Starbucks Limited in Los Angeles essay
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In this era of stiff competition in the business field, it is imperative for competitive companies to keep improving their service delivery to their clients so as to remain relevant in the field of business. It is for this reason that most companies have relentlessly worked towards enhancing their service delivery to the clients, and those who do not adhere to rules on good quality and service to the clients, the become obsolete in the market. Starbucks is a Company that deals with the purchase and roasting high-quality coffee beans and its coffeehouses have turned out to be a beacon for coffee enthusiasts in all regions that the company’s has stationed its branches and stores. Quality and timely service delivery are some of the outstanding qualities that have for a long period of time made it to uphold its reputation and hence remaining relevant and competent in the market. Most individuals believe in Starbucks as they are able to count on the company’s legitimate services, and also the existing pleasing atmosphere. Another factor that has enabled the company to gain customers’ loyalty and confidence is the cause of expertly roasted and splendidly brewed coffee. When the name of the Company is mentioned in Los Angeles, automatically it brings up an image of a highly ranked coffee place, which normally has light wood, and probably glass and chrome combination. The nature of the stimulating and also attracting fragrance of brewed coffee and also the wonderful café environment have been the main factors that have seen the development of Starbucks, where it has grown into a big company that is best-known with its specialty as a coffee roaster and significantly a better coffee server within the region of Los Angeles. The company does not focus on Los Angeles alone, but it has cut across all the region of the world and it development has seen it have many braches that are opened everywhere.
The Coffee Experience in Los Angeles
As much as it can do anything else, the company’s main function in the market has to do with coffee. It started as a mere premium coffee roaster, which has turned to be its significant dream to achieve as it has remained to its roots on providing excellent coffee within its significant branches, Los Angeles being one of them. To make the experience of coffee to people of Los Angeles to be an experience that no one will ever miss, the company started to come up with other ways that had to change the way coffee will be served in all branches around the world, and this begun as early as July 2008. The changes were implemented in all stores within the United States immediately, by the end of 2008, and individuals had a chance to get a test of new grinded and brewed coffee varieties that were to be ordered and served immediately. The funny thing about the services that were being offered to customers is that any coffee that had lasted for more than thirty minutes was being considered to be bad and not of quality to be consumed by customers. So such coffee was discarded and another one made. This kind of services has seen Los Angeles grow enthusiastic individuals towards coffee and coffee lovers have emerged over the past two years.
The coffee experience within Los Angeles has expanded to a level where one can decide to brew his or her own Starbucks coffee while at home. The company has selected the best grade of coffee that is rich in flavor and the significant aroma, thus becoming the most loved coffee in Los Angeles. The favored coffee roast in Los Angeles is the dark roast, which is easier to keep up with the consistency of significant flavor. It also has a tendency of being more flavored coffee than the roasts that are lighter, thus allowing the existing variations in terms of region and significant period to be more readily clear in the market.
Coffee Penetration in Los Angeles
Currently, Starbucks’ market is believed to be undoubtedly enough for variety of products it is handling now, but still there is a question of what could happen when the number increases. Growth within this coffee industry has been improving, especially in the year 2010, as a number of mergers have been developed. A 2005 report by the trade group of the industry, Specialty Coffee Association of America, showed an increase in sales of coffee to $11.5 billions, as more than 300 million cups of coffee were being drunk by Americans. This was an increase of 6 percent from the results of year 2000.
Currently, Starbucks is at operating at a high-margin brand level where it is able to serves up to four million customers within one week. To add to this, the company is also the owner of both the Seattle’s Best Coffee and Torrefazione Italia coffee brands.
The products that are sold at Starbucks Company store in Los Angeles and its outlets include the following:
Whole coffee beans
Coffee-related retail items
As a Company, Starbucks has been asked to continue being innovative, and the firm has positively moved forward with effort of enhancing the food side of the business. The main focus of the Company now is towards the in-store items (sandwiches) and other products, such as baked goods.
Starbucks Company is recognized as an international company, and it has gain a lot of respect from other competitors and its product consumers. Its reputation is as a result of high quality products, especially coffee, and also the relationships that it has established with its loyal customers. Initially, the Company’s main targets were college students, but as time went by, the focus shifted and included business people and other individuals who had shown love for coffee and other products. The Company aims at promoting its brand and the constitute coffee experience for the purpose of developing and fostering different human connections.
Starbucks Company consists of competitors who in one way or another have been playing a huge role in the effectiveness of the Company. Such top competitors include the following:
- Dunkin Donuts,
- Tim Hortons
From the Company projections, it has been clearly stated that specialty coffee has move forward in the same pattern of existing different fast-food segments. There are other signs of state that normally represents the maturity that is expected by the targeted or selected segment to deliver good work.
Currently, the company is using a multi-channel strategy in distribution of its products, and it strategically applies this for the purpose of developing a billion-dollar business with other partners. The company has partnered with Seattle’s Best Coffee on the basis of franchising and extension of brands, and this is carried out through consumer packaged goods channels.
The complexity of the existing wine industry has been related with the gourmet coffee market, of which similarities comes in a way where. In wine, when a person drank simple wines, but with time they become more brand sensitive and could develop strong preferences of a given product. The following trends are seen in the microenvironment of Starbucks:
Drive-thru trend in the domestic market, where Starbucks, by the year 2004, it had 540 drive-thru stores.
Consumer requests for organic coffees.