Starbucks Coffee

| July 2, 2016

Paper , Order, or Assignment Requirements

The purpose of this paper is for students to begin their firm analysis from a microeconomic perspective, applying concepts learned in Module One, Two, and Three. Specifically, students will examine the supply and demand conditions for the goods or services the firm produces, paying special attention to how sales and product development have evolved over time, and they will examine what that suggests for the company’s ability to increase or decrease process.


Prompt: Submit a draft of the supply and demand conditions (Section II) and price elasticity of demand (Section lll) of your research paper, including all critical elements listed below. You will analyze on Starbucks Coffee sale and in the market overall to identify trends and inform your recommendation for the Starbucks Coffee’s future actions. You will also use available data to determine the price elasticity for the goods or services of Starbucks Coffee produces and explain the factors that influence consumer’s reactions and their pricing decisions.


Specifically, the following critical elements must be addressed:

  1. Explore the supply and demand conditions of Starbucks Coffee’s product.
  2. Evaluate trends in demand over time and explain their impact on the industry and Starbucks Coffee. You should consider including annual sales figures for the product that Starbucks Coffee sells
  3. Analyze information and data related to the demand and supply for Starbucks Coffee’s product(s) to support your recommendation for the company’s action. Remember to include graphical representation of the data and information used in your analysis.
  4. Examine the price elasticity demand for the product(s) that Starbucks Coffee sell.
  5. Analyze the available data information. Such as pricing and the availability of substitutes, and justify how you determine the price elasticity of the demand for Starbucks Coffee’s product.
  6. Explain the factors that affect consumer responsiveness to price changes for this product, using the concept of price elasticity of demand as your guide.
  7. Assess how the price elasticity of demand impacts the Starbucks Coffee’s pricing decisions and revenue growth.


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