Research Paper on:
STARBUCKS -- CASE STUDY

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1971 by three academically minded individuals who loved coffee, offered both quality coffees and atmosphere to its customers. By the 1980s, the concept had expanded to four stores throughout the  Seattle area. Howard Schultz was hired during the early 1980s to try to expand the concept geographically, then Schultz left to found Il Giornale, which then turned around and bought  Starbucks from the original owners in the late 1980s. Many of the initial risks taken by Starbucks were taken right around the time of the acquisition, and in the years  directly following it. Where did Starbucks take serious risks, even though they did pay off? One of the major risks taken by the new Starbucks was the change in  logos, as well as the change in d?cor (from the more Old World nautical to Italian). Also, the Il Giornale green replaced the traditional Starbucks color, which was brown. This  changed the character of the store, a cross between a coffee bean store and espresso bar. This was a direct departure from the original concept, which was to not be  in the beverage business, but rather, to be in the fine coffees business. The second serious risk, which is probably more well-known across the nation (and in many academic studies  on the company) was its aggressive expansion strategy from out of the Pacific Northwest, which was, in a sense, to blanet each metropolitan area with Starbucks stores whenever and wherever  possible. The "Starbucks Everywhere" approach, as put forth by Starbucks Management, meant that no matter where a consumer might travel in a major metropolitan area, that person would only be  a few minutes away from a Starbucks coffee store. This ended up utilizing a best provider strategy along with a broad differentiation strategy in terms of the competition. ON the