SWOT Analysis of Starbucks

1. There are significant opportunities present in South Asia such as India and Pakistan which is the market of 1.5 billion consumers.
2. Starbucks has the opportunity to diversify into the energy and non food items.
3. Culture is changing towards the health- and cost-conscious consumers. It is a good opportunity for the Starbucks to come up with hygienic products.
4. The company can adopt sources of economic marketing such as internet and different loyalty programs.
5. Starbucks has the opportunity to introduce more fair trade brands to minimize its expenses.
6. It can create joint-ventures to enter unsaturated markets.

Threats

1. Starbucks has been criticized on issues such as labor relations, fair-trade policies, environmental impact, anti-competitive practices, and political views.
2. Higher raw materials prices and superior rivalry from lower-price fast food chains, with Dunkin’ Donuts and McDonald’s.
3. Starbucks serves beer and wine. This practice has been condemned as "local-washing".
4. Starbucks is tagged as anti-competitive for retaining its dominant market position.
5. The company is facing regulation from different countries and it is also facing different controversies.
6. It is facing strong pressure of the underperforming outlets all over the world.
7. Increasing number of health conscious consumers is also a threat.
8. Recession in 2008-9 affected consumer expenses.  Smaller amount of disposable income compelled the consumers to shift towards lower price competitors.