Starbucks case study Example | Topics and Well Written Essays - 3000 words

Starbucks - Case Study Example Some grocery stores sell Starbucks branded ice cream and coffee. (Starbucks Corporation, 2007) From where it was established in Seattle, Washington, as only a local coffee bean roaster and seller, Starbucks has rapidly expanded. In the 1990s, the corporation was establishing a new store each workday, a tempo which continued into the 2000s. However domestic expansion has ever since slowed down, although Starbucks continues to spread out in foreign markets, The company's first location out of the U.S. and Canada was launched in 1996, and at present they constitute about one third of Starbucks' total stores. (Starbucks Corporation, 2007) As at November 2007, Starbucks Corporation had 8,505 company-owned coffeehouse outlets global: 6,793 of them located in the United States while 1,712 are located in other countries and the U.S. territories. Besides, the Starbucks has 6,506 joint-venture or licensed outlets, and 3,891 of them are in United States and 2,615 are in some other countries or in U.S. territories. This thus brings the total number of locations (as at November 2007) to 15,011 worldwide. (Starbucks Corporation, 2007) 2003: Starbucks concluded acquiring Seattle's Best Coffee and Torrefazione Italia from the previous owners AFC Enterprises, increasing the total number of Starbucks-operated outlets worldwide to over 6,400. In 2006 September 14, competitor Diedrich Coffee company stated that it would sell many of its company-owned retail outlets to Starbucks company. This sale included the company owned sites of the Oregon-located Coffee People chain. Starbucks company representatives were quoted as saying that they will translate the Diedrich Coffee and Coffee People sites to Starbucks stores. January 2008, Howard Schultz, chairman of Starbucks took up again his position as Chief Executive Officer, substituting Jim Donald, who earlier on in 2000 had succeeded him. Schultz's main challenge is to re-establish what he calls the "distinctive Starbucks experience" in the moment of high expansion. Industry observers believe that Schultz have to determine the manner in which to contend with soaring materials prices and increased rivalry from lower-price competitors, which includes McDonald's and Dunkin' Donuts. (Findingdulcinea, 2008) On 31 January, 2008, Schultz stated that Starbucks Company would suspend its warm food items, originally planned to launch countrywide in 2008, so as to refocus the brand on coffee. 1. Evaluation of HRM Each employee requires more learning in order to improve his /her skills, no matter how best a candidate is, he/she can not be 100% percent qualified. Thus, the human resource management should implement learning management system (Beardwell & Holden, 1997) Starbucks Corporation has understood this aspect and that is why it recognizes that its employees are one of their highly valuable resources. The very first guiding rule in their mission statement also addresses the Company's principle towards its employees: "Provide a great work environment and treat each other with respect and dignity". The management recognizes that the Starbucks employees play a foremost function in the expansion of the company. (Hoovers.com, 2007) Starbucks Corporation training can be termed as systematic enhancement of knowledge, skills and attitudes of the needed by an employee in order to perform a given task. Development is the growth of an employee in terms of capability, understanding and