Sample Essay

First Starbucks was opened in 1970 in Seattle, and is still winning the customers of the world. Now Starbucks has more than 6,000 locations in over 30 countries. The first appearance of Starbucks in Europe took place in 1998. This was when the company acquired a number of coffee stores in the UK. Starbucks offers great variety of packed coffee grains from all over the world including South America, Africa and Sumatra; however the main achievement comes from special image and culture. Starbucks created customer relationships. These relationships eventually led to increased loyalty of the brand. Special service and environment, including physical surroundings such as store place, furniture, and music make customers feel great and always come back (Duffy 2005). Store atmosphere plays important role in consumer’s perceptions, as it can seriously influence behavior (Auh 2005).

Costa started operating in 1978. The first bar that served espresso coffee was opened in London. The company intended to win the UK market by offering unique blend of coffee. It is interesting that both companies are considered as foreign organizations in UK market – Starbucks being an American company and Costa – Italian oriented. In spite of the fact that Costa started 20 years earlier in the United Kingdom, Starbucks now has the same popularity.

Today both companies play important role in everyday life of people around the world and are great examples of branded coffee bars in spite of some differences in customers approach. However, Starbucks Company gives more attention to the human resource then the customer’s loyalty. They believe that success depends on success of their employees, which they call as Partners. The same idea is shown in the article “The Service-Driven Service Company” by Leonard A. Schleisinger and James L. Heskett, one point of new model of service  “value investments in people as much as investments in machines, and sometimes more” (Schleisinger and Heskett 1991 p. 75). It is interesting, that managers of the head department in Starbucks always look ahead and are trying to advise local partners and adapt business to local tastes, in our case to the UK market. Both companies use team-based working environment and treat their staff with respect. Staff uniforms at Starbucks are mainly T-shirts and apron with logo, at Costa – T-shirts, black trousers and long black apron. Here we can mention the Strategic Role of Physical Evidence.

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