Stakeholder Analysis: Starbucks Frappuccino
The Starbucks Corporation initially originated as an attempt to bring European-style cafe culture to the United States. However, in a drive to remain profitable and relevant as well as to honor its initial mission and vision, Starbucks has had to make some concessions to local tastes. One of these has been the development of the Frappuccino, a sweet, blended coffee beverage that is half-milkshake, half-iced coffee: it is both a unique product and also a unique service given that the blend is exclusively available at Starbucks' stores. Starbucks has continued to develop and reconfigure the Frappuccino to suit the evolving palates of its international consumer base. This has ensured that the company has enjoyed a strong bottom line, despite cheaper copycats from its rivals. The company recently released several innovative new flavors for the Frappuccino as well as new sizes to drive interest in its product. "The Frappuccino now accounts for 20% of Starbucks' annual sales, worth over $2 billion, and represents nearly two thirds of the entire frozen coffee drink market" (Nanos 2012).
Interestingly enough, the Frappuccino did not originate from sophisticated product development on the part of the Starbucks team but from an independent competitor. In this instance, stakeholders from outside the organization played a critical role in its development. A Boston cafe called the Coffee Connection developed a blended iced cappuccino drink into a froth using...
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