Understanding Strategic Management.

It has also assisted the organisation to understand their position on the global market. The internal analysis has illustrated various weaknesses and threats of the organisation such as strict pricing policy, legal issues and market saturation. The external analysis of the organisation has elaborated the current political, social, environmental and technological condition of their operated countries. It has also helped the management to analyse the impact of these situation on the overall performance of the organisation. The final outcome of the report has helped the management to introduce various new strategies to improve the performance of the organisation.

The report is based on the situational analysis of the organisational strategies of the Starbuck Corporation, a leading multinational coffeehouse chain. Starbuck Corporation was established in the year of 1971 and it is headquartered in Washington, USA. The organisation operates in almost 62 countries through 19,767 company owned outlets. They have recorded revenue of $14.89 billion by the end of 2013 (Marketline, 2014). The internal and external analysis of the organisation will be conducted to understand the strategic position of the organisation. Therefore, a strategic formulation of the organisation will be discussed to analyze the most appropriate course of action to achieve the overall goal of the organisation.

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The long term objective of the organisation is to establish themselves as a premium seller of finest coffee products across the world. Their mission is to maintain the uncompromising business principle to achieve the sales growth (Marketline, 2014).

The SWOT analysis will assist the management of the organization to evaluate the internal strength and weaknesses of the organization. This will also illustrate the external opportunities and threats to expand their business venture (Pahl and Richter, 2009).

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