Scenario: An Italian coffee and tea chain is considering entering the specialty coffee market in the United States. Before making that investment, our client would like our firm to conduct a SWOT analysis. The Italian coffee cahain has been successful in European and Asian markets, because it has used its strengths and taken advantage of opportunities in these markets.
Each cafe’s interior design is upscale with comfortable seating, artwork, and designer plates and cups. Exotic teas and specialty coffee offerings are priced in line with and below current competitors’ offerenings. Only high-grade coffee beans from selected coffee bean growers are used. The Italian cafes are trying to create a unique experience in coffee and tea drinking: coffee and tea should be savored.
You may conduct research to learn about the coffee and tea speciaty market in restaurants, cafes, and similar outlets in the United States.
Think about the following:
Is the market growing or shrinking and why?
What economic, political, socio-cultural or technological factors affect this market?
What makes up the target market of US coffee drinkers and tea drinkers in terms of demographic, psychographic, geographic and behavioral factors?
How successful are the marketing mixes of competitors such as Starbucks, Dunkin Donuts and McDonalds?
What are the strengths, weaknesses, opportunities and threats for our client in the United States coffee and tea specialty market?
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