Starbucks Recognition
One of the “100 Best Corporate Citizens”
Corporate Responsibility Officer/Business Ethics –
2000-2009
One of the “World’s Most Ethical Companies”
Ethisphere – 2007-2009
“#1 Best Coffee in the Fast Food and Quick
Refreshment categories and #1 Most Popular
Quick Refreshment Chain”
Zagat Survey – 2009
One of “The 100 Best Companies to Work For”
FORTUNE – 1998–2000, 2002–2009
One of the “Most Admired Companies in
America”
FORTUNE – 2003–2009
One of the “Best Places to Work for LGBT
Equality”
The Human Rights Campaign – 2009
Component of the Dow Jones Sustainability World
Indexes
1999, 2001–2008
Among the “100 Best Global Brands”
BusinessWeek – 2001-2008
One of the “Top 50 of the S&P 500”
BusinessWeek – 2004-2009
Howard Schultz awarded “First Magazine Award
for Responsible Capitalism”
First Magazine – 2007
One of “World’s Most Respected Companies”
Financial Times – 2005-2006
Howard Schultz recognized as one of “America’s
Best Leaders”
U.S. News & World Report – 2005
Market Strategy
Some of the methods Starbucks has used to expand and maintain their dominant market position, including buying out competitors' leases, intentionally operating at a loss, and clustering several locations in a small geographical area (i.e., saturating the market), have been labeled anti-competitive by critics. For example, Starbucks fueled its initial expansion into the UK market with a buyout of Seattle Coffee Company, but then used its capital and influence to obtain prime locations, some of which operated at a financial loss. Critics claimed this was an unfair attempt to drive out small, independent competitors, who could not afford to pay inflated prices for premium real estate. In the 2000s, Starbucks greatly increased its "licensed store" system, which permits Starbucks licenses only if they contribute to less than 20% of the licensee's gross income, are inside other stores or in limited or restricted access spaces, as to not dilute the brand image. License agreements are rare in volume and usually only made with Fortune 1000 or similar sized chain stores. The licensed store system can create the illusion of 2 or more Starbucks cafes in the same shopping plaza, when one is a standalone company owned, and the others are licensed. The menus of licensed stores can be the same or trimmed or modified versions of the cafes, or be positioned as independent cafes that happen to sell Starbucks products
Starbuck's Start Off
The first Starbucks was in Seattle, Washington, on March 30, 1971 by three partners: English teacher Jerry Baldwin, history teacher Zev Siegl, and writer Gordon Bowker. The three were inspired by entrepreneur Alfred Peet(whom they knew personally) to sell high-quality coffee beans and equipment. The name is taken from Moby-Dick; after Pequod was rejected by one of the co-founders, the company was named after the chief mate on thePequod, Starbuck.
From 1971–1976, the first Starbucks was at 2000 Western Avenue; it then was relocated to 1912 Pike Place, where it remains to this day. During their first year of operation, they purchased green coffee beans from Peet's, then began buying directly from growers.
Entrepreneur Howard Schultz joined the company in 1982 as Director of Retail Operations and Marketing, and after a trip to Milan, advised that the company should sell coffee and espresso drinks as well as beans. Seattle had become home to a thriving countercultural coffeehouse scene since the opening of the Last Exit on Brooklyn in 1967, the owners rejected this idea, believing that getting into the beverage business would distract the company from its primary focus. To them, coffee was something to be prepared in the home, but they did give away free samples of pre-made drinks. Certain that there was money to be made selling pre-made drinks, Schultz started the Il Giornale coffee bar chain in April 1986.
Sale and expansion
In 1984, the original owners of Starbucks, led by Jerry Baldwin, took the opportunity to purchase Peet's (Baldwin still works there). In 1987, they sold the Starbucks chain to Schultz's Il Giornale, which rebranded the Il Giornale outlets as Starbucks and quickly began to expand. Starbucks opened its first locations outside Seattle at Waterfront Station in Vancouver, British Columbia, and Chicago, Illinois, that same year. At the time of its initial public offering on the stock market in 1992, Starbucks had grown to 165 outlets.
International expansion
Currently Starbucks is present in more than 55 countries.
How Starbucks Got's It's Name
The company is named in part after Starbuck, Captain Ahab's first mate in the novel Moby-Dick, as well as a turn-of-the-century mining camp (Starbo or Storbo) on Mount Rainier. According to Howard Schultz's book Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time, the name of the company was derived from Moby-Dick, although not in as direct a fashion as many assume. Gordon Bowker liked the name "Pequod" (the ship in the novel), but his then creative partner Terry Heckler responded, "No one's going to drink a cup of Pee-quod!" Heckler suggested "Starbo". Brainstorming with these two ideas resulted in the company being named after the Pequod's first mate, Starbuck
International names
International names
Starbucks is known internationally by the following names:
- Arabic-speaking countries: ستاربكس (transliteration: stārbaks)
- Bulgaria: Старбъкс (transliteration: Starbâks)
- China, Hong Kong, Macau, Taiwan: 星巴克 Pinyin: xīngbākè (星 xīng means "star", while 巴克 is a transliteration of "-bucks")
- Israel: סטארבקס (transliteration: sṭārbaqs)
- Japan: スターバックス (transliteration: sutābakkusu), and the abbreviation スタバ is also used in slang
- Russia: Старбакс (transliteration: Starbaks)
- South Korea: 스타벅스 (transliteration: seutabeokseu), but the Korean translation 별다방 (star-teahouse) is also used in slang
- Quebec, Canada: Café Starbucks Coffee
- Thailand: สตาร์บัคส์ pronounced [satāːbākʰ]
Starbucks's Menu
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| Menu may vary from country to country and price also Cup Sizes
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Starbucks's Logo
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| Original brown logo, used from 1971–1987. |
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| Green logo used from 1987-2010, still being used as a secondary logo. |
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| Redesigned logo used from 2011-present. |
Founder of Starbucks
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| Starbucks Coffee founders, from left, Zev Siegl, Jerry Baldwin and Gordon Bowker toast their success outside their store. Photo from Feb 1979 |
Jerry Baldwin
Baldwin learned the coffee trade from Alfred Peet, whose store Peet's Coffee & Tea was the inspiration for Starbucks. Starbucks purchased roasted coffee beans from Peet's during its first year of operation. In 1984 Peet's was put up for sale; Baldwin led a group of investors that purchased the company. In 1987 he sold his interests in Starbucks. Baldwin was Chairman of Peet's until 2001 when Peet's became a publicly traded company; he now holds the title of Director.
Baldwin has also served as director and founding chairman of Technical Standards Committee of the Specialty Coffee Association of America, president of Association Scientifique International du Cafe (ASIC), and chairman of Coffee Quality Institute. He was honored with the Lifetime Achievement Award by Specialty Coffee Association of America. He is a director of TechnoServe, a non-profit NGO working in Latin America and Africa
Zev Siegl
Zev Siegl is an American entrepreneur. In 1971 he, Jerry Baldwin, and Gordon Bowker founded the original Starbucks Coffee store, near Pike Place Market, in Seattle in the U.S. state of Washington. Siegel, a former history teacher, was the only paid employee in the early days of the company. In 1980 he sold his share of the business, which by then had expanded to four stores
Gordon Bowker
Gordon Bowker is an American entrepreneur. He began as a writer and went on to co-found Starbucks along with Jerry Baldwin and Zev Siegl. He was later a co-owner of Peet's Coffee & Tea and Redhook Ale Brewery. He attended the University of San Francisco.
He is credited with coming up with the name Starbucks, and changing the primary color of the logo from brown to green in 1987, a nod to his Alma Mater
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