Business Strategy And Potential Issues

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Ch. 1 Current Business Strategy and Potential Issues Starbucks, which opened its first coffee shop in 1971 in Seattle, Washington, has grown to be a coffeehouse giant domestically and internationally. Nearly 45 years later, this well-known company has over 22,000 retail stores and is continuing to capture the hearts of coffee-lovers. Today, Starbucks’ products include coffee, handcrafted beverages, merchandise, fresh food, and consumer products. The company went public (SBUX) on June 26, 1992, trading at $17 per share and currently trades at approximately $57 per share. Headquartered in Seattle, Washington, Starbucks’ is run by founder, chairman, and CEO Howard Schultz and employs 191,000 individuals full time (Starbucks Company…show more content…
 Delivering our very best in all we do, holding ourselves accountable for results. We are performance driven, through the lens of humanity (Our Mission). Starbucks’ Board of Directors consists of 12 members and is required to meet at least five times per fiscal year. “The Board of Directors (the “Board”) of Starbucks Corporation (the “Company”) is responsible for overseeing the exercise of corporate powers and ensuring that the Company’s business and affairs are managed to meet its stated goals and objectives and that the long-term interests of the shareholders are served” (Corporate Governance Principles and Practices). It is the responsibility of the Board of Directors to assure that management is acting in the best interest of the Company and its shareholders. In doing so, the Board has two legal obligations: the duty of care and the duty of loyalty. The duty of care requires that members of the Board are attentive during decision-making and supervising the Company’s management. The duty of loyalty involves Board members keeping the best interests of the Company and its shareholders (not personal interests) in mind during decision-making (Corporate Governance Principles and Practices). When elections are uncontested, the Company utilizes majority voting procedures, where nominees are elected if they receive more “for” than “against” votes. In addition, “a Board member must retire immediately before the Company’s annual meeting of shareholders
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