Starbuck; S Global Expansion Problems

In: Philosophy and Psychology

Submitted By brendalou42
Words 1664
Pages 7
Abstract
In this paper there will be a discussion concerning the problems that the Starbucks Coffee Company has had to deal with when they expanded their business operations to different parts of the world. Because of the cultural differences both from within the company and the customers there were various issues that had to be dealt with before the company could successfully manage the coffee shops internationally. There will also be a brief discussion about why some people do not acknowledge other people’s cultural differences and how this could effect someone’s’ ability to effectively communicate with other people when dealing with a multinational corporation such as Starbucks

Starbuck’s worldwide corporate agenda is to be known as the leader in coffee selling and to be the number one name for coffee in all of their targeted expansion goals. They have a plan to do this by selling only quality coffee and other premium goods and service (Benzaken, 2007) Today Starbucks is a household name globally, but it has not always been that way they had some initial problems when they first started to go global, as many companies have experienced. Starbucks went into a joint venture with Japan and later they extended their business into Europe and then eventually into the Middle East (Benzaken, 2007). The socio economical atmosphere in the coffee business is a lot different in other countries for instance; the coffee consumption tendencies are so dissimilar in Europe than they are here in the U.S., (Cole, 1996). The European people have deep rooted traditional ways of consuming their coffee. Whereas the people in Asia are known globally for their love of tea, but Asian people have always tried to copy our western way of life. This means that the coffee craze really caught on over in Asia. So it is fair to say that the social fads that have been…...

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