Questions
In what ways does an organization react to change? Under what conditions are the members of...

In what ways does an organization react to change? Under what conditions are the members of an organization likely to embrace and accept change? Under what conditions are they likely to resist change?

In: Operations Management

Evaluate the main FSAs of SoftSys and SDS using the VRIO(T) model. FSA - firm specific...

Evaluate the main FSAs of SoftSys and SDS using the VRIO(T) model.

FSA - firm specific advantages

CSA- country specific advantages

SDS- is a IT software company

In: Operations Management

What are the differences between marketing strategies and marketing tactics?

What are the differences between marketing strategies and marketing tactics?

In: Operations Management

Arlo Industries manufactures three types of dog collars: a deluxe model with solid leather and upgraded...

Arlo Industries manufactures three types of dog collars: a deluxe model with solid leather and

upgraded leash rings, a standard model using a "leatherette" compound, and a bargain model

that they sell to discount outlets. The profit contributions of these collars are $12 Deluxe, $10

Standard, and $8 Bargain. All collars must be cut, assembled and shipped using three different

production lines. The following table shows the time (in minutes) for each operation:

Production Line

Deluxe

Standard

Bargain

Cutting

10

7

6

Assembly

8

7

6

Shipping

5

5

5

Next month, the company estimates there will be 380 hours available for cutting, 370 hours for

assembly and 400 hours available for shipping. In addition, up to 80 hours of overtime is

available that can be used on either the cutting and/or assembly production lines at a cost of

$20 per hour. The company has already received orders for 1200 deluxe collars, 1000 standard

collars, and 600 bargain collars that must be filled, but believes they can sell as many collars as

they can make. The company is interested in maximizing profit, subject to the constraints listed

above.

In: Operations Management

*Answer the 4th question ONLY* Read the case study Italy Defied Starbucks—Until It Didn’t, i only...

*Answer the 4th question ONLY* Read the case study Italy Defied Starbucks—Until It Didn’t, i only left the rest because they are related.

“We arrive with humility and respect in the country of coffee,” Howard Schultz, the former longtime CEO of Starbucks, told Corriere della Sera, Italy’s leading daily, last week. He was about to inaugurate, in Milan, the first Italian outpost of the global chain that supersized coffee and now vies with McDonald’s and Coca Cola as a symbol of American gastronomic imperialism. Even, of course, if Italy has one of the world’s most developed coffee cultures, which in fact is what inspired Schultz to convince the founders of the small Starbucks coffee company to open its first coffeehouse in 1984.

Italy is a country where the pumpkin is generally found in the ravioli, not the latte, and so the Milan Starbucks isn’t just any Starbucks branch. It’s a huge “Roastery” in the former Milan outpost

of the Poste, the Italian postal service, and is meant as a full “experience,” Starbucks said in a press release that has already been mocked by Eater. (“Eight Ridiculous Things Starbucks Is Saying About Its New Store in Milan.”) The Roastery, the first in Europe after others in Seattle and Shanghai, will offer coffee and food and also illustrate Starbucks’s roasting process.

Okay. But a question leaps to mind: Does Italy need Starbucks? “Che tristezza,” one Italian friend told me when I asked her about it opening in Milan. “How sad.” I called the Tazza d’Oro, one of Rome’s most historic coffee shops—they’re called bars in Italian—and Laura Birrozzi, a manager, offered some thoughts. “We and Starbucks sell something completely different. We have quality Italian espresso,” she said. I asked her if she’d ever been to a Starbucks, and she said she had on one occasion, on a visit to London. “It wasn’t the coffee I’m used to,” was all she’d say.

At the Milan Roastery, an espresso will cost 1.80 euros “sitting or standing,” Corriere della Sera noted, since in Italian coffee shops, the price changes depending on whether you have table service or gulp your drink down at the bar. A cappuccino will cost as much as 4.50 euros. This has already prompted Italy’s consumer association to file a complaint with Italy’s antitrust authority, saying the prices were far above average for Milan. Online, Italians are already complaining that Starbucks could drive up prices elsewhere in Italy. (Still, from the coverage, it seems the Roastery piqued people’s curiosity; the lines were around the block for the musical-gala opening party.)

The announcement last year about the opening did not go over well. The columnist Aldo Cazzullo wrote in Corriere della Sera then that “as an Italian,” he considered the opening of Starbucks in Italy nothing short of “a humiliation.” Though he conceded that the arrival of the chain might make some Italian coffee shops step up their game: Starbucks “represents a philosophy, as well as a sort of office for people who don’t have an office,” he wrote. “Maybe our bars will also become more hospitable.”

But, he ended on a discordant note: “I wonder how many of the 350 jobs announced in Milan will go to young Italians and how many to young immigrants,” Cazzullo wrote. It’s unclear what kind of immigrants he had in mind, or why hiring immigrants would be an issue. What is clear is that in Italy, coffee seems to connect in unexpected ways to national identity. There were polemics last year after Starbucks sponsored a garden of palm trees in Piazza Duomo, to drum up enthusiasm ahead of its opening this year. This prompted Matteo Salvini, then only the leader of the far-right League party and now Italy’s interior minister and deputy prime minister, to decry what he called the “Africanization” of Italy, and to call for the defense of the “Italianness” of coffee. “All that’s missing are the sand and camels, and the illegal immigrants will feel at home,” he said then.

Schultz has been trying to open Starbucks in Italy for decades, and the fact that Italy has such excellent coffee everywhere—even the coffee at the average highway rest stops in Italy is better than much of what’s served in good restaurants elsewhere in the world— was no doubt a major issue. In 1998, Michael Specter wrote in The New Yorker about Schultz’s efforts to open Starbucks and said a branch of the chain would open in Italy “next year.”

So why the delay? For one thing, Italians don’t drink coffee the way Starbucks serves coffee. In Italy, coffee—espresso—is drunk generally standing up, at a coffee bar. Cappuccino or caffè latte is drunk in the morning or sometimes in the late afternoon if you haven’t had a proper lunch, and never after meals, because who can digest milk after a meal? Italians are very attuned to proper digestion.

Also, Italy has a market economy with some protectionist elements. In her interview with Schultz for Corriere, the journalist Daniela Polizzi noted that the context had changed in the past 20 years, from one of adjusting to globalization to one in which trade barriers have become an issue. Starbucks now has 30,000 stores in 77 countries, including 3,400 stores in China, with 45,000 employees, Schultz answered. Italy hasn’t given up quite so much ground, but the chain has now established a beachhead there.

Some saw the arrival of Starbucks as a window into the challenges to the Italian economy. “The lack of Starbucks indicates a double anomaly: On the one hand, the biggest coffee chain in the world wasn’t present in Italy, and on the other, the biggest coffee chain in the world isn’t Italian,” the journalist Luciano Capone wrote in Il Foglio, an intellectual daily, this week, citing the economist Luigi Zingales. It seemed a sign of how Italy’s economy is based on smaller businesses with more modest ambitions. More than 90 percent of Italian companies have fewer than 15 employees.

Then there’s the flip side. “Operating in Italy, in competition with Italian coffee bars, it’s probable that Starbucks will soon learn to make excellent espressos and cappuccinos,” Capone continued. “But will the Italian system manage to learn from Starbucks how to create a global chain? It would be a small step for us, but a great step for mankind: Finally the rest of the world would discover that coffee and pizza aren’t the kind on offer at Starbucks and Pizza Hut.”

So if the wheel is coming full circle, does Olive Garden have any plans to open in Italy? I asked its spokeswoman, Meagan Mills. “We do not have any plans,” she wrote back. “Thanks for thinking of us, though!”

Questions to answer

  1. What are the main marketing environment factors affecting Starbucks business in the Italian market? Why are these factors affecting the Italian market?
  2. Explain the impact of these factors on Starbucks’ marketing. Give a specific example for each factor.
  3. Based on your analysis of the two previous questions, discuss the promotion strategies of Starbucks in the Italian market. What modifications to the company’s product components might be necessary?
  4. For the promotion strategies that you have outlined in the previous question (Q3), suggest two specific recommendations for these promotion strategies. Give a specific example of how Starbucks should implement these two recommendations in the Italian market.

In: Operations Management

ERP System recommendation for Nike Company.

ERP System recommendation for Nike Company.

In: Operations Management

Share a source (e.g., news, expert opinions, academic articles and so and so forth) and discuss...

Share a source (e.g., news, expert opinions, academic articles and so and so forth) and discuss how it informs your understanding of the full-price apparel and fashion retail industry.

In: Operations Management

What are the main reasons why Starbucks chooses to retain operational control of its domestic operations?...

What are the main reasons why Starbucks chooses to retain operational control of its domestic operations? Why does Starbucks rely on licenses for most of its international operations? Does the company risk the dissipation of any of its advantages by relying on licensing?

no case study . Based on google knowledge of Starbucks

In: Operations Management

Can you find examples of Starbucks facing inter-regional liability of foreignness? How did Starbucks deal with...

Can you find examples of Starbucks facing inter-regional liability of foreignness? How did Starbucks deal with this? What could have been done differently?

In: Operations Management

West Coast Architects (WCA) has been operating for the last ten years now. No longer the...

West Coast Architects (WCA) has been operating for the last ten years now. No longer the new kid on the block, the organization has steadily become more professional during your time here. Five years ago, the company had 50 employees and now has grown to 100 staff in Vancouver, Calgary, and Toronto. You have been successful in your career as a people manager practicing what you learned in your many years ago. You are managing an HR Department that is based out of Vancouver and has a mixture of recruiters, HR consultants, and payroll staff. You silently take stock of your situation and marvel at how lucky it has been to grow with a company that has really appreciated your contributions. That brass name plaque on your office door could use some polishing as its developing some patina!

question

WCA has just sent a dozen (mostly white male) managers from Canada to its new site in a remote area of China. Few of these managers have worked with Chinese employees, so the company has asked you to design an on-site one-day experiential training program to help these managers to minimize perceptual problems that might otherwise occur. The program must be experiential (i.e. participants interact with each other rather than attend an awareness lecture) and the activities must help the managers to discover biases that may be hidden or unknown to them. Describe a minimum of two key features of this training program and discuss its conceptual foundations.

In: Operations Management

Describe the four market-related strategies an organization uses to identify alternate market opportunities.

Describe the four market-related strategies an organization uses to identify alternate market opportunities.

In: Operations Management

What type of queuing system is used at a: restaurant? car dealership? Zappos?

What type of queuing system is used at a:

restaurant?

car dealership?

Zappos?

In: Operations Management

To what extent is Starbucks a global company? How would you evaluate Starbucks’ role in the...

To what extent is Starbucks a global company? How would you evaluate Starbucks’ role in the process of

globalisation?

In: Operations Management

Read the Italy Defied Starbucks—Until It Didn’t case below and answer the 4 questions: “We arrive...

Read the Italy Defied Starbucks—Until It Didn’t case below and answer the 4 questions:

“We arrive with humility and respect in the country of coffee,” Howard Schultz, the former longtime CEO of Starbucks, told Corriere della Sera, Italy’s leading daily, last week. He was about to inaugurate, in Milan, the first Italian outpost of the global chain that supersized coffee and now vies with McDonald’s and Coca Cola as a symbol of American gastronomic imperialism. Even, of course, if Italy has one of the world’s most developed coffee cultures, which in fact is what inspired Schultz to convince the founders of the small Starbucks coffee company to open its first coffeehouse in 1984.

Italy is a country where the pumpkin is generally found in the ravioli, not the latte, and so the Milan Starbucks isn’t just any Starbucks branch. It’s a huge “Roastery” in the former Milan outpost

of the Poste, the Italian postal service, and is meant as a full “experience,” Starbucks said in a press release that has already been mocked by Eater. (“Eight Ridiculous Things Starbucks Is Saying About Its New Store in Milan.”) The Roastery, the first in Europe after others in Seattle and Shanghai, will offer coffee and food and also illustrate Starbucks’s roasting process.

Okay. But a question leaps to mind: Does Italy need Starbucks? “Che tristezza,” one Italian friend told me when I asked her about it opening in Milan. “How sad.” I called the Tazza d’Oro, one of Rome’s most historic coffee shops—they’re called bars in Italian—and Laura Birrozzi, a manager, offered some thoughts. “We and Starbucks sell something completely different. We have quality Italian espresso,” she said. I asked her if she’d ever been to a Starbucks, and she said she had on one occasion, on a visit to London. “It wasn’t the coffee I’m used to,” was all she’d say.

At the Milan Roastery, an espresso will cost 1.80 euros “sitting or standing,” Corriere della Sera noted, since in Italian coffee shops, the price changes depending on whether you have table service or gulp your drink down at the bar. A cappuccino will cost as much as 4.50 euros. This has already prompted Italy’s consumer association to file a complaint with Italy’s antitrust authority, saying the prices were far above average for Milan. Online, Italians are already complaining that Starbucks could drive up prices elsewhere in Italy. (Still, from the coverage, it seems the Roastery piqued people’s curiosity; the lines were around the block for the musical-gala opening party.)

The announcement last year about the opening did not go over well. The columnist Aldo Cazzullo wrote in Corriere della Sera then that “as an Italian,” he considered the opening of Starbucks in Italy nothing short of “a humiliation.” Though he conceded that the arrival of the chain might make some Italian coffee shops step up their game: Starbucks “represents a philosophy, as well as a sort of office for people who don’t have an office,” he wrote. “Maybe our bars will also become more hospitable.”

But, he ended on a discordant note: “I wonder how many of the 350 jobs announced in Milan will go to young Italians and how many to young immigrants,” Cazzullo wrote. It’s unclear what kind of immigrants he had in mind, or why hiring immigrants would be an issue. What is clear is that in Italy, coffee seems to connect in unexpected ways to national identity. There were polemics last year after Starbucks sponsored a garden of palm trees in Piazza Duomo, to drum up enthusiasm ahead of its opening this year. This prompted Matteo Salvini, then only the leader of the far-right League party and now Italy’s interior minister and deputy prime minister, to decry what he called the “Africanization” of Italy, and to call for the defense of the “Italianness” of coffee. “All that’s missing are the sand and camels, and the illegal immigrants will feel at home,” he said then.

Schultz has been trying to open Starbucks in Italy for decades, and the fact that Italy has such excellent coffee everywhere—even the coffee at the average highway rest stops in Italy is better than much of what’s served in good restaurants elsewhere in the world— was no doubt a major issue. In 1998, Michael Specter wrote in The New Yorker about Schultz’s efforts to open Starbucks and said a branch of the chain would open in Italy “next year.”

So why the delay? For one thing, Italians don’t drink coffee the way Starbucks serves coffee. In Italy, coffee—espresso—is drunk generally standing up, at a coffee bar. Cappuccino or caffè latte is drunk in the morning or sometimes in the late afternoon if you haven’t had a proper lunch, and never after meals, because who can digest milk after a meal? Italians are very attuned to proper digestion.

Also, Italy has a market economy with some protectionist elements. In her interview with Schultz for Corriere, the journalist Daniela Polizzi noted that the context had changed in the past 20 years, from one of adjusting to globalization to one in which trade barriers have become an issue. Starbucks now has 30,000 stores in 77 countries, including 3,400 stores in China, with 45,000 employees, Schultz answered. Italy hasn’t given up quite so much ground, but the chain has now established a beachhead there.

Some saw the arrival of Starbucks as a window into the challenges to the Italian economy. “The lack of Starbucks indicates a double anomaly: On the one hand, the biggest coffee chain in the world wasn’t present in Italy, and on the other, the biggest coffee chain in the world isn’t Italian,” the journalist Luciano Capone wrote in Il Foglio, an intellectual daily, this week, citing the economist Luigi Zingales. It seemed a sign of how Italy’s economy is based on smaller businesses with more modest ambitions. More than 90 percent of Italian companies have fewer than 15 employees.

Then there’s the flip side. “Operating in Italy, in competition with Italian coffee bars, it’s probable that Starbucks will soon learn to make excellent espressos and cappuccinos,” Capone continued. “But will the Italian system manage to learn from Starbucks how to create a global chain? It would be a small step for us, but a great step for mankind: Finally the rest of the world would discover that coffee and pizza aren’t the kind on offer at Starbucks and Pizza Hut.”

So if the wheel is coming full circle, does Olive Garden have any plans to open in Italy? I asked its spokeswoman, Meagan Mills. “We do not have any plans,” she wrote back. “Thanks for thinking of us, though!”

Questions to answer

1- What are the main marketing environment factors affecting Starbucks business in the Italian market? Why are these factors affecting the Italian market?

In: Operations Management

Why is integrated marketing communications important to marketers?

Why is integrated marketing communications important to marketers?

In: Operations Management