Read the Starbucks Competitive Analysis & Respond to the following questions: a) How would you define the market(s) that Starbucks operates in? b) What firms are Starbucks major competitors? c) How is/are the market(s) divided among these competitors? d) How does Starbucks differentiate its product offerings from its competitors? e) Apart from product differentiation, what other means do these firms utilize to compete? f) Does/do this/these market(s) meet the definition of “Monopolistic Competition” as presented in Mankiw Chapter 16? Why/why not? g) How price elastic/inelastic might the demand curve for Starbucks coffee be? Give your reasoning.
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