SWOT of Starbucks

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Starbucks has been chosen as my company of emphasis for this assignment. Starbucks is a leading global coffee company with a reputation for providing high-quality products and services (Lombardo, 2017). As a result of its global status, the firm must undertake a SWOT analysis in order to discover novel ways to sustain its strong market position.

Starbucks' key competitive advantage is its outstanding financial performance. Starbucks' number one position among coffee and beverage sellers is due to its financial performance. The company’s key opportunity is the ability to expand more globally especially in Asia, the Middle East, and Africa (Lombardo, 2017).

The corporation has the opportunity and strength to maintain competitiveness in the market. The company should use its strength in financial performance to exploit opportunities for global expansion so that they can gain a competitive advantage over other companies which are attempting to expand globally.

Weakness and Threats

High price points are the main weakness of Starbucks. The prices placed on the products available at Starbucks makes it less accessible to a large population of lower-middle class and lower class consumers in the markets where they operate. A primary threat to Starbuck operations and sustainability is competition from low-cost coffee sellers. Companies such as McDonald’s produce quality coffee products which can compete with Starbucks products at a lower price than what is offered at Starbucks (Lombardo, 2017).

The weakness of Starbucks is on high prices for its products. Competitors have been taking advantage of this weakness to grow and compete with the firm. Therefore, the company should maintain its unique variety of quality products but reduce the price so that they can accommodate the lower-middle class part of the market.


Lombardo, J. (2017). Starbucks Coffee SWOT Analysis. Retrieved from: http://panmore.com/starbucks-coffee-swot-analysis

May 17, 2023

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