Strengthens: It has established a good reputation, with excellent products and services, in the global coffee market, It has a certain brand awareness and builds up brand loyalty. All the individual store follows a fixed style, atmosphere and adhere to provide customers with the “third space” concept. Employees have consensus corporate mission, and the firm has good moral values and social responsibility. It also has a comprehensive staff training system.
Weaknesses: Insufficient innovation. Most of it (about 3/4) cafe stores are still located in the north American domestic market. Targeted at high level consumer groups–drink prices are relatively high, and unable to fully afford by all level of consumers in the society. Highly dependence on the competitive advantage obtaining from retail coffee.
Opportunities: It can establish business cooperation with other marginalized product companies. For example, cooperating with other manufacturer’s brand of food and beverages. Building up the brand chain model, to create a new product portfolio and new services to adapt to the new market. The company has the opportunity to expand global business. (New markets: such as India and the Pacific Rim countries)
Threats: Starbucks coffee beans, dairy products and other raw materials costs rise. Starbucks’ success has led many competitors counterfeiting their brands to enter the market. The company is experiencing blindly global market expansion. A large number of prepaid cards are released on the market, uncertain market factors may bring to the company financial crisis.