Business research-Second cup Essay Example | Topics and Well Written Essays - 500 words

Business research-Second cup - Essay Example Every employee is trained by baristas (coffee experts) on the various aspects of coffee making, including selection of beans, crushing, roasting and other technical aspects connected with the processing of the beans. Hence, all the employees receive training in all aspects of coffee making, including knowledge about growing of coffee etc. (Starbucks Corporation: Competing in a global market, 2003). Starbucks lays special emphasis on building a unique culture with its people – it believes that its true strength are its employees and therefore, they are given good benefits and remuneration and also given stock options, or ownerships in the Company. (Starbucks Corporation: Competing in a global market, 2003). Starbucks does not offer franchises to anybody nor does it envisage doing franchisee business in the foreseeable future. In the North of America, majority of shops are bought, owned and operated by Starbucks itself; however, in exceptional cases, where real estate ownership may not be forthcoming, such as airport locations, grocery chains and major foodstuff establishments, the Company enters into licentiate agreements with Companies who provide access to these places. However, the shops are manned by Starbucks personnel themselves. (Business opportunities. 2007). The reasons why Starbucks do not franchise is because the franchisees may not be able to maintain the highest standards of quality and service which forms the bulwark of Starbucks’ reputation. However, their competitor, First Cup operates through a chain of franchisees. The main problem with franchisees is that consistency of franchises performance over all the territories have to be maintained, and a greater degree of control has to be established. Franchisee reporting also has to be delineated. The degree of autonomy and chain of command which is available to own staff cannot be extended for the