The Marketing Strategy Analysis of Starbucks Corporation Essay

Words: 4804
Pages: 20

Under today’s ever-changing market, strategic marketing planning has become more and more significant whether of the functional or the fundamental. Especially, although financial crisis leaded economy growth slowdown, it did not cause a serious influence for chain coffee shop. As Howard Schultz said, CEO of Starbucks, “I don't think we had a business plan for the severity of what has taken place. History demonstrated to us that a downturn in the economy would not affect us, and in fact, we would be recession-proof.” (Katie Couric, 2008) Based on Financial Times, Starbucks revealed that strong earnings of $242m of 2008, a jump from the $64m it recorded during the comparable period last year and total revenues for the quarter
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Black Box Method
Kotler et al. (2009) explain that the consumer is regarded as a 'black box' in the sense that the consumer’s behavior is a conditioned response to marketing stimuli. After consumers making decision of purchase, the black box concept in behavior science responses. Because of the external stimulation, the consumers’ decision making process will be affected by the marketing planning and environment. The significance and the strengths of the model is that after consumers processing the various stimuli in their mind, they will react in specific ways. Generally speaking, in the model, the external elements to the consumer will move to behavioral stimuli; however, before a specific behavioral reaction is created, the consumer's decision-making process and personal characteristics will interact with the stimuli. On the other hand, in the 'black box' model, people can’t get much information about the way human mind operates. The weakness of this model is people still cannot get the ideas of what goes on in the brain and have no ideas about what goes on in there. In other words, through the 'black box' model the main internal process and influences of consumer’ behavior can be identified when consumer behavior operates, but the way how consumers convert the data, together with the stimuli, to act specific responses