ut back on some of the products they offer, especially on their Web site. The only tie-in these products have with Starbucks is their high price. Starbucks has taken some criticism for over-saturating the market with their coffee, but putting an end to expansion because a few numbers have slipped is not the answer.Slowing expansion, rather than stopping it, seems to be a better strategy. Concentrating on existing stores to fend off possible competition from other firms is the best choice for the company. Starbucks must be sure that the current level of management is capable of being stretched even thinner before it should think about further expansion. For years Starbucks has stressed quality and has carefully trained its employees and managers in the art of brewing a better cup of coffee. In the past, techniques were studied and a great importance was given to understanding the process involved in giving the customer what he or she wants. New stores will have employees that may be rushed into service and the culture of Starbucks cannot be force-fed.The competition with Starbucks for specialty coffee sales is increasing. Its nearest competitor has only a fourth of the stores Starbucks has, but the overall increase is significant. The number of coffee cafes in the United States has risen from 500 in 1992 to a predicted 10,000 by the end of this year.Starbucks may have gotten off track a little bit with an overzealous lust for expanding too fast into every market. Easing off expansion while concentrating on their core competencies should ultimately enable Starbucks to reach its goals of serving quality coffee in over ten thousand stores worldwide. VI. Answers to Questions1.)Howard Schultz is a CEO with a vision. He want's Starbucks to be the most recognized and respected brand of coffee in the world. He believes in creating a "Starbucks lifestyle" by selling various items over the Internet. He want's Starbucks stores all over the worl...
