Cost Leadership and Differentiation StrategyCost Leadership and Differentiation StrategyCost leadership and differentiation strategyWal-MartWal-Marts founder, Sam Walton, developed the everyday low prices (EDLP) strategy. This strategy hinged upon Wal-Marts ability to obtain consumer goods at the cheapest possible price and pass these savings on to consumers. In order to achieve EDLP, Wal-Mart began developing close relationships with its suppliers and vendors. These relationships allowed Wal-Mart to achieve cost savings through large volume purchases. EDLP also helped Wal-Mart drive up the total dollar amount customers spent on trips to the store.
Wal-Mart also developed its own distribution network for supplying its retail outlets with consumer goods. This distribution network allowed Wal-Mart to cut out external supply chains and middlemen, further driving down business costs. Owning its own distribution network also helped Wal-Mart avoid costly rate increases from traditional shipping methods.
StarbucksStarbucks used mostly a differentiation strategy, however it had also used a cost leadership strategy. Its differentiation strategy was exemplified by their stores providing an experience, offering interesting coffee-related drinks in a theatrical kind of atmosphere, their unique Coffee blending and roasting process which enabled them to create an extensive product variety, their employees received great deal of training to become very knowledgeable about coffee in order to provide an exceptional service to increasingly coffee-educated consumers, and their ability to find the perfect location for their stores enabled them to maximize market share in a given area of a city and build their regional reputation
The Starbucks and Starbuck brands had more than their share of success. In 2013, their product share jumped to 16.6%; in 2014, their average coffee-ordering time to customers increased to 5 seconds and in 2015, they increased their average customer service time to more than 30 minutes. A small percentage of the Starbucks products received increased quality standards. This could have some impact on sales to retailers. However most of Starbucks products are in great demand by consumers, and they will do very well in the store where they are found with best service by the customer, by their employees and by international coffee-consumers
3. Starbucks, Starbucks-Eys, and Starbucks-Olympic-Excellence
Starbucks and Starbucks-Excellence are also somewhat similar in their performance as of the 2014 to 2016 period. To this day, the brand only offers two products to customers.
Starbucks is the brand of coffee and it is a good choice for most individuals, it helps them to find a suitable home for their work and can be very effective for those in positions where a certain level of productivity is required to achieve higher goals.
Starbucks uses a range of different design features and their coffee blends are a little different from others brands, in that they offer various blends of similar flavors and characteristics. They also use different style labels to differentiate their products from their rivals. Furthermore, some types of products are usually priced in more favorable prices rather than less favorable prices, thus it is easier to understand what is being manufactured compared to others.
Starbucks products also carry advantages over other brands since they offer a very diverse variety of coffees and do not only share a lot of coffee but also a lot of brand names like Espresso, Espresso Plus, Espresso (Olympic-)Olympic, Coffee Perfect (Founded to create an original brand based on one of the most popular espresso brands such as Espresso, Espresso Plus, Olympic) or Espresso Plus.
Starbucks also has products that include Frappuccino, Frappuccino Plus, Frappuccino Plus, Frappuccino Plus coffee blend, Coffee Perfect (Olympic) and the Ultimate espresso drink, Coffee Coffee Ultimate.
4. Starbucks and Starbucks-Style and Starbucks-Excellence
There are also some differences between Starbucks and American. In fact one example on that list is Starbucks-Rice (which is a special cheese made from the milk produced by the cow’s milk cows fed in their fields). The cheeses are produced in a different country with different culture, but they are produced in a different way, as they differ from American. They are all produced in different locations, in different countries and in different varieties of cheeses, and not just in one place. Thus it is necessary for consumers to know how to know where the cheese is produced in order to make an informed decision on which cheese will be the best