The pandemic definitely impacted the Indian market heavily but Starbucks constantly improvised to mitigate the economic impact. A case study in itself, these were the steps taken by the coffee giant during the pandemic which proves why it’s the most valued –

CEO Navin Gurnaney announced that they are launching drive-thrus to encourage people to engage with them, and home delivery to make sure they are connected with their customers during the pandemic. The first drive-thru was at Ambala Chandigarh Expressway in Zirakpur. They have also launched their app – Starbucks India App so that customers can easily navigate and purchase their offerings.

Starbucks Marketing Strategy Case Study - Marketing During Covid-19 - Expansion

Starbucks Social Media Campaigns.

#reconnectwithstarbucks campaign.

Starbucks launched its social media campaign in 2 phases. The first phase was where they asked their customers to share their ways of reconnecting amidst the pandemic and share their favourite Starbucks memory on their personal Instagram handles with the hashtag #ReconnectWithStarbucks.

In the second phase- “Half Cup Full”- they asked their customers to comment on their favourite beverage on the post. They then sent these customers voice notes of baristas hollering the customers’ names along with their favourite beverage to remind them of the famous in-store experience.

This was a great campaign as it not only reminded the people of all the good memories with Starbucks but also made them feel important and valued.

Starbucks Marketing Strategy Case Study - Starbucks Social Media Campaigns

#StarbucksAtHome and #StarbucksDance

Starbucks launched 1 litre of freshly brewed beverages that could be bought via take-away or ordering through Swiggy and Zomato. 7 flavours were launched at the price of Rs.550 per bottle.

To promote the same, Starbucks launched the #StarbucksDance challenge where it asked its customers to shoot a dance video with the drink and upload them on their personal stories. They promised a year of free Starbucks for the winner.

Strategic Alliances to enhance the experience and reach

Signature merchandise launch with flipkart.

The pandemic caused a great shift in how people shop and also encouraged people to shop for home-grown products as compared to imported or foreign-based products. Starbucks used this shift to partner with Flipkart, to launch Starbucks Signature Merchandise on the online platform. The product range included custom mugs, tumblers, cold cups, and more. Customers can also soon order coffee brewing equipment from the comfort of their own homes. Starbucks operated in 12 cities only and hence, this was a strategic move to reach out to customers pan India at their homes during the pandemic while taking advantage of the growing dependence on E-Commerce

Starbucks Marketing Strategy Case Study - Strategic Alliances to enhance experience and reach

Standup Comedy Festival

Starbucks recently announced the #StarbucksComedyFestival where few lucky customers can win a free invitation to the comedy festival. The lucky codes would be present on the customer’s invoice. With a popular line-up of hosts like Sapan Verma, Azeem Banatwalla and Rahul Subramanian, customers will now be enthusiastic to shop more at Starbucks and stand a chance to win the invitation.

In conclusion, Starbucks is leading the market because of its dominating global presence and leadership. A consumer’s experience at a Starbucks location is arguably different from any other coffee shop because of its intimate atmosphere, welcoming environment, and unmatched service. Their inviting “ideal coffee shop ambience” should prove to be a sustainable competitive advantage. Starbucks’ implemented strategy of retail locations and on-site partnerships have received greater response rates, giving them the leading seat within the mature industry. Starbucks, thus, has a strong market position through its all-inclusive marketing strategy.

If you liked our analysis of Starbucks’ marketing strategy, be sure to check out the series of case studies on various other companies’ strategies written by our students. IIDE makes its students capable to analyse and curate such campaigns and studies. If you would like to gain these skills yourself, IIDE offers various digital marketing courses for people just like you. Start your journey in upskilling yourself today!

Thank you for reading!

starbucks case study solutions

Aditya Shastri

Lead Trainer & Head of Learning & Development at IIDE

Leads the Learning & Development segment at IIDE. He is a Content Marketing Expert and has trained 6000+ students and working professionals on various topics of Digital Marketing. He has been a guest speaker at prominent colleges in India including IIMs...... [Read full bio]

Submit a Comment Cancel reply

Your email address will not be published. Required fields are marked *

Submit Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed .

Related Posts

Extensive Marketing Strategy Of IFCI – In-Depth Analysis

Extensive Marketing Strategy Of IFCI – In-Depth Analysis

by Aditya Shastri | Mar 1, 2023

In our previous article, we learnt in detail about the marketing strategy of a fascinating brand,...

Extensive Marketing Strategy Of Ashoka Buildcon – In-Depth Analysis

Extensive Marketing Strategy Of Ashoka Buildcon – In-Depth Analysis

Extensive Marketing Strategy Of Mcaffeine – In-Depth Analysis

Extensive Marketing Strategy Of Mcaffeine – In-Depth Analysis


Starbucks Case Study - How Starbucks Conquered The Coffee Industry?

Devashish Shrivastava

Starbucks Corporation is an American coffee chain that was established in 1971 in Seattle, Washington. By mid-2019, the organization had a presence in over 30,000 areas around the world. Starbucks has been depicted as the fundamental delegate of "second wave espresso," a reflectively-named development that advanced high-quality espresso and specially simmered coffee. Starbucks now uses robotized coffee machines for proficiency and well-being.

Starbucks serves hot and cold beverages, entire bean espresso, micro-ground moment espresso known as VIA, coffee, caffe latte, full-and free leaf teas such as Teavana tea products, Evolution Fresh squeezes, Frappuccino refreshments, La Boulange baked goods, and bites (for example, chips and wafers); some offerings such as the Pumpkin Spice Latte are explicit to the territory of the store. Numerous Starbucks outlets sell pre-bundled nourishment items, sweltering and cold sandwiches, and drinkware such as cups and tumblers. Furthermore, there are Select "Starbucks Evenings" areas that offer brew, wine, and appetizers.

Starbucks first ended up productive in Seattle in the mid-1980s. Despite an underlying financial downturn with its venture into the Midwest and British Columbia in the late 1980s, the organization experienced rejuvenated success with its entrance into California in the mid-1990s. Starbucks opened an average of two new stores every day between 1987 and 2007. On December 1, 2016, Howard Schultz reported he would leave his position as the CEO and would be supplanted by Kevin Johnson. Johnson accepted the role of the CEO of Starbucks on April 3, 2017, and Howard Schultz resigned to end up as the 'Chairman Emeritus', effective from June 26, 2018. Kevin Johnson is currently serving as the CEO and President of Starbucks.

Starbucks - Company Highlights

Startup Story Of Starbucks Corporation History Of Starbucks Corporation Starbucks - Name and Logo Starbucks Expansion Journey Starbucks Corporation in India Business Strategy Of Starbucks In India Products Of Starbucks Corporation Business Growth Of Starbucks Corporation Over The Years Future Plans Of Starbucks Corporation

Startup Story Of Starbucks Corporation

Starbucks Corporation

If you are wondering how did Starbucks start? Then, the story of Starbucks started back in 1971, when the company was a roaster and retailer of whole bean and ground coffee, tea and spices with a single store in Seattle’s Pike Place Market.

Zev Siegel stated that at that time he knew the coffee industry inside and out, he was well-versed, especially with the gourmet end of the industry. Besides, he was also known as the most educated coffee guy in the country at that time. So, the three college friends - Zev Siegel, Jerry Baldwin and Gordon, started out with their coffee bean shop and roastery at Seattle’s famous Pike Place Market in 1971. Eventually, they found a mentor in Alfred Peet, who was the founder of Peet’s Coffee and the man responsible for bringing custom coffee roasting to the U.S. and started with the coffee business in full swing. Starbucks initially began by selling coffee beans that were roasted by Peet's, a gourmet coffee company in Berkeley, California, and later on, started roasting on their own.

History Of Starbucks Corporation

starbucks case study solutions

The first Starbucks store was initiated in 1971 in Washington by 3 individuals who met while they were studying at the University of San Francisco: English educator Hun Baldwin, history educator Zev Siegl, and author Gordon Bowker. The trio was encouraged to sell top-notch espresso beans and hardware after businessman Alfred Peet showed them his style of simmering beans.

During this time, the organization sold simmered, entire espresso beans. During its first year of activity, Starbucks bought green espresso beans from Peet's, and then started purchasing legitimately from producers.

Starbucks - Name and Logo

starbucks case study solutions

Bowker reviews that Terry Heckler, with whom Bowker claimed a publicizing office, thought words starting with "st" were ground-breaking. The organizers conceptualized a rundown of words starting with "st" and in the long run arrived on "Strabo," a mining town in the Cascade Range. The team then finalized on "Starbuck," the name of the young chief mate in the book "Moby-Dick".

Starbucks has given too many slogans/taglines already among which the most popular one is - " Brewed for those who love coffee".

Starbucks Expansion Journey

Number of Starbucks stores Worldwide

In 1984, the first proprietors of Starbucks, driven by Jerry Baldwin, acquired Peet's. During the 1980s, all-out offers of espresso in the US were falling. However, offers of strength espresso expanded, shaping 10% of the market in 1989; it stood at just 3% in terms of market share in 1983. By 1986, the organization worked six stores in Seattle and had just barely started to sell coffee.

In 1987, the first proprietors sold the Starbucks chain to the previous manager Howard Schultz, who rebranded his II Giornale espresso outlets as Starbucks and immediately extended. Starbucks then launched its outlets outside Seattle at Waterfront Station in Vancouver, British Columbia, and Chicago, Illinois. By 1989, 46 stores existed over the Northwest and Midwest, and every year Starbucks was simmering more than 2,000,000 pounds (907,185 kg) of coffee. At the hour of its first sale of stock (IPO) on the financial exchange in June 1992, Starbucks had 140 outlets with an income of $73.5 million, up from $1.3 million in 1987.

The organization's fairly estimated worth was $271 million at this point. The 12% segment of the organization that was sold raised around $25 million for the organization, which encouraged a multiplying of the number of stores throughout the following two years. By September 1992, Starbucks' offer cost had ascended by 70% to more than multiple times the income per portion of the past year. In July 2013, over 10% of in-store buys were made on the client's cell phones utilizing the Starbucks app.

The organization used the versatile social media stage when it propelled the "Tweet-a-Coffee" campaign in October 2013. People had the option to buy a $5 gift voucher for a companion by entering both "@tweetacoffee" and the companion's handle in a tweet. Research firm Keyhole observed the advancement of the event and a media article from December 2013 detailed that Starbucks had discovered that 27,000 individuals had taken an interest and $180,000 of buys were made to date.

Starbucks Expansion Around The World

As of 2018, Starbucks is positioned 132nd on the Fortune 500 rundown of the biggest United States organizations by revenue. In July 2019, Starbucks announced a "monetary second from last quarter total compensation of $1.37 billion, or $1.12 per share, up from $852.5 million, or 61 pennies for each offer, a year sooner." The organization's fairly estimated worth of $110.2 billion expanded by 41% in the middle of 2019. The income per share in quarter three was recorded at 78 pennies, considerably more than the estimate of 72 cents.

starbucks case study solutions

Starbucks Corporation in India

starbucks case study solutions

In January 2011, Starbucks Corporation and Tata Coffee reported designs to start opening Starbucks outlets in India. Despite a bogus beginning in 2007, in January 2012, Starbucks declared a 50:50 joint endeavour with Tata Global Beverages, called Tata Starbucks Ltd. , which would possess and work outlets marked "Starbucks, A Tata Alliance". Starbucks had endeavoured to enter the Indian market in 2007. However, it didn't provide any explanation behind its withdrawal of it.

It was on October 19, 2012 that Starbucks opened its first store, a 4,500 sq ft store in Elphinstone Building, Horniman Circle, Mumbai. Starbucks opened its first cooking and bundling plant in Coorg, Karnataka in 2013 to supply its Indian outlets. The company extended its reach to Delhi on 24 January 2013 by opening 2 outlets. Tata Global Beverages declared in 2013 that they would have 50 areas before the end of the year, with a venture of ₹4 billion ($58 million). The organization did open its 50th store in India on July 8, 2014.

The third city of India to get a Starbucks outlet was Pune, where the organization opened an outlet at Koregaon Park on 8 September 2013. Starbucks opened a 3,000-square-foot lead store at Koramangala, Bangalore on 22 November 2013, making it the fourth city to have an outlet. Starbucks opened the biggest espresso-forward store in the nation at Vittal Mallya Road, Bangalore on 18 March 2019. The store is estimated at 3,000 sq ft and is Starbucks' 140th outlet in India.

Tata Starbucks opened 25 stores between 2017 and 2018, which went up to 30 during 2018-19. On 21 February 2019, CEO Navin Gurnaney reported that Tata Starbucks would use only compostable and recyclable bundling materials over the entirety of its stores from June 2020.

starbucks case study solutions

Starbucks reported its entrance in Gujarat on 7 August 2019. The organization opened five stores in Surat and Ahmedabad the following day. Starbucks' leader store in the state is situated at Prahlad Nagar, Ahmedabad, and offers more vegan alternatives than other Indian outlets. CEO Navin Gurnaney expressed that the organization would open more than 30 stores in the 2019-20 financial year, of which 11 have already been opened.

starbucks case study solutions

Business Strategy Of Starbucks In India

Starbucks' strategies for business in India seemed rock-solid but the brand wasn't completely immune still. In any case, the world's biggest bistro chain is building its position cautiously via a progression of well-picked steps. Numerous worldwide brands have entered India since the 1990s, being pulled in by its developing and optimistic customer base. Yet, not all have succeeded.

Starbucks isn't the primary contestant in India's composed espresso showcase; so it doesn't have any first-participant advantage. Cafe Coffee Day (CCD) is the market head while Barista Lavazza was the main espresso chain to open for business. Both are valued by the white-collar class. Costa Coffee, Coffee Bean and Tea Leaf (CBTL), and Gloria Jean are valued by the rich group in India.

India is customarily a tea-drinking nation, so espresso chains have concentrated on giving a feel where individuals can unwind and invest energy with one another. This setup implies higher capital expenses. It is different from the US, where the vast majority have a liking for espresso. The Indian buyer base has likewise advanced in the recent decade. What can worldwide brands like Starbucks do to augment their odds of achievement in India? Here are a few thoughts:

Picking a Local Partner

Worldwide brands face the difficult choice of either going solo or tying up with a nearby accomplice. Starbucks' choice to team up with India's TATA Global Beverages demonstrates attention to utilizing different advantages. The TATA Group is one of India's morally determined brands, an observation passed on about Starbucks India too.

Given that India produces espresso beans in just a couple of spots, the other sourcing alternative was bringing in the beans. Be that as it may, this would have raised costs fundamentally.

Tata's espresso plant in Karnataka has been contracted to supply beans to Starbucks' universally, making common cooperative energies. It has contracted to take into account TATA's TAJ SATS, which supplies to TATA's top-notch lodging network – The TAJ. The TATAs are put into the retail part with store brands like Westside, Tanishq, Croma, Star Bazaar, and so forth. Starbucks can use them for information sharing on Indian land, territory points of interest, and handling land administrations. This would enable its very own development to outline. This strategy gives scope for store-in-store deals.

Consistency in Store Arrangements

This keeps up the one-of-a-kind selling purpose of customer experience and allows to pick up economies of scale on CAPEX. Starbucks plans to have a similar store group crosswise over India. However, the size can change depending on financial matters. This is how it works all around. Starbucks wants to provide an agreeable 'café' experience. Having a similar organization gives clients the solace of accepting the equivalent 'Starbucks' vibe any place they go throughout the world.

Keeping the store designs steady means it needs to pick and open new areas stringently, to such an extent that the area can yield a throughput by the venture. Its methodology in-store arrangement is different from CCD, which has picked various configurations to tap the potential interest in any region. CCD has opened a couple of premium outlets dependent on the area's customer profile . It has additionally gone for non-store organizations like takeaway booths and candy machines. Be that as it may, Starbucks may expect that such non-store configurations may weaken its image esteem.

Estimating the Pace of Expansion

India is the place where an inability to screen primary concerns has tossed numerous organizations out of the rigging. So, a top-line just approach doesn't work here. Since Starbucks needs to pick new areas stringently by its equivalent configuration approach, it has decided on a deliberate pace of extension. It is concentrating on the budgetary feasibility of every outlet, as opposed to going for an aggressive development plan which may have brought about rehashed calls for capital.

This operational process is different from its system in the USA and China where it has fabricated scale by opening stores in pretty much every area – being the main port-of-call for espresso by basically being all over the place. CCD's methodology behind adaptable store organizations was to guarantee there is a CCD bistro at a simple reach. It is intriguing to check its normal store gainfulness given its scale.

Guaranteeing Top-Authority Backing and Responsibility

Top initiative responsibility from the two sides of the organization, Tata and Starbucks, has been plentifully clear. Starbucks took as much time as is needed to enter the market (6 years), recognizing that India was a mind-boggling market and required cautious passage arranging. The two sides have spoken finally about their dedication and shared their future plans to give their business a new direction toward growth.

Altering Contributions to Suit Indian Market and Client Needs

Being adjusted to Indian culture, tastes, and inclinations conveyed at a suitable "esteem" guarantees customer importance, construct, and continued utilization. Starbucks mirrors this comprehension – as observed through a blend of western staples, a wide scope of intriguing Indian tidbits similar to confined refreshments on the idea. Since its experience ( and item as well, however to a lesser degree) is its image guarantee, its test lies in conveying an all-around steady, yet locally significant brand experience.

The stores, or the "third spot" as Starbucks calls them, have been altered likewise. The stores don't pursue the worldwide layout and appear to have been planned with consideration, with neighbourhood contacts consolidated. Stores in various urban communities have been structured unexpectedly, mirroring the neighbourhood culture – for e.g., New Delhi's store has ropes and chat on the dividers and henna designs on the floor, though the Pune store has a rich showcase of collectables and copper.

There appears to be sufficient utilization of shading – something missing in the US. The stores have been intended to convey a particular, premium café experience, predictable, and in a state of harmony with the one conveyed over the rest of the world.

starbucks case study solutions

Making Inventive and Restricted Plan of Action

Starbucks appears to have made a confined plan of action, planned for conveying a universally reliable item and involvement with locally-focused costs. The Tata group conveys a major sourcing advantage (attributable to its quality over the generation chain, developing, broiling, and exchanging espresso), yet it has just gone past that to develop and support associations with nearby espresso cultivators – putting resources into structure economical cultivating rehearses. All of Starbucks' espresso is sourced locally, a first-ever for the organization.

Scaling up using Arrangements and Organizations

The Tata organization is the genuine overthrow in the Starbucks passage story. Having Tata as an accomplice is gigantically profitable, not due to the validity and strength it offers, or because it coordinates the scale and stature of Starbucks as an organization.

It offers numerous advantages catalyzing pretty much every market section achievement variable - for example, The Tata group has involvement in the retail business , a solid reputation in advancing new pursuits, gives a sourcing advantage through Tata espresso, offers access to high traffic areas using its lodgings and other retail outlets, guarantee excellent nourishment and refreshment supply through its F&B business and so forth.

Furthermore, the potential for an effective organization is amazingly high given Starbucks' and Tata's mutual qualities – the two of them have a solid social inner voice and are resolved to "give back" to the general public and network.

Influencing India for Worldwide Items

Not long after it finished its first year, Starbucks reported that it was serving top-quality Indian Arabica espresso as "Indian coffee" in different markets. Another world-class office for cooking and bundling has just been initiated in Coorg, Karnataka; the results of which are to be analyzed in India and abroad.

Overseeing Discernment and Guidelines

This viewpoint is tied in with structure, a solid positive observation and a picture for the business and brand crosswise over key outer partners and crowds – incorporating the administration, corporate accomplices, networks inside the eco-framework, and customers on the loose. Given what Starbucks has figured out how to accomplish in a year and a half since dispatch, it appears to be genuinely evident that its thought combined with the Tata advantage (critical reach and impact) has helped in developing solid connections and a positive picture with key outside partners and voting demographics.

Engage Nearby Association

Starbucks is by all accounts constructing a nation-explicit activity with nearby individuals in charge and overall unmistakable customer interface focuses, giving them the necessary position to coordinate and work. There is overwhelming interest in enlisting the perfect individuals and giving the essential preparation – to install and instil the organization's culture and administration models.

Along these lines, how has Starbucks fared against the McKinsey spread out variables for long-haul India achievement? Its accomplishments against the scorecard look noteworthy. With thorough vigorous passage arranging and brilliant and quick execution, the multi-month-old endeavour appears to have impressive force, making purchaser and network-driven ventures and focused on sustaining its centre business and brand. It appears to be very much set to "win" in India.

Whether Starbucks will collect a huge piece of the overall industry and accomplish its objective of India being among its best 5 markets over the long haul is not yet clear. It's still early days, yet for the organization, this appears to be an incredible beginning and a great globalization model for multinationals looking for an India section.

Products Of Starbucks Corporation

Aside from the typical items offered globally, Starbucks in India has some Indian-style item contributions, for example, Tandoori Paneer Roll, Chocolate Rossomalai Mousse, Malai Chom Tiramisu, Elaichi Mewa Croissant, Chicken Kathi Roll, and Murg Tikka Panini to suit Indian customers. All coffees sold in Indian outlets are produced using Indian broiled espressos by Tata Coffee. Starbucks additionally sells Himalayan packaged mineral water. Free Wi-Fi is accessible at all Starbucks stores.

starbucks case study solutions

In January 2017, Tata Starbucks presented Starbucks' tea image "Teavana". Teavana offers 18 unique assortments of tea in India. One of the assortments called the India Spice Majesty Blend was explicitly created for the Indian market and is just accessible in India. India Spice Majesty Blend is a mix of full leaf Assam dark tea injected with entire cinnamon, cardamom, cloves, pepper, star anise, and ginger. On 15 June 2015, Tata Starbucks reported that it was suspending the utilization of fixings that had not been affirmed by the Food Safety and Standards Authority of India (FSSAI).

The organization didn't indicate what the fixings were or which items they were utilized in. The organization additionally expressed that it was applying for FSSAI endorsement for these ingredients.

starbucks case study solutions

As per the Latte Index positioning of the expense of a tall hot latte at Starbucks in 44 nations, India was the fifth most costly nation to buy the drink dependent on January 2016 costs. The record distributed by US-based buyer research firm ValuePenguin found that a tall hot latte cost $7.99 in India, far higher than the $2.75 it costs in the least expensive nation, the United States, yet much lower than the $12.32 in the most costly nation, Russia .

Tata Starbucks propelled the Starbucks Delivers program in mid-2019. The administration offers home conveyance from Starbucks outlets through an organization with Swiggy. The administration was first propelled in Mumbai, with designs to turn it out to other cities.

In its menu, the Tata Starbucks company has launched ice-creams as their new products. The frozen delights are available even in flavours like java chip and caramel macchiato among others and will come in takeaway tubs and single scoops. The ice-creams are now available in 50-60% of the Starbucks stores.

Business Growth Of Starbucks Corporation Over The Years

Starbucks Revenue Over The Years

Tata Starbucks, a 50:50 joint endeavour between Tata Global Beverages and Starbucks Coffee of the US, has announced a 30%  top-line development in financial 2018-19, driven by new store openings and improved execution. Tata Starbucks, which is hoping to make back the initial investment in the current money, has opened 146 stores to date. Tata Starbucks announced "twofold digit top-line development - 30% for the entire year, driven by new stores and improved store execution," Tata Global Beverages Ltd (TGBL) said in a financial specialists' introduction. Tata Starbuck's income for 2018-19 is required to be approximately INR 450 crores.

TGBL said Tata Starbucks opened 30 outlets in the past financial year, out of which 15 new stores were opened during the last quarter of the money-related year. The organization claimed detailed benefits at the store level; all urban areas were likewise productive, and additionally saw an ascend in nourishment share in general deals.

The Starbucks company has added around 40 stores in FY21 but the company had recorded a 33% Y-O-Y  fall in its revenues during the same fiscal. According to the Sushant Dash, CEO of Tata Starbucks, the recovery that the company has seen after the second wave of COVID-19 was better than what it saw after the first wave of the deadly pandemic. The quarterly growth after Q2 FY22 was 120% more than what it saw during the same period in the previous fiscal. The company has hugely focused on home deliveries ever since the pandemic broke out. It has already addressed concerns associated with the spillage and other challenges pertaining to home delivery, which contributed to over 18% of the total sales that the company witnessed this fiscal, as per the reports in November 2021. Furthermore, the company has also added ice-creams to their menu in flavours like java chip and caramel macchiato. The Sanjeev Kapoor menu is another thing that has been freshly launched by Tata Starbucks. Besides, the company also launched a one-litre freshly brewed beverage and at-home coffee.  

starbucks case study solutions

Future Plans Of Starbucks Corporation

Tata Starbucks Pvt. Ltd. is looking to forcefully grow its impression in the Indian market with its eyes on the quickly spreading "espresso culture" among the twenty to thirty-year-olds and upwardly versatile customers. Tata Starbucks, a JV between US-based Starbucks Coffee Company and Tata Global Beverages Ltd, hopes to set up altogether more number stores this monetary than it did previously.

Starbucks is hopeful about solid business development in India throughout the following year as it means to leave red in monetary numbers after 2020. "Our proceeded with development in topline and reasonable methodology towards extension will enable us to accomplish make back the initial investment by March 2020," Navin Gurnaney, CEO, Tata Starbucks disclosed to Business Line in the wake of declaring five new stores in Gujarat - three in Ahmedabad and two in Surat. Gurney likewise included, "First time in quite a while, we are opening five stores in any state in one go.

Gujarat is a significant market for us. In the wake of opening these five stores on Thursday, the all outnumber of hides away goes up to 157 in India." Starbucks entered India with its first store opened at Mumbai in 2012. Of the 157, the organization has opened all out 11 stores so far in this financial, as against complete 30 stores opened during 2018-19. It takes into account 270,000 clients each week in India. The organization had announced a turnover of INR 442 crores for the monetary 2018-19.

"Espresso business in India is developing significantly. The espresso culture is being initiated by recent college grads, upwardly versatile, and individuals who travel and get brand. Two years back, we set up 25 stores (in a year). During the last financial 2018-19, we included 30 stores.

This year we will beat that number considerably and by end of March 2020, we will have included a lot a greater number of stores than we included in the past," Gurney said. With per store venture prerequisites being evaluated at INR 1.7-2 crores, the complete CAPEX plan by the organization works out in overabundance of INR 50 crores during current monetary on the off chance that it opens more number of stores than a year ago. Be that as it may, Gurnaney ceased from giving venture figures for 2019-20.

The organization is likewise open to different open doors for development including inorganic development through acquisitions. Be that as it may, when tested about any probability of a venture plan in the espresso chain Cafe Coffe Day (CCD), Gurnaney denied estimating any discussions for securing. "We are very hopeful about India. We will be attentively forceful (to extend). (At present) we are not in discussions with anyone for obtaining.

In any case, we are hoping to develop constantly," he included. With an end goal to upgrade the client experience, Starbucks is presenting new nourishment things, taking into account all client needs including breakfast and lunch. The income share from nourishment things is right now around 25%, even as it keeps on developing with new things to meet the client's needs.

Who founded Starbucks?

Starbucks was started by Hun Baldwin, Zev Siegl, and Gordon Bowker in 1971.

Where was the first Starbucks started?

Starbucks was started in Pike Place Market, Seattle, Washington, United States.

When was Starbucks started in India?

Starbucks was launched in India in 2012.

What is the revenue of Starbucks?

Starbucks revenue was recorded $29.02 billion in 2021.

How many Starbucks stores are there worldwide?

There are 33,830 Starbucks stores in the world as of 2021.

Must have tools for startups - Recommended by StartupTalky

NEOM - Saudi Arabia's $500 Billion Bet On A Future Without Oil

Apoorva Bajj

Zepto Marketing Strategy | What Drove Zepto's Success in Quick Commerce?

Anish Sharma

Indian Civil Aviation Industry - Who Leads the Market?

The marketplace for case solutions.

Starbucks: Delivering Customer Service – Case Solution

Starbucks is a major specialty-coffee brand in the North. Recent market research has indicated that the service level of the company is currently not meeting the expectations of customers. Thus, the company is discussing a plan to increase customer satisfaction by increasing the amount of labor in each coffee store and, as a consequence, increasing the speed of service. However, the plan would result in additional costs of $40 million per annum while the impact on the profitability of the company is unclear.

​Youngme Moon; John A. Quelch Harvard Business Review ( 504016-PDF-ENG ) July 31, 2003

Case questions answered:

Not the questions you were looking for? Submit your own questions & get answers .

Starbucks: Delivering Customer Service Case Answers

You will receive access to two case study solutions! The second is not yet visible in the preview.

Company Background – Starbucks: Love Coffee, Love People

Starbucks was founded in 1971. Later, Howard Shultz took over. Its vision and mission are to “Make America’s third place, Establish as the most recognized brand”. The company specialized in selling whole coffee beans and premium coffee beverages. Its target customers are the affluent, well-educated segment of the market. It has achieved immense success and had spent almost nothing on advertising.

The company’s experiential branding strategy has three components:

This branding strategy is based on the human spirit, a sense of community, and the need for people to come together.

Challenges Faced

One of the core issues the company is facing is that its services are not meeting customer expectations. It is mainly due to changes in target customers, decreasing age and income groups, and customers’ poor perception of the company. Most people reviewed the company as follows:

There is also the lack of a strategic marketing group – no chief marketing officer, as accepted by Day herself that ‘they were good at collecting market data but not disciplined in using this data.’

The company is challenged on how to link customer satisfaction to an increase in sales and profitability. Should the company roll out a $40 million plan to add 20 hours of labor a week? And how should the company differentiate itself from competitors?

Q1. What factors accounted for the extraordinary success of Starbucks in the early 1990s? What was so compelling about the Starbucks value proposition? What brand image did Starbucks develop during this period?

Compelling reasons for Starbucks’ value proposition and the brand image the company has developed

Q2. Why has Starbucks’ customer satisfaction score declined? Has the company’s service declined, or simply measuring satisfaction the wrong way?

Q3. How does the Starbucks of 2002 differ from the Starbucks of 1992?


Unlock Case Solution Now!

Get instant access to this case solution with a simple, one-time payment ($4.90).

After purchase:

Best decision to get my homework done faster! Michael MBA student, Boston

How do I get access?

Upon purchase, you are forwarded to the full solution and also receive access via email.

Is it safe to pay?

Yes! We use Paypal and Stripe as our secure payment providers of choice.

What is Casehero?

We are the marketplace for case solutions - created by students, for students.

Fern Fort University

Starbucks case study analysis & solution, harvard business case studies solutions - assignment help.

Starbucks is a Harvard Business (HBR) Case Study on Sales & Marketing , Fern Fort University provides HBR case study assignment help for just $11. Our case solution is based on Case Study Method expertise & our global insights.

Sales & Marketing Case Study | Authors :: Mary M. Crossan, Ariff Kachra

Case study description.

Starbucks is faced with the issue of how it should leverage its core competencies against various opportunities for growth, including introducing its coffee in McDonalds, pursuing further expansion of its retail operations, and leveraging the brand into other product areas. The case is written so that students need to first identify where Starbucks' competencies lie along the value chain, and then assess how well those competencies can be leveraged across the various alternatives. Also provides an opportunity for students to assess what is driving growth in this company. Starbucks has a tremendous appetite for cash since all its stores are corporate, and investors are betting that it will be able to continue its phenomenal growth so it needs to walk a fine line between leveraging its brand to achieve growth and not eroding it in the process.

Competitive strategy

Order a Sales & Marketing case study solution now

To Search More HBR Case Studies Solution Go to Fern Fort University Search Page

[10 Steps] Case Study Analysis & Solution

Step 1 - reading up harvard business review fundamentals on the sales & marketing.

Even before you start reading a business case study just make sure that you have brushed up the Harvard Business Review (HBR) fundamentals on the Sales & Marketing. Brushing up HBR fundamentals will provide a strong base for investigative reading. Often readers scan through the business case study without having a clear map in mind. This leads to unstructured learning process resulting in missed details and at worse wrong conclusions. Reading up the HBR fundamentals helps in sketching out business case study analysis and solution roadmap even before you start reading the case study. It also provides starting ideas as fundamentals often provide insight into some of the aspects that may not be covered in the business case study itself.

Step 2 - Reading the Starbucks HBR Case Study

To write an emphatic case study analysis and provide pragmatic and actionable solutions, you must have a strong grasps of the facts and the central problem of the HBR case study. Begin slowly - underline the details and sketch out the business case study description map. In some cases you will able to find the central problem in the beginning itself while in others it may be in the end in form of questions. Business case study paragraph by paragraph mapping will help you in organizing the information correctly and provide a clear guide to go back to the case study if you need further information. My case study strategy involves -

Step 3 - Starbucks Case Study Analysis

Once you are comfortable with the details and objective of the business case study proceed forward to put some details into the analysis template. You can do business case study analysis by following Fern Fort University step by step instructions -

Step 4 - SWOT Analysis of Starbucks

Once you finished the case analysis, time line of the events and other critical details. Focus on the following -

Step 5 - Porter 5 Forces / Strategic Analysis of Industry Analysis Starbucks

In our live classes we often come across business managers who pinpoint one problem in the case and build a case study analysis and solution around that singular point. Business environments are often complex and require holistic solutions. You should try to understand not only the organization but also the industry which the business operates in. Porter Five Forces is a strategic analysis tool that will help you in understanding the relative powers of the key players in the business case study and what sort of pragmatic and actionable case study solution is viable in the light of given facts.

Step 6 - PESTEL, PEST / STEP Analysis of Starbucks

Another way of understanding the external environment of the firm in Starbucks is to do a PESTEL - Political, Economic, Social, Technological, Environmental & Legal analysis of the environment the firm operates in. You should make a list of factors that have significant impact on the organization and factors that drive growth in the industry. You can even identify the source of firm's competitive advantage based on PESTEL analysis and Organization's Core Competencies.

Step 7 - Organizing & Prioritizing the Analysis into Starbucks Case Study Solution

Once you have developed multipronged approach and work out various suggestions based on the strategic tools. The next step is organizing the solution based on the requirement of the case. You can use the following strategy to organize the findings and suggestions.

Step 8 -Implementation Framework

The goal of the business case study is not only to identify problems and recommend solutions but also to provide a framework to implement those case study solutions. Implementation framework differentiates good case study solutions from great case study solutions. If you able to provide a detailed implementation framework then you have successfully achieved the following objectives -

Implementation framework helps in weeding out non actionable recommendations, resulting in awesome Starbucks case study solution.

Step 9 - Take a Break

Once you finished the case study implementation framework. Take a small break, grab a cup of coffee or whatever you like, go for a walk or just shoot some hoops.

Step 10 - Critically Examine Starbucks case study solution

After refreshing your mind, read your case study solution critically. When we are writing case study solution we often have details on our screen as well as in our head. This leads to either missing details or poor sentence structures. Once refreshed go through the case solution again - improve sentence structures and grammar, double check the numbers provided in your analysis and question your recommendations. Be very slow with this process as rushing through it leads to missing key details. Once done it is time to hit the attach button.

Previous 5 HBR Case Study Solution

Next 5 HBR Case Study Solution

Special Offers

Order custom Harvard Business Case Study Analysis & Solution. Starting just $19

Amazing Business Data Maps. Send your data or let us do the research. We make the greatest data maps.

We make beautiful, dynamic charts, heatmaps, co-relation plots, 3D plots & more.

Buy Professional PPT templates to impress your boss

Nobody get fired for buying our Business Reports Templates. They are just awesome.

Feel free to drop us an email

Starbucks Case Answers

Uploaded by, document information, description:, available formats, share this document, share or embed document, sharing options.

Did you find this document useful?

Is this content inappropriate, reward your curiosity.

starbucks case study solutions

Don't have an account? Sign up now

Already have an account login, get 10% off on your next order.

Subscribe now to get your discount coupon *Only correct email will be accepted

(Approximately ~ 0.0 Page)

Total Price

Thank you for your email subscription. Check your email to get Coupon Code.

Starbucks Case Study Solution

Posted by John Berg on Feb-16-2018


Starbucks Case Study is included in the Harvard Business Review Case Study. Therefore, it is necessary to touch HBR fundamentals before starting the Starbucks case analysis. HBR will help you assess which piece of information is relevant. Harvard Business review will also help you solve your case. Thus, HBR fundamentals assist in easily comprehending the case study description and brainstorming the Starbucks case analysis. Also, a major benefit of HBR is that it widens your approach. HBR also brings new ideas into the picture which would help you in your Starbucks case analysis.

To write an effective Harvard Business Case Solution, a deep Starbucks case analysis is essential. A proper analysis requires deep investigative reading. You should have a strong grasp of the concepts discussed and be able to identify the central problem in the given HBR case study. It is very important to read the HBR case study thoroughly as at times identifying the key problem becomes challenging. Thus by underlining every single detail which you think relevant, you will be quickly able to solve the HBR case study as is addressed in Harvard Business Case Solution.

Problem Identification

The first step in solving the HBR Case Study is to identify the problem. A problem can be regarded as a difference between the actual situation and the desired situation. This means that to identify a problem, you must know where it is intended to be. To do a Starbucks case study analysis and a financial analysis, you need to have a clear understanding of where the problem currently is about the perceived problem.

For effective and efficient problem identification,

Problem identification, if done well, will form a strong foundation for your Starbucks Case Study. Effective problem identification is clear, objective, and specific. An ambiguous problem will result in vague solutions being discovered. It is also well-informed and timely. It should be noted that the right amount of time should be spent on this part. Spending too much time will leave lesser time for the rest of the process.

Starbucks Case Analysis

Once you have completed the first step which was problem identification, you move on to developing a case study answers. This is the second step which will include evaluation and analysis of the given company. For this step, tools like SWOT analysis, Porter's five forces analysis for Starbucks, etc. can be used. Porter’s five forces analysis for Starbucks analyses a company’s substitutes, buyer and supplier power, rivalry, etc.

To do an effective HBR case study analysis, you need to explore the following areas:

1. Company history:

The Starbucks case study consists of the history of the company given at the start. Reading it thoroughly will provide you with an understanding of the company's aims and objectives. You will keep these in mind as any Harvard Business Case Solutions you provide will need to be aligned with these.

2. Company growth trends:

This will help you obtain an understanding of the company's current stage in the business cycle and will give you an idea of what the scope of the solution should be.

3. Company culture:

Work culture in a company tells a lot about the workforce itself. You can understand this by going through the instances involving employees that the HBR case study provides. This will be helpful in understanding if the proposed case study solution will be accepted by the workforce and whether it will consist of the prevailing culture in the company.

Starbucks Financial Analysis

The third step of solving the Starbucks Case Study is Starbucks Financial Analysis. You can go about it in a similar way as is done for a finance and accounting case study. For solving any Starbucks case, Financial Analysis is of extreme importance. You should place extra focus on conducting Starbucks financial analysis as it is an integral part of the Starbucks Case Study Solution. It will help you evaluate the position of Starbucks regarding stability, profitability and liquidity accurately. On the basis of this, you will be able to recommend an appropriate plan of action. To conduct a Starbucks financial analysis in excel,

Another way how you can do the Starbucks financial analysis is through financial modelling. Financial Analysis through financial modelling is done by:

Financial Analysis is critical in many aspects:

Thus, it is a snapshot of the company and helps analysts assess whether the company's performance has improved or deteriorated. It also gives an insight about its expected performance in future- whether it will be going concern or not. Starbucks Financial analysis can, therefore, give you a broader image of the company.

Starbucks NPV

Starbucks's calculations of ratios only are not sufficient to gauge the company performance for investment decisions. Instead, investment appraisal methods should also be considered. Starbucks NPV calculation is a very important one as NPV helps determine whether the investment will lead to a positive value or a negative value. It is the best tool for decision making.

There are many benefits of using NPV:

The formula that you will use to calculate Starbucks NPV will be as follows:

Present Value of Future Cash Flows minus Initial Investment

Present Value of Future cash flows will be calculated as follows:

PV of CF= CF1/(1+r)^1 + CF2/(1+r)^2 + CF3/(1+r)^3 + …CFn/(1+r)^n

where CF = cash flows r = cost of capital n = total number of years.

Cash flows can be uniform or multiple. You can discount them by Starbucks WACC as the discount rate to arrive at the present value figure. You can then use the resulting figure to make your investment decision. The decision criteria would be as follows:

Thus, calculation of Starbucks NPV will give you an insight into the value generated if you invest in Starbucks. It is a very reliable tool to assess the feasibility of an investment as it helps determine whether the cash flows generated will help yield a positive return or not.

However, it would be better if you take various aspects under consideration. Thus, apart from Starbucks’s NPV, you should also consider other capital budgeting techniques like Starbucks’s IRR to evaluate and fine-tune your investment decisions.

Starbucks DCF

Once you are done with calculating the Starbucks NPV for your finance and accounting case study, you can proceed to the next step, which involves calculating the Starbucks DCF. Discounted cash flow (DCF) is a Starbucks valuation method used to estimate the value of an investment based on its future cash flows. For a better presentation of your finance case solution, it is recommended to use Starbucks excel for the DCF analysis.

To calculate the Starbucks DCF analysis, the following steps are required:

Starbucks DCF can also be calculated using the following formula:

DCF= CF1/(1+r)^1 + CF2/(1+r)^2 + CF3/(1+r)^3 + …CFn/(1+r)^n

In the formula:

Starbucks WACC

When making different Starbucks's calculations, Starbucks WACC calculation is of great significance. WACC calculation is done by the capital composition of the company. The formula will be as follows:

Weighted Average Cost of Capital = % of Debt * Cost of Debt * (1- tax rate) + % of equity * Cost of Equity

You can compute the debt and equity percentage from the balance sheet figures. For the cost of equity, you can use the CAPM model. Cost of debt is usually given. However, if it isn't mentioned, you can calculate it through market weighted average debt. Starbucks’s WACC will indicate the rate the company should earn to pay its capital suppliers. Starbucks WACC can be analysed in two ways:

Starbucks IRR

After calculating the Starbucks WACC, it is necessary to calculate the Starbucks IRR as well, as WACC alone does not say much about the company’s overall situation. Starbucks IRR will add meaning to the finance solution that you are working on. The internal rate of return is a tool used in investment appraisal to calculate the profitability of prospective investments. IRR calculations are dependent on the same formula as Starbucks NPV.

There are two ways to calculate the Starbucks IRR.

IRR= R + [NPVa / (NPVa - NPVb) x (Rb - Ra)]

In this formula:

Starbucks IRR impacts your finance case solution in the following ways:

Starbucks Excel Spreadsheet

All your Starbucks calculations should be done in a Starbucks xls Spreadsheet. A Starbucks excel spreadsheet is the best way to present your finance case solution. The Starbucks Calculations should be presented in Starbucks excel in such a way that the analysis and results can be distinguished to the viewers. The point of Starbucks excel is to present large amounts of data in clear and consumable ways. Presenting your data is also going to make sure that you don't have misinterpretations of the data.

To make your Starbucks calculations sheet more meaningful, you should:

The following tips and bits should be kept in mind while preparing your finance case solution in a Starbucks xls spreadsheet:

Starbucks Ratio analysis

After you have your Starbucks calculations in a Starbucks xls spreadsheet, you can move on to the next step which is ratio analysis. Ratio analysis is an analysis of information in the form of figures contained in the financial statements of a company. It will help you evaluate various aspects of a company's operating and financial performance which can be done in Starbucks Excel.

To conduct a ratio analysis that covers all financial aspects, divide the analysis as follows:

Starbucks Valuation

Starbucks Valuation is a very fundamental requirement if you want to work out your Harvard Business Case Solution. Starbucks Valuation includes a critical analysis of the company's capital structure – the composition of debt and equity in it, and the fair value of its assets. Common approaches to Starbucks valuation include

These three methods explained above are very commonly used to calculate the value of the firm. Investment decisions are undertaken by the value derived.

Starbucks calculations for projected cash flows and growth rates are taken under consideration to come up with the value of firm and value of equity. These figures are used to determine the net worth of the business. Net worth is a very important concept when solving any finance and accounting case study as it gives a deep insight into the company's potential to perform in future.

Alternative Solutions

After doing your case study analysis, you move to the next step, which is identifying alternative solutions. These will be other possibilities of Harvard Business case solutions that you can choose from. For this, you must look at the Starbucks case analysis in different ways and find a new perspective that you haven't thought of before.

Once you have listed or mapped alternatives, be open to their possibilities. Work on those that:

After listing possible options, evaluate them without prejudice, and check if enough resources are available for implementation and if the company workforce would accept it.

For ease of deciding the best Starbucks case solution, you can rate them on numerous aspects, such as:


Once you have read the Starbucks HBR case study and have started working your way towards Starbucks Case Solution, you need to be clear about different financial concepts. Your Mondavi case answers should reflect your understanding of the Starbucks Case Study.

You should be clear about the advantages, disadvantages and method of each financial analysis technique. Knowing formulas is also very essential or else you will mess up with your analysis. Therefore, you need to be mindful of the financial analysis method you are implementing to write your Starbucks case study solution. It should closely align with the business structure and the financials as mentioned in the Starbucks case memo.

You can also refer to Starbucks Harvard case to have a better understanding and a clearer picture so that you implement the best strategy. There are a number of benefits if you keep a wide range of financial analysis tools at your fingertips.

Recommendation and Action Plan

Once you have successfully worked out your financial analysis using the most appropriate method and come up with Starbucks HBR Case Solution, you need to give the final finishing by adding a recommendation and an action plan to be followed. The recommendation can be based on the current financial analysis. When making a recommendation,

Also, adding an action plan for your recommendation further strengthens your Starbucks HBR case study argument. Thus, your action plan should be consistent with the recommendation you are giving to support your Starbucks financial analysis. It is essential to have all these three things correlated to have a better coherence in your argument presented in your case study analysis and solution which will be a part of Starbucks Case Answer.

Arbaugh, W. (2000). Windows of vulnerability: A case study analysis. Retrieved from Colorado State University Web site: http://www.cs.colostate.edu/~cs635/Windows_of_Vulnerability.pdf

Choi, J. J., Ju, M., Kotabe, M., Trigeorgis, L., & Zhang, X. T. (2018). Flexibility as firm value driver: Evidence from offshore outsourcing. Global Strategy Journal, 8(2), 351-376.

DeBoeuf, D., Lee, H., Johnson, D., & Masharuev, M. (2018). Purchasing power return, a new paradigm of capital investment appraisal. Managerial Finance, 44(2), 241-256.

Delaney, C. J., Rich, S. P., & Rose, J. T. (2016). A Paradox within the Time Value of Money: A Critical Thinking Exercise for Finance Students. American Journal of Business Education, 9(2), 83-86.

Easton, M., & Sommers, Z. (2018). Financial Statement Analysis & Valuation. Seattle: amazon.com.

Gotze, U., Northcott, D., & Schuster, P. (2016). Investment Appraisal. Berlin: Springer.

Greco, S., Figueira, J., & Ehrgott, M. (2016). Multiple criteria decision analysis. New York: Springer.

Hawkins, D. (1997). Corporate financial reporting and analysis: Text and cases. Homewood, IL: Irwin/McGraw-Hill.

Hribar, P., Melessa, S., Mergenthaler, R., & Small, R. C. (2018). An Examination of the Relative Abilities of Earnings and Cash Flows to Explain Returns and Market Values. Rotman School of Management Working Paper, 10-15.

Kaszas, M., & Janda, K. (2018). The Impact of Globalization on International Finance and Accounting. In Indirect Valuation and Earnings Stability: Within-Company Use of the Earnings Multiple (pp. 161-172). Berlin, Germany: Springer, Cham.

King, R., & Levine, R. (1993). Finance and growth: Schumpeter might be right. The quarterly journal of economics, 108(3), 717-737.

Kraus, S., Kallmuenzer, A., Stieger, D., Peters, M., & Calabrò, A. (2018). Entrepreneurial paths to family firm performance. Journal of Business Research, 88, 382-387.

Laaksonen, O., & Peltoniemi, M. (2018). The essence of dynamic capabilities and their measurement. International Journal of Management Reviews, 20(2), 184-205.

Lamberton, D. (2011). Introduction to stochastic calculus applied to finance. UK: Chapman and Hall.

Landier, A. (2015). The WACC fallacy: The real effects of using a unique discount rate. The Journal of Finance, 70(3), 1253-1285.

Lee, L., Kerler, W., & Ivancevich, D. (2018). Beyond Excel: Software Tools and the Accounting Curriculum. AIS Educator Journal, 13(1), 44-61.

Li, W. S. (2018). Strategic Value Analysis: Business Valuation. In Strategic Management Accounting. Singapore: Springer.

Magni, C. (2015). Investment, financing and the role of ROA and WACC in value creation. European Journal of Operational Research, 244(3), 855-866.

Marchioni, A., & Magni, C. A. (2018). Sensitivity Analysis and Investment Decisions: NPV-Consistency of Straight-Line Rate of Return. Department of Economics.

Metcalfe, J., & Miles, I. (2012). Innovation systems in the service economy: measurement and case study analysis. Berlin, Germany: Springer Science & Business Media.

Oliveira, F. B., & Zotes, L. P. (2018). Valuation methodologies for business startups: a bibliographical study and survey. Brazilian Journal of Operations & Production Management, 15(1), 96-111.

Pellegrino, R., Costantino, N., & Tauro, D. (2018). Supply Chain Finance: A supply chain-oriented perspective to mitigate commodity risk and pricing volatility. Journal of Purchasing and Supply Management, 1-10.

Pham, T. N., & Alenikov, T. (2018). The importance of Weighted Average Cost of Capital in investment decision-making for investors of corporations in the healthcare industry.

Smith, K. T., Betts, T. K., & Smith, L. M. (2018). Financial analysis of companies concerned about human rights. International Journal of Business Excellence, 14(3), 360-379.

Teresa, M. G. (2018). How the Equity Terminal Value Influences the Value of the Firm. Journal of Business Valuation and Economic Loss Analysis, 13(1).

Yang, Y., Pankow, J., Swan, H., Willett, J., Mitchell, S. G., Rudes, D. S., & Knight, K. (2018). Preparing for analysis: a practical guide for a critical step for procedural rigour in large-scale multisite qualitative research studies. Quality and Quantity, 52(2), 815-828.

Warning! This article is only an example and cannot be used for research or reference purposes. If you need help with something similar, please submit your details here .

Related Articles


Can't be wrong, phd experts, get best grades, calculate the price, (approx ~ 0.0 page), total price $0, previous articles.

Be a great writer or hire a greater one!

Academic writing has no room for errors and mistakes. If you have BIG dreams to score BIG, think out of the box and hire Case48 with BIG enough reputation.

hire us now

Our Guarantees

Proof of no plagiarism, quality assurance, qualified writers, data security, on time delivery, 24/7 support.

Interesting Fact

Interesting Fact

Most recent surveys suggest that around 76 % students try professional academic writing services at least once in their lifetime!

We are here to help. Chat with us on WhatsApp for any queries.

Customer Representative

Starbucks Case Study Solution

Global market is immensely accumulative now a days, with the vigorous effects of globalization which effecting firms of all breeds to expand the business across the borders. This report is generally bases on the answers to the provided case study of Starbucks growth story and its international expansion plans. Starbucks being the producers of one of finest coffee and premium drink beverages manages its major markets within USA and abroad. The report will accumulate Starbucks potential strategic options with substantial vision of the management to expand business internationally while understanding the escalating aspects of ethical and cultural values which Starbucks owns as an influential organization.

[sociallocker id=”35370″]


This report is ultimately based on critical analysis and evaluation of the case study provided for one the leading coffee and Beverages Company. With the expanding international business and continued globalization policy of Starbucks, this report will help to comprehend the various International market strategies and options, ethical and cultural values and anticipated problems with the ongoing international expansions of Starbucks Company

Identify the Controllable and Uncontrollable Elements:

Some controllable elements in any global markets are the product, the price, the place and the promotion. Starbucks used benefits of their quality in their product directing the promotion. Starbucks used benefits of their product as high end. Their product holds a sweeter taste and may not be liked by international has to research the place where they want to globalize. Starbucks chose many overseas companies like japan, Italy, Spain and Germany. They also considering moving into Mexico and Rico. With each of the place that they wanted to expand to, they had to think about Factors such as their target market and there. With having problems with their brand in 2001, they vowed to move on from the mistakes from the past but say it’s difficult with overseas and local partners.

Also Study: Starbucks Marketing Strategy Research Article

Some elements that are uncontrollable environmental factors such as social factors, legal matters, political standpoints and competitors. Having to expand in other countries, Starbucks had to face local competitors and locals who stay loyal to their local brand, even though Starbucks often came across as mystified and cool, they have Struggled to get a new customer base. Other factors such policies and regulation were thoroughly studied by Starbucks to maintain their brand and not portray the unsatisfied service.

The major sources of Risk facing the company and Potential solutions for major risk and problem are:

The major Risks that the company face is saturating the market, competition and regaining the capital used after development. Saturating the market is also a huge risk for any company who is trying to grow and expand their business. Starbucks realized that they were saturating the U.S. market so deciding to globalize was the step of the right direction. Competition is always going to be right next door, Starbucks on many occasions had to compete with look likes internationally which is harder to be do because that look like is already they are set up in market.

Critique Starbucks Overall Corporate Strategy:

Starbucks into an already existing Starbucks. Competitors are it to be difficult to compete with broaden their brand even with the difficult economy. Starbucks has one products that they have to sell in many ways as coffee. Which they proven they can by improving the service, entering in specially drinks and having others thinks to go with coffee. Although Starbucks has Starbucks with the food aspect in various locations, they now have merchandise as well a selection of food. Starbucks has taken advantage of growth rate of business in china, whereas the U.S is saturated and has a smaller growth rate. Starbucks has a corporate Strategy of improving theme self of their quality, service and most of the important consumers. I think that the price of Starbucks cannot be moved because of the it is assumed that Starbucks is higher quality.

Starbucks Improve Profitability in Bangladesh:

To improve in Bangladesh, Starbucks has to be more than brand to boost sales. There are some competitors in Bangladesh. So look likes which to local or international company are here. Starbucks has a need strong, large can coffee market which Starbucks can utilize. Starbucks need to focus on more of their quality and taste to appeal in Bangladesh. Starbucks has a adapt to Bangladesh and might to have to change a few to improve their taste appeal to Bangladesh, they do might do a product invention.

Inventing a new product shows that you are willing to appeal to their need and will be appreciative along with your company among customer. If inventing a new product is too much, adapting the product cloud work work batter by changing the ingredients to smooth the taste to be sweeter for Bangladesh. What Bangladesh country believe culture. Consumers relate to companies who do more the people than profiting the most idea marketing well as to consumers. They would to know what the company is doing help locality. So I think if Starbuck should take this strategy and solve in that way must they improve and success.


By concluding and answering the case study questions from Starbucks Grow story, it is fathomable fact that Starbucks as a successful organization can be an influential mark to follow for the other firms. Exclusively the standout believe and dedication of the top management to put in their vital trust and support to employees of all levels, culture and race. The flamboyant working environment and social foundations are the benchmark of the company which can be positively imitative by the uprising organizations in order establish the core competence of the company from scratch.

A overview case study _ “ Starbucks – Going Global Fast ”

Also Study:

Starbucks Company Analysis Research Paper

The Effectiveness of The ERP system at Starbucks | Weakness & Benefits

Green Mountain Coffee Roasters Brews up the best Marketing Strategy


Related Posts

Importance of public spaces in a neighbourhood of..., community based tourism in uganda and tanzania, mount st. helens hazardous simulations, the contradiction of homosexuality, walmart cross-cultural issues case study analysis, case study on leadership and management, residential tenancy act case example, business ethical conflict case study example, e-recruitment system case study analysis, analysis of individual creative thinking and problem solving..., leave a comment cancel reply.


Starbucks Harvard Case Solution & Analysis

Home >> Finance Case Studies Analysis >> Starbucks

starbucks case study solutions

Approach to the Case

Historical financial performance reveals that growth and profitability ratios are constantly declining but based on the future projection of financial results; the profitability of Starbucks will begin to improve but growth rate in revenues will still follow a declining trend and this will be confirmed by 15% growth in specialty coffee industry and fall in per capita consumption of coffee in the US. However, launch of Starbucks’ new marketing strategy will attract more customers with project profitability. Additionally, the impact of selling through specialty sale agreements on brand image of Starbucks is expected to decline in future and this is confirmed by the marginal growth in sales revenues as per the forecast. Moreover, the fall in cost of sales show that Starbucks will be able to establish good relations with not only farmers but also with the exporters and decline in cost of sales is confirmed by lower cost of fuel in future.

Meanwhile, the projected results show that asset utilization will improve in future that will be confirmed by management of inventory through improved inventory control system. In addition to this, accounts payable and turnover ratios will increase and the same will be confirmed through management of inventory that will avoid excessive cost tied up in inventory.

External Environment

Starbucks has been able to secure a competitive position through introduction of innovative coffee products and integration of technology systems in its operations and advanced technology has given it a competitive edge.

However, if Starbucks does not take care of the technological changes in coffee industry then it may lose its competitive position because the quality and taste of coffee depends on the technology used.

Business and Corporate Strategy

Starbucks’ strategy is to develop its worldwide coffee brand through high quality and innovative products with worlds’ best work force; moreover, Starbucks is opening more outlets. It wants to exceed customer expectations and give a memorable experience through their every interaction with Starbucks. Additionally, it gives importance to cultural values and makes sure that growth and expansion do not erode cultural values.

Starbucks’ strategy and mission will lead to success in future because innovation and customer satisfaction is at the heart of business success.

Operations and Organization

Starbucks purchases high quality coffee beans from farmers and its quality control system insures the quality standards. Moreover, Starbucks has reached wide market and retail stores offer a unique experience and these outlets also serve community services to its consumers, which gives it a competitive advantage.

However, quality of coffee beans depends on skills of farmers and rapidly changing technology can affect the uniqueness of its coffee taste, moreover, an increase in fuel prices can affect inventory management. Meanwhile, proposed marketing strategy will target the world market of coffee lovers, which will help to achieve growth in sales revenues.

Is Starbucks growing in the best way possible?

Starbucks is growing through specialty coffee agreements, business ventures along with grocery stores and strategy is quite sensible because Starbucks has good knowledge of coffee products and it has a large variety of coffee products offering to new markets, however, Starbucks is delaying its marketing strategy that can help in order to create public awareness about the availability of Starbucks’ coffee products in local grocery stores. Moreover, business partners do not give a unique experience of Starbucks’ retail outlets. Therefore , Mr. Schultz’ concern is somehow valid because Starbucks can achieve more growth by establishing its own outlets instead of growth through other means.

Is Starbucks overextending in its quest for growth?

Starbucks offers unique coffee to premium consumers, therefore, establishment of new distribution channels will overextend its operations and this will not contribute to profit maximization in contrast to pursuing growth through establishment of own its outlets or by offering competitive prices. Therefore, overextension is not required and Mr. Schultz’ concern is valid in this regard.

How Starbucks should react to the opportunities available to it?

Starbucks has the world coffee market as a potential opportunity to increase its sales revenues and Starbucks can exploit its existing supply chain system to monitor and manage the inventory in the world market. Meanwhile, establishment of its own retail stores in high class areas of the world will lead to an increase its customer base, which will strengthen its competitive position. Mr. Schultz’ is recommended to exploit opportunity in the form of world market for coffee products in order to earn more revenues and should not consider McDonald’s offer.

Based on the analysis of Starbucks operations and its strategies, we as a consultant will recommend Mr. Schultz to look for growth opportunities by exploring new market segments and by introducing innovative products. Product development strategy is already a part of Starbucks corporate strategy, which should be emphasized in order to attract consumers and retain the ........................

This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution.

Related Case Solutions & Analyses:

starbucks case study solutions

Hire us for Originally Written Case Solution/ Analysis

Like us and get updates:.

Harvard Case Solutions

Search Case Solutions

More From Finance Case Studies Analysis

Contact us:

starbucks case study solutions

Check Order Status

Service Guarantee

How Does it Work?

Why TheCaseSolutions.com?

starbucks case study solutions

Write My Case Study

Buy Case Study

Case Study Help

Starbucks – Case analysis and problem solving

Starbucks Corporation is an international coffee company and coffeehouse chain based in Seattle, Washington. In October 2006, Starbucks was the largest global roaster and retailer of coffee with more than 12,000 retail stores in 60 countries, some 3,000 of which are to be found in forty countries outside the United States. Looking forward, the company expects 50% of all new store opening to be outside the United States.In 2006, Starbucks closed a decade of astounding financial performance with increasing sales from $697 million to 7. 8 billion, net profit from $36 million to 40 million and ROIC was 25.

5%. These superior financial performances resulted from the excellent coffeehouse format with designing stores to create a relaxed, informal, and comfortable atmosphere and selling premium roasted coffee, freshly brewed espresso-style coffee beverages, a variety of pastries, coffee accessories, teas, and other products in a coffeehouse setting.This also resulted from superior customer services through highly trained and progressively compensated employees; the strategy of owning stores rather than making franchising arrangement for the basic formula. Sophisticated location strategy, and successful exploration of foreign opportunities also contributed to the Starbucks financial performance. Case Discussion Question 1: Identify the resources, capabilities, and distinctive competencies of Starbucks ? Answer:- I) Resources: Resources of Starbucks include-Tangible Resources: Starbucks Corporation’s tangible resources include- 1.

We Will Write a Custom Case Study Specifically For You For Only $13.90/page!

Design of stores: Design of Starbucks coffeehouse store was very much comfortable, relaxed, and an informal third place between Home and Workplace. 2. Premium location: They located their stores in premium location as possible before its competitors could. Intangible Resources: Intangible resources of Starbucks were as follows- 1. Superior brand name, and brand loyalty; 2. Experience and training of employees, 3.

Intellectual property-Basic formula of the product.II) Capabilities: Starbucks Corporation’s capabilities include- 1. Good organizational rules and procedures for managing operation; 2. Better hiring system and training program. 3. Service oriented values of the company; 4.

Progressive compensation policy. 5. Differentiated products and sophisticated demographic analysis. III) Distinctive Competencies: The above said resources and capabilities were strengths of Starbucks that allowed it to differentiate its products from those of rivals and achieve lower costs structures than its competitors.Distinctive competencies of Starbucks helped it achieve superior efficiency, product quality, and customer responsiveness which are the basis of competitive advantage in the Coffee Retailing Business. Starbucks Corporation’s distinctive competencies are given below- ? Establishment and management of Superior Coffeehouse (Coffee Store): Starbucks Corporation used a very sophisticated location strategy and demographic analysis to identify and capture the premium location for stores as possible its competitors could.

The company designed its store to create a relaxed, comfortable, and informal third place between home and work where customers could spend a very good time. ? Superior Management of Employees: Starbucks used employee hiring and training program that were the best in the restaurant industry. It provides progressive compensation policies including stock options and medical benefits which increased the motivation of the employees to provide the best customer services. These various incentive programs and hiring strategy helped them to manage employees effectively. Preference to Owing Stores rather than Making Franchising Arrangements: Starbucks prefer owning stores for their own rather than performing franchise arrangements with other companies for the basic formula that appears to work.

? Ability to Provide Superior Customer Services and Best-Known Brands: Starbucks were able to provide superior customer services in selling its various premium products through highly trained and motivated employees. This superior customer services had resulted in the creation of the best-known brand name and customer loyalty which generated enormous volume of repeat business for the company.Case Discussion Question 2: Answer:- Starbuck took strategy to sell coffee in a unique way of delivering better service. With their strategy they have built some resources such as unique design of their stores, premier location, superior brand name, experience and training of the employees and basic formula of the product and they have also developed some capabilities such as good organizational rules and procedures, better hiring system, training program, service oriented values and progressive compensation policy.The resources coupled with the capabilities developed by the strategy of the company have given Starbucks to develop some distinctive competencies of unique service delivering process, superior management of employees, preference to owing stores and ability to provide superior customer services. These distinctive competencies are giving Starbucks competitive advantage.

As a result, with these competitive advantages, they have developed a unique brand name and efficient service delivery system.Their efficient service delivery system and high employee productivity have given them economies of scale and have lowered their cost structure. Their products and services are high in quality. Their customer responsiveness is also superior as they have developed their products services according to the need of the customers. The benefit of superior efficiency, superior quality, superior process innovation and superior customer responsiveness has been reflected in the sales of the country and their low customer defection rate helped them to retain their customers.They have now captured a large share of the market and have been able to make their customers buy repeatedly.

This is shown in the following. Competitive advantage to Value creation and superior financial performance: Competitive advantage leads to superior profitability which results in superior financial performance. At most basic level, how profitable a company becomes depends on three factors: (1) the value Case Discussion Question 3: How secure is Starbucks competitive advantage? What are the barriers to imitation? Answer:- The extent of security of Starbucks’ competitive advantage: Low |Moderate |High | |Store designing |Employee hiring |Compensation policies | |Customer services |Training program |Product formula quality | |Premium location |Detailed demographic analysis |Exploration of foreign opportunities | | | |Very limited franchising arrangements | Low:- Starbucks’ comfortable and informal design and premium location of stores are tangible resources so rival groups can easily build these by following them. Where identical customer services can be provided by rivals by easily visiting the stores and following them. Moderate:- As hiring and training programs are developed by committed executives so it is rare to be copied by rivals.

Most competitors lack the abilities to assess the market and to choose premium location by making detailed demographic analysis. High:-Compensation policies like medical benefits and stock option even for part time employees are costly that everybody cannot provide these. Product formula and quality are protected by limited franchising and strong observation. Exploring foreign opportunities are not feasible for all. ———————– Design of stores Premium location Superior brand name Experience and training of employees Basic formula of the product Good organizational rules and procedures Better hiring system Training program Service oriented values Progressive compensation policy Unique service delivering process Superior Management of Employees Preference to Owing Stores Ability to Provide Superior Customer Services Strategy Competitive Advantage Superior Financial Performance

Related posts:

' src=

Quick Links

Privacy Policy

Terms and Conditions


Our Services

Case Study Writing Service

Case Studies For Sale

Our Company

Welcome to the world of case studies that can bring you high grades! Here, at ACaseStudy.com, we deliver professionally written papers, and the best grades for you from your professors are guaranteed!

[email protected] 804-506-0782 350 5th Ave, New York, NY 10118, USA

Acasestudy.com © 2007-2019 All rights reserved.

starbucks case study solutions

Hi! I'm Anna

Would you like to get a custom case study? How about receiving a customized one?

Haven't Found The Case Study You Want?

For Only $13.90/page


Starbucks Case Solution & Answer

Home » Case Study Analysis Solutions » Starbucks

Starbucks Case Study Solution


Starbucks was initiated by three entrepreneurs Jerry Baldwin, Zev Siegl, and Gordon Bowher by selling whole bean coffee in Seattle’s pike Place Market. In 1982, the business grew and there were five stores for wholesale business which were selling coffee to the local restaurants. Starbucks was joined by Howard Schultz, who had been working with Hammarplast, a Swedish company of housewares in New York. Schultz joined Starbucks as a retail sales and marketing manager. Schultz visited Italy on a buying trip. In Milan, he had a good experience of pizzas and coffee. He found that coffee is an integral part of Italian culture and also that Italians start their mornings with espresso. There are 200,000 coffee bars in Italy and 1500 in Milan. Schultz believed that the Americans would also pay for coffee, so nationalizing their brand in the US would be a good idea. Schultz wasenthusiastic about his idea and shared his idea with the owners of Starbucks. They showed less interest in Schultz’s idea. Schultz started making plans and searching for investors. In 1986, he opened his coffee bar, II Giornale, he served Starbucks coffee as well. Because of the short success of II Giornale, he opened his second coffee bar in Seattle and then the third bar in Vancouver, Canada. Within one year, the owners of Starbucks agreed to sell Starbucks to Schultz in consideration of $4 million. II Giornale coffee bar changed its name to Starbucks.

Schultz was growing the company with a solid foundation; he also hired top management from corporations, such as Pepsi. He believed that future profits will beat the initial losses. In the staring, Starbucks suffered many losses but Schultz was determined that one day he will be successful. In 1991, the sales of Starbucks shot up 84% and new coffee bars of Starbucks opened everywhere. The customers were also ready to pay even high prices for the coffee.

Problem Statement

Although, Starbucks is one of the leaders in specialty coffee retail;the company had suffered many initial losses. Its growth has not always been the same. Even Starbucks closed 900 of its stores in 2008 and 2009. This was because Starbucks focused on growing itself in international markets instead of domestic markets. Starbucks did not consider the fact that it was not performing well or shrinking in the domestic markets.

SWOT Analysis


VRIO Analysis

The VRIO framework is used to analyze in detail the competitive situation of Starbucks. VRIO analysis included Global Brand Recognition & Equity, Large Size, and Strong Global Presence, Human Resource Management and Company Culture, Technological Advancement, and Customer Loyalty of Starbucks. (Appendix B)………………………………

This is just a sample partical work. Please place the order on the website to get your own originally done case solution.

Related Case Solutions:

starbucks case study solutions


Logo for M Libraries Publishing

Want to create or adapt books like this? Learn more about how Pressbooks supports open publishing practices.

12.7 Leadership Development: The Case of Starbucks

Figure 12.15

Outside of a Starbucks Coffee

Mike Mozart – Starbucks – CC BY 2.0.

Starbucks Coffee (NASDAQ: SBUX) was born out of a desire for convenience and accessibility to great coffee. In 1971, three friends made that desire a reality and established the first Starbucks coffee house in historic Pike Place Market on Seattle’s waterfront. In 1990, Starbucks drafted its first mission statement, and the number one principle was to “provide a great work environment and treat each other with respect and dignity.” How has the company lived up to that declaration 20 years later?? Starbucks has consistently made Fortune magazine’s “100 Best Companies to Work For” list and in addition is included on a list of the best places to work for LGBT (lesbian, gay, bisexual, and transgender) equality. Working conditions in the service and retail industry are notoriously low paying with long hours, but Starbucks manages to offer benefits for part-time and full-time employees as well as higher-than-average salaries for store managers. Why, one might ask, does Starbucks try so hard to set itself apart?

Leadership development is a core element of the business process at Starbucks, which ensures that the organizational culture of the company is maintained with every CEO successor. Starbucks is forward looking in this respect and strives to attract future business leaders and managers. The idea of planning for one’s own succession can often make people uneasy, but this idea is openly embraced at Starbucks. The company plans far in advance to replace its top-level successors. The importance of leadership is not only ingrained in the upper management team, but Starbucks also ensures that this is an understood value throughout the organization. In 2004, the Coffee Master program was introduced to teach employees about regional coffee flavors. Graduates of the Coffee Master program earn a prestigious black apron and a special insignia on their business cards. In creating this ethos, Starbucks excels at its ability to attract an educated workforce with a high satisfaction level where individuals often move up to become effective leaders within the company.

With the recession of 2009, Starbucks has been forced to rethink its traditional strategy of accelerated growth by closing over 30,000 stores. CEO Howard Schultz has cut his salary to less than $10,000 a year, down from $1.2 million. Despite these slowdowns, Starbucks continues to call employees “partners” and offers a dynamic place to work. As a result, the company had more than 150,000 people apply for jobs last year, a sure indication that the company’s ability to cultivate talented leaders is as strong as ever.

Based on information from Helm, B. (2007, April 9). Saving Starbucks’ soul. BusinessWeek . pp. 56–61. Retrieved April 30, 2010, from http://www.businessweek.com/magazine/content/07_15/b4029070.htm ; Cohn, J., Khurana, R., & Reeves, L. (2005). Growing talent as if your business depended on it. Harvard Business Review , 83 (10), 62–70; Stanley, A. (2002). Starbucks Coffee Company. Tuck School of Business at Dartmouth (no. 1–0023). Retrieved April 23, 2010, from http://mba.tuck.dartmouth.edu/pdf/2002-1-0023.pdf ; 100 best companies to work for. (2010, February 8). Fortune . Retrieved February 14, 2010, from http://money.cnn.com/magazines/fortune/bestcompanies/2010/snapshots/93.html ; Miller, C. C. (2009, January 29). Starbucks to close 300 stores and open fewer new ones. New York Times . Retrieved February 15, 2010, from http://www.nytimes.com/2009/01/29/business/29sbux.html .

Discussion Questions

Organizational Behavior by University of Minnesota is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License , except where otherwise noted.

Share This Book

starbucks case study solutions

Fix the Traffic Problem at the Starbucks Drive Thru, Help that Local Lighting Business!

Starbucks Drive-Thru in Thousand Oaks, on Rancho Rd/Thousand Oaks Blvd. is a mess for traffic!! Imagine the local lighting business that shares the same lot! Those cars exceed the maximum 9 cars that the permit resolution cited - every day! Sign to show your support!

Starbucks Brews Public Safety Concerns

                Starbucks is notorious for putting small shops out of business, from forcing out small vendors selling coffee at the V.A. Medical Center to stampeding adjacent properties with its high traffic. The large corporation has continued to increase its number of stores every year, and has a very loyal base of Starbucks aficionados. The company cannot keep up with the increasing amount of consumers waiting in line, whether in store, or in their cars. Starbucks has been trying to deal with this through their mobile app, which allows customers to place their orders ahead of time. Still, even after the rollout and promotion of the app, the coffee baristas are overworked in the morning rush hours, lines remain long, especially for drive-thru locations, and customers consequently sometimes don’t get their coffee at their preferred temperature. The increased demand for their products is a problem for them, in the sense that Starbucks has TOO much demand.

                Starbucks plans to add 40,000 drive-thru locations over the next few years, with many of those locations being drive-thru ONLY. As of April 2017, there is only one Starbucks in the Conejo Valley that is drive-thru only – the Thousand Oaks location at the intersection of Rancho and Thousand Oaks Blvd, which opened in 2013.  If you have been to this location before, then you most likely know that it has a major traffic problem. In order to fully understand how and why this unfortunate situation came to be, we must look at how it got approved in the first place. It was the first location to be approved after a drive-thru related amendment to the Thousand Oaks Specific Plan 20. This is the plan for improving Thousand Oaks Blvd east of Moorpark Road and west of Duesenburg Drive. It was first adopted November 2011, with two amendments in the middle of 2012, and an amendment in 2016.  Basically, the plan deals with establishing future guidelines for the street and the businesses located on the street.  The plan is very ambitious in terms of the overall vision for the boulevard, wanting a high amount of foot traffic, buildings that are pleasing to the eye, and for buildings to include landscaping and extended sidewalks.  The May 2012 amendment dealt with drive-thru restaurants.

                For drive-thru only restaurants on Thousand Oaks Blvd, approval must come from the City of Thousand Oaks Planning Commission, and requires a special use permit for the property. The special permit was granted after review of an ATE study dated April 5 th , 2012; this study was referenced in the permit resolution. That ATE study, which dealt with predicting the traffic of this Starbucks location, cited 3 other Starbucks drive-thru locations, the primary one being the location in Oxnard on Channel Islands Blvd. The study inferred that the Oxnard location would have the same traffic patterns as the Thousand Oaks location. It projected about 91 vehicles for the weekday morning period (7:00 am – 9:00 am), with an average queue during this time of 6 vehicles, and a maximum of 9 vehicles. The resolution states that if the activity and resulting queues exceed those projections and thus adversely affect on-site circulation or block project driveways, that the applicant agrees to correct any identified deficiencies in a “timely manner to the satisfaction of the City Traffic Engineer and Community Development Department” by implementing measures recommended in the ATE study. The first measure would be to station a Starbucks employee, similar to In-N-Out drive-thru order takers, near the end of the queue in order to expedite the time spent in the queue. The second measure would be to restrict the Thousand Oaks Blvd entrance driveway to outbound traffic only – if the first measure doesn’t reduce the queue.

                Anyone who has been to this Starbucks location in the last couple of years knows that on-site traffic circulation has been adversely affected. It is also a daily occurrence during those weekday morning hours for the queue to be so long that it stretches all the way out to the Rancho Rd entrance driveway. But have you seen a Starbucks employee taking orders for vehicles in the queue? If so, how often? I drive past this lot twice a day on my way to and from work, and I have yet to see a Starbucks employee outside. Even outside those peak morning hours the queue goes onto Rancho Rd. Once actually through the drive-thru and coffee in hand, getting out of the parking lot is another nightmare itself. With cars entering the drive-thru from both entrances, getting out is a major headache and requires patience, skill, cooperation with other drivers, and even then, it is still frustrating and unsafe. I understand the City of Thousand Oaks felt that prior to the Starbucks being there, it was somewhat of an eyesore, but their own resolution says that the permit will be revoked if those previously mentioned two measures aren’t enacted, and/or don’t help traffic circulation.

                Imagine the frustration for the other tenant in this parking lot, Lighting and Bulbs Wholesale Supply. The long queue at Starbucks routinely blocks the entrance and parking spaces of that business. Customers who manage to park in a spot have even more difficulty getting out. Customers are forced to park in the adjacent lot, or at the Chevron across Rancho Road. Many of these customers are landscape contractors who drive heavy load pickup trucks. Parking and leaving Lighting and Bulbs Wholesale Supply is much more difficult for them than the average compact car with or without a backup camera. I spent one day in the morning hours recording action from the viewpoint of this local lighting business, which has been in Thousand Oaks since 1999. The customers were frequently agitated over the traffic situation, but they themselves could only imagine the stress of the owner of Lighting and Bulbs Wholesale Supply.

                Why has there been no media coverage, or even local media, about this situation? As a local resident of Thousand Oaks for 6 years, who lives on a side street off of Thousand Oaks Blvd, I always liked the amount of genuine small businesses operating in the city, especially on Thousand Oaks Blvd. Many of these businesses have been in operation for a very long time.

In recent history we have seen more commercial chain stores come to Thousand Oaks Blvd, but this Starbucks is the biggest concern, because not only is it adversely affecting the neighboring local business, but also because it is affecting public safety (there has been a very noticeable increase in police/crime activity at that location in the past four years), and thus embodies the commercialization of large corporations negatively impacting the local community.

According to Google Maps, there are about 16 other Starbucks in the Thousand Oaks/Westlake Village/Newbury Park area (more if the Oak Park area is included). As residents of these cities, do we really need more big corporations pushing out small businesses as they swallow their own footprint? With the growing rate of population, do we really want to become the next San Fernando Valley? The Conejo Valley has always been a tight-knit community. Let’s keep it that way. Watch the video, give your signature to show your support, and help preserve our community.

Thousand Oaks Specific Plan 20


Small Business Owner Forced out of VA Medical Center due to Starbucks


Planning Commission Resolution No. 16-2012 PC

Privacy Policy

By signing, you accept Care2's Terms of Service . You can unsub at any time here .

Having problems signing this?  Let us know .

Competitive Intelligence

Drive Your Business

Protect your brand, manage a crisis, monitor competition, analyze trends, with consumer and market intelligence, how can we help drive your business, product innovation.

Use customer analytics to deliver more compelling products, with greater market adoption, ultimately driving more revenue.

Inform Product Development and Launches Learn More  

Trend Analytics

Analyze news trends to monitor and grow your brand’s share of voice, understand the content your target market is consuming, and maximize campaign effectiveness.

Uncover and Act On Emerging Trends Learn More  

Evaluate your brand competitors to expand your view of market trends and consumer behavior, identify competitive risks and challenges, uncover new opportunities, and inform your strategies.

Gain the Competitive Edge Learn More  

Crisis Management

Identify and respond to potential crisis situations before they spiral out of control. Real-time news and social alerts, and full situational context let you respond quickly and effectively.

Spot and Manage a Crisis in Real-time Learn More  

Technology Scouting

When it comes to making smart, informed strategic decisions around product innovation, AI-powered tech scouting capabilities give you the advantage in your market.

Quickly Identify Key Areas of Growth Learn More  

Leader in consumer and market intelligence, trusted by the world’s top brands and agencies, protect brand health.

Understand the public perception of your brand and your share-of-voice versus that of your competitors.

Boost Campaign Performance

Apply the available wealth of social insights to fuel top performing campaigns and marketing strategies.

Improve Crisis Management

Track emerging issues in real-time to understand your exposure to risk before they damage your brand.

NetBase Enterprise

Premier social media analytics platform

NetBase News

Expand your social platform with LexisNexis news media

NetBase Pro

Power of social analytics for your entire team

Media analytics and market intelligence platform

Quid Social

Enrich your media analytics with social data

Social media benchmarking and competitive intelligence

Intelligence Connector

Data streams & custom KPIs for advanced data science

AI, Image Analytics, Reporting Tools & more


Out-of-the-box integration with other data sources

Brand Health & Perception

Campaign Strategy

Product Innovation & Launch

Mergers & Acquisitions

Voice of the Customer

Influencer & KOL Marketing

Beauty & Fashion

Financial Services

Food & Beverage

Media & Entertainment

Restaurant & Dining

Travel & Hospitality

Best Practices

Customer Testimonial

How-To Guides

Product Demo

Product Sheet

Register Now:

Now On-Demand:

Web Analytics

Flag of US

Integrated energy solutions helping you balance planet and profit

We analyze, finance, install, operate and optimize energy.

Control costs, keep your organization running without power interruptions, and become more sustainable with our portfolio of integrated energy solutions. We combine the right technologies with full lifecycle support, ensuring you drive the most value from your corporate energy solution with an approach that’s the best fit for you and your organization.

Energy Efficiency Solutions

Are you looking to lower utility and maintenance costs, increase equipment life and performance, and improve occupant comfort, safety, and productivity? Upgrade your energy infrastructure.

Solar and Energy Storage

Are you looking to decrease reliance on grid energy, reduce energy costs and demand spend, and operate more sustainably? Leverage your roof, parking lot or land to generate and store renewable energy.

starbucks case study solutions

Overcome barriers to energy infrastructure investment by financing your energy strategy with a range of flexible solutions that avoid the need for CAPEX investment.​

Acceleration to net zero

Customers serviced with energy-efficient solutions in the U.S.

Solar PV systems installed and maintained in the U.S.

of flexible assets under management globally

Energy data points collected each month globally

See how our customers are leveraging our integrated energy solutions to realize cost efficiency, enhance energy resilience, and accelerate their journey to a low-carbon future.

starbucks case study solutions

Efficient lighting and water solutions from Centrica Business Solutions projected to save $907k a…

starbucks case study solutions

By using a solar PV system from Centrica Business Solutions, Olde Thompson gets within reach of…

Organizations across a variety of industries are already solving their business challenges and harnessing the power of energy. Below are some examples where we have extensive experience.

starbucks case study solutions

Protect and improve patient care by strengthening operational efficiency and resilience.

Sustainable energy solutions for colleges and universities

Achieve your campus sustainability goals and hit your budget by lowering your operating costs and carbon footprint.

Sustainable energy solutions for local governments

Reduce operating costs and improve your services by balancing cost efficiency, resilience, and environmental responsibility.

Sustainable energy solutions for K-12 schools

Provide safer, healthier, and more productive learning environments, improving facilities without impacting budgets.

starbucks case study solutions

Improve operational performance, save wasted energy costs, streamline production, and meet output targets.

Sustainable energy solutions for water utilities

Reduce operating expenses and carbon emissions, improve your services, increase revenue, and boost resilience.

Our Knowledge Center gives you useful blogs, reports and videos around energy market trends and energy solutions.

Benefits of on-campus microgrids

If the grid fails, how will that impact your campus operations and affect your students? Securing…

Delaying energy upgrades impacts college budgets

Faced with declining public funds and tuition revenue, many colleges and universities have to do…

How can colleges and universities monetize campus infrastructure?

Installing a solar PV system can enable higher education institutions to maximize value from…

We’re proud that our comprehensive approach to energy management has been recognized through a wide range of accreditations, memberships and accolades.


  1. Starbucks Case Study Slideshare

    starbucks case study solutions

  2. Case study starbucks

    starbucks case study solutions

  3. Starbucks Case Study Recommendations

    starbucks case study solutions

  4. Starbucks Case Study Analysis Assignment Answers

    starbucks case study solutions

  5. PPT

    starbucks case study solutions

  6. Case Study: Starbucks

    starbucks case study solutions


  1. Starbucks Local Training

  2. Starbucks Case for IPhone 13 Pro || #shorts

  3. Pakistan Copied Starbucks Coffee । Business Case Study

  4. Wrong Siren! A location spoofing attack on indoor positioning systems: the Starbucks case study

  5. Starbucks 100 million dollar tip lawsuit

  6. NRS C-Store Insider Podcast


  1. Starbucks

    Starbucks - Case Solution This case study analysis focuses on the identification and examination of the forces in the competitive environment surrounding Starbucks and the company's ability in relation to the coffee industry. It discusses the core competencies of Starbucks and the alternatives and opportunities for growing its retail operations.

  2. Starbucks Case Analysis and Case Solution

    The case solution first identifies the central issue to the Starbucks case study, and the relevant stakeholders affected by this issue. This is known as the problem identification stage. After this, the relevant tools and models are used, which help in the case study analysis and case study solution.

  3. Case study Solution on Starbuck's Company

    Case study Solution on Starbuck's Company Feb. 06, 2017 • 5 likes • 15,917 views Download Now Download to read offline Presentations & Public Speaking This presentation was given by Nahid Hossen Khan Nishad. Nahid Hossen Follow Manager at K&K Textile Advertisement Advertisement Recommended Case study Starbucks AJAL A J 8.8k views • 29 slides

  4. Full Case Study: Marketing Strategy of Starbucks

    Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. The company operates in over 30,000 locations in 70 countries worldwide as of early 2020. This blog is an in-depth analysis of Starbucks' marketing strategies, complete with touching upon their target market ...

  5. Starbucks Case Study

    Starbucks Case Study - How Starbucks Conquered The Coffee Industry? May 25, 2022 — 19 min read Starbucks Corporation is an American coffee chain that was established in 1971 in Seattle, Washington. By mid-2019, the organization had a presence in over 30,000 areas around the world.

  6. Starbucks: Delivering Customer Service

    Starbucks: Delivering Customer Service Case Answers. You will receive access to two case study solutions! The second is not yet visible in the preview. Company Background - Starbucks: Love Coffee, Love People. Starbucks was founded in 1971. Later, Howard Shultz took over. Its vision and mission are to "Make America's third place ...

  7. Starbucks [10 Steps] Case Study Analysis & Solution

    Starbucks Case Study Analysis & Solution Harvard Business Case Studies Solutions - Assignment Help Starbucks is a Harvard Business (HBR) Case Study on Sales & Marketing , Fern Fort University provides HBR case study assignment help for just $11. Our case solution is based on Case Study Method expertise & our global insights.

  8. Starbucks Case Answers

    Ans 8 It was estimated that Starbucks' ice cream would perhaps reach $40 million at retail and contribute at least $500,000 to earnings during fiscal 1997. Bottled Frappuccino was Starbucks' attempt to introduce a quality ready-to-drink coffee beverage into the North American market place.

  9. Starbucks Case Study Solution

    The Starbucks case study consists of the history of the company given at the start. Reading it thoroughly will provide you with an understanding of the company's aims and objectives. You will keep these in mind as any Harvard Business Case Solutions you provide will need to be aligned with these. 2.

  10. Starbucks Case Study Solution

    Case study solution of starbucks Critique Starbucks overall corporate Strategy of Starbucks Critique Starbucks overall corporate Strategy of Sturbucks Starbucks Going Global Fast Starbucks improve profitability in Bangladesh The major sources of Risk facing the Starbucks and Potential solutions for major risk and problem

  11. STARBUCKS Case Solution And Analysis, HBR Case Study Solution

    StarBucks Case Study Solution Issues The issues with Starbucks were that the company had been facing major problems during the time of recession in the year 2009,the company had been suffering in low sales due to the financial crises which impacted on all of the companies.

  12. PDF Case Study: Starbucks Coffee

    CASE STUDY: STARBUCKS KATHLEEN LEE 2 Updated history and Current Status Today, according to the Starbucks website, they have 16,706 stores (as of Dec. 27, 2009) in 50 countries. In 2009 they made strives socially as they opened the Farmer Support Center in Ki-gali, Rwanda and became the world's largest buyer of Fair Trade CertifiedTM coffee.

  13. PDF Home

    Home | Scholars at Harvard

  14. Starbucks Case Solution And Analysis, HBR Case Study Solution

    Historical financial performance reveals that growth and profitability ratios are constantly declining but based on the future projection of financial results; the profitability of Starbucks will begin to improve but growth rate in revenues will still follow a declining trend and this will be confirmed by 15% growth in specialty coffee industry …

  15. Starbucks

    Intangible Resources: Intangible resources of Starbucks were as follows- 1. Superior brand name, and brand loyalty; 2. Experience and training of employees, 3. Intellectual property-Basic formula of the product.II) Capabilities: Starbucks Corporation's capabilities include- 1. Good organizational rules and procedures for managing operation; 2.

  16. (PDF) Case study: Starbucks

    Case study: Starbucks Authors: Mario Glowik Hochschule für Wirtschaft und Recht Berlin Figures Content uploaded by Mario Glowik Author content Content may be subject to copyright. Lack of...

  17. Starbucks Coffee Case Study Solution for Harvard HBR Case Study

    Starbucks Coffee Case Solution Introduction. In 1971, the Starbucks started its operation in Seattle as a seller of coffee beans and coffee making equipment and brought the Italian coffee drinking culture to the United States. In 1987, Starbucks bought its own stored and started to open new stores in the United States. The company went public ...

  18. Starbucks Case Study Solution for Harvard HBR Case Study

    Starbucks Case Study Solution for Harvard HBR Case Study Starbucks is one of the market leaders in its industry and enjoys tremendous growth. The company is serving different types of coffees to enjoy a large consumer base. Starbucks holds a strong market position internationally as it has a geographical presence in the globe.

  19. 12.7 Leadership Development: The Case of Starbucks

    Leadership development is a core element of the business process at Starbucks, which ensures that the organizational culture of the company is maintained with every CEO successor. Starbucks is forward looking in this respect and strives to attract future business leaders and managers. The idea of planning for one's own succession can often ...

  20. petition: Fix the Traffic Problem at the Starbucks Drive Thru, Help

    The special permit was granted after review of an ATE study dated April 5 th, 2012; this study was referenced in the permit resolution. That ATE study, which dealt with predicting the traffic of this Starbucks location, cited 3 other Starbucks drive-thru locations, the primary one being the location in Oxnard on Channel Islands Blvd.

  21. Consumer and Market Intelligence platform

    Intelligence. Crisis. Management. Technology. Scouting. Brand Health. Understand your brand's perception through the eyes of your consumer. Uncover and address key factors driving brand health. Be the Brand They Love.

  22. Starbucks®

    This site requires JavaScript.

  23. Integrating Sustainable Energy Solutions

    See how our customers are leveraging our integrated energy solutions to realize cost efficiency, enhance energy resilience, and accelerate their journey to a low-carbon future. Case Study Light and water solutions to save $907k a year. Efficient lighting and water solutions from Centrica Business Solutions projected to save $907k a….