Starbucks in India

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INTRODUCTION

The study structured based on PEST analysis and attempts to bring out the major areas of concern for Starbucks in order to enter in Indian market. This proposal will suggest two new locations for Starbucks in India: one in Mumbai, and the other in the nation's capital, New Delhi. These locations were strategically picked to ensure success of the business venture. The major competition for Starbucks at the moment is the Barista Coffee Co., which is an existing coffee shop branch in India, but Starbucks is expected to gain its market share for several reasons. According to Starbucks, the company had deal with Tata global beverages limited of India on 50/50 joint venture, named Tata Starbucks limited. The deal company (Tata global beverages) will own and operate Starbucks cafe in various cities of India, under the new JV (Joint Venture). There are several food chains and close competitors are available in Indian market, while restaurant chains like McDonald's and Yum! Brands already have considerable coverage in India

Central intelligence agency, revised data indicates that India is one of the Country in the world with youngest median age of just 25 years and having population of 1.2 billion People. The per capita has been seen constantly rising in India with the booming IT sector. Indian consumer market holds immense potential for most business. Legal reforms and Improved political have made FDI (foreign direct investment) inflows in India and equally easier for foreign companies to set up business in India.

Starbucks opened its first shop in Pike Place, Seattle, US in 1971. Since 1971, it has become the fastest growing coffee chain in the world with over 17000 retail outlets in more than 50 countries worldwide. In 1991, Starbuck enter china and put India plan on hold