Strategic management paper on Rustan Coffee Corporation

• Main Author: Ico, Anna Rose D.
• Format: text
• Language: English
• Published: Animo Repository 2007
• Subjects: Coffee industry > Philippines; Rustan Coffee Corporation; Starbucks Coffee Company
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/3665
• Institution: De La Salle University

For the past nine years, Rustan Coffee Corporation, the exclusive licensee of Starbucks Coffee Company, has been operating in the Philippines and delivering the Starbucks Experience to customers one cup at a time. This strategic management paper aims to highlight the company's present competitive strategies and what needs to be done to sustain its market leadership in the delivery service/ restaurant industry. As part of the proposed corporate strategies on growth and brand identification thru corporate governance, the implementation of involved tasks should immediately take effect on the first quarter of 2007 so that total no of projected Starbucks stores at 203 will be realized. Since Rustan Coffee applies differentiation drivers to its product coffee ”it is naturally assumed that it leads the industry thru product innovation and market accessibility as it can be almost found anywhere in high-density areas. One of the main assets of Rustan Coffee is its people. Considered as partners, employees are the main source of advantage for the company where it applies several competitive advantages: best place to work strategy and coffee expertise. One key to implementing change in Rustan Coffee is thru the leadership of its management team that will pave the way to improved information and operating systems, better customer service and increased net income in the next 5 years as it maintains it leadership position in the service/ restaurant industry. As Howard Schulz, founding Chairman and Chief Global Strategist of Starbucks said, "We remain highly respectful of the culture and traditions of the countries in which we do business. We recognize that our success is not an entitlement, and we must continue to earn the trust and respect of customers every day."1