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Starbucks: Accelerated growth plan

  • June 2014
  • -
  • MarketLine
  • -
  • 21 pages

Summary

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Introduction

Following a decline in profitability and share price in 2008, Starbucks embarked on a business revival strategy. This was highly successful and led to big expectations in terms of continued growth. In December 2012, Starbucks unveiled a new growth strategy, the 'accelerated growth plan'. This case study will examine this new strategy and assess the success of the growth plan so far.

Features and benefits

* This case study looks at Starbucks 2008 business revival strategy.
* This case study outlines the accelerated growth plan, introduced at the end of 2012.
* This case study assesses how successful the growth plan has been so far.
* This case study looks at what the future may hold for Starbucks.

Highlights

Starbucks' 2008 business revival strategy led to the company being named as the 'Number One World’s Most Innovative Food Company' by Fast Company in 2012, helping to put the company back in growth and increasing its brand value.
With the company reporting increasingly impressive margins and profitability, the accelerated growth plan was designed to continue to drive the company forwards. Schultz described how the strategy would focus on new store openings, international expansion, adaptations to its payment and rewards platform, and a focus on consumer packaged goods
With the announcement of the growth plan at the end of 2012, Starbucks set itself a big task. The company is expanding its store portfolio, adding new food and drink items, penetrating supermarkets around the world, and expanding its payment and loyalty platforms. Early indications suggest that the company's new strategy is proving successful.

Your key questions answered

* What was the business revival strategy?
* What is Starbucks' accelerated growth plan?
* How is the growth plan being implemented?
* Is the growth plan proving to be successful?
* What does the future hold for Starbucks?

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