Reference no: EM133186421

This case considers the challenges in managing a high growth brand and describes the history and early successes of Starbucks. By transforming the coffee category, Starbucks was one of the true brand success stories of the 90's. Starbuck's under the direction of visionary Howard Shultz grew from a small Seattle four store chain into the third largest global restaurant chain behind McDonald's and Subway. Despite this remarkable growth, critics at various points have questioned whether Starbucks has begun to lose focus while the company strives constantly to reinvent itself.  Could striving for diversity and continued growth of Starbucks' various business ventures cause the company to lose touch with its loyal coffee-loving customer base? How could a company like Starbucks that was exploring so many new business opportunities remain focused on its core values and business objectives?  The case raises a number of issues concerning how to build and manage a high growth brand.

Class discussion will revolve around the following questions to consider and respond to before class:

1. How did Starbucks design its marketing programs (4Ps) in such a way to build such a successful brand?  What were their original brand values?  What are their sources of brand equity?
2. Evaluate Starbuck's growth strategy through the years.  Citing a few examples, what role did secondary brand associations play in the brand's overall growth strategy?  How has their growth strategy changed in some aspects and remained the same in other aspects?
3. Go online, conduct a brief current situational analysis of the Starbucks brand and review the various aspects of the Starbucks website messaging as well.  Then as a team try imagining and diagramming what the Starbucks brand matrix or hierarchy might look like for managing the Starbucks brand of products.  In your analysis, do you foresee any potential future strategic problems, which might cause the brand to move away from its core values and dilute brand meaning
4. Assess the current health of the Starbucks brand. In terms of the brand's meaningfulness, how successfully do they inspire, inform, reward, entertain, educate, and help consumers, their industry and society as a whole?  What recommendations would you make to Starbucks brand management team to help them moving forward?