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Starbucks Business Problem Statement — page 1

3

Problem Statement

The company Starbucks plans to invest the amount of $ 40 million dollars in labor

force, applying it in all its locations around the world, which total more than 4,500

stores. Reviewing the information presented, a series of problems that affect the

productivity of the company were detected. These problems are presented below,

write at least one solution for each problem.



Problem 1: Problems with service delivery

o

Cause: There are multiple causes for which the delivery of the service is

affected; One of them is due to the large quantity and complexity of the drinks

they offer (personalized drinks), another is due to its "Just Say Yes" policy

that translates to more orders without prior notice



Problem 2: 40% of customers only buy 1 or 2 times a month.

o

Cause: According to the results shown in

Exhibit 11

, it can be said that the

cause of the problem is that the employees are not so friendly and attentive,

as well as because this part of the market demands Free cups and reduce

the prices.



Problem 3: Failure to make decisions (How would you spend the $40 Million?)

o

Cause: From a few years ago the different marketing departments began to

gather market data, but had never made decisions based on this information,

so when they decided to take this data into account, they found contradictions

between the assumptions they had about their customers. and the reality

thrown up by market studies. One of the problems that arises.

o

Cause: Within the company there are 3 marketing departments, but it can be

said that each of these independent and does not work under a hierarchical

regime, these 3 departments do not directly report their daily activities to a

chief marketing. Because of this, the departments have different working

methods, which causes a lack of communication.

Starbucks Business Problem Statement

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