How The Governments Have A Specific Impact On The Company And Its Industry

1767 WordsDec 4, 20158 Pages
A discussion of how the governments have a specific impact on the company and its industry. Starbucks like many corporations are registered with the government. Every, business no matter how big or small is taxed by the government. Recently in Europe, specifically in Amsterdam the Dutch government wants Starbucks to pay back millions of dollars. Starbucks originally struck an agreement that lowered the amount that they would have to pay in taxes. Now the Netherlands are told to take anywhere from 20 to 30 million euros in taxes from the coffee giant. However Starbucks have appealed the European Union’s decision on having to paying this many taxes. To put this large sum of euros in perspective, about $1 American equals about 0.9446 Euros (Deutsch). That is a huge sum to be wanting back, after Starbucks Corporation struck a deal to avoid paying those taxes. Another recent story that has hit the net, is that in the United States approximately 70 Starbucks locations are gearing up to serve alcohol. Starbucks is attempting to expand their brand, by offering “evening programs”. This would include a variety of wines and beers, plus alcohol appropriate snacks. Snacks such as crackers and cheese, plus other dishes (Smith,2015 ). The government can have an impact on Starbucks and its venture to try and offer alcohol, especially if the company tries to take this venture beyond the United States. Canada for example has different alcohol laws, than its neighbor. This in turn can
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