1. What drove Starbucks to start expanding internationally? What lessonfor International Business can be drawn from this? Answer:The first motivation for Starbucks global expansion was the desire to expand their brand. Schultz sought to become a global brand and bring the Starbucks experience to the world. There was a substantial market that Starbucks had not et reached! in those markets" the had potential to succeed. These included a strong" competitive #uropean market and the Southeast$%sian market" where Starbucks could be first$mover. &eing the first mover in an international market offered huge advantages. 'apan had seen its market for coffee grow and the ounger generation started seeing %merican culture as new and hip. (oving into 'apan at the time of entr was a critical part of success. %nother reason Starbucks went global was to expand their corporate social programs. Starbucks had initiated and sponsored a number of environmental activities. The have instituted reccling initiatives" initiated a water reducing technolog to be used in their stores" and provided leftover coffee to be composted. The are world$renowned for paing their growers above market price for coffee beans. % final motivationfor Starbucks global push was their investors. )ike most *all Street movers" when a compan shows success" the are expected to continue to succeed and grow. Starbucks was dominating thedomestic coffee market and the most logical place for continued growth was internationall. The world presented the opportunit to enter large markets that had not been reached b a compan of Starbucks size and capabilit" and entering the international market allowed Starbucks the potential to increase its revenue. *ith these stable domestic gains" Starbucks not onl had the leverage to expand internationall" but also had the cash flow. This was crucial given that if it was not successful internationall! Starbucks at least had the domestic market to fall back on. (oving to an international market re+uired both mone and time" and with its stable but saturated domestic platform" Starbucks next move was to enter into the international market.The lessons that can be drawn for international business are" when attempting to market internationall" companies tend to take on either a global or a multinational mentalit. % global mentalit is one that involves a higher level of standardization across product lines and features heav integration across countries. ,lobal companies are driven b strong foreign competition and increased homogenization of world markets. %lternatel" a multinational mentalit focuses on marketing to different countries with local adaptation of products and promotions. -or multinational companies" production becomes more localized and technolog is relativel more primitive..n order to succeed internationall" Starbucks has needed to adapt to uni+ue markets while preserving a commitment to its core competencies" namel high +ualit" efficienc" and good customer service. -urther" the compan has needed to understand how to tap into markets where the product that the bring ma be fundamentall opposed.