Starbucks Micro and Macro Environment

Starbucks Micro and Macro Environment For any organisation survival depends on its surrounding environment located. It means the trends in political, economical, social, technological, environmental and legal environment, which can influence business. Below the environmental factors are described (P)olitical Issues: Taxation policy If government imposed high tax on farmers in countries producing coffee bean from where Starbucks buy their coffee, than Starbucks needs to pay higher price for their coffee they purchase. This effect will ultimately pass to the customer, because they need to higher price. Government stability Starbucks should carefully investigate the political stability of any country before they want to plan for expand to. It can affect in taxation and legislation when the government change. International stability The global economy must be carried into attention as it can affect Starbucks sales and markets. Employment law A decrease in licensing and permit costs in those countries producing the coffee bean for Starbucks will lower the production costs for farmers. (E)conomic Issues: Interest rates An increase in interest rates means investment and expansion. And also mortgage repayments rate will rise so customers have less money to spend on luxury products such as coffee. Low interest rates have the reverse effect. Economic Growth If economic growth is low in the country of location of Starbucks then sales will fall down. Customer incomes tend to go down in periods of negative growth leaving less money to spend. Inflation rates Inflation is a term for increasing prices. It is measure by using Retail Price Index (RPI) in the UK. Competitors pricing Aggressive pricing and sales from competitors creates a price war for Starbucks, which can drive down. (S)ocial Issues: Population demographics They need to identify and target their customers to aim their products on them. Attitude to work They have to find area where local population have high attitude to work. So their recruitment will be easy, training will be effective and staff turnover will be low. Standard of education/skills Creating new premises Starbucks needs to look for standards of education and skills locally. They must be up to date in order to make any business operation successful. Working conditions/health and safety They must accomplished high standard of friendly environment and follows health and safety. Location this is a major factor it should be in a easy access for both customers and staffs. (T)echnological Issus: IT development Starbucks is well aware to extend and improve its Internet facilities and also tools to target customers, analyse data, and deliver new features to the market in the shortest time. New equipments and processes The technology like as coffee making machines and the computers system development that Starbucks use to operate their till registers will enable their staff to work more quickly and efficiently. Research and Development activity Starbucks has huge budget and have allocated the resources to have accurate Research and Development data. (L)egal: Trade and product restrictions Starbucks have to ensure they dont violate laws e.g., religious laws. Also they have to be attentive on the tariffs have to paid for import / export goods. Employment law Each country has some restrictions on employment laws. Like student work law in UK, the public holidays etc. Starbucks have to account these factors. (E)nvironmental Issues: Pollution problems Customers increase a lot of rubbish that they leave the shop with their cup of coffee and then also leave it in the street. So the packaging for the cup should be carefully accounted to make it environmental friendly. Work disposal Starbucks have to carefully consider the process to dispose rubbish as there are strict laws in most countries. Micro analysis or Michael Porters five forces analysis Michael Porters has developed a famous model of the five competitive forces in his book. The competitive strategy that techniques he analysed for organizations and competitors. It tends to high light on single, stand along and business or strategic business unit rather than a single product or product range in the market. Porter has specified these five competitive forces that form every company and every market. These are: Threat of new entrance Bargaining power of suppliers The threat of substitute products Bargaining power of customers Competitive rivalry Threat of new entrance Economics of scale, high or low entry cost, ease access to the distribution channel; other cost advantages are not associated to the size of the company, whether other competitors will react. There will always be a continuous pressure for Starbucks to respond and regulate these new competitors. The easier it is for new competitor to enter the market the more competition there is within the market. Although this should not be a problem for Starbucks as they have a large number of market share. Literally, it will be a threat for the new entrants. As a companys volume increases, so does its experience and knowledge, which tends to increase the potential risk for the new competitors. Bargaining power of suppliers If little large number of suppliers control the market more than large number of fragment sources, bargaining power of supplier is expected to be high. Even suppliers got certain quantities of power that is limited. But for Starbucks being the most famous specialty coffee shop chain in the world reaching sales of $9.8 billion in 2009 and still increasing they still should be demanding coffee beans for some time. It is legal to say that the Suppliers need Starbucks, just as much, if not more so than Starbucks need their supplies. The suppliers of Arabica beans were mostly owned by medium-size farm and typically sold their production to process by local markets. (Lee, 2007) Particularly, these farms had been placed in the Pacific Rim, Latin America and East Africa. (Lee, 2007) These farms were various and not related with one another, with separation, providing them small bargaining power. Even there was no straight alternative for the Arabica beans which had been use in special coffee production. Huge group of farms which had been supply the crop processed it easy for buyers to escape burdens to any specific farmer, which was difficult for suppliers. The farmers sold the Arabica beans to specialty coffee retailers who were reliant upon their constant business. Luckily for Starbucks they buy their coffee beans directly from producing countries: Latin America (50%), Pacific Rim (35%) and East Africa (15%). Threat of substitute of products It occurs when there is a product-for-product replacement or substitution of need. For example bald head reduces the need for hair gel, where there is common substitution and finally the attitude we could always do without . An example for Starbucks would be if an alternative to coffee was offered e.g. a customer switching from coffee to tea, coffee to chill drinks or coffee to juice. Competitive rivalry: contribute to strong rivalry between existing competitors in an industry. Bargain power of buyers Buyer power is likely to be high if a number of circumstances are in place. There is an awareness of buyers, additionally if the volumes of purchases of the buyers are high, the supplying industry includes a large number of small operators, there are substitute sources of supply, the component or material cost is a high percentage of total cost, the cost of switching a supplier is low or engages little risk, there is always a risk of backward integration by the buyer. Competitive rivalry Every day competitions are growing gradually against the Starbucks as the business growth. Competitors taking chance to reduce the price, introducing a rival product, insistent growth of production to enhance the market share. Starbucks significant innovation their products which also competitors start to keep up. It is very hard for Starbucks as a competitor to keep the fixed cost against the variable cost. Starbucks dont have any other competitive rivals that are of parallel size to them. So there are not any competitors in the market that would be measured in balance with them. However, they must retain their outstanding standards and always be on the watch out for new advances in order to survive as the market leader. SWOT analysis Aim of SWOT analysis is to identify the main internal and external factors that are very significant to achieve the objective. It is essential to be realistic about the strengths and weaknesses to help differentiate the companys situation are today, and where it could be in the future. The strengths and weaknesses are named internal factors and external factors are opportunity and threats. (S)trengths It is a global coffee brand with a high reputation for excellent products and services It has around 17,000 stores in 49 countries.ÂÂ   It has strong ethical values, commitment towards the environment and community activists. It is one of the most Top 100 companies which is work for in 2005 Starbucks Gift Cards, Starbucks Card and rewards. Well-value, well train and well-motivated employees, best working place Established logo, developed brand image, copyrights, own trademarks, website and patents. (W)eaknesses It has majority market share in the USA with more than three quarters of its stores located in the domestic market. In order to reduce business risk, expansion is needed. It has a reputation for trying new products development and creativity. But, they always remain vulnerable to the possibility that their innovation can go wrong. (O)pportunity It has a chance to expand its global operations. Co-branding with other manufacturers of food and drink and brand franchising to other manufacturers of other products and services both has high potentiality of success rate. Technological advantage Emerging multinational markets New distribution channels Supply agreements (T)hreats Its success has lead many competitors and copycat brands pose potential threats for market entry. Starbucks is exposed to increases the cost of coffee and dairy products. Farmers are poorly treated by false publicity in supplying countries. Fragile state of worldwide production for specialty coffees. Isolation of younger, domestic market segments. Cultural and Political factors in foreign countries. Marketing objective and strategy Now we can identify external and internal factors of the company. Starbucks marketing objectives are being consistent with their business objectives. Significantly their marketing objectives should direct to sale. The marketing objectives should follow SMART objectives. SMART objectives are: Specific: organizations objective need to be identify what they want to achieve. Measurable: organization has to measure whether they are meeting the objectives or losing to do so. Achievable: objectives should be set, achievable and realistic. Realistic: The firm is expected to attain the objectives with the resources available. Timed: A timescale require being place for achieving the objectives. The 7th of September in 2010, the company has announced that they expand distribution of Starbucks about 13,000 stores are available at more than 55,000 locations around all over the world. Starbucks is increasing its share of the $23 billion international coffee market. (VIAÂÂ ® Ready Brew through international grocery channels in Japan, Canada and the U.K.) Starbucks has stores in forty nine different countries as well as Canada, United Kingdom, Australia, Thailand, and Singapore (Starbucks 2010). And in the U.K. total 80% coffee are selling every day, the product will be available in 2,300 grocery retailers including Tesco, Sainsbury and Waitrose, raising the total figure of distribution locations to more than 2,900 retail locations. At present, Starbucks has expended stores in forty nine different countries as well as Canada, United Kingdom, Australia, Thailand, and Singapore (Starbucks 2010). Starbucks consider which is important to have a good relationship with their customers wherever they are situated. Thats why; the company maintain the high quality products and services. This company would not be as successful as they are now. Because they are being considered without diversity as they pride it. They are identified to be recognising of various groups of people because they convey in notes for new growth prospect. Jim Donald, President and CEO of the Starbucks Corporation states, When we embrace diversity, we succeed (www.starbucks.com). Starbucks consider that without change, their company would not have matured into the highly successful global company that it has matured into today.

How Stevenson Depicts the Relationship between Dr. Jekyll and Mr. Hyde

How Stevenson Depicts the Relationship between Dr. Jekyll and Mr. Hyde Robert Louis Stevenson wanted to gradually show the relationship between Jekyll and Hyde in his story. It does not state until the end of the story that they are in fact the same person, he instead leaves it for people to work out for themselves, with a brief explanation at the end of the book. For most of the story, nobody can explain their relationship, as they are never seen together. People are confused as to how they know each other and became such good friends. Clues are given throughout the story that they are the same person; not enough to guess on your own, but so that it all makes sense in the end. These clues include the fact that Hyde once goes into Jekyll's home and takes out Jekyll's chequebook to pay out of Jekyll's bank account. People found this very strange, 'a man does not, in real life, walk into a cellar door at four o'clock in the morning and come out of it with another man's cheque'. This gives the idea that they must be very close friends to share a bank account, or that Jekyll would give Hyde entry to his account. Their relationship is depicted as business-like, and as if they have known each other for a long time. The latter part of this is true in a way. The have an interesting relationship, they need each other to live. Hyde uses Jekyll as a body to carry out his evil and Jekyll uses Hyde to get rid of his burning desires and stress, I think that Robert Louis Stevenson intended to use this in a way to show that they rely on each other and because one has begun to depend on the other, they could not live without each other even though they have so much hatred towards one another. At one point their relations... ... good idea from Robert Louis Stevenson as it gives a clearer impression to the readers about Jekyll and Hyde's relationship with each other and shows their personalities and how they differ. Another interesting way the existence of Hyde can be perceived is that he is the meaning of evil, 'that child of Hell' sent to destroy lives. One character saw himself as the person to hunt down evil, though in the end he was unsuccessful, 'If he be Mr Hyde, I shall be Mr Seek', a clever play on words suggesting evil against good. Black is often linked with evil, Hyde is only used during the night time when it is dark and he has dark hair, as opposed to Jekyll only being himself in the light and having fair hair; another difference between them. His general appearance also looks evil to those who see it; Hyde's visage is described as 'Satan's signature on a face'.

Who doesn’t love Disneyland?

Who doesn't love Disneyland? Some of the best memories in my life were taking my kids there. The excitement and anticipation of meeting the characters, going on the rides, the shows, the parade, and fireworks, Disneyland truly is the happiest place on earth. I remember my first trip to Disneyland, I was 10 and my best friend Nikki invited me to go with her family. I can remember not being able to sleep the night before we were to leave, the butterflies in my stomach were relentless and would not allow me to sleep.As an adult, I know that is how my children felt the night before we left for Disneyland. The hardest part was waiting until the next day to head to the park; we didn't want to waste a ticket on a partial day. So we fell asleep to the booms and crackles from the fireworks, but I am not sure any of us truly slept. We woke up early the next morning and headed out, but of course we were too early to get in and had to stand in line forever, or so it seemed, time does tend to mov e slowly when you are as excited as we all were.It is all part of the experience though, standing in line, being able to see the beautiful flowers just inside, arranged to spell out Disneyland in various colors. Standing in the warm California sun, the smell of sunscreen being generously applied by parents, hearing the giggles and seeing the excitement on the faces of everyone else in line with us, there is nothing better. When the gates finally open and the line begins to move, the anticipation builds; where will we go first? What characters will we run into?I recommend â€Å"It's a Small World†, as you slowly cruise in a boat, you see all the lovely dancing animatronic dolls, dressed in bright colorful costumes, representing the various countries around the world. You also hear singing and music in coordination with each individual country. Seeing the glimmer in the eyes of my kids and the other children is priceless. The line for Splash Mountain is usually long, but worth the wait, and it allows the anticipation to build. When you finally reach the front of the line, you climb into a log flume, and so begins an exhilarating ride.There are twists and turns and characters from Disney's 1946 film â€Å"Song of the South† around every corner. You get splashed from time to time, and then you begin to climb, slowly, almost straight up, when you reach the peak and crest the top, you plummet 53 feet, where, guaranteed, you will get wet. One of the best parts of Disneyland is meeting the characters; Mickey, Minnie, Goofy, Donald, and Pluto are the main characters everyone must meet. The Disney Princesses, dressed beautifully, gowns shimmering in the sunlight, smiling at the little girls who truly believe they are the â€Å"real† princesses, are well worth the wait.To see the wonder on your little girls face when she finally sees her favorite princess, or when your son first meets his hero, Buzz Lightyear, larger than life, wearing his space suit , and Sheriff Woody, in his cowboy hat and boots, all ready to sign autograph books, is priceless. By the end of the day, you feel exhausted, but still excited; it is time to watch the parade. Different every few years and always filled with bright and colorful floats carrying guests of the park and Disney characters.You will also see characters dancing and singing and interacting with the hundreds of people lining Main Street. There is a buzz in the air, it is almost electric, and you can feel the excitement, especially from the kids. As the parade draws to an end, and the sun begins to sink in the western sky, a new energy begins to build; the fireworks show will start soon. It is difficult to describe the fireworks, they are amazing; brilliant explosions of color, set in time with music, ending with Tinkerbells flight.When the show is over, you see parents scooping up their kids, some already asleep, and carry them to the gates to head home or back to the hotel. For many, the adv enture is over, for others, it will repeat for a few days, but it is bittersweet when the trip is over and you know you won't be returning for a while, if ever again. The characters, the rides, the shows, the parade, and fireworks, feeling the excitement and creating memories to last a lifetime, no matter how you look at it Disneyland is by far the happiest place on earth.

Hinduism And Its Impact On Society - 1478 Words

Imagine a religion so old that it is said to be timeless and has always been there, even before humans set foot on the Earth. It’s mindboggling to think that the knowledge of everything is floating in the space of the universe and the mind is just a way of reaching it. Hinduism is a very complex religion, yet it still sets one ultimate goal for the soul. To deeper understand Hinduism we must reveal its origin, doctrines, customs, and culture. Although we do not know the exact time that Hinduism began, it is believed to be over 4,000 years old. There have been overlapping civilizations in India that may have molded the religion into what it is now (Kinnard 1). Around 2,000 B.C.E., located near the great Indus River, the Indus Valley Civilization, who worshipped many goddesses, may have been the very beginning of the shaping of Hinduism. Near the end of the Indus Valley Civilization around 1,500 B.C.E., a new society surfaced in India. 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