s, distributed six times a year. Starbucks targeted direct-response marketing effort to expand retail into new markets and reinforce brand recognition in existing marketsInternational expansion:Since Starbucks Coffee's opening in 1971 in Pike Place Market, the company has grown significantly both within the United States and abroad. The company's ultimate goal is to establish Starbucks, as the world's most respected and recognized coffee brand. Starbucks plans to achieve this objective through its continued rapid expansion of retail operations, growth of new products and other operations, as well as the development of new distribution channels. Interbrand Corporation, the world ’s leading brand consultancy, recently ranked Starbucks as one of the top 75 global brands. Much of its growth abroad can be attributed to Starbucks Coffee International, a wholly owned subsidiary of Seattle-based Starbucks Coffee Co. This part of the company has entered new partnerships with prime international companies that have allowed it to expand and open retail stores in strategic locations. Foreign currency exchange risk was accounted for when the Company has entered into forward foreign exchange contracts to hedge foreign currency risk in fiscal 2001.Starbucks targeted international expansion through licensing a reputable and capable local company in selected countries to develop and operate the stores. Joint Ventures in stores outside US, SCI to overlook international expansion and build the Starbucks brand name globally via licensees. By the end of 2000, Starbucks had more than 3,500 locations worldwide, serving more than 12 million customers per week in 17 countries (annual report, 2001). Plan to have 650 locations through out Europe by the end of 2003. Please view details of International expansion in Appendix F, (b).The Future:Renee Mauborgne, (FT, 11/10/99) in support of Shultz’s vision claims that the...
