MANAGEMENT INFORMATION SYSTEMS
MANAGEMENT INFORMATION SYSTEMS
15th Edition
ISBN: 9780134640037
Author: LAUDON
Publisher: PEARSON
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Chapter 12.3, Problem 2.3CQ

Explanation of Solution

Starbucks decision about store location

  • Since many stores were closed, it helped to convince Starbuck senior management for the need of a data-driven, disciplined approach for store opening decisions...

Explanation of Solution

Management factors

  • Management does not want the company to grow for the sake of growing and looks more carefully at the individual prospects of the newly opened store.
  • It never assumes that they can be succeeded just because stores are open.
  • Management does not want to repeat when the company had to close hundreds of stores which should never have been opened in the first place.

Organization factors

  • Starbucks strategy focused on accelerating the growth of US business when majority of Starbucks stores were closed...

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