MBA 5030 Week 3 - Case #14

docx

School

Webster University *

*We aren’t endorsed by this school

Course

5030

Subject

Business

Date

Feb 20, 2024

Type

docx

Pages

Uploaded by MegaHorseMaster787

MBA 5030 , Week 3 – Ana Rubino-Quiroz Questions: 1. Starbucks is creating value for their customers in all processes in the value chain as outlined below: Value chain activity Brief description How does it create value for the customer? Primary: Inbound logistics Globally procuring coffee beans from growers or “partners” as referred to by Starbucks are utilized to produce high quality coffee Provides consistent level of coffee that is expected from its urban/mid to high-income customers Operations American manufacturing plants that utilize innovative machinery to produce its coffee Lean operations from cradle-to- grave allows Starbucks to control margins and continue delivery of high-quality coffee Outbound logistics Distribution of its coffee directly to company-owned stores and a critical supplier to franchised stores Clean / well-staffed locations allow for outstanding customer service and increase in-store sales and increase repeat customers Marketing and sales Market a destination rather than just another place to buy coffee; customer experience is what is sold with the products as secondary goal Customers (professional, student, parents) feel special and tend to go there not just for the coffee but for the experience Service Providing all stakeholders with High level of services Staff delivery world class customer service Support: Procurement Supplies coffee to own stores and franchises Dual income stream provides above average returns in both supplying the coffee and final output to its shop customers Technology Development Mobile/apps/digital ordering Using online/mobile app adds value to those customers with less time to spend in store Human Resource Mgt Emphasis is placed on highly trained and well-paid staff with benefits packages including college tuition assistance Happy and highly compensated staff delivery great customer service

MBA 5030 , Week 3 – Ana Rubino-Quiroz General administration Socially responsible and green/environmentally focused company Adds value to customers by making them feel that money is satisfying both their coffee need and social good 2. Starbuck’s key resources and capabilities are that utilizes its vast network of coffee suppliers and standardized plant operations to deliver high-quality coffee and delivering value to their customers. According to the VRIN model (see below Table), Starbucks IS NOT contributing towards a sustained competitive advantage because although it is highly Valuable in some area, it is neither Rare/Unique and unable to be Imitated as other competitors (small and large) offer the same product (albeit at a lower quality and price). I believe that Starbucks beyond its brand reputation, it must create another differentiation strategy to gain competitive advantage over other its competitors areas. The following is a basic SWOT analysis of Starbucks: STRENGHTS - Manufacturing - Global range of suppliers WEAKNESSES - Supply Chain dependent on functioning in COVID era challenges - Payment system/POS OPPORTUNITIES - Expanding into healthy juice products/ and teas - Expanding hours from breakfast/lunch to dinner options THREATS - Inflation - Increased unionization movement

MBA 5030 , Week 3 – Ana Rubino-Quiroz Resources and Capabilities Valuable Rare Costly to Imitate Nonsubstitutable Performance implications High Quality Ingredients Yes – Allows Starbucks to execute its strategy No – Somewhat common can be sourced by other firms but at a cost Yes – Can be expensive to obtain same quality coffee as Starbucks pays premium prices to its suppliers No – Easy to replicate strategic objectives if others willing to invest similar strategy Competitive Parity Highly Trained Staff Yes No – Competitors can replicate highly trained staff for customer service Yes – Somewhat costly to recruit and train employees and match the benefits package provided by Starbucks Yes Competitive Parity Process Yes – No – Yes – it would be No Competitive

Your preview ends here

Eager to read complete document? Join bartleby learn and gain access to the full version

Access to all documents
Unlimited textbook solutions
24/7 expert homework help

MBA 5030 , Week 3 – Ana Rubino-Quiroz Standardization Service and store layout and wifi Other restaurants do not replicate the same but are capable of creating similar comfortable environment expensive to replicate its plant equipment and manufacturing processes Parity Supplier Relations Yes – High supplier relations is one of the factors that makes Starbucks high value No – Few organizations of this scale have high supplier relations Yes – Relationships are complex and built over time. A startup would need time to replicate the relations No – Some strategic equivalents Competitive Parity Brand Reputation Yes – Yes – Few competitors have similar Yes – Reputations are costly and Yes – Few substitutes for superior Competitive Advantage

MBA 5030 , Week 3 – Ana Rubino-Quiroz High brand loyalty reputation for quality require sustained investment reputation

Related Documents

HRM 300 Module Three HR Inbox.docx

BAN120 Volkswagen Case Q&A with case template.docx

Shubham_Jethwa_Assignment 1.pdf

Document59.docx

Document57.docx

Rachel Cl_WorkingInEarlyChildhood_AEWB_Prt3of3 (sept) - Copy - Copy (1) - Copy.pdf

aPortfolio Project4503.docx

BUSS 420 Request For Proposall.docx

Week 6 quiz.docx

Benchmark - Preparing Evaluation Findings.docx

chapt5.pdf

Quiz 3.pdf

Recommended textbooks for you

Purchasing and Supply Chain Management

Operations Management

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Cengage Learning

MARKETING 2018

Marketing

ISBN:9780357033753

Author:Pride

Publisher:CENGAGE L

Principles of Management

Management

ISBN:9780998625768

Author:OpenStax

Publisher:OpenStax College

SEE MORE TEXTBOOKS

Recommended textbooks for you

Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning
MARKETING 2018
Marketing
ISBN:9780357033753
Author:Pride
Publisher:CENGAGE L
Principles of Management
Management
ISBN:9780998625768
Author:OpenStax
Publisher:OpenStax College