As the discussion declares Starbucks has successfully entered in several potential international market places with proper realization and understanding of the impact of external environment factors on the business practices. In order to reveal the impact of several external environment factors on the business operation of Starbucks in global market, a PESTLE analysis has been undertaken.
This paper stresses that the political stability of a country is very much important for a global business organization in order to run the business successfully. It has evidenced that; the organization has chosen every single international market place after understanding and examining the political stability of each and every specific country. Moreover, the organization has effectively followed specific industry regulations and rules in every foreign country apart from USA in order to avoid the international political business threat. It has evidenced that, Strabucks has maintained high-level relationship with the government of every business operation and coffee beans producing country. The European financial crisis in 2008-09 and global recession in 2007-08 has affected the global economy drastically. The condition of global economy has suffered from several reasons, such as high taxation level, reduced consumer buying power, low exchange rate of currency in global market place, economic slowdown of several developed and developing country and low disposable income of middle class people. ...Show more