Details of Task: Read the case “Starbucks: global brand in emerging markets and answer the following questions:
● Explain how does Starbucks create value to sustain superior profitability?
● Starbucks uses a variety of entry modes when entering foreign markets. For example, in Japan and India, Starbucks entered via a joint venture with Sazaby League and Tata Global Beverages respectively. In the Middle East, it entered through a licensing arrangement. In China, it entered through a joint venture but ended up taking full ownership of all its China outlets, after acquiring its joint venture partner for $1.3bn in 2017.
Critically evaluate factors influencing Starbucks entry mode choices. You are required to support your arguments with theory and empirical evidences where relevant.