Essay: The Functional Level at Starbucks
There are three strategy formulation aspects that should be consistent to ensure success in the strategy formulation process (Mitchell, 2007). These three aspects need to be determined in the formulation of the strategy. This means that each unit of the firm has to have a strategy formulated so that it becomes profitable to the firm. By encouraging competitiveness at Starbucks, the management is able to ensure that each unit is profitable.
This issue of aspects implies that a strategy should not only be formulated when it comes to corporate decisions but it is also necessary internally. These three aspects are functional strategy, competitive strategy or business-level strategy and corporate-level strategy (Aosa, 1992). The functional aspect at Starbucks involves examining the productivity of each unit or functional area to ensure that each of the unit’s activities are maximizing productivity and are effective (Wheelen, 1999). Competitive advantage aspect involves determining the competition that exists between different lines at Starbuck.