In 1971 Starbucks opened operations in Seattle’s Pike Place Markets with the future aim of providing coffee to a number of restaurants and surrounding bars. With the recruitment of Howard Schultz who led the marketing and retail efforts of Starbucks. In 1982, the company took a change in direction through the views of Schultz, who after visiting Italy tried to adapt the same principles in order to a strong bar culture. Schultz then utilized Starbucks ability to provide quality coffee beans and opened up a new store called Il Giornale, which brewed coffee from these particular beans.
In 1987, Giornale had decided to take over the assets of Starbucks and also, further changed its name to Starbucks Corporation. By the end of the year, Starbucks had increased the number of stores to 17 and furthered its location span by entering Chicago and Vancouver. In 1990, the company took further steps forward with expansion of the Seattle headquarters and an increase in resources with the opening of a new roasting plant. Relationships and other ventures also took off during the early nineties as the company looked to development organizations to further its progress.
In 1995, the company really established its name with the opening of the 676th store as well as increasing the products in store with the addition of compact discs a result of a previously popular experiment with ‘in-house’ music. In 1996, the company kept on stretching its reach by entering into the market of Japan, Singapore and Hawaii. This was achieved through joint ventures including the one formed with Sazaby Inc. , which pushed through the development of coffee houses in Japan.
By the year 2000, things had progressed so far that 3,300 stores were already opened, the company had ventured into countries ranging from England to Australia ; China. The current international situation for Starbucks seems to be an emerging part of their business and the reorganization of this is proved by their aim to become a leading global company through making a difference in people’s lives all around the world. This goal is quite close to being achieved as proved the Starbucks current locations in international markets and the successfulness of these ventures.
The current countries in which Starbucks are located in are: Australia, Bahrain, Canada, Hong Kong, Israel, Japan, Kuwait, Lebanon, Malaysia, New Zealand, Oman, Peoples Republic of China, Philippines, Qatar, Saudi Arabia, Singapore, South Korea, Switzerland, Taiwan, Thailand, United Arab Emirates, Egypt, United Kingdom, and the United States. 1. 1 Current performance Overall, the aim of becoming a worldwide global brand seems to be working in favor of the company and is helping it to attract the attention of many major companies who would like to share a partnership.
This is all positive news for the company because it provides a strong basis for future development of international markets, which further strengthens the mission to become one of the leading specialty coffee retailers in the world. However, the net revenues increased 3 percent to $2. 5 billion for the fourth quarter of 2008, compared to $2. 4 billion for the fourth quarter of 2007.
For the 13-week period ended September 28, 2008, Starbucks reported net income of $5. 4 million, which included $105.1 million of restructuring charges and other transformation strategy costs. Net income was $158. 5 million for the same period a year ago. The company actions announced in July of 2008 to close approximately 600 company-operated stores in the U. S. and 61 company-operated stores in Australia, and reduce approximately 1,000 open and filled positions within its leadership structure and non-store organization. This mission statement along with the set of guidelines provides a focus for employees as they make strategic decisions.
It not only supports the employees, but supports the customers as well, making a note that they should be satisfied all of the time. The mission shows alignment with the vision by stating how the company plans to reach the broad goals set by the vision statement. Another supporting sentence in the mission statement is that the “company applies the highest standards of excellence to the purchasing, roasting and fresh delivery of its coffee. ” This statement supports the idea that Starbucks uses the best available resources to give it a recognized and respected name.