A case study on past performance and futuristic game plan of Tata Starbucks

Pages: 2062-2063
Subhendu Bhattacharya (Amity Global Business School, Mumbai, Maharashtra)

Tata Starbucks is well-known coffee chain in India backed by international reputation of Starbucks Corporation as premium coffee maker. Although it started with high enthusiasm as a joint venture between Tata Global Beverage and Seattle based Starbucks, but it couldn’t register profit till 2018. It is now devising strategic action plan to reach break-even and secure profit subsequently. Two pronged approach has been decided to make it a profitable venture. Aggressive growth plan has been stimulated with opening of new stores at prominent locations and emphasis is also given on improvement of same store performance. The market is highly competitive with the presence of eminent coffee chain outlets such as Café Coffee Day, Barista Lavazza and Quick-Service-Restaurants(QSR) like McDonald’s, Domino’s, KFC and Pizza Hut etc. Tata Starbucks is keen on reducing cost sales ratio and controlling net loss drastically.