Strategic management in an international context Q3 and 4 Case Study

Strategic watchfulness in an international context Q3 and 4 - Case Study ExampleThe management strategized the Co exploits plans to check into the internal and external business environment, and its internal coherence without facing any challenge or influencing its operation negatively (Schultz & Gordon 2011, p27). Some of the issues surrounding Starbucks Corporation business environment includes competition, clients and suppliers, improvements in technology, mart, laws and government, social and economic trends.Starbucks origin strategy majored in competition. Outside the American boundary, Starbucks face various competitive situations in every expanse it carried operations. On many occasions, competition was even more intense than in America. The withdrawal of Starbucks from Australia was an effect of a highly sophisticated coffee market developed and dominated by the Middle Eastern immigrants, Italians, and southeast Europeans. Throughout continental Europe, Starbucks had to face well-developed markets with excellent standards of coffee preparations and strong preferences. In addition to competition from the bottom, Starbuck faced competition from the top. For instance, the up market Italian coffee roaster illycafe was growing and expanding in America through franchise arrangement with independent coffee houses. A good justification for the American gourmet coffee market was that immediately Starbucks had educated North America about happiness of good coffee, the new coffee connoisseurs go on to seek superior alternatives to Starbucks. Therefore, Starbucks initiated various strategies to fit or overcome the competition. Starbuck joined single-served coffee seedpod systems pioneered by Nespresso subsidiary by launching its single serve, home coffee makers under its Verismo brand (Schultz & Gordon 2011, p. 221). Starbuck in addition reduced the prices of coffee, which increased sales. Therefore, they gained several customers hence, more retained earn ings and benefits.The next strategy of Starbucks is to fit in the social and economic trend.