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The Ways Starbucks Improve Profitability in Japan

Essay by   •  February 15, 2017  •  Case Study  •  350 Words (2 Pages)  •  4,236 Views

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The ways Starbucks improve profitability in japan:

 Price: Price leveling important task for any business. Profit depend on price leveling or fixing.in japan two well established coffee chains are the Doutor coffee company and the pronto corp. Both of them sell coffee $1 less than Starbucks. To became a strong competitor and also improve profitability its need to bring the price in the same level.

 To reduce the cost of coffee Starbucks should cultivate coffee in japan as it has created in North America.

 Starbucks need more familiar with Japanese culture. Design the store according to the Japanese culture, nonsmoking environment family atmosphere. Developing limited time seasonal drinks will attracted Japanese.in to attract Japanese, arrange of internet facility and other amenities should also be provided

 Survey says that the Japanese youth have very less time for their leisure. Starbucks can introduce US style online system in japan. Starbucks launch its mobile app in japan. Starbucks needs to ensure that people can easily use it for order and payment.

 Expert employee can boost business profit by reducing cost and giving best service. To make expert in both Starbucks drinking and coffee its need to arrange more extensive training program and also need to acquire to employee satisfaction.

 Starbucks can introduce various cultural campaign or entertainment campaign in Japan, so that Japanese youth feel attraction to come Starbucks. Strength is the ability to consistently provide near-perfect performance in a specific activity. The key to building a strength is to identify your dominant talents, then complement them by acquiring knowledge and skills pertinent to the activity.

Every business has some advantages or strengths and disadvantages. Here some strengths of partnership business are presented below:

 More financial resources-When two or more people invest their money and credit, it is easier to pay the rent, utilities and other bills incurred by a business. It raises more funds then sole proprietorship.

 Easy to take loan-It has more power to take loan since it has many partners.

 No special taxes-The tax is levied on the income as the personal income of the partners.

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