Is Starbucks a Product or a Service

                                                   Starbucks Case

     Discussion questions:

1. Is Starbucks a product or a service? Justify your answer.

     Starbucks is a product which pay and services for which, again, again pay!

     First of all people go to Starbucks to buy coffee and their purpose is to buy a coffee. So it is - a product that people buy. BUT, do not offered services, they would not have bought this coffee. And would go better there, where they are served. So it is possible to make conclusions that this is a product and service. One without the other will not work.

     From the beginning Starbucks opened as a shop selling coffee beans. And only 15 years later, opened the first coffeehouse. Now it is popular because it is possible to buy coffee anywhere in the world. It has already shown itself in the market as competent advice and strong company.

Starbucks advantages are: experience, brand (popularity) and pricing.

     People who come to Starbucks pay not only for coffee but also for services. And so I think that the pricing is worth it. For me, Starbucks is the place where you can go from time to time. Maybe because in my country has no McDonald's and Starbucks =)

1. Discuss how companies can apply the principles of service marketing (such as levels of product and service value) to achieve greater success today, giving relevant examples from the Starbucks case. Use the lecture material as well as the reading note given with this case to prepare your answer.

     Today, chain of coffee shops Starbucks - is a global corporation with a capitalization of more than $ 15 billion. Dollars. But once it started with one cafe. And to be quite accurate, the first café and some were not. Starbucks just have stores in which the company was selling coffee grains and did not think to become a coffeehouse chain. How did it happen that Starbucks now offers 6 coffee a day and is one of the industry leaders?

     Starbucks uses Arabica beans to make its coffee, but not just any Arabica beans. The company has focused on Arabica beans, rather than the cheaper robusta beans, because consumers can brew the Arabica beans at higher temperatures, thus producing a richer coffee flavour. This proves that Starbucks cares about their customers and produce more intense coffee than proved its indispensability. Quality - the first principle of marketing service.