The Analysis of the Starbucks' Article

"Starbucks Aims To Move Beyond Beans"

 Starbucks has been using several methods for growth of the company. They mostly have been using the internal or organic growth. One of the methods that Starbucks has been performing is expansion. By opening new stores in different parts of the world, Starbucks has become even more popular among the customers and they have increased their availability. They are also ready to open a string of stores that will be dedicated to the brand. Another method is diversification. Even though their main product making the most profit is still coffee, Starbucks has acquired three new business: Evolution Fresh Juices, La Boulange Cafe and Bakery, and lastly Teavana. The huge investment that Starbucks had to make will lead to an expansion of  the range of products Starbucks offers as well as it will give Starbucks an opportunity to compete in a different field of products. However, there are several obstacles that Starbucks should overcome in order to remain a successful company. One of the problems is that Starbucks stores were built to sell and offer coffee and not food and therefore, they are much smaller. Starbucks might start to thing about expanding their stores which would also cost them a lot of money. It doesn't have to be that much of an obstacle anymore, since lately they found how to squeeze freezers into all the Starbucks stores. On the contrary, Starbucks' primary business concentrating on coffee is most successful in the morning and by offering other new products such as healthy snacks, fresh juices and candies Starbucks might attract new customers and increase profit, which would balance their loss from the investment. In order to overcome obstacles, Starbucks started to pay lots of attention to detail. For example: Starbucks has been criticized by many consumers that the food they offer is not a good quality. Therefore, Starbucks had made sure  that one employee in each store is responsible for serving well baked and warm goods such as a chocolate croissant. The three related businesses, Evolution Fresh Juices, La Boulange Cafe and Bakery, and lastly Teavana, should make sure and be careful about not getting into a shadow by Starbucks dominant brand. They need to make sure they are being viewed as a brand instead of being viewed as an additional product line. Starbucks has had to invest lots of money into their expansion and diversification, and therefore they should keep being careful about what they are doing. The new range of products that they started to sell might affect (not necessarily in a positive way) their popular brand and a good image.