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Starbucks Case

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nancy carbajal

on 10 October 2013

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Transcript of Starbucks Case

Timeline: Development
2009
1971
1981
1983
1997
Facts
Ethical Sourcing
The Problem
fact#1
The tables are designed with solo diners in mind.
fact#2
Mission
Current status
-Headquarter in Seattle
- 160.000 employees
- 11.100 different coffees
- Luxury, status and premium pricing
- Sells a lifestyle

LOGO DEVELOPMENT:
1971
STARBUCKS TODAY
Starbucks was a single store in Seattle’s historic Pike Place Market
Howard Schultz tasted his first cup of coffee in Starbucks
Howard brought the Italian coffeehouse tradition back to the US
1987
Howard purchased Starbucks
to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time
1992
Starbucks completed initial public offering (IPO)
Starbucks Foundation was established
Starbucks became the world’s largest buyer of Fair Trade Certified TM coffee
1987
1994
1998
2002
2006
2013
17
425
1,886
5,886
12,440
>20,000
Number of shops worldwide
62 countries
Coffee Sourcing
Farmer Support
Cocoa Sourcing
Tea Sourcing
interesting
fact#3
fact#4
fact#5
A Starbucks grande coffee has 320 mg of caffeine which surprisingly contains over 4 times more caffeine than that found in a Red Bull energy drink.
=
The trenta, new size for iced drinks, is slightly greater than the capacity of stomach.
There is a secret size, a short, which is only 8 oz.
>
Starbucks uses over 93 million gallons of milk per year.
x155
Starbucks opens two or three new stores daily
In March 2005, Ethiopia filed with the U.S. Patent and Trademark Office to trademark the names of Yirgacheffe, Harrar and Sidamo
Unknown by the government, Starbucks had applied a year earlier to trademark Shirkina Sun-Dried Sidamo.
1987
1992
2011
Reference
1. Marie Bussing-Burks, (2009). Starbucks. 1st ed. Santa Barbara: ABC-CLIO.

2.Howard Schultz, (2011). Onward : how Starbucks fought for its life without losing its soul. 1st ed. Rodale.

3.Brynn Mannino. (n.d.). 9 things you didn't know about starbucks. Retrieved from http://www.womansday.com/food-recipes/9-things-you-didnt-know-about-starbucks-110283
4.Erkan. (2012). 10 most interesting facts about starbucks. The Most, Retrieved from http://www.themost10.com/interesting-facts-about-starbucks/

5.Meredith Lepore. (2011). 15 facts about starbucks that will blow your mind. Business Insider, Retrieved from http://www.businessinsider.com/15-facts-about-starbucks-that-will-blow-your-mind-2011-3?op=1
Nancy Carbajal
Gustavo Roselló
Guillermo Navarro
Larissa Lavandera
Cherise de Vries

Trademark
-any name
-word
-symbol
-design
or combination
-and it also indicates the source of the goods.
Represents:
Benefits for Government
In filing for the trademark, the Ethiopian government hoped to force coffee retailers into potentially lucrative licensing agreements
Nationwide notice of its trademark ownership, possible trademark registration in foreign countries, and exclusive use of the trademarked name
Benefits For Starbucks
Dilema
Until a decision had been made on Starbucks’ application, Ethiopia’s claim could not be processed.
Ethiopia requested that Starbucks drop its claim, but Starbucks was reluctant to do so, and suggested that Ethiopia apply for a different type of certification.
Decision
Suggestion
Criticism
About Starbucks’ position and questions regarding its supposed dedication to selling ethically produced and traded coffee.
Image
Starbucks found itself in a potential public relations nightmare, as it opposed an economic strategy devised by one of the world’s poorest countries.
Solution
Starbucks Agreed
To promote Ethiopia’s coffee in its stores.

It would recognize Ethiopia’s ownership of Yiracheffe, Harrar and Sidamo.

Lastly, Starbucks will open up a new agronomic center in Ethiopia, helping farmers.

In exchange, the company will not be subject to any royalties or licensing fees
Farmer Support
• In 2009, in partnership with Tranfair USA and the FLO, it launched the Small Farmer Sustainability Initiative (SFSI). Through the initiative, Starbucks and the FLO have committed to working together to offer a greater range of small-scale farmer support and capacity-building services.
August 2006
The USPTO approved Ethiopia’s trademark of Harrar.
In February 2008, it approved the Sidamo trademark.
Following approval, Ethiopia implemented a royalty-free licensing scheme, which required the licensee (coffee retailers) to sell Ethiopian specialty coffees using the registered trademarks and to promote Ethiopian fine coffee

- 19th most innovative company this year
- 21st most innovative company in 2012
- New technology and achieving a significant evolution

An innovative company
fact#6
Starbucks had 137,000 employees or “partners” as they call them in 2010. This is twice the population of Greenland.
Full transcript