Starbucks SWOT analysis

Strengths

1 . Worldwide reputation as high-class coffee brand

Strarbucks serves only premium coffee from Africa , Central and South America , and Asia-Pacific regions . The company achieves quality control through monitoring its supply chain : Starbucks tries to buy directly from coffee growers , oversee the custom-roasting process , and ensure effective distribution . Thus , competition is not something to be feared as customers who try other products and services will eventually turn to Starbucks , dissatisfied with their diversity of offerings and quality of products

2 . Starbucks owns 1 /3 of America 's coffee bars p

In fact , the company owns more than its next five biggest competitors combined . Moreover , in Schultz 's brightest dreams , the chain in North America might eventuality grow to at least 10 ,000 stores . However , there is still space for further expansion , especially in certain regions

3 . High employee satisfaction

With regard to employees , Starbucks ' workplace practices focus on employee satisfaction and engagement , health and safety , and career development . It is on the list of Fortune 's 100 best places to work . It fosters diversity , inclusion , and accessibility in the workplace Starbucks ' corporate mission statement is based on the principles of providing a great work environment and establishing an atmosphere of respect and dignity as well as embracing diversity as an essential component in the way of doing business . It has the lowest employee turnover rates of 70 in the fast-food industry which has a turnover rate as high as 300 . All the employees are referred to as `partners which promotes common ownership of the company 's success and therefore higher levels of commitment . The company also offers health insurance and stock options even to entry-level employees . Together with promotion from within its own ranks , it makes Starbucks a very attractive place to work

4 . Automated espresso machines

Starbucks has started to install these machines only recently , yet it must have been done long ago , since they have numerous advantages . They decreased the number of steps required to make an espresso beverage reduced waste , and improved consistency . Customers have reacted positively to the innovation . More importantly , these machines have a potential for simplifying barista 's job

5 . Growth in specialty-coffee category

Growth in this category offers Starbucks lucrative opportunities . In the home , specialty coffee is a 3 .2 billion business , of which the company has a 4 share . In the food-service channel , specialty coffee is a 5 billion business , of which the company enjoys a 5 share . In grocery stores , Starbucks has a 7 .3 share in the ground-coffee category and a 21 .7 share in the whole-beans category . While the growth in retail market will be lackluster , less than 1 , growth in the specialty-coffee category will be strong at 9 to 10 annually

6 . Coffee beverage variety increased

Starbucks is known for introducing a minimum of one new hot beverage every holiday season . Out of all the innovations , the most successful was coffee and non-coffee-based line of Frappuccino beverages Starbucks ' research and development department is constantly working on increasing the company...