Starbucks
Starbucks
Paige Weaver
Professor Eissa
MGMT 3013
June 26, 2013
Ch. 2 1. Describe the history of your company and its expansion.
The first Starbucks was opened in Seattle, Washington by Gordon Bowker, Jerry Baldwin, and Zev Siegl who built the first store basically by hand and was built in Seattle’s Pike Place Market. The trio raised money themselves totaling $6,350. They came up with the name Starbucks because they thought that the “st” sound was catchy. They then designed their logo, a two-tailed siren, based on Moby Dick who was in fact a coffee lover.
The trio opened up a second store in 1972 in the University Village of Seattle. Starbucks proceeded to open stores in Capitol Hill, Bellevue, and University Way in the first decade of business. In 1980 Siegl made the decision to leave the company, as a result the wholesale division was renamed Caravali. Then growing even more in 1982 the trio had a toasting factory, five stores, as well as a wholesale business that sold coffee to local restaurants. Starbucks was all about the freshness and expiration of their coffee products so they were insistent that the coffee shelf life be less than 14 days after it has been roasted. All the coffee that passed the shelf life expiration days was then donated to charity. The same year Starbucks hired on Howard Shultz as the companies manager of marketing and retail sales.
In 1983 Starbucks then bought out Peet’s Coffee, which was a growing operation itself, operating five stores. At this time Shultz also began to take buying trips to Italy, where he discovered coffee bars and how captivated the Italian culture was by them. He then came back to the U.S. and presented his managers with the idea of incorporating coffee bars into their corporation. His bosses were not on board with the idea and as a result Shultz left the company to begin his own business plan. He then opened his first coffee bar in 1986 in the Columbia Seafirst Center of Chicago and
Paige Weaver
Professor Eissa
MGMT 3013
June 26, 2013
Ch. 2 1. Describe the history of your company and its expansion.
The first Starbucks was opened in Seattle, Washington by Gordon Bowker, Jerry Baldwin, and Zev Siegl who built the first store basically by hand and was built in Seattle’s Pike Place Market. The trio raised money themselves totaling $6,350. They came up with the name Starbucks because they thought that the “st” sound was catchy. They then designed their logo, a two-tailed siren, based on Moby Dick who was in fact a coffee lover.
The trio opened up a second store in 1972 in the University Village of Seattle. Starbucks proceeded to open stores in Capitol Hill, Bellevue, and University Way in the first decade of business. In 1980 Siegl made the decision to leave the company, as a result the wholesale division was renamed Caravali. Then growing even more in 1982 the trio had a toasting factory, five stores, as well as a wholesale business that sold coffee to local restaurants. Starbucks was all about the freshness and expiration of their coffee products so they were insistent that the coffee shelf life be less than 14 days after it has been roasted. All the coffee that passed the shelf life expiration days was then donated to charity. The same year Starbucks hired on Howard Shultz as the companies manager of marketing and retail sales.
In 1983 Starbucks then bought out Peet’s Coffee, which was a growing operation itself, operating five stores. At this time Shultz also began to take buying trips to Italy, where he discovered coffee bars and how captivated the Italian culture was by them. He then came back to the U.S. and presented his managers with the idea of incorporating coffee bars into their corporation. His bosses were not on board with the idea and as a result Shultz left the company to begin his own business plan. He then opened his first coffee bar in 1986 in the Columbia Seafirst Center of Chicago and
References: http://www.statista.com/topics/1246/starbucks/ http://neenasatine.hubpages.com/hub/Starbucks-Motivational-Principles http://www.biography.com/people/howard-schultz-21166227 http://www.forbes.com/sites/work-in-progress/2012/04/10/why-im-stalking-starbucks-ceo-howard-schultz/ http://www.studymode.com/essays/Starbucks-Implementation-Strategic-Controls-And-Contingency-740690.html