UK Starbucks Coffee Shop Chain Struggling its Way through Essay Example

skyrocketing rents for its stores.

This may or may not be quite true yet there is ominous signs that all is not well with the world’s leading coffee chain stores.

Hence, the primary objective of this study is to determine whether Starbuck is really feeling recessionary pressures and would have to change its present strategy to an even more proactive strategy that would focus on increasing its customer base to areas which it hitherto not exploited to the fullest extent.

The second objective of the study is to determine whether Starbucks can capture a sizeable share of the market share if it reduced the price of its coffee without compromising on the quality. Again, with UK economy reeling under the pressures of recession it is quite certain that consumer’s first priority would be to reduce their debts rather than cling to their habits like taking espresso coffee on a daily basis.

Although UK has somehow crawled out of the recession the growth figures isn’t much to bring about a substantial change in consumer spending habits. True, the Starbucks customers in UK are mostly upper class women and professionals, yet they too are increasingly feeling the heat of the downturn and would like to reduce their overall debts rather than go about spending freely.

There is no significant reduction in customers at its store, yet there is an overall decrease in the orders placed.