Which international strategy did Starbucks primarily use to expand in India?

Starbucks primarily used a joint venture strategy to expand in India. This approach allowed the company to collaborate with a local partner, Tata Global Beverages, which provided valuable insights into the Indian market, consumer preferences, and regional business practices. By entering into a joint venture, Starbucks was able to share the risks and costs associated with entering a new market while leveraging Tata's established distribution and operational capabilities.

This strategy was particularly advantageous in India, where the coffee culture differs significantly from other markets, and understanding local tastes is crucial for success. Through the joint venture, Starbucks was able to adapt its offerings, such as introducing tea-based beverages and local food items, which helped in resonating with the Indian consumer base. This local adaptation, supported by a global brand, positioned Starbucks effectively within India's evolving coffee market.

Franchising, licensing, and exporting do not align as closely with Starbucks' approach in India. Franchising would involve allowing a local entrepreneur to operate Starbucks under a franchise agreement, which limits direct control over brand standards. Licensing would grant another company the rights to use the Starbucks brand, potentially diluting brand integrity. Exporting implies selling products manufactured in one country to be sold in another, which does not fit Starbucks' strategy focused on establishing