Starbucks

Paper Summary:

This paper describes and evaluates the management techniques used by Starbucks. The author discusses the many conceptual and physical advantages of the Starbucks management system and style. These management techniques are seen as the cornerstone of the chain's success. In particular, the author notes the autonomy given to individual branches.

From the Paper:

" There are many conceptual and physical advantages of the Starbucks management system and style. On a conceptual level, it has allowed Starbucks to maintain a strong vision for expansion, managers on a local level do not have to worry about the overall strategy of Starbucks nor the competitive landscape they occupy. Each level of management only has to worry about their specific niche function within the company and this has done wonders for the overall growth of their brand as well as physical locations. Another important conceptual advantage is that at the micro-economic level Starbucks grants almost complete autonomy to their managers and their employees, thus allowing them to deal with the specifics of their locality and present a very informal and localizing affect for their customers. The actual returns from this practice have been tremendous; Starbucks has grown into one of the foremost admired companies in the world, with the highest overall revenue within the industry. They dwarf their closet competitor by three times their overall revenue stream as well as actual market access. The ability to extend the Starbucks brand on a cross-continental basis has been wholly dependent upon the management style and techniques employed by Schultz. His vision in creating a permissive autocratic management style fits the consumer coffee industry extremely well and has continued to pay dividends for the company."

Sample of Sources Used:

• Schultz, Howard and Dori Jones Yang. Pour Your Heart Into It. How Starbucks Built a Company One Cup at a Time. New York: Hyperion, 1997. [somewhat of an autohagiography, but nonetheless interesting background on Big Green]

More papers on Starbucks:

• Research Paper # 94228 : "Starbucks International Operations"
• Case Study # 85622 : " Starbucks"
• Case Study # 117174 : "Starbucks and Organizational Communication"
• Essay # 83841 : "Starbucks"

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