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The following figures represent Starbucks's international expansion from the 1990s to 2009. Based on our class discussion and your knowledge of the case, which of
The following figures represent Starbucks's international expansion from the 1990s to 2009. Based on our class discussion and your knowledge of the case, which of the statements below is NOT a good explanation of Starbucks's international strategy? In order to achieve sustainable competitive advantage, Starbucks needs to make sure that the superior pace of relative store growth from the early years is maintained through its transnational strategy. The positive relationship between Starbucks's number of store openings and revenues should not be the indicator for gauging current and future success of its foreign operations. Superior human capital, the support of related industries such as grocery channels, high and sophisticated consumer demand, and domestic competition in the US helped Starbucks to be competitive in the international market. Starbucks's performance decline in later years despite the high rate of relative store growth in foreign countries shows that competitive advantage in foreign contexts requires time for absorbing local knowledge and operational/managerial skills
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