Expansion Outside The US

410 Words2 Pages
#9-8 The reason for this different style of expansion outside the U.S has a very good reason. First off, when expanding into countries such as China, you have to play by their communist bureaucratic polices. This means that the only way in which Starbucks was able to set up shop in china was if they partnered with local firms. In European countries, this strategy of using licensees was helpful in both marketing and gaining a better reputation.
#9-9
The decision to create more value oriented menu items was an odd choice for them. I do not personally see this as a very wise decision on their part. Starbucks is a premium brand known for their relatively high prices, and cut down prices may hut this image. Also a $4 value meal is still too