Starbucks Case Study
Do a 3 C’s Analysis to understand the Company, Its Customers and Competition
Identify the major problem(s). Distinguish between major and minor (more insignificant) problems.
Do a 3 C’s Analysis to understand the Company, Its Customers and Competition
Perform a SWOT Analysis to identify the Strengths and Weaknesses of the Company Opportunities and Threats
What feasible alternatives does the management have for addressing the key problems (do not list alternatives that don’t make sense!)
Can the Strengths of the Company be leveraged to address these?
Are there untapped opportunities in the feasible alternatives?
What are the threats from competition (if any) to these alternatives?
Strategic or Qualitative Analysis — Weigh carefully the pros and cons of each alternative before deciding on the best one. Solution must address the major problem!
Explain why the other alternatives are inferior strategically. • E.g.: Will hurt existing channel partnership if you add new channels of retail
Quantitative Analysis Provide data substantiated justification to your proposed solution using data provided in the exhibits — Show why the recommended solution is better than other alternatives in terms of revenues/profits/breakeven period etc. —
Clearly state any assumptions you make (e.g., cannibalization rate, discount rate, churn rate etc.)
A 5 year plan is typically recommended for thorough financial analysis of your strategy
Proposed Strategy — Propose the recommended solution: Product, Place, Price, Promotion
