One organization that has faced environmental factors which required them to change their current organizational strategy, is the Starbucks Corporation.
It wasn’t until 1984 when Howard Schultz joined the operation as a chairman, president, and chief executive officer, and introduced to Starbucks the new Italian breed of coffee bean and Italian style of coffee drinking; a style that refreshed the idea of socializing and interacting among people of all walks in times that corporate life style was winning over the family and friendly style of living....
Due to their local demand conditions, Starbucks tries to satisfy all customers by trying “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (Starbucks Corporation, 2014).
As witnessed by the sharp increase in the number of new stores being opened in 2013 Starbucks has clearly committed to their global expansion plan and objective of being the most recognized and respected brand in the world (Starbucks Corporation, 2013).
To analyze Starbucks’ coffee industry environment, The Five Forces Model will give a clear picture of the position that the industry is in and help develop an optimum strategy for success in the industry.
The Starbucks Corporation has been around since 1971 when the first store opened in Seattle, and continues its phenomenon into the 2000’s with more than 15,000 locations world-wide.