| Title |
How the local competition defeated a global brand: The case of Starbucks |
| ID_Doc |
73153 |
| Authors |
Patterson, PG; Scott, J; Uncles, MD |
| Title |
How the local competition defeated a global brand: The case of Starbucks |
| Year |
2010 |
| Published |
Australasian Marketing Journal, 18, 1 |
| DOI |
10.1016/j.ausmj.2009.10.001 |
| Abstract |
The astounding growth and expansion of Starbucks is outlined, both on a global scale and within Australia. The focus then shifts to the abrupt closure of three- quarters of the Australian stores in mid 2008. Several reasons for these closures are described and examined, including that: Starbucks overestimated their points of differentiation and the perceived value of their supplementary services; their service standards declined; they ignored some golden rules of international marketing; they expanded too quickly and forced themselves upon an unwilling public; they entered late into a highly competitive market; they failed to communicate the brand; and their business model was unsustainable. Key lessons that may go beyond the specifics of the Starbucks case are the importance of: undertaking market research and taking note of it; thinking globally but acting locally; establishing a differential advantage and then striving to sustain it; not losing sight of what makes a brand successful in the first place; and the necessity of having a sustainable business model. (C) 2009 Australian and New Zealand Marketing Academy. Published by Elsevier Ltd. All rights reserved. |
| Author Keywords |
Service brands; Service quality; Global branding; International business; Starbucks; Coffee |
| Index Keywords |
Index Keywords |
| Document Type |
Other |
| Open Access |
Open Access |
| Source |
Emerging Sources Citation Index (ESCI) |
| EID |
WOS:000215500700007 |
| WoS Category |
Business |
| Research Area |
Business & Economics |
| PDF |
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