IMPACTS OF TECHNOLOGICAL FACTORS ON STARBUCKS
Starbucks is in a good position to enjoy benefits of the emerging mobile wave. Its partnership with Apple to bring app based discount coupons is helping it ride the mobile wave easily.
The company introduced Wi-Fi capabilities in its outlets already. Internet is important to the consumers. They can now surf the web and do work while sipping Starbucks coffee. This is an added value to the brand. It enhances the overall consumer experience.
Starbucks is also enabling mobile payments. They are testing this in pilot locations in the US.
Some other technological factors to keep in mind are:
Emergence of innovative technology
Biotechnological developments
Developments in agriculture
IMPACTS OF ENVIRONMENTAL FACTORS ON STARBUCKS
Many Starbucks business practices concern activists and international advocacy groups. Even the consumers have expressed issues. So, the company should take these into account to continue holding consumers’ trust.
Some of the other environmental factors Starbucks should worry about are:
Environmental rules and regulations
Environmental disasters in countries which produce coffee beans
Global warming and other environmental issues in a global level
IMPACTS OF LEGAL FACTORS ON STARBUCKS
Starbucks must ensure that it does not violate any laws and regulations in the home market and countries from where they buy raw materials.
It should also stay alert about introduction of caffeine production and consumption related policies and regulations by health authorities.
Others factors that might affect the company are:
Introduction of stricter customs and trade regulations
Licensing regulations related to the industry.
The PESTLE analysis above proves that Starbucks has a quite stable external environment. The key reason behind this might be because it operates in the Food and Beverages industry. This means consumers might reduce consumption partially but will not stop buying completely.
So, as recession is the most important factor, Starbucks has to lower costs and increase the value. This way it can retain its consumer base and also gain consumer loyalty.