Starbucks

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Type

Public (NASDAQ: SBUX) Restaurants Retail coffee and tea Industry Retail beverages Entertainment Founded Pike Place Market in Seattle, Washington (March 30, 1971) Jerry Baldwin Founder(s) Gordon Bowker Zev Siegl Headquarters Seattle, Washington, U.S. Number of locations 16,858 (FY 2010)[1] Area served 50 countries Howard Schultz, Chairman, President and CEO Key people Troy Alstead, CFO Stephen Gillett, CIO Whole bean coffee Boxed tea Made-to-order beverages Bottled beverages Products Baked goods Merchandise Frappuccino beverages Smoothies Services Coffee Revenue US$10.71 billion (FY 2010)[1] Operating income US$1.42 billion (FY 2010)[1] Net income US$945.6 million (FY 2010)[1]

Total assets Total equity Employees

Subsidiaries

Website

US$6.38 billion (FY 2010)[1] US$3.68 billion (FY 2010) [1] 137,000 (2010)[2] Starbucks Coffee Company Tazo Tea Company Seattle's Best Coffee Torrefazione Italia Hear Music Ethos Water starbucks.com

Starbucks Corporation (NASDAQ: SBUX) is an international coffee and coffeehouse chain based in Seattle, Washington. Starbucks is the largest coffeehouse company in the world, with over 16,858 stores in 50 countries, including over 11,000 in the United States, over 1000 in Canada, and over 700 in the UK. Starbucks sells drip brewed coffee, espresso-based hot drinks, other hot and cold drinks, coffee beans, salads, hot and cold sandwiches and panini, pastries, snacks, and items such as mugs and tumblers. Through the Starbucks Entertainment division and Hear Music brand, the company also markets books, music, and film. Many of the company's products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered at grocery stores. From Starbucks' founding in later forms in Seattle as a local coffee bean roaster and retailer, the company has expanded rapidly. In the 1990s, Starbucks was opening a new store every workday, a pace that continued into the 2000s. The first store outside the United States or Canada opened in the mid-'90s, and overseas stores now constitute almost one third of Starbucks' stores. The company planned to open a net of 900 new stores outside of the United States in 2009, but has announced 900 store closures in the United States since 2008. Starbucks has been a target of protests on issues such as fair-trade policies, labor relations, environmental impact, political views, and anti-competitive practices.

History

The Starbucks store at 1912 Pike Place. This is the second location of the original Starbucks, which was at 2000 Western Avenue from 1971 to 1976.

Baristas work inside the world's first Starbucks.

Founding
The first Starbucks was opened 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 highquality coffee beans and equipment.[6] The name is taken from Moby-Dick; after Pequod was rejected by one of the co-founders, the company was named for the first mate on the Pequod, Starbuck. From 1971–1975, 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.

and after a trip to Milan. Starbucks had grown to 165 outlets. they sold the Starbucks chain to Schultz's Il Giornale. International expansion Currently Starbucks is present in more than 55 countries. in the old Sears. led by Baldwin. the owners rejected this idea. took the opportunity to purchase Peet's (Baldwin still works there). Schultz started the Il Giornale coffee bar chain in April 1986. Seattle. coffee was something to be prepared in the home. British Columbia. believing that getting into the beverage business would distract the company from its primary focus. To them. but they did give away free samples of pre-made drinks. Starbucks opened its first locations outside Seattle at Waterfront Station in Vancouver. the original owners of Starbucks. advised that the company should sell coffee and espresso drinks as well as beans. The company HQ. which rebranded the Il Giornale outlets as Starbucks and quickly began to expand.The Starbucks Center. Illinois. and Chicago. Certain that there was money to be made selling pre-made drinks.[7] Sale and expansion In 1984. Italy. that same year. Roebuck and Co. Even though Seattle had become home to a thriving countercultural coffeehouse scene since the opening of the Last Exit on Brooklyn in 1967. catalog distribution center building Entrepreneur Howard Schultz joined the company in 1982 as Director of Retail Operations and Marketing. At the time of its initial public offering on the stock market in 1992. Africa • Egy pt North America • El Salvador • Canada • Mexico • Puerto Oceania South America • Australia • Argent ina • Brazil • New • Chile Zealand Asia • Bahrai n • China o Europ • A a • B m • B . In 1987.

in 1996. market in 1998 with the $83 million[8] acquisition of the then 60- . Starbucks entered the U.K.• Rico The Bahamas United States • Peru Ho ng Ko ng o ia • • • • • • • • • • • • • • • • • • • • Ma ca u Taiwa n Indone sia Japan Jordan Leban on Kuwai t Malays ia Oman Philipp ines Qatar Saudi Arabia Singap ore South Korea Thaila nd The Emirates Vietna m India • • • • • • • • • • • • C Repu D rk F G ny G C H ry I N land P P al R ia R S S n S land T U King International presence of Starbucks stores • • • • o Former locations • Israel The first Starbucks location outside North America opened in Tokyo. Japan.

Asia's largest coffee plantation company. 2006. the Czech Republic and Portugal.[15] but opened its first store in Russia. Starbucks continued its expansion. in Mexico City. in Algeria. The agreement was partially reached in order for Starbucks coffees to be served in the country in time for the commencement of the 2010 FIFA World Cup hosted by South Africa. the biggest Starbucks store in Latin America was opened. Starbucks cancelled plans to expand into India.[22] . Starbucks entered Poland. including Barnes & Noble in the United States.[19] Starbucks has also opened its doors on 5 August 2009. On September 14.[20] On June 16. Starbucks completed the purchase of Seattle's Best Coffee and Torrefazione Italia from AFC Enterprises. Bulgaria.[18] New stores will be opened in Algeria.outlet. bringing the total number of Starbucks-operated locations worldwide to more than 6. On October 21. 2009 it was announced that Starbucks will finally establish in Sweden. Livraria Saraiva and Fnac in Brazil and B2S in Thailand.[17] In Buenos Aires. San Salvador. announced plans for a strategic alliance to bring Starbucks to India later that year. In November 2010. Starbucks opened the first Central American store in El Salvador's capital. Southern Sun Hotels South Africa announced that they had signed an agreement with Starbucks that would enable them to brew Starbucks coffees in select Southern Sun and Tsonga Sun hotels in South Africa. and also to source and roast coffee beans at Tata Coffee's Kodagu facility.[19] In January. Netherlands. although the Portland airport Coffee People locations were excluded from the sale. In April 2009. Starbucks plans set up stores in Tata retail locations and hotels in India. in Utrecht.400. settling in Argentina. A partnership with Algerian food company Cevital will see Starbucks open its first Algerian store in Algiers.[10] Many bookstores have Starbucks licensed stores within them. UK-based Seattle Coffee Company. The coffee shop had been a source of ongoing controversy since its opening in 2000 with protesters objecting that the presence of the American chain in this location "was trampling on Chinese culture.[16] In 2008. The Starbucks location in the former imperial palace in Beijing closed in July 2007. In May 2010. Starbucks and Tata Coffee. 2011. 2010 Starbucks opened its first store in Budapest. after Egypt and South Africa. In September 2002 Starbucks opened its first store in Latin America.[9] In April 2003. re-branding all the stores as Starbucks. This sale includes the company-owned locations of the Oregon-based Coffee People chain. ten years after first registering a trademark there. Starbucks converted the Diedrich Coffee and Coffee People locations to Starbucks.[21] Starbucks is planning to open its third African location. rival Diedrich Coffee announced that it would sell most of its company-owned retail stores to Starbucks. Hungary. starting with a location at Arlanda airport outside Stockholm."[11][12][13][14] Also in 2007. Chapters-Indigo in Canada.

[23] These restaurants were soon "outed" as Starbucks establishments and converted to Starbucks cafes. Singapore • Starbucks in İzmir. Corporate governance .• Starbucks at West Coast Plaza. Philippines Restaurant experiment In 1999. Turkey • One Starbucks location in Hong Kong uses a retro Bing Sutt design • Starbucks in Angeles City. Starbucks experimented with eateries in the San Francisco Bay area through a restaurant chain called Circadia.

three in Seattle. in order to refocus the brand on coffee. including McDonald's and Dunkin' Donuts. local time to train its baristas. Starbucks' chairman. and three in Boston. Smith was President and CEO of Starbucks from 2001 to 2005. has talked about making sure growth does not dilute the company's culture[24] and the common goal of the company's leadership to act like a small company. In January 2008.Howard Schultz.[26][27] Recent changes In March 2008. Starbucks also announced that the company hopes to enter the energy drink market. Schultz made several announcements to Starbucks shareholders. Starbucks announced it will discontinue its warm breakfast sandwich products. Pre-ground beans will no longer be used. Starbucks closed its stores from 5:30-9:00 p. 2008. but the sandwiches were reformulated to deal with complaints and the product line stayed.[25] On February 23.[28] the manufacturer of the Clover Brewing System. Chairman Howard Schultz resumed his roles as President and CEO after an eight year hiatus. Analysts believe that Schultz must determine how to contend with higher materials prices and enhanced competition from lowerprice fast food chains. They are currently test marketing this "freshpressed" coffee system at six Starbucks locations. replacing Jim Donald.m. the Thermoplan Verismo 801 (known internationally as the Thermoplan Black & White).[28] the Thermoplan AG manufactured Mastrena. romance and theater" to American stores. which replaced their previous superauto. originally intended to launch nationwide in 2008. The company also announced the acquisition of The Coffee Equipment Company.[29] . Howard Schultz. Schultz aims to restore what he calls the "distinctive Starbucks experience" in the face of rapid expansion. CEO of Starbucks Orin C. who took the posts in 2005 but was asked to step down after sales slowed in 2007. so that the grinding of whole bean coffee will "bring aroma. Schultz introduced Starbucks' "state of the art espresso system".

a loyalty program was introduced for registered users of the Starbucks Card (previously simply a gift card) offering perks such as free Wi-Fi Internet access. and plans to host live music and poetry readings. and free refills on brewed drip coffee. The website is powered by the Salesforce software. Starbucks plans to offer free Wi-Fi in all of its US stores via AT&T and information through a partnership with Yahoo!. and against McDonald's.A typical sales area. This is an effort to be more competitive against local chains."[34][35] The first. similar to greenwashing.[31] In May 2008. which have long offered free Wi-Fi. In Germany customers can get 1 hour of free Wi-Fi with a voucher card.[33] At least three stores in Seattle were "debranded" to remove the logo and brand name. Starbucks started a community website. and in Switzerland and Austria customers can get 30 minutes the same way (through T-Mobile).[36][37] The practice has been criticized as "local-washing". UK. opened in July on Capitol Hill after Starbucks employees visited local coffee houses to look around. Other users comment and vote on suggestions. and remodel the stores as local coffee houses "inspired by Starbucks. this one in Peterborough.[33] The move is expected to attract health. 15th Avenue Coffee and Tea.and cost-conscious consumers and will not affect prices. Journalist Jack Schofield noted that "My Starbucks seems to be all sweetness and light at the moment. working with its Wi-Fi partner BT Openzone. Customers with a Starbucks Card will be able to log-on to the Wi-Fi in-store for free with their card details. which began offering free wireless internet access in . no charge for soy milk & flavored syrups.[38] In September 2009. the company announced that it will be overhauling its menu and selling salads and baked goods without high-fructose corn syrup or artificial ingredients.[30] In early 2008. US & Canadian card holders can access 2 hours of Internet access through AT&T in the United States and through Bell Canada within Canada.[39] Beginning in July 2010. In June 2009. thereby bringing the benefits of the loyalty program in-line with the United States. designed to collect suggestions and feedback from customers. It serves wine and beer. which I don't think is possible without quite a lot of censorship". My Starbucks Idea. Starbucks in the UK rolled out free Wi-Fi at most of its outlets. showing a display of food and the beverage preparation area Starbucks stopped using milk originating from rBGH-treated cows in 2007.[32] Free Wi-Fi Internet access varies in different regions.

2008. in March 2009. The espresso machines will be in the middle of the store to create what Starbucks calls a "coffee theater". Starbucks will devalue its own brand. CEO Howard Schultz also announced that he had received board approval to reduce his salary. Caramel.[42] VIA "Ready Brew" instant coffee Starbucks introduced a brand new line of technological advanced instant coffee packets called VIA "Ready Brew". It was first unveiled in New York City with subsequent testing of the product also in Seattle. and Canada with Starbucks stores promoting the product with a blind 'taste challenge' of the instant versus fresh roast.2010."[44][45] On July 1. Of the new cuts. Starbucks also announced in July 2008 that it would close 61 of its 84 stores in Australia by August 3. from February 2008 to . they introduced the Decaf Italian Roast as long as a sweetened version called "iced". 2009.[48] These closings and layoffs effectively ended the company’s period of growth and expansion that began in the mid-1990s. Store closures In 2003 Starbucks closed all six of its locations in Israel. Some VIA flavors include Italian Roast and Colombia.000 positions. the company announced it was closing 600 underperforming companyowned stores and cutting U. 2008. Starbucks expanded the VIA selection by introducing four new presweetened flavored versions: Vanilla. which were were then rolled out in October 2009.[41] A store in Seattle known for its use of the corporation's new ideas will reopen in the fall of 2010 with modifications to the interior decorating and the addition of wine from Pacific Northwest vineyards.[43] After the VIA was successfully launched.S. commented that "Starbucks failed to truly understand Australia’s cafe culture. Many people couldn't tell the difference between the instant and fresh brewed coffee. 2008. With the holiday season in mind in 2010.[40] On June 30.[49] Nick Wailes.[51] Altogether. citing "on-going operational challenges" and a "difficult business environment. expansion plans amid growing economic uncertainty. Some analysts theorized that by introducing instant coffee. 2010. Starbucks also cut almost 1.000 non-retail jobs as part of its bid to reenergize the brand and boost its profit. Starbucks announced it would begin to offer unlimited and free Internet access via Wi-Fi to customers in all company-owned locations across Canada starting on July 1.[46][47] On July 29. across the U. In October 2010. an expert in strategic management of the University of Sydney. Starbucks announced the closure of an additional 300 underperforming stores and the elimination of 7. Starbucks also introduced the Christmas Blend and Decaf Christmas blend. Chicago and London. 550 of the positions were layoffs and the rest were unfilled jobs. Cinnamon Spice and Mocha.S. 2010."[50] On January 28.

[59] ."[34][35] CEO Howard Schultz says the unbranded stores are a "laboratory for Starbucks". and plans to host live music and poetry readings. at least three stores in Seattle were 'debranded' to remove the logo and brand name. A small improvised explosive device was used and damage was limited to exterior windows and a sidewalk bench.[55] The first. Ahold has not yet abandoned the licensed Starbucks concept. 15th Avenue Coffee and Tea. However. Ahold announced closures and rebranding for 43 of their licensed store Starbucks kiosks for their US based Stop & Shop and Giant supermarkets. jobs and began closing 977 stores worldwide. as well as a U. on May 25. Starbucks terminated an estimated 18. a 17-year-old boy was arrested that July after boasting that he bombed the store to emulate the movie Fight Club.[53][54] Unbranded stores In 2009. there were no injuries. opened in July 2009 on Capitol Hill.[52] In August 2009. 2009.[38] Schulz says that "It wasn't so much that we were trying to hide the brand.[56] Residents of apartments above the bombing site were briefly evacuated.[36] Although the stores have been called "stealth Starbucks"[34][37] and criticized as "local-washing". a Starbucks store on the Upper East Side in the Manhattan borough of New York City. New York.S.400 U. they plan to open 5 new licensed stores by the end of 2009. It serves wine and beer. was bombed. and remodel the stores as local coffee houses "inspired by Starbucks.January 2009.S.[57] because it was similar in nature to earlier bombings in Manhattan at the British and Mexican consulates. military-recruiting center in Times Square.[58] However.m."[55] 2009 New York City bombing At approximately 3:30 a.[57] Police believed at first that the bombing may be related to a serial bomber operating in Manhattan. but trying to do things in those stores that we did not feel were appropriate for Starbucks.

[60] Name The company is named in part after Starbuck. According to Howard Schultz's book Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time. It is located at 2525 Starbucks Way in Minden. Seoul. as well as a turn-of-the-century mining camp (Starbo or Storbo) on Mount Rainier. the name of the company was derived from Moby-Dick. LLC. Dubai The store in Insadong.S. but his then creative partner Terry Heckler responded. Starbuck. Captain Ahab's first mate in the novel MobyDick. Nevada. South Korea with Hangeul script sign Starbucks Coffee (星巴克咖啡) in mainland China Starbucks U. Brainstorming with these two ideas resulted in the company being named for the Pequod's first mate.Intellectual property Starbucks at Ibn Battuta Mall. Gordon Bowker liked the name "Pequod" (the ship in the novel).[61] . is a Starbucks-owned company that currently holds approximately 120 Starbucks Coffee Company patents and trademarks. "No one's going to drink a cup of Pee-quod!" Heckler suggested "Starbo". although not in as direct a fashion as many assume. Brands.

which was based on a 17th-century "Norse" woodcut. The logo has been significantly streamlined over the years. as reported in a Pulitzer Prize-winning column by Colbert I. Starbucks has stated that this was done to show the company's heritage from the Pacific Northwest and to celebrate 35 years of business. The image also had a rough visual texture and has been likened to a melusine. Starbucks had drawn similar criticism when they reintroduced the vintage logo in 2006. In the third version. The company announced three months later that it would be using the international logo in Saudi Arabia. but the temporary switch garnered little attention from the media. Hong Kong. At the beginning of September 2006 and then again in early 2008. . removing the Starbucks wordmark around the siren and enlarging the siren image itself. and the abbreviation スタバ is also used in slang Russia: Старбакс (transliteration: Starbaks) South Korea: 스타벅스 (transliteration: seutabeokseu). Macau. while 巴克 is a transliteration of "-bucks") Israel: ‫( סטארבקס‬transliteration: sṭārbaqs) Japan: スターバックス (transliteration: sutābakkusu). leaving only her crown. King in The Washington Post in 2002. the Starbucks siren was topless and had a fully visible double fish tail. The logo was altered when Starbucks entered the Saudi Arabian market in 2000 to remove the siren. her breasts were covered by her flowing hair. In the second version. In the first version. and only vestiges remain of the fish tails. used between 1992 and 2011. In January 2011. Valerie O'Neil. a Starbucks spokeswoman. The original "woodcut" logo has been moved to the Starbucks' Headquarters in Seattle. and the fish tail was cropped slightly. but her navel was still visible. but the Korean translation 별 다방 (star-teahouse) is also used in slang Quebec. which was used from 1987–92. her navel and breasts are not visible at all.International names Starbucks is known internationally by the following names: • • • • • • • • • Arabic-speaking countries: ‫( ستاربكس‬transliteration: stārbaks) Bulgaria: Старбъкс (transliteration: Starbâks) China. Taiwan: 星巴克 Pinyin: xīngbākè (星 xīng means "star". Canada: Café Starbucks Coffee[62] Thailand: สตาร์บัคส์ pronounced [satāːbākʰ] Logo In 2006. said that the logo is an image of a "twintailed siren". Starbucks temporarily reintroduced its original brown logo on paper hot-drink cups. Starbucks announced that they would make small changes to the company's logo. The vintage logo sparked some controversy due in part to the siren's bare breasts.

Dwyer felt that since his work was a parody it was protected by his right to free speech under U. and has used legal action against those it perceives to be infringing on its intellectual property. Dwyer is currently allowed to display the image as an expression of free speech. as Dwyer claimed he did not have the financial ability to endure a trial case with Starbucks. t-shirts. however. and stickers that he sold on his website and at comic book conventions. . In a similar case. later placing it on coffee mugs. but he can no longer sell it. In 2000.S. he was forbidden from financially "profiting" from using a "confusingly similar" image of the Starbucks siren logo. The case was eventually settled out of court. law.• Original brown logo • The Logo used between 1992 and 2011 • The current 2011 redesigned logo Parodies and infringements Starbucks has been a target of parodies and imitations of its logo. a New York store selling stickers and Tshirts using the Starbucks logo with the words "fuck off" was sued by the company in 1999. San Francisco cartoonist Kieron Dwyer was sued by Starbucks for copyright and trademark infringement after creating a parody of its siren logo and putting it on the cover of one of his comics. The judge agreed that Dwyer's work was a parody and thus enjoyed constitutional protection.

who owns a coffee store in Oregon. says Starpreya is named after the Norse goddess. Canada. Sam Buck. The July 16. because the chain used a greenand-white logo with a name that sounded phonetically similar to the Chinese for Starbucks. Texas. but was ruled against in November 2005. Starbucks dropped its demand after HaidaBucks dropped "coffee house" from its name. British Columbia. 2008 deadline passed without action by the corporation. such as a café in Pakistan that used the logo in 2003 in its advertisements and a cafe in Cambodia in 2009. commonly referred to as "bucks. Corporate social responsibility . Elpreya. was prohibited from using her name on the shop front in 2006. but the 2005 federal court ruling also stated that the sale of the beer must be restricted to Galveston.co. The company. which encouraged people to deface the Starbucks logo was transferred to Starbucks in 2005.An anti-Starbucks website. which was granted by the Trademark Office. Other cases have gone against the company. with the letters of that name changed to ease pronunciation by Koreans. Freja. A bar owner in Galveston. Starbucks did not open any stores after first registering its trademark in Russia in 1997 and in 2002 a Russian lawyer successfully filed a request to cancel the trademark. The store was owned by a group of young Haida men.uk. starbuckscoffee.starbuckscoffee. She said her aim was to open a chain of stores selling coffee and chocolate-based cosmetics. China for trademark infringement. Other successful cases filed by Starbucks include the case won in 2006 against the chain Xingbake in Shanghai. USA won the right to sell "Star Bock Beer" after a lawsuit by Starbucks in 2003 after he registered the name. Starbucks launched action against an Indian cosmetics business run by Shahnaz Husain.uk. Christian bookstores and websites in the US are selling a T-shirt featuring a logo with the mermaid replaced by Jesus and the words "Sacrificed for me" around the edge.000 to sell the trademark to Starbucks. Starbucks sent a cease-and-desist letter to "HaidaBucks Coffee House" in Masset. Starbucks requested an extension to further examine the issue and possibly issue a complaint." After facing criticism.org. a ruling upheld by the Supreme Court in 2007. In 2003. He then registered the name with a Moscow company and asked for $600. the owner saying that "whatever we have done we have done within the law". after she applied to register the name Starstruck for use with coffee and related products. Others have used the Starbucks logo unaltered and without permission. Ongoing cases include a dispute over the copyright application for Seattle’s Rat City Rollergirls logo in 2008 The company claimed the roller derby league’s logo by a Washington artistwas too similar to its own. but has since resurfaced at www. In 2005 Starbucks lost a trademark infringement case against a smaller coffee vendor in South Korea that operates coffee stations under the name Starpreya. The court rejected Starbucks' claim that the logo of Starpreya is too similar to their own logo.

Although not all stores and regions participate. In September 2009. This will reportedly save up to 150 gallons of water per day in every store . The Sun newspaper reported that Starbucks was wasting 23. In 2004.In 2009. Starbucks released an annual Corporate social responsibility report. Starbucks started "Grounds for your Garden" to make their business more environmentally-friendly. Environmental Protection Agency's list of Top 25 Green Power Partners for purchases of renewable energy. In 2008. This gives leftover coffee grounds to anyone requesting it for composting. Starbucks began reducing the size of their paper napkins and store garbage bags.5 metric tons (1. customers can request and lobby their local store to begin the practice. Starbucks was ranked #15 on the U. company-operated Starbucks stores in Canada & the United States successfully implemented a new water saving solution that meets government health standards.8 million pounds). In October 2008. and lightening their solid waste production by 816. in response to concerns over its excessive water consumption. Starbucks reevaluated its use of the dipper well system. Different types of milk are given a dedicated spoon that remains in the pitcher and the dipper wells were replaced with push button metered faucets for rinsing. Environmental impact Grounds for your Garden In 1999. but this is often required by governmental public health code.S.4 million litres of water a day by leaving a tap constantly running for rinsing utensils in a 'dipper well' in each of its stores. In June 2009.

The 10% recycled paper cups used by Starbucks are not recyclable. In 2005 Starbucks received the National Recycling Coalition Recycling Works Award. where they are composted. where paper cups are recycled to a local company called "Wriggler's Wranch". however improvements have since been made and recycling bins are popping up in more stores (the only thing hindering Starbucks' ability to have bins in every store is the lack of facilities for storage and collection of recycling in certain areas.A bin overflowing with Starbucks cups Recycling The U. PP).)[citation needed] Allen Hershkowitz of the Natural Resources Defense Council says that Starbucks claimed they were using only 10% recycled material partly because the recycled material costs more.S.S. Food and Drug Administration granted the first-ever approval to use recycled content in food packaging for Starbucks coffee cups. .5 billion cups for stores in North America in 2007. and is testing composting of the existing cups. Starbucks cups were originally made using plastic #1 (polyethylene terephthalate. only 1/3 of company-owned stores recycled any materials in 2007. The plastic cups used for cold drinks are also non-recyclable in most regions. whereas the latter cannot. The former type of plastic can be recycled in most regions of the U. Starbucks bought 2. because the plastic coating that prevents the cup from leaking also prevents it from being recycled. PETE) but were changed to plastic #5 (polypropylene. The majority of Starbucks stores do not have recycling bins. Starbucks is considering using biodegradable material instead of plastic to line the cups. Starbucks gives customers a 10-cent discount when they bring their own reusable cup. and it now uses corrugated cup sleeves made from 60 percent post-consumer recycled fiber. Canada. The exception to this is stores in Winnipeg. Manitoba.

50–$0. Starbucks has also given the FTC label greater visibility. According to the company. in 2004 it paid on average $1. All espresso roast sold in the UK and Ireland is 100% Fairtrade. This is in comparison to commodity prices which were as low as $0. This means that the coffee in all cappuccinos and lattes are brewed with 100% Fairtrade Espresso.42 per pound ($2.60 in 2003–04.64 kg) for high-quality coffee beans. Starbucks agreed to support and promote Ethiopian coffees. helping to raise consumer awareness in the process. the company introduced a line of fair trade products. Beyond Fair Trade Certification. According to Starbucks.220 metric tons (11. Starbucks has undeniably made a significant contribution to family farmers through their rapidly growing FTC coffee volume. Starbucks argues that it pays above market prices for all of its coffee. They have become the largest buyer of Certified Fair Trade coffee in North America (10% of the global market). An article in BBC NEWS. states that Ethiopian ownership of . they purchased 2.Fair trade Starbucks coffee beans In 2000. the only third-party certifier of Fair Trade Certified coffee in the United States.5 million pounds) in 2005.8 million pounds) of Certified Fair Trade coffee in fiscal year 2004 and 5. Transfair USA. After a long-running dispute between Starbucks and Ethiopia. Groups such as Global Exchange are calling for Starbucks to further increase its sales of fair trade coffees.180 metric tons (4. only about 6% was certified as fair trade.000 metric tons (300 million pounds) of coffee Starbucks purchased in 2006. Of the approximately 136. has noted the impact Starbucks has made in the area of Fair Trade and coffee farmer's lives: Since launching {its} FTC coffee line in 2000. By offering FTC coffee in thousands of stores.

growing regions. Starbucks sells only one Ethiopian coffee on its website and it is proclaimed by the website to be new. roasting. and purchasing (including fair trade). the coffee Starbucks bought for $1. Ethos water .popular coffee designations such as Harrar and Sidamo is acknowledged even if they are not registered.99 per pound. which educates employees in coffee tasting. The main reason Ethiopia fought so hard for this acknowledgement was to allow its poverty-stricken farmers a chance to make more money. At. As of August 2010.42 per pound for its coffee. In 2006 Starbucks says it paid $1. Unfortunately.42 per pound had a selling price of $10. A Starbucks barista Staff training Black aprons displaying the title "Coffee Master" are worn by employees who have completed the Coffee Master course. this has not been the case.

the brand is not a charity. . a brand of bottled water acquired by Starbucks in 2005. enabling the supply of AIDS medicine for 3.A display of Ethos water Ethos. referring to the fact that $.10 per bottle in Canada) is used to fund clean water projects in under-developed areas. [Product Red Starbucks began selling Product Red goods in November 2008. Although sales of Ethos water have raised over $6.000 for clean water efforts.800 people for a year.200. Starbucks has since redesigned the American version of the Ethos water bottles. The founders of Ethos have stated that the brand is intended to raise awareness of third-world clean water issues and provide socially responsible consumers with an opportunity to support the cause by choosing Ethos over other brands.80 bottle sold ($. is sold at locations throughout North America. when it is actually a for-profit brand and the vast majority of the sale price (97.2%) does not support clean-water projects. stating the amount of money donated per bottle in the description. Ethos bottles feature prominent labeling stating "helping children get clean water". Critics have argued that the claim on the label misleads consumers into thinking that Ethos is primarily a charitable organization.05 from each $1.

License agreements are rare in .New Orleans Main article: Reconstruction of New Orleans In 2008. including houses. employees will work on various projects. UNICEF Philippines and Starbucks launched SparkHope. some of which operated at a financial loss. Starbucks announced a volunteer program in New Orleans." [Sparkhope In 2004. which permits Starbucks licenses only if they contribute to less than 20% of the licensee's gross income. According to Rebuilding Together New Orleans. I'll say that.[110] For example.e. independent competitors. intentionally operating at a loss. have been labeled anti-competitive by critics. but then used its capital and influence to obtain prime locations. Starbucks fueled its initial expansion into the UK market with a buyout of Seattle Coffee Company. New York Market strategy Some of the methods Starbucks has used to expand and maintain their dominant market position. Criticism and controversy Two Starbucks stores in one shopping center in Queens. An area in each store contains a donation box and shows photos of the adopted community and information about UNICEF’s programme. three years after Hurricane Katrina. planting trees and an urban garden. saturating the market). Critics claimed this was an unfair attempt to drive out small. Starbucks greatly increased its "licensed store" system.. A volunteer coordinator said that "I've never seen this magnitude from one corporation before. are inside other stores or in limited or restricted access spaces. In the 2000s. in terms of the sheer numbers. a programme in which Starbucks stores in the Philippines provide early childhood care and development for children in a particular community. who could not afford to pay inflated prices for premium real estate. as to not dilute the brand image. including buying out competitors' leases. and clustering several locations in a small geographical area (i.

[116][117][118] According to the Starbucks Union. Germany. At the time. cities including New York.[114][115] On March 7. Minneapolis and San Francisco. IWW members picketed Starbucks locations in more than 50 cities around the world in countries including Australia. the IWW and Starbucks agreed to a National Labor Relations Board settlement in which three Starbucks workers were granted almost US$2.[113] . as well as U.[113] According to a Starbucks Union press release. Washington. and the others are licensed. on November 24. Chicago. or be positioned as independent cafes that happen to sell Starbucks products (ex.volume and usually only made with Fortune 1000 or similar sized chain stores. Starbucks admitted no wrongdoing in the settlement. Some Starbucks baristas in Canada.000 in back wages and two fired employees were offered reinstatement. when one is a standalone company owned. The menus of licensed stores can be the same or trimmed or modified versions of the cafes. Starbucks paid out US$165.[120] Australia and New Zealand.[112] The licensed store system can create the illusion of 2 or more Starbucks cafes in the same shopping plaza. Canada.[121] and the United States[122] belong to a variety of unions. the plant workers were represented by the International Union of Operating Engineers.000 to eight employees at its Kent. roasting plant to settle charges that they had been retaliated against for being pro-union. Labor disputes The Reverend Billy leading an anti-Starbucks protest in Austin. 2006. and the UK. [119] to protest the firing of five Starbucks Workers Union organizers by Starbucks and to demand their reinstatement. since then the union membership has begun expanding to Chicago and Maryland in addition to New York City. 2006. Texas in 2007 Starbucks workers in seven stores have joined the Industrial Workers of the World (IWW) as the Starbucks Workers Union since 2004. In 2005. where the movement originated.S. Barnes & Noble).

. Starbucks was ordered to pay baristas over US$100 million in back tips in a Californian class action lawsuit launched by baristas alleging that granting shift-supervisors a portion of tips violates state labor laws. mugs and sandwiches.[124][125] A similar lawsuit was also filed in Minnesota on March 27. MA has filed another suit with regards to the tipping policy. some as mixed use A1/A3 and some as A3".[132] but after a public inquiry in June 2009 a government inspector gave permission for the store to remain. 2008. resulting in pay increases. and the abolition of youth rates. James's Street in Kemptown. there is no official classification of coffee shops. despite having been refused permission by the local planning authority. gaining a six month extension. on November 23.[135] one in Manchester. Brighton. an 18 yearold barista in Chestnut Hill.[123] Starbucks in the Financial District of Boston. workers sought secure hours.[133] A Starbucks in Hertford won its appeal in April 2009 after being open for over a year without planning permission. New Zealand. a branch of Starbucks was completed on St. and an improvement in youth rates. Starbucks therefore encounters the difficult scenario whereby local authorities interpret the guidance in different ways. The company settled with the Union in 2006. a minimum wage of NZ$12 an hour. Similarly. without the planning permission for a change of use to a restaurant.[128][129] Starbucks appealed the decision by claiming it was a retail store selling bags of coffee. Starbucks has argued that "Under current planning law. coffee shops operate under A1 permission.A Starbucks strike occurred in Auckland. to comply with planning regulations for a retail shop.[126] Opening without planning permission Starbucks has been accused by local authorities of opening several stores in the United Kingdom in retail premises. increased security of hours.[121] Organized by Unite Union.[127] In May 2008.[130] but the council ordered Starbucks to remove all tables and chairs from the premises. Massachusetts law also states that managers may not get a cut of tips.[131] 2500 residents signed a petition against the store. Massachusetts In March 2008. The company plans to appeal. In some instances.[136] one in Cardiff.[134] Two stores in Edinburgh. who claimed there were too many coffee shops already present on the street. England. Brighton and Hove City Council. 2005.

[140][141][142] On January 17.[138] One in Blackheath. In the early hours of the following morning a suspected makeshift firebomb was hurled into the premises.[127] The Pinner cafe. 8 years after the court case. There was a considerable backlash from members of the local community who opposed any large chains opening in what is a conservation area. a pro-Gaza protest was held by the Stop the War Coalition in Trafalgar Square in central London. Lewisham[139] was also under investigation in 2002 for breach of its licence. causing further damage. some hiding their faces. [edit] Violence against Starbucks in Canada and the United Kingdom A store on Piccadilly with its windows boarded up after being smashed by protesters A damaged front window of a Starbucks coffee shop in Toronto On January 12. operating as a restaurant when it only had a licence for four seats and was limited to take away options. To this date."[141][143][144][145] . Although the stores had requested greater police protection following the violence against a Starbucks the previous week. opened in 2007. After the rally. 2009. the Starbucks is still operating as a takeaway outlet. smashed and looted two Starbucks on Piccadilly and Shaftesbury Avenue. two groups of people. were also opened without planning permission.[137] one in Pinner and Harrow. 2009. won an appeal to stay open in 2010. a Starbucks in Whitechapel Road in London was the target of vandalism by pro-Palestinian demonstrators who broke windows and reportedly ripped out fittings and equipment after clashes with riot police. Scotland Yard stated it could "not stop thugs hell-bent on causing damage.

Burger King and Dunkin’ Donuts coffee. by the "Black bloc". Starbucks claimed the "dipper well" with the running tap was for sanitary reasons.[147] [edit] US military viral email A US Marines Sergeant emailed ten of his friends in August 2004 having wrongly been told that Starbucks had stopped supplying the military with coffee donations because the company did not support the Iraq war.[152] The magazine called Starbucks coffee "strong. as well as other stores. film.[148] but Starbucks' VP of global communications. through a policy that mandated a constantly running tap in each store worldwide. writers.[152] [edit] Wasting water A British newspaper reported that Starbucks was wasting millions of liters of water daily. beating Starbucks. a Starbucks window was smashed. A supposed member.[146] Some of the quotes have caused controversy. The email became viral.[153] [edit] Music. abortion and racism. says the email is still forwarded to her every few weeks. cited Starbucks' support for Israel as being the reason. during the 2010 G-20 Toronto summit protests. being sent to tens of millions of people.On 26 June 2010. scientists and others have appeared on Starbucks cups since 2005 in a campaign called "The Way I See It". including one by writer Armistead Maupin and another by Jonathan Wells that linked 'Darwinism' to eugenics. when asked why by a CBC radio reporter.[149] [150][151] [edit] Coffee quality The March 2007 issue of Consumer Reports called McDonald’s Premium Roast coffee to be “cheapest and best”. Starbucks and the originator sent out a correction. [edit] "The Way I See It" Quotes by artists. but burnt and bitter enough to make your eyes water instead of open". Valerie O'Neil. and television Main article: Hear Music .

adding a few retail locations in the San Francisco Bay Area. in 2002. New York City. Starbucks gave away 37 different songs for free download through iTunes as part of the "Song of the Day" promotion in 2007. In 2006. targeted at iPhone. Some stores feature LCD screens with the artist name. Texas. In September 2007 Apple announced that customers would be able to browse the iTunes Store at Starbucks via Wi-Fi in the US (with no requirement to login to the Wi-Fi network). Hear Music was purchased by Starbucks in 1999. Retail stores heavily advertised the film before its release and sold the DVD. A Starbucks app is available in the iPhone App Store. The iTunes Store will automatically detect recent songs playing in a Starbucks and offer users the opportunity to download the tracks. and MacBook users. and was offered in limited markets during 2007–2008. making McCartney the first artist signed to New Hear Music Label sold in Starbucks outlets. In October 2006. followed in March 2007 by the hit CD "Memory Almost Full" by Paul McCartney.[155] During the fall of 2007. Starbucks also began to sell digital downloads of certain albums through iTunes. Apple added a Starbucks Entertainment area to the iTunes Store. featuring artists such as Luciano Pavarotti. and a "Pick of the Week" card is now available at Starbucks for a free song download. and the San Francisco Bay Area. they produced a Starbucks opera album. one of the producers of the 2006 film Akeelah and the Bee. the company created Starbucks Entertainment. Partnership with MSNBC . Nearly three years later.[154] Partnership with Apple Starbucks has agreed to a partnership with Apple to collaborate on selling music as part of the "coffeehouse experience". song. Hear Music is the brand name of Starbucks' retail music concept.Starbucks' second Hear Music Coffeehouse at the South Bank development adjacent to the River Walk in downtown San Antonio. Hear Music began as a catalog company in 1990. This feature has been rolled out in Seattle. and album information of the current song playing. selling music similar to that played in Starbucks stores. iPod touch. Its inaugural release was a big non-coffee event for Starbucks the first quarter of 2007.

it was not paid placement at that time.Starting on June 1. 24 US fl oz (710 mL) Italian for twenty 31 US fl oz (920 mL) Italian for thirty See also Seattle portal Companies portal Food portal • • • • • Coffee culture List of coffee companies List of coffeehouse chains List of companies based in Seattle Multinational corporation . viewed as both a clever partnership in an economic downturn and a compromise of journalistic standards.[156] The move was met with mixed reactions from rival news organizations.[157] Cup sizes Name Short Tall Grande Venti Trenta Measurement Notes 8 US fluid ounces (240 mL) Smaller of the two original sizes 12 US fl oz (350 mL) Larger of the two original sizes 16 US fl oz (470 mL) Italian/Spanish for large 20 US fl oz (590 mL). Although the hosts have previously consumed Starbucks coffee on air "for free" in the words of MSNBC president Phil Griffin. 2009. the MSNBC morning news program Morning Joe has been presented as "brewed by Starbucks" and the show's logo changed to include the company logo.

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ISBN 0-7868-6315-3. ^ "Broadcastingcable. Howard with Janet Goldstein. (2006). 2009. Starbucked: A Double Tall Tale of Caffeine. 2006). Mark (2001) [1999].com. Clark.org/5j7VkJQ72. Pour Your Heart Into It: How Starbucks Built A Company One Cup At A Time. ISBN 1-59184-192-5. 208 pages. Archived from the original on August 18. Uncommon Grounds: The History of Coffee and How It Transformed Our World. "Starbucks rocks with Berry DVD". Schultz.com/article/277914_Morning_Joe_Starbucks_Sponsorship_Gets_Mixed_Reactions. ISBN 1-58799-088-1. http://www. Further reading • • • • • • Behar. The Starbucks experience: 5 principles for turning ordinary into extraordinary.webcitation. Simon. (2007). Commerce and Culture. 336 pages. ^ Apple Builds Ecosystem With iPod Touch Screen.broadcastingcable. Retrieved August 18. Retrieved 2010-10-24. Joseph A. Everything but the Coffee: Learning about America from Starbucks. Taylor.154. Howard. Washington | Companies based in Washington (state) | Companies established in 1971 | Culture of the Pacific Northwest | Fast-food chains of the United States | Food production companies of the United States | Multinational food companies | Pike Place Market | Retail companies established in 1971 Hidden categories: All articles with dead external links | .org/wiki/Starbucks" Categories: Companies listed on NASDAQ | Companies in the NASDAQ-100 Index | Starbucks | Coffee brands | Coffee houses of the United States | Companies based in Seattle. Broadcastingcable. and Dori Jones Yang. London: Texere.php. Video Business. 350 pages. Bryant. ISBN 0-07-147784-5. ISBN 0-316-01348-X. ISBN 0-520-26106-2. (2007). (2009). Michelli. 155. ^ Ault. ^ NYtimes. http://www.com". 208 pages. Susanne (June 2.wikipedia.com 157. 320 pages. External links Wikimedia Commons has media related to: Starbucks • • Official website Starbucks Union Retrieved from "http://en. 156. Retrieved on 2007-09-05. Pendergrast. (1997). 2009. (2007-09-05). It's Not About The Coffee: Leadership Principles from a Life at Starbucks.

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