Strategic Alliance of Starbucks and Tata Coffee ..

: Strategic Alliance of Starbuc

ks and Tata Coffee .. By
Anuj Singh Swati Sharma
Indian Coffee Industry: Indian Coffee Industry The coffee industry of India is t
he fifth largest producer of coffee in the world, accounting for over four perce
nt of world coffee production, with the bulk of all production taking place in i
ts Southern states. Avg. Coffee consumption in India is 10 cups per day. India i
s the only country that grows all of its coffee under shade. Indian coffee has a
unique historic flavor.
Tata Coffee ..: Tata Coffee .. Area of business- Grows coffee on its own estates, Pr
ocesses the beans, Exports green coffee, Manufactures and exports Instant Coffee
Pillars Of Tata Coffee s Business Strategy: Pillars Of Tata Coffee s Business Strate
gy
Competitive Advantage of Tata Coffee: Competitive Advantage of Tata Coffee The l
argest integrated coffee plantation company in the world . It's uniqueness lies
in its ability to produce large quantities of estate specific, strain specific,
special and premium coffee, while maintaining a strict consistency in quality. I
t has a hand in every aspect of the coffee making process With the major coffee
consumption markets being Arabica-centric, this lobby has been prevailing in int
ernational markets by Tata coffee.
Starbucks: Starbucks It is an international coffee and coffeehouse chain based i
n Seattle, Washington. Starbucks stresses quality above price and other features
it could emphasize. Starbucks specializes in coffee and related beverages. The
company sells coffee, Italian-style espresso beverages, cold blended beverages,
as well as a selection of premium teas and coffee-related accessories and equipm
ent.
Competitive advantage of Starbucks: Competitive advantage of Starbucks Strong br
and image Starbucks specializes in coffee and related beverages. Starbucks is th
e largest coffeehouse company in the world. They have loyal customer worldwide.
Marketing Strategy of Starbucks: Marketing Strategy of Starbucks Starbucks start
ed a community website, My Starbucks Idea It s rare to find a Starbucks ad in a bi
llboard, ad space, newspaper or poster in places. The company has went to great
lengths to create a community atmosphere among premium coffee lovers. Starbucks op
erates primarily through joint ventures and licensing arrangements with consumer
products business partners.
About the deal : About the deal Starbucks is coming India with joining hand to Tata
Coffee. Starbucks will explore setting up stores in the Tata group's retail out
lets and hotels, besides sourcing and roasting coffee beans at Tata Coffee's Kod
agu facility. This Agreement includes opening cafes, bean sourcing and roasting.
One of the hurdles that the two companies have to sort out is Starbucks franchis
ee-led business model
Objective of Tata Coffee behind this deal: Objective of Tata Coffee behind this
deal The agreement will allow Tata coffee to provide roast coffee bean to Starbu
cks in India. Get opportunity to jointly invest in additional facility for expor
t to other market. Starbucks provide new technology to the promotion of responsi
ble agronomy practices. A long term relationship will be formed with this MoU wi
th Starbucks. After this deal, Tata Coffee is become Asia s biggest publicly trade
d coffee grower
Objective of Starbucks behind this deal: Objective of Starbucks behind this deal
Starbucks aiming to enter in Indian market through this MoU. Starbucks believe
that India can be an important source for coffee in the domestic market, that s wh

y they enter in India. The knowledge and understanding of the Indian market can
be brought by Tata Global Beverages, because it has been in this play for a whil
e The Tata also have an arm in retail so there s a synergy there as well.
Marketing Strategy Analysis Of the Deal : Marketing Strategy Analysis Of the Dea
l
Marketing Strategy Analysis Of the Deal: Marketing Strategy Analysis Of the Deal
Marketing Strategy Analysis Of the Deal: Marketing Strategy Analysis Of the Deal
Marketing Strategy Analysis Of the Deal: Marketing Strategy Analysis Of the Deal
Competitive Timing/Direction Matrix
Marketing Strategy Analysis Of the Deal: Marketing Strategy Analysis Of the Deal
Service decoupling Approach
Marketing Strategy Analysis Of the Deal: Marketing Strategy Analysis Of the Deal
Porter five force Model
Relationship Marketing ..: Relationship Marketing .. Starbucks and Tata Coffee devel
oped a long term and intimate relation-ships. Through this deal they developed o
pen communication With this MOU Tata Coffee able to know the requirement and pre
ference of Starbucks more closely Type of Strategic Decision Making.. Formal Dec
ision Making
PowerPoint Presentation: Strategic Implementation of Decision ..
Product Life Cycle ..: Product Life Cycle ..
Branding Architecture.....: Branding Architecture..... Sub Brand they can opt th
is strategy for the branding purpose, as Starbucks uses this strategy for the br
anding purpose and may be it will continue it in India. Endorsed brands Accordin
g to us they can also opt this strategy because Tata coffee uses this strategy C
o-Branding
SWOT: SWOT
Conclusion ..: Conclusion .. This deal will be beneficial for both the side, because
this deal has given a new phase to both the company. As Starbucks prospect Afte
r having MoU with Tata Coffee ,Starbucks is able to enter in Indian emerging mar
ket. From Tata Coffee prospect, after this deals they are entering in coffee ret
ail outlet business, which is also giving a new phase to TATA Coffee. They may b
e revolutionized the Indian coffee retail outlet industry.
PowerPoint Presentation: Thank You