In order to understand the strategies of the company it is important to understand its history.
According to the Starbucks website, the first Starbucks store opened in 1971 and was located in Seattle’s Pike Place Market.
The Pearce ; Robinson text defines core competence as “a capability or skill that a firm emphasizes and excels in doing while in pursuit of its overall mission” (p. At the core of what makes Starbucks a leader in the coffee world is their uncanny knack in creating an experience and not just a great cup of coffee.
It is not merely coffee that sets Starbucks apart from their competition, but it is the experience.
Starbucks understood the need to become a responsive organization, meaning that they understood the need to understand the needs of stakeholders.
Starbucks’ moved to open smaller stores and kiosks and their move to offer their products at other retailers, was evidence that a feedback system was in place.
Lastly, Starbucks has been unswerving in providing a variety of coffee drinks.
The Dulce de Leche and Dulce de Leche Frappuccino are perfect examples of this.
Starbucks’ Black Apron Exclusive (BAE) blends feature “exceptional gourmet coffees sourced from the best coffee growing regions of the world” (Starbucks, 2010).
Secondly, consumers get a feeling that they are connoisseurs of coffee and not merely customers.