Starbucks PLC Extension Strategies

by Janice on February 22, 2012

Starbucks has recently drawn into the design world when they were one of the first companies to promote tumblers in a different style. The tumbler design has improved over the years and are a common attraction to many customers, not just teenagers but also adults in the working world. They still keep the plain black but they have changed into tumblers that vary in terms of color, design, and shape. The tumbler now has a choice of curved or straight. The design of the tumblers have also changed according to season, for example during winter they created a Christmas tumbler. Every few months or so a new design is put on the rack to keep their reputation and customer attraction.


New Markets
When Starbucks decided to enter the Asian world a lot worries they had was whether or not the original American flavor of coffee or food would attract the customers. Following this they enhanced their line of tea by adding Chinese flavors into the tea. For example in Taiwan they have recently incorporated the ever-so-popular bubble tea, tapioca pearls into their drinks to attract the local tastes. They have also innovated new ideas of providing a green tea frappuccino that doesn’t defer far away from their company name but also adds a touch of Asian flavor. They ventured with these new products and it proved effective as tea products in Asia are highly welcomed and the green tea frappuccino is one of the most fast-selling drinks in Hong Kong.

Price Reduction
Starbucks being a company so internationally recognized and being stationed in various parts of the world will always be watched in terms of them being a corporate socially responsible company. One of Starbucks ways of promoting after the US economy weakened in 2009 Starbucks has announced that they will start selling instant coffee for a dollar a cup to appeal to customers who were struggling financially. Following that, in order to become more environmentally friendly has offered a 10 cent discount in stores around US and Canada, now Hong Kong too if customers bring in their own reusable mugs or tumblers for the beverages. This enhanced reputation and attracted more customer attention.

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