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To buy coffee beans, Starbucks used fixed price purchase commitments to limits its exposure to fluctuating coffee prices in upcoming periods and on occasion, purchased coffee futures contracts to provide price protection. Starbuck sourced bean from multiple geographic areas not only allowed it to offer a variety range of coffee to customer but also spread the company’s risks such as weather, fluctuated price, political and economic issues in coffee-growing areas. This enabled the company to predict prices over multiple crop years. In 2003, Starbucks marketed Fair Trade Certified coffee at most of its retail stores through some 350 universities and hotel locations that were licensed to sell Starbucks coffees...
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Common topics in this essay:
- Starbucks' Global Strategy
- Starbucks, Mcdonalds And Marketing Strategy
- Corporate Strategy - Starbucks
- Expansion Of Starbucks
- Positioning Strategy for Starbucks in the Netherlands
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- Starbucks Expansion
- Starbucks International Expansion
- Starbucks global strategy
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- Value Chain Analysis (Starbucks)
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