2) Build the management-research question hierarchy for this project.
i. Management Dilemma:
a. Do the BankOne and Visa brands fit with the Starbucks brand? b. How will a consumer value the benefits of the Duetto Card? c. How will a consumer value the “give back to the community” part of the Duet Visa card?
ii. Management Questions:
d. If there is a match between the brands, should the new card be launched to the largest market possible?
iii. Research Questions
e. Should Starbucks go into a full launch of the Duetto Card? f. Should Starbucks go into a limited launch of the Duetto Card? g. Should Starbucks launch the Duetto Card without the “give back to the community” component?
iv. Investigative Questions
h. Does the Duetto Card conflict with the Starbucks image? i. How much of the Duetto Card benefits appeal to the consumer? j. How much of the give back to the community benefits appeal to the consumer of the Duetto Card?
v. Measurement Question
k. What extent is the Starbucks image hurt by the Duetto Card? l. What is the perceived value (monetary value) of the give back to the community component to the consumer?
vi. Management Decision
m. Management’s decision is to go for a full launch of the Duetto Visa Card with the give back to the community benefits.
4) The Duetto Card team turned to Greenfield Online to recruit a panel for one of its online surveys. How might you build a sample frame of appropriate participants for future online or phone surveys?
Starbucks Duetto Visa card team should establish a panel of users of the Starbucks Cards. The sample frame shall consist of all present or past users of Starbucks Cards. This frame has been chosen due to these participants having already experienced the Starbucks Cards. It is important to know how much more they will value the benefits and give back to the community component of the Starbucks Duetto Visa card.
Describe any ethical issues that should concern Starbucks about this initiative.
There are a multitude of strong ethical issues relating to the Duetto Card. Starbucks joining with banks and credit card companies to solicit customers without regard for the consequences of high credit card debt for these customers is of ethical concern. The sale of easy credit to Starbucks customers may lead to high credit card debts for the consumer. The methods in which Starbucks is promoting the Duetto Card i.e. give back to the community, is also an ethical concern. The reason behind issuing this card to Starbucks consumers is to get to the consumer to purchase more than they normally would such as the large amount of college students who frequent the franchise coffee store.