chapter 3 - -Technology Helps Starbucks Find New Ways To Complete

11.       Analyze Starbucks using the competitive forces and value chain models.

a)      Low cost leadership

-          Cut prices on some of their big tickets items, and begin offering price-reduced specials, such as breakfast sandwish and a drink for $3.95

-          Cost reductions from procedural changes made it possible for Starbucks to offer these lower prices.

b)      Product differentiation

-          Starbucks company has revamped its in store technology and sought to integrate its business process with wireless technology and the mobile digital platform.

-          Intended to emphasize the high quality of its beverages and efficient and helpful customer services.

-          Pay using a smartphone application that integrated with the Starbucks card system.

-          Starbucks digital network site was developed in partnership with yahoo and functions as a content portal

-          Foursquares, a location based social networking site for mobile devices.

-          Starbucks set out to streamline.

c)       Strengthen customer and supplier intimancy

-          Starbucks is able to reduce the times each employee spends making a drink,  this give baristas more time to internet with customers and hopefully improve the Starbucks experience.

-          The majority of cost reductions we have ach, eved come from a new way of operating and serving our customers, this allowing the Starbucks company to improve its customer engagement.

d)      Focus on market niche.

-          Starbucks company use information system to enable specific market focus and narrow target market better than competitors. ( ex: Cofee Beans, Mc café )

22.       What is starbuck’s business strategy? Assess the role played b technology in this business strategy.

-          Starbucks offer a unique experience. High-end specially coffees and beverafes, friendly and knowledgeable servers and customer friendly coffee shops.

-          Allows customer to pay using a smartphone application and Starbucks Digital Network site.

33.       How much has technology helped Starbucks compete? Explain your answer.

-          Company has revamped its instore technology and sought to integrate its business digital platform.

-          Pay using a smartphone application.

-          Starbucks Digital Network site.

-          Foursquare check in

-          streamline