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Nov 17, 2023

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8 Min

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Content Checked for Plagiarism


COMPANY ANALYSIS MANAGEMENT THEORIES INDUSTRY: RETAIL
SPECIALITY COFFEE INDUSTRY COMPANY: STARBUCKS ABOUT RETAIL
SPECIALITY COFFEE INDUSTRY: The retail coffee specialty industry represents
a distinctive and dynamic segment within the broader retail sector, focusing
on the sale of premium and uniquely sourced coffee products. Specialized
coffee shops, both large chains like Starbucks and smaller independent cafes,
form the backbone of this industry. These establishments prioritize the
quality of their coffee beans, often opting for ethically and sustainably
sourced varieties. The industry caters to consumers who seek a more refined
and diverse coffee experience beyond traditional options. Premium coffee
products are a hallmark of the retail coffee specialty industry, with an
emphasis on distinct flavors and high-quality brewing methods. Specialty
coffee shops often offer a range of brewing techniques, from pour-over to
espresso, allowing customers to appreciate the nuances of different coffee
beans. This emphasis on craftsmanship aligns with the broader "third wave"
coffee movement, where coffee is treated as an artisanal product with a focus
on origin, roasting techniques, and unique flavor profiles. The industry's
commitment to providing a diverse and elevated coffee experience has
contributed to its growth and popularity among discerning consumers.The
retail coffee specialty industry's success is not only rooted in the quality of its
products but also in creating inviting spaces for consumers to enjoy their
coffee. Many specialty coffee shops prioritize creating a comfortable and
aesthetically pleasing environment, positioning themselves as "third places"
where customers can socialize, work, or relax. This emphasis on the overall
experience, coupled with a dedication to high-quality coffee, distinguishes
the retail coffee specialty industry and continues to shape its evolution.
ABOUT STARBUCKS: Starbucks, founded in 1971 in Seattle, Washington, has
become a global icon in the coffeehouse industry. Renowned for its
commitment to providing a premium coffee experience, Starbucks has
established a ubiquitous presence with thousands of stores worldwide. The
company offers a diverse menu of coffee beverages, teas, and snacks, and is
particularly known for its espresso-based drinks. Beyond its product offerings,
Starbucks has played a transformative role in shaping the coffee culture,
introducing concepts like customizable drinks, the use of coffeehouse as a
"third place" for socializing or work, and a focus on ethical sourcing through
initiatives like the Coffee and Farmer Equity (C.A.F.E.) Practices. Starbucks'

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distinctive green logo and the aroma of freshly brewed coffee have become
synonymous with a global coffee culture that values quality, convenience, and
community. Starbucks' success is attributed not only to its product quality
but also to its emphasis on creating a unique and inviting atmosphere in its
stores. The company's coffeehouses are designed to be welcoming spaces
where customers can enjoy their beverages, connect with others, or work.
Starbucks has also embraced technology, introducing innovations like mobile
ordering and rewards programs to enhance customer convenience. With its
commitment to social responsibility, sustainable sourcing, and continuous
innovation, Starbucks remains a prominent player in the retail coffee industry,
influencing consumer preferences and setting standards for the coffeehouse
experience. APPLICATION OF SCIENTIFIC MANAGEMENT THEORY: •
Standardization: Starbucks emphasizes standardization in its beverage
preparation processes. The company has detailed standard operating
procedures (SOPs) for making each type of drink, specifying the precise
measurements, brewing times, and presentation standards. This ensures
consistency in the quality of beverages across different Starbucks locations. •
Specialization: In Starbucks, employees often specialize in specific roles, such
as baristas, cashiers, or shift supervisors. This specialization allows employees
to develop expertise in their assigned tasks, contributing to the overall
efficiency of the store operations. • Incentives: Starbucks utilizes incentive
systems to motivate employees. This may include performance-based
bonuses or recognition programs for baristas who consistently provide
excellent customer service or achieve specific sales targets. Incentives are
aligned with individual and team performance goals. • Training and
Development: Starbucks invests in comprehensive training programs for its
employees. Baristas undergo training to ensure they are proficient in
beverage preparation, customer service, and store operations. Ongoing
development programs contribute to employee skill enhancement and
adaptability. • Performance Monitoring: Starbucks monitors performance
through various metrics, including customer satisfaction scores, sales figures,
and operational efficiency indicators. Performance data is used to identify
areas for improvement and maintain high standards across the Starbucks
chain. APPLICATION OF GENERAL MANAGEMENT THEORY • Division of Work
Starbucks implements the division of work by assigning specific roles and
responsibilities to its employees. Baristas, for example, focus on preparing
beverages, while cashiers handle transactions. This division allows employees
to specialize in their tasks, contributing to overall efficiency. • Authority and
Responsibility Authority and responsibility are clearly defined within
Starbucks' organizational structure. Store managers have the authority to
make decisions related to daily operations, staffing, and customer service.
Baristas and other staff members have responsibilities aligned with their
roles, ensuring a clear chain of command. • Discipline: Starbucks maintains
discipline through adherence to company policies and procedures.
Employees are expected to follow standardized processes for preparing
beverages, handling customer interactions, and maintaining cleanliness. This
discipline contributes to a consistent and positive customer experience. •

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Unity of Command: Unity of command is evident in Starbucks' hierarchical
structure. Each employee reports to a single supervisor or manager,
preventing confusion and ensuring that instructions and expectations are
clear. This structure helps maintain order and accountability. • Unity of
Direction: Starbucks aligns its efforts toward common goals and objectives.
The company's mission and values are communicated throughout the
organization, guiding decisions and actions. This unity of direction ensures
that all employees work towards shared objectives, such as providing high-
quality coffee and creating a welcoming environment. • Subordination of
Individual Interests to the General Interest: Starbucks promotes a culture
where individual interests are subordinated to the general interest of
providing an excellent customer experience. Team members prioritize
customer service, and the company emphasizes shared values and goals to
foster a cohesive work environment. • Remuneration of Personnel: Starbucks
offers competitive remuneration to its employees, including benefits and
opportunities for advancement. The company recognizes the importance of
fairly compensating its staff to enhance motivation and job satisfaction.

Sources
2% Plagiarized
In 2006, Starbucks', the ubiquitous coffee retailer, closed a...

https://www.cliffsnotes.com/tutors-problems/Management/53706288-In-

2006-Starbucks-the-ubiquitous-coffee-retailer-closed-

a/#:~:text=4.,customer%20service%20across%20all%20stores.

2% Plagiarized
Henri Fayol's Management Principles - Study.com

https://study.com/academy/lesson/henri-fayols-management-principles-

managing-departmental-task-

organization.html#:~:text=6.,those%20of%20the%20greater%20good.

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