The company operates high volume retail outlets and has adopted a saturation strategy. Yet, inventories at the retail level are kept low in order to control costs. This is facilitated by strong logistics. Deficiencies in logistics would hamper growth prospects and compromise the Starbucks Experience. Moreover, the firm's ability to translate this competency into international markets will go a long way to determining how successful the company can be in those markets, in particular with regards to the revisiting the same saturation strategy they have employed in North America.
The final core competency that helps to distinguish Starbucks is its human resources. This supports the Starbucks Experience, in that the company is consistently able to identify and train candidates to fill strict criteria within the framework of a low-paying food service job. The corporate culture and benefits package contribute to this competency, indicating that a substantial amount of thought has gone into the Starbucks human resources policy and its role in the company's success. The one area of deficiency with respect to this competency is that it has not traditionally been applied to innovation. Starbucks will need to show that it can adapt its competency in human resources to meeting the different needs that the organization will have going forward.
Works Cited:
Starbucks 2008 Annual Report. Retrieved June 20, 2009 from http://media.corporate-ir.net/media_files/irol/99/99518/AR2008.pdf
Some financial data from MSN Moneycentral. Retrieved June 20, 2009 from http://moneycentral.msn.com/investor/invsub/results/hilite.asp?Symbol=SBUX
No author. (2007). New Issue -- Starbucks Sells $550 mln in 10-year notes. Reuters. Retrieved June 20, 2009 from http://www.reuters.com/article/bondsNews/idUSN2131222520070821
Allison, Melissa. (2009). Moody's Downgrades Starbucks Bond Rating. Seattle Post-Intelligencer. Retrieved June 20, 2009 from http://seattletimes.nwsource.com/html/businesstechnology/2009217122_webstarbucks13.html
Mitchell, Allison. (no date). Starbucks -- Anatomy of a Distribution Center. Material Handling & Logistics Conference. Retrieved June 20, 2009 from www.hkplanet.net/.../T4S2%20-%20Starbucks-The%20Anatomy%20Of%20Successful%20Distribution.ppt
No author. (2008). Starbucks, TransFair USA and Fairtrade Labelling Organizations Announce Groundbreaking Initiative to Support Small-Scale Coffee Farmers. Starbucks Corporation. Retrieved June 20, 2009 from http://www.starbucks.com/aboutus/pressdesc.asp?id=929
No author. (2008). Starbucks to Acquire Coffee Equipment Company and its Revolutionary Clover Brewing System. Starbucks. Retrieved June 20, 2009 from http://www.starbucks.com/aboutus/pressdesc.asp?id=848
Minnick, Fred. (2007). The Starbucks Experience. QSR Magazine. Retrieved June 20, 2009 from http://www.qsrmagazine.com/articles/exclusives/0407/starbucks-1.phtml
No author. (2006). Mystery Shoppers at Starbucks. StarbucksUnion.org. Retrieved June 20, 2009 from http://www.starbucksunion.org/node/1036
No author. (2008). Starbucks Chairman Schultz Returning as CEO. MSNBC. Retrieved June 20, 2009 from http://www.msnbc.msn.com/id/22544023/
Linn, Allison. (2008). Starbucks to Close 600 Stores in the U.S. MSNBC. Retrieved June 20, 2009 from http://www.msnbc.msn.com/id/25482250/
Gebler, David. (2005). Reputation is the Last Defense. Working Values. Retrieved June 20, 2009 from http://accounting.smartpros.com/x50977.xml
No author. (2005). Yum Brands Opens New China Distribution Center in Shanghai. SupplyChain.cn. Retrieved June 20, 2009 from http://www.supplychain.cn/en/art/393/
Sample Source(s) Used
Works Cited:
Starbucks 2008 Annual Report. Retrieved June 20, 2009 from http://media.corporate-ir.net/media_files/irol/99/99518/AR2008.pdf
Some financial data from MSN Moneycentral. Retrieved June 20, 2009 from http://moneycentral.msn.com/investor/invsub/results/hilite.asp?Symbol=SBUX
No author. (2007). New Issue -- Starbucks Sells $550 mln in 10-year notes. Reuters. Retrieved June 20, 2009 from http://www.reuters.com/article/bondsNews/idUSN2131222520070821
Allison, Melissa. (2009). Moody's Downgrades Starbucks Bond Rating. Seattle Post-Intelligencer. Retrieved June 20, 2009 from http://seattletimes.nwsource.com/html/businesstechnology/2009217122_webstarbucks13.html
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