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Future Market Condition

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The market structure of Starbucks is a monopolistic competition. In the coffee industry, many producers and consumers exist, the goods and services are mixed, but firms are still able to differentiate their, products. Starbucks is a textbook example of a monopolistically competitive firm: many sellers, low barriers to entry, slight product differentiation. I have to write a 450 word essay on the Future Market Condition Analysis of Starbucks.

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Future Market Condition Analysis of Starbucks.

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Future Market Condition Analysis for Starbucks:

With the recession gripping the major market for Starbucks, ie, USA, it has become imperative Starbucks to expand its presence in offshore locations and enter new and fast growing economies such as India to offset the impact of recession in its domestic country. Starbucks will need to explore growth opportunities in fast growing nations like India and China to grow its revenue and profitability.

Further, competition is likely to escalate in the future, with new entrants entering the retail coffee segment with unique offerings and existing small and medium sized players growing bigger. Further, close competitors will also come up with competitive strategies in terms of new product offerings, variety or flavors to compete with Starbucks in this fiercely ...

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  • Post Graduate Diploma in Management (Equivalent to MBA), All India Management Association
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