Good Morning tyagi3010,

Can you kindly help with the attach questions?

Thanks!

The following questions relates to the strategic planning process of Starbucks, Inc. PLEASE BE AWARE THAT FOR SOME OF THE QUESTIONS, THERE IS NO RIGHT OR WRONG ANSWER. You will be graded on the reasoning you use in answering the questions as well as the completeness of the answers. BE AS BRIEF AS POSSIBLE - DO NOT INCLUDE IRRELEVANT INFORMATION! 1. Identify the product and/or service that Starbucks is providing. 2. Who are Starbuck's customers? 3. How does Starbucks use the external value chain as a tool in the strategic planning process? 4. The four dimensions of the external value chain are functionality, quality, price/cost, and time. Arrange these dimensions in order of importance (#1=Most important, #4=Least important) in the creation of an external value chain specific to Starbucks. EXPLAIN YOUR ANSWER. 5. Explain whether your answer to question 4 would change if you wer studying the external value chain of Dunkin Donuts. 6. Of what importance is the internal value chain to the Starbucks strategic planning process 7. Explain the importance of 'cost-benefit' analysis in using the internal value chain. 8. Which component of the internal value chain is most to Starbucks? WHY? 9. Which component (activity) listed in the Starbucks internal value chain can be outsourced? 10. Quality costs are an important factor in the creation of any organization's internal value chain. For each of the following quality costs, give an example related to the operation of Starbucks. For Example: Internal Failure Cost: Computer systems go down during open store hours. PREVENTION COST: APPRAISAL (INSPECTION) COST: INTERNAL FAILURE COST: EXTERNAL FAILURE COST: 11. Why is it important for Starbucks to incorporate the Balanced Scorecard into its strategic planning process? 12. Assume that you are creating a balanced scorecard for Starbucks and you are working on the Customer Satisfaction dimension. Indicate a specific strategy, performance measure, and target for this dimension. 13. The mission/vision statement of Starbucks is "to inspireand nurture the human spirit - one person, one cup, and one neighborhood at a time. Explain whether you believe that Starbucks is operating toward meeting this end point. 14. A spokeswoman for Starbucks recently stated that the company is attempting to "balance the need to run our business profitably while continuing to provide value to our loyal customers and to attract new customers." Explain whether you believe that this strategy is working for Starbucks. 15. Lately, Starbucks has raised its prices, despite the fact that the cost of coffee beans has decreased. Explain whether you believe that this strategy will work. (Think about all of the answers you have given in earlier parts of the exam). 16. As a member of the strategic planning committee of Starbucks, of what assistance is the management accountant to you in performing your function? Answer: 1. Starbucks selling coffee, coffee beans, other hot and cold drinks, cold and hot sandwiches, Panini, snacks, Pastries etc. 2. Starbucks customers are from general public. 3. The Starbucks relates to the social factors recognized in the external analysis and relates to changing tastes. 4. Quality, Price/cost, time and functioning. Starbucks focuses on quality price, cost and provided service to customers in specified time and emphasizes on best functioning of employees. 5. No answer will remain same as Dunkin Donut also functioning well and focusing on same. 6. Internal value chain is useful as it is analysis tool for defining core competence and activities in which firm can pursue competitive advantage. 7. Cost value analysis is important in internal value chain as we are to compete with prices of competitor and at the same time to maximize profits by applying cost reduction. 8. Price is important to Starbucks because recently despite of competition it has increased prices. 9. Outbound logistic can be outsourced. 10. PREVENTION COST: Alternate arrangement for power supply APPRAISAL (INSPECTION) COST: Material Inspection by supervisor INTERNAL FAILURE COST: Computer system failure EXTERNAL FAILURE COST: Failure in transportation 11. Because balance score card transforms an organization's strategic plan from an attractive but passive document in to the marching orders. 12. I will delight the targeted customers and build win - win relations with franchises. 13. Yes Starbucks is meeting "to inspire and nurture the human spirit - one person, one cup, and one neighborhood at a time.\" 14. The strategy of Starbucks recently stated that the company is attempting to "balance the need to run our business profitably while continuing to provide value to our loyal customers and to attract new customers" is working for it as it is growing continuously. 15. Yes, In my opinion increase in price will work because of differentiation focus by Starbucks keeps it ahead of competitors and believes in something different. 16. Management accountant can provide great assistance in strategic planning by providing reliable and required data for cost, price, profitability and customers. Answer: 1. Starbucks selling coffee, coffee beans, other hot and cold drinks, cold and hot sandwiches, Panini, snacks, Pastries etc. 2. Starbucks customers are from general public. 3. The Starbucks relates to the social factors recognized in the external analysis and relates to changing tastes. 4. Quality, Price/cost, time and functioning. Starbucks focuses on quality price, cost and provided service to customers in specified time and emphasizes on best functioning of employees. 5. No answer will remain same as Dunkin Donut also functioning well and focusing on same. 6. Internal value chain is useful as it is analysis tool for defining core competence and activities in which firm can pursue competitive advantage. 7. Cost value analysis is important in internal value chain as we are to compete with prices of competitor and at the same time to maximize profits by applying cost reduction. 8. Price is important to Starbucks because recently despite of competition it has increased prices. 9. Outbound logistic can be outsourced. 10. PREVENTION COST: Alternate arrangement for power supply APPRAISAL (INSPECTION) COST: Material Inspection by supervisor INTERNAL FAILURE COST: Computer system failure EXTERNAL FAILURE COST: Failure in transportation 11. Because balance score card transforms an organization's strategic plan from an attractive but passive document in to the marching orders. 12. I will delight the targeted customers and build win - win relations with franchises. 13. Yes Starbucks is meeting "to inspire and nurture the human spirit - one person, one cup, and one neighborhood at a time.\" 14. The strategy of Starbucks recently stated that the company is attempting to "balance the need to run our business profitably while continuing to provide value to our loyal customers and to attract new customers" is working for it as it is growing continuously. 15. Yes, In my opinion increase in price will work because of differentiation focus by Starbucks keeps it ahead of competitors and believes in something different. 16. Management accountant can provide great assistance in strategic planning by providing reliable and required data for cost, price, profitability and customers