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The founder Howard Schultz recognized the problem that his own growth strategy had created: “Stores no longer have the soul of the past and reflect a chain of stores vs. the warm feeling of a neighborhood store.” Starbucks tried to add value through innovation, offering wi-fi service, creating and selling its own music

Starbucks’ Growth Destroyed Brand Value

Leadership & Managing People Case

Starbucks announcement that it will close few stores in Saudi Arabiaadmission of limits to growth.

The founder Howard Schultz recognized the problem that his own growth strategy had created: “Stores no longer have the soul of the past and reflect a chain of stores vs. the warm feeling of a neighborhood store.” Starbucks tried to add value through innovation, offering wi-fi service, creating and selling its own music. More recently, Starbucks attempted to put the focus back on coffee, revitalizing the quality of its standard beverages. But none of these moves addressed the fundamental problem: Starbucks is a mass brand attempting to command a premium price for an experience that is no longer special.

How will you help company to recover and expand its operation in Saudi Arabia. The Company hired you as CEO of Starbucks coffee in Saudi Arabia

Assignment Objectives & Requirements:

1. To sustain and expand the Starbucks Stores in Kingdom of Saudi Arabia, you have to write the: (400 – 500 words)

a. Identify the competitive advantage (s) in business for growth

b. What are the different Products and type ofservicesthat can be offered.

c. Businessobjective/goals/vision

2. Identify and describe the four managerial functions that can be applied in Starbucks business in Saudi Arabia. (200 – 300words)

3. Explain the different types of planning for the different levels of management in Starbucks in KSA. Include the typical time frame for which each plan is created. (200 – 300words)

4. Discuss different theoretical perspectives about management in context of Starbucks. Give at least three reasons. (100 – 200 words)

5. Conclude your report. (100 – 200 words)

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