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    1 Why Do You Think Starbucks Has Been So Concerned

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    Amit Pandey
    Starbucks has been concerned with social responsibility in its corporate strategy because its founder Howard Schultz recognized an opportunity to develop a coffee bar culture similar to what he saw in Milan, Italy. Since 1985, Starbucks has expanded across the US and worldwide to nearly 17,000 stores in 49 countries, though it cut back expansion during the recession in 2009 by closing some underperforming stores. Starbucks focuses on high foot-traffic locations and designs its stores to provide an inviting coffee experience that is part of its brand.

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    1 Why Do You Think Starbucks Has Been So Concerned

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    Amit Pandey
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    Starbucks has been concerned with social responsibility in its corporate strategy because its founder Howard Schultz recognized an opportunity to develop a coffee bar culture similar to what he saw in Milan, Italy. Since 1985, Starbucks has expanded across the US and worldwide to nearly 17,000 stores in 49 countries, though it cut back expansion during the recession in 2009 by closing some underperforming stores. Starbucks focuses on high foot-traffic locations and designs its stores to provide an inviting coffee experience that is part of its brand.

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    Starbucks has been concerned with social responsibility in its corporate strategy because its founder Howard Schultz recognized an opportunity to develop a coffee bar culture similar to what he saw in Milan, Italy. Since 1985, Starbucks has expanded across the US and worldwide to nearly 17,000 stores in 49 countries, though it cut back expansion during the recession in 2009 by closing some underperforming stores. Starbucks focuses on high foot-traffic locations and designs its stores to provide an inviting coffee experience that is part of its brand.

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    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    44 views1 page

    1 Why Do You Think Starbucks Has Been So Concerned

    Uploaded by

    Amit Pandey
    Starbucks has been concerned with social responsibility in its corporate strategy because its founder Howard Schultz recognized an opportunity to develop a coffee bar culture similar to what he saw in Milan, Italy. Since 1985, Starbucks has expanded across the US and worldwide to nearly 17,000 stores in 49 countries, though it cut back expansion during the recession in 2009 by closing some underperforming stores. Starbucks focuses on high foot-traffic locations and designs its stores to provide an inviting coffee experience that is part of its brand.

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    Solved: 1 Why do you think Starbucks has been so

    concerned

    1. Why do you think Starbucks has been so concerned with social responsibility in its overall
    corporate strategy?
    2. Is Starbucks unique in being able to provide a high level of benefits to its employees?
    Starbucks was founded in 1971 by three partners in Seattle’s renowned open-air Pike Place
    Market and was named after the first mate in Herman Melville’s Moby Dick. Howard Schultz
    joined Starbucks in 1982 as director of retail operations and marketing. Returning from a trip to
    Milan, Italy, with its 1,500 coffee bars, Schultz recognized an opportunity to develop a similar
    retail coffee-bar culture in Seattle.
    In 1985, the company tested the first downtown Seattle coffeehouse, served the first Starbucks
    Café Latté, and introduced its Christmas Blend. Since then, Starbucks has been expanding
    across the United States and around the world, now operating nearly 17,000 stores in 49
    countries. Historically, Starbucks has grown at a rate of about three stores a day, although the
    company cut back on expansion during 2009 in response to the global economic recession. In
    fact, in 2009 Starbucks made the decision to close 600 underperforming stores in the United
    States and 61 in Australia. The company nevertheless serves 50 million customers a week and
    has net revenues of approximately $10.4 billion a year.
    Starbucks purchases and roasts high-quality whole coffee beans and resells them, along with
    freshly brewed coffee, Italian-style espresso beverages, cold blended beverages, bottled water,
    complementary food items, coffee-related accessories and equipment, premium teas, and a line
    of CDs primarily through company-operated retail stores. It also sells coffee and tea products
    and licenses its trademark through other channels and through some of its partners.
    Additionally, Starbucks produces and sells bottled Frappuccino coffee drinks, Starbucks
    Doubleshot espresso drinks, and a line of super-premium ice creams.
    Starbucks locates its walk-in stores in high-traffic, high-visibility locations. While Starbucks can
    be found in a few shopping malls, the company generally focuses on locations that provide
    convenient access for pedestrians and drivers. The stores are designed to provide an inviting
    coffee-bar environment that is an important part of the Starbucks product and experience.
    Because the company is flexible regarding size and format, it can locate stores in or near a
    variety of settings, including downtown and suburban retail centers, office buildings, and
    university campuses. It can also situate retail stores in select rural and off-highway locations to
    serve a broader array of customers outside major metropolitan markets and to further expand
    brand awareness. To provide a greater degree of access and convenience for non-pedestrian
    customers, the company has increased development of stores with drive-through lanes.

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