IBM Presentation: Made By-Mihir Bansal BBA, 3 Year, 2 Shift

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IBM Presentation

Made by- Mihir Bansal


BBA,3rd year,2nd shift
Contents
1. Stages of International Business
2. International Business Approaches
3. Starbucks Corporation
4. International Business of
Starbucks
5. Americas
6. Europe
7. Asia
8. Starbucks in India
Stages of International
Business
1.Domestic Company:
Limits operation, Vision, Mission to National Political
boundaries.
2.International Company:
Focus on domestic practices but extent wings to foreign
countries.
3.Multinational Company
Different strategy for different market.
4.Global Company
Either produce in one country and market globally or
produce globally and market domestically.
5.Transnational Company
Produces, markets, invests and operates across the
world.
International Business
Approaches
1. Ethnocentric Approach
It is maintenance of domestic
approach towards IB.
2. Polycentric Approach
the company establishes a foreign
subsidiary company and decentralises
all the operations and delegates
decision-making and policy making
authority to its executives.
3. Regiocentric Approach
The company after operating successfully in a
foreign country, thinks of exporting to the
neighbouring countries of the host country. At
this stage, the foreign subsidiary considers the
regional environment( for example Asian
environment like laws, culture, policies etc.) for
formulating policies and strategies.
4. Geocentric Approach
Under this approach, the entire world is just like
a single country for the company. They select
the employees from the entire globe and operate
with a number of subsidiaries. The headquarters
coordinate the activities of the subsidiaries.
Starbucks Corporation
• Starbucks Corporation is an
American
multinational chain of coffeehouses
and roastery
reserves headquartered in Seattle,
Washington.
• It is the world’s largest coffeehouse
chain.
• The company is ranked 114th on the
Fortune 500 and 288th on
the Forbes Global 2000.
• Products: Coffee beverages,
Smoothies, Tea, Baked goods
and Sandwiches.
• Subsidiaries: Starbucks Coffee,
Evolution fresh, Ethos water,
Teavana, Seattle’s best coffee,
TATA Starbucks etc.
• Founded in 1971 by Jerry
Baldwin, Zev Sigel, Gordon
Bowker.
• It was later sold to Howard
Schultz in 1980s.
International business of
Starbucks
• As of September 2020,
Starbucks had 32,660
locations spanning 79
countries and territories on
six continents.
• Starbucks is a Global
company.
• Starbucks uses polycentric
and regiocentric approach
of EPRG Model.
• Popular entry modes used by
Starbucks to enter in international
market are Foreign direct
investment, Licensing, franchising,
joint venture.
Americas
• In September 2002, Starbucks opened its
first store in Latin America, in Mexico City.
By 2016, there were more than 500
locations in Mexico.
• In August 2013, Starbucks's CEO 
Howard Schultz personally announced
the opening of Starbucks stores in 
Colombia.  Starbucks noted that the
aggressive expansion into Colombia was
a joint venture with Starbucks's Latin
partners, Alsea and Colombia's Grupo
Nutresa that has previously worked with
Starbucks by providing coffee through
Colcafe. 
Europe
• In 1998, Starbucks entered the 
United Kingdom market in 1998 with
the US$83 million acquisition of the
then 56-outlet, UK-based 
Seattle Coffee Company, re-branding
all those stores as Starbucks.
• In October 2002, Starbucks
established a coffee trading company
in Lausanne, Switzerland to handle
purchases of green coffee. All other
coffee-related business continued to
be managed from Seattle.
• In February 2010, Starbucks
opened in Arlanda Airport
 outside Stockholm, its first
location in Sweden.
• In May 2012, Starbucks
opened its first coffeehouse
in Finland, with the location
being Helsinki-Vantaa Airport
 in Vantaa.
• On April 21, 2015, Kesko,
the second largest retailer in 
Finland, announced its
partnership with Starbucks,
with stores opened next to 
K-City market hypermarkets.
Asia
• In July 1996, the first Starbucks
location opened outside of North
America: a store in Tokyo, Japan. In
September 2014, Starbucks
announced the acquisition of the
remaining 60.5% stake in Starbucks
Coffee Japan that it did not already
own, for $913.5 million.
• In October 2011, Starbucks opened
another location in Beijing, China, at
the 
Beijing Capital International Airport's
Terminal 3, international departures
hall; making the company's 500th
store in China. The store is the 7th
location at the airport.
Starbucks in India
• In January 2011, Starbucks
Corporation and Tata Coffee
 announced plans to begin
opening Starbucks locations in
India.
• Despite a false start in 2007, in
January 2012 Starbucks finally
announced a 50:50 joint venture
with Tata Global Beverages, called
Tata Starbucks Ltd., which would
own and operate outlets branded
"Starbucks, A Tata Alliance".
• On 19 October 2012,
Starbucks opened its first
store in India, measuring
4,500 sq. ft in Elphinstone
Building, Horniman Circle, 
Mumbai.
• Starbucks opened its first
roasting and packaging plant
to supply its Indian outlets in
Kodagu, Karnataka in 2013.
•  All espressos sold in Indian
outlets are made from Indian
roasted coffee beans
supplied by Tata Coffee.
Thank You

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