Starbucks was able to break free of the price-cutting and promotional norms of the coffee industry by
A) commoditizing the industry.
B) focusing on a common set of appeals.
C) offering complementary products.
D) appealing to an emotional benefit.
E) appealing to price-sensitive customers.

Question

Quizplus · Accepted Answer

Starbucks was able to differentiate themselves from other coffee shops by appealing to an emotional benefit - the experience and atmosphere of their stores, which set them apart as a premium brand. This allowed them to charge higher prices and avoid engaging in price-cutting and promotional activities that were common in the industry.

Starbucks Was Able to Break Free of the Price-Cutting and Promotional