1. Explain why business is so GOOD for Starbucks? Consider the following:
• Why did overall sales increase to $13.3B in 2012 (including a robust 7% for stores that have been open 13 months or longer?
• What’s driving a 16% increase in profitability (operating income) in 2012?
• Why was Starbuck’s able to return $1.1B in dividends to shareholders?
so important to Starbucks?
2. What are some advantages and disadvantages of Starbuck’s global international expansion? Consider the following:
• Why is the China market so important to Starbucks?
• How do you expect Starbucks to perform in India?
• Why is Starbucks struggling in Europe?
• How has Starbucks supply chain / distribution helped or hindered global expansion? (provide specific examples)
3. Why is Howard Schultz such an inspirational CEO? Consider the following:
• When did he return to the company? Why?
• Why does Schultz advocate striking a “balance” between profitability & corporate social conscience?
• Why did he initiate “Create Jobs for USA”?
4. Why is Starbucks consistently ranked “One of the 10 Best Corporations To Work For?” Consider the following:
• What is it about the work environment that is so satisfying?
• How has Starbucks made “careers” so appealing?
• Why are employees referred to as ”partners?” What does this imply?
5. Consider your own customer experiences at a Starbucks.
• What do you like best / least about the brand?
• Do you feel an “emotional” connection to the brand? Why or why not?
• How much of Starbucks “social conscience” is driving your loyalty to the brand?
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