Topic > Globalization of Starbucks - 700

Meanwhile, Starbucks' competitors began to realize the profitability of specialty coffee and began offering it at half the price. More importantly, customers are fickle creatures, once Starbucks started moving away from its core, customers started moving away from it. With customers no longer feeling like Starbucks was that home-away-from-home coffee shop, the menu became complicated. Additionally, food was added to the menu and Starbucks began to resemble McDonald's. As a result, when customers start to feel like a brand is no longer being truthful about who they are, they tend to go elsewhere. Fortunately, Starbucks, realizing their mistake, rehired Howard Schultz as CEO. Ferrell & Hartline (2014) states that, “Schultz returned determined to restore Starbucks' prestige as a major brand: “I came back because it's personal; I came back because I love this company and our people, and I feel a deep sense of responsibility to 200,000 people and their families. As a result, Schultz himself acknowledged that it would not be a quick fix and that the choices would not be easy”