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Starbucks - Competitive Environment
Starbucks is the largest coffeehouse company in the world, and its major competitors are
Dunkin Donuts, McDonalds, and Nestle. McDonald's introduction of the rich-flavored "premium roast" coffee has increased its growth rate considerably, and thus has proved a threat to Starbucks. McDonalds in now in the midst of introducing lattes, and cappuccinos, and this is bad news for Starbucks. With more than 14,000 fast food chains in the U.S alone, Starbucks faces tough competition. Thus, the threat of new products from competitors is possibly high.
Competition between the two companies has already been brewing and to make matters worse, McDonalds now plans to open 14,000 coffee bars similar to Starbucks with "baristas" serving lattes and cappuccinos. Another major worry for Starbucks is the "price war." Starbucks sells its coffee for around $1.50 to $4.00 depending on the size and flavor. McDonalds and Dunkin Donuts sell a cup of coffee starting......

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Approximate Word Count: 433
Approximate Pages: 2 (250 words per double-spaced page)

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