For this assignment, you will read a case study about Starbucks’ expansion into the Indian market (p. 413 in the textbook) and then respond to, and make decisions, based on the following questions:
What inspired Starbucks to venture into India? What were some of the company’s early concerns and other obstacles?
How would you describe Starbucks’ approach to entering India and how Starbucks was influenced by cultural differences to adapt its offerings for the Indian market?
Why did Starbucks want to enter India through a joint venture? Specifically, what benefits did Starbucks and the Tara Group both gain by partnering with one another? What synergies were present? What conflicts occurred and how were they resolved?
Now, assume the role of the Director of Starbucks’ Indian strategic planning team. You have been tasked to explore the benefits and challenges of expansion into foreign countries through joint-venture partnerships. Describe the opportunities, benefits, and concerns that Starbucks might face by doing so. Summarize the cultural environment, choose an entry strategy from the text, and describe how you would implement this entry strategy. Make sure you are very detailed in your explanation.
Chapters 8 & 9 in International Management: Culture, Strategy, and Behavior
Luthans, F., & Doh, J. P. (2018). International management: Culture, strategy, and behavior. McGraw-Hill.
*** its mandatory to use the textbook as a reference
Ahsan, M., & van Wyk, J. (2018). Going past entry mode: Examining foreign operation mode changes at the strategic business unit level. Journal of Managerial Issues, 30(1), 28.
Al-Tit, A., Omri, A., & Euchi, J. (2019). Critical success factors of small and medium-sized enterprises in Saudi Arabia: Insights from sustainability perspective. Administrative Sciences, 9(2), 32.
Jiang, F., Ananthram, S., & Li, J. (2018). Global mindset and entry mode decisions: Moderating roles of managers’ decision-making style and managerial experience.Management International Review, 58(3), 413-447.
