all definitions and information must be sited... The company is Starbucks .....

DOS Assignment Rubric – Rev. XXX 20XX
Cover or Title Page
Module:     MOD001147 - Dynamics of Strategy
Lecturer:     Dr Louis Nurse
Topic:     STARBUCKS
SID:         
Abstract
This report offers strategic audit on STARBUCKS, and the same includes:
1. Internal as well as external analysis concerning the operations and overall environment concerning Starbucks for determining the resource capability as well as the strategic fit.
2. The discussion on the direction of blue ocean strategy supported with justification on the basis of feasibility, acceptability and suitability.
3. Proposal of implementation strategy as well as processes for assuring that the strategic options recommended could deliver the achievement of stakeholder expectations.
4. This report employs best practice in referencing, bibliography and formatting / structuring.
    
Acknowledgement
Research Methodology
This study was undertaken using an overall qualitative and exploratory approach which entailed the gathering of various secondary data – both company specific / company published data like vision, mission, annual report and financials, as well as the theoretical and external analysis of the company available in academic journals and other reliable sources – and to subject the gathered secondary data with critical, logical and comprehensive qualitative analysis.
Research Objectives
1. Undertaking strategic audit on Starbucks inclusive of its internal as well as external analysis for the purposes of determining the strategic fit.
2. Reviewing data that is available with respect to performances pertaining to Starbucks as well as recommending suitable strategic direction.
3. Evaluating as well as justifying the feasibility, acceptability and suitability for the strategic option recommended.
4. Developing a well as presenting implementation plan with respect to the strategy recommended in the form of project.
Table of Contents
Acknowledgement
Research Methodology    
Glossary of Term
Table of Contents
List of Tables    
List of Figures    
List of Photos    
SECTION 1
SECTION 1 – Internal Analysis & Discussion
1. Introduction
Starbucks Corporation (“Starbucks”) represents America based multinational chain entailing coffeehouses as well as roastery reserves with headquarter at Seattle in Washington. Starbucks is largest of the coffeehouse chain in the global context and Starbucks stand as cornerstone for the second wave in United States with respect to coffee culture. On the basis of data that is latest available, Starbucks operates more than ~30,000 locations across the globe spanning over ~70 nations. The various Starbucks locations offer its customers with hot as well as cold beverages, whole-bean coffees, micro-ground instant coffee referred as VIA, cafe latte, espresso, full / loose-leaved teas inclusive of Teavana teas, “Evolution Fresh” juices, La Boulange pastry, Frappuccino beverages, as well as other snacks like that of crackers and chips, and some other seasonal items.
2. Historical Analysis     
The first store of Starbucks can be noted to be established in Seattle in the year 1971 and set up by three partners. These initial promoters met as students from University of San Francisco with a desire for selling higher-quality coffee beans as well as equipment with aid of entrepreneur named Alfred Peet specializing in coffee roasting who taught them specific roasting beans style. This single and first Starbucks store in was located in Seattle was operated between 1971 and 1976 in the same location. The cafe then was moved to a different place. In this juncture, Starbucks solely sold roasted form of whole coffee beans, and in this point Starbucks have not started the brewing of coffee yet. In year one of their operation, Starbucks procured green coffee beans via Alfred Peet, and at a later point Starbucks started procuring it directly from the growers. During the year 1984, Starbucks’ original owners purchased “Peet's Coffee”. By the year 1986, Starbucks operated six different stores across Seattle as well as had solely just started in selling espresso coffee. During 1987, these original owners essentially sold Starbucks chain, and this was purchased by Howard Schultz, the store’s former manager, and he then rebranded the purchases coffee outlets by naming it Starbucks and then immediately started the expansion of this company. In this same year, Howard Schultz expanded beyond Seattle in Waterfront Station by establishing new stores in British Columbia and Illinois. The expansion continued unabated with 46 stores being setup by 1989. In the year 1992, Starbucks with 140 outlets and revenue t United States Dollar 73.5 million, issued Initial Public Offering (“IPO”) and went public. From this point on, the company has grown and expanded across the globe in a successful manner with 2019 net income standing at United States Dollar 3.59 Billion.
2.1. VMOST
Vision & Mission
    
    Statement
    What is Starbucks doing?
    Achieved / Not Achieved
    /10
    Vision Statement
    “At Starbucks, we have always believed in the importance of building a great, enduring company that strikes a balance between profitability and a social conscience.”
    The company’s is undertaking wide ranging business services in a manner that is customer focussed, environmentally sustainable, ethical / social responsible, and with profitability.
    Yes, WIP
    9
    Mission Statement
    “to inspire and nurture the human spirit – one person, one cup and one neighbourhood at a time.”
    The company’s is undertaking wide ranging business services in a manner that is customer focussed, environmentally sustainable, ethical / social responsible, and with profitability.
    Yes, WIP
    9
Strategy
    Observed Strategies
    What is Starbucks doing?
    Alignment to Vision & Mission
    /10
    Product Differentiation
    Offering wide raging product offering under various product categories, with seasonal and local flavour considerations
    Fully aligned
    8
    Focus on Product Quality
    Committed focus over product / service quality complemented with staff trainings, processes and investments
    Fully aligned
    8
    Superior Customer Experience
    Significant focus and efforts to deliver superior café experience and high-quality customer service
    Fully aligned
    8
    Global Expansion
    Consistent and successful expansion by opening stores and operations across the globe
    Fully aligned
    8
    Technology Integration
    Investments and integration of technology to deliver superior outcomes, products and services
    Fully aligned
    8
Tactics
    Tactics Observed
    Alignment to Vision & Mission
    /10
    Product Differentiation: A offering of beverages, food and snacks that is customized for specific region, standard offerings and seasonal offerings. Changes and periodical reviews of the offerings
    Fully aligned
    8
    Focus on Product Quality: Extreme care, effort, investments and processes to ensure safety, quality and hygiene of beverages / food offered
    Fully aligned
    8
    Superior Customer Experience: Well-trained staff with consistent and standardized form of superior service behaviour across all stores globally
    Fully aligned
    8
    Global Expansion: Stores expansion at a global scale, specifically in Asian markets, offers the company with profitability and market share growth.
    Fully aligned
    8
    Technology Integration: Using novel / effective technology tools to prepare coffee to deliver best possible taste to their customers
    Fully aligned
    8
Product Portfolio    
    Problem Child
    Stars
    
Packaged Goods Business
    
Food Business
    Dog
    Cash Cows
    
Starbucks Branded Merchandise
    
Coffee Business
Market Definition & Location    
Table: Competitors Ranking
    Rank #
    Co
    Market Share %
    Strength
    Weaknesses
    Strategic options for the Company
    1
    
    
    
    
    
    2
    
    
    
    
    
    3
    
    
    
    
    
    4
    
    
    
    
    
Current Competitive Position.
    Company Behaviour
    Company
    Justification
    Strength / Weakness
/10
    Market Leader
    
    
    
    Market Follower
    
    
    
    Market Challenger
    
    
    
    Market Defender
    
    
    
Current Competitive Strategy
.
Table: VRIO Framework
    Resource Capability
    Valuable
    Rare
    Costly to Imitate
    Organized to exploit
    Comparative Implications
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
Source: VRIO adapted to Johnson and Johnson, Lynch p. 134, 2015
Table ???: Resource-Based Elements
    Elements
    How it affects the company
    Strength / Weakness
    / 10
    1.
    
    
    
    2.
    
    
    
    3.
    
    
    
    4.
    
    
    
    5.
    
    
    
    6.
    
    
    
    7.
    
    
    
Elements in this table -
Table ???: Ansoff Matrix
    Prescriptive
    Existing Product
    Market Penetration
    Diversification
    
    
    
    
    Emergent Strategy
    Existing Product
    New Product Development
    New Market Development
    
    
    
    
* Summary of the current competitive strategy
Green Strategy
Summary of Historical Analysis    
2.2 FINANCIAL ANALYSIS 
    Strategic Financial Analysis – Element
    Company’s Indicators
    Observations
    Strength
    Weakness
    Measure
(1-10)
    Income 
    
    
    
    
    
    Acid Test
    
    
    
    
    
    Current Ratio
    
    
    
    
    
    Gross Profit Ratio
    
    
    
    
    
    Net Profit Margin
    
    
    
    
    
    Cost Ratios
    
    
    
    
    
    Average Stock Turnover
    
    
    
    
    
    Share Price to Earnings Ratio
    
    
    
    
    
    Dividend Pay-out Ratio
    
    
    
    
    
    Debt/Equity (Gearing)
    
    
    
    
    
    Debtor Turnover
    
    
    
    
    
Summary of Ratio Analysis
Evaluation of COMPANY Financial...