Not Just a Cup of Joe: Starbucks’ a Successful Organizational Culture

Starbucks Coffee originated in 1971 as a coffee and tea café opening in a small neighborhood of Seattle, Washington (Starbucks Corporation, 2010). Starbucks continued its service for Seattle residents for a decade when the new director of retail operations and marketing, Howard Shultz, decided to make some beneficial changes to the company. After two years of employment Howard Shultz decided to expand Starbucks outside of the Seattle area. In 1987 Starbucks was entering in the coffee market and the few numbers of Starbucks were now becoming a corporation (Starbucks Corporation, 2010). Fast forwarding to current times, Starbucks is

Starbucks is rated as the number one World’s leading coffee distributor. Customers satisfactions are always be in the center of their business and the company works consistently to maintain it as customer look forward to a unique experience when visiting one of Starbuck stores. With over 12,000 stores worldwide, Starbucks has always aimed at achieving and maintaining competition in the industry.  Starbucks success reside in many factors :  the company is admire and respected worldwide,employees are recognized and respected for what they contribute to the success of the company. Open communication

The first Starbucks opened in 1971, in Seattle’s historic Pike Place Market. The name, inspired by Moby Dick. Howard Schultz (Starbucks chairman, president and chief executive officer) had first walked into a Starbucks store. “He had a vision to bring the Italian coffeehouse tradition back to the United States. A place for conversation and a sense of community.” A third place between work and home. From the beginning, Starbucks set out to be a different kind of company. One that not only celebrated coffee and the rich tradition, but that also brought a feeling of connection. ("Company Information | Starbucks Coffee

Partner satisfaction: Starbucks firmly believes that satisfying their employees in-turn satisfies the customers. They adopted a positive working environment to facilitate this.

Several key success factors exist for Starbucks, a leader in the coffee industry. They include

In 1971, Starbucks started as a small coffee shop which targeted a specialized market of coffee purists. Howard Schultz, who later owned the company and initiated the high growth period, joined Starbucks’ marketing team in 1982. Main concept of Schultz marketing strategy was too make Starbucks “America’s third place” considering home and work the two other places where Americans spend most of their time. In 1992, Schultz acquired Starbucks and made an initial public offering. Despite Wall Street’s doubts about the IPO, $25 million was raised by Starbucks.

Starbucks is a multinational firm that mainly sells roasted specialty coffee in its established retail stores. With headquarters in United States, Starbucks also operates in more than 50 countries across the world. The company was established in 1971 and has expanded its operations within the US borders consistently since then (Seaford & Brooks, 2012). One of the most significant drivers for the good performance of the entity prior to 21st century was good reputation as an organization that was socially responsible and willingness to cater for the interest of its stakeholders. Remarkably, the current status of Starbucks has been attained mainly through the support of its hardworking and committed employees. For the first three decades,

In 1971, Seattle Washington, three men joined together and founded the Starbucks Coffee Company. The three men responsible are Jerry Baldwin, Zev Siegel, and Gordon Bower. Starbucks was launched with the idea that coffee was brewed at home. Therefore, Starbucks only sold gourmet coffee beans and brewing/roasting necessities. Ten years later, Howard Shultz became interested in the company and in 1982 he was hired. Howard Shultz is responsible for bringing the idea of coffeehouse café to Starbucks. What began as one small coffee shop in Seattle has grown to over “8,000 stores in over 30 countries and annual revenues in excess of $7.5 billion” (Wilson, 2005).

from a small local store to its current global enterprise. Starbucks has strategic partners all over

According to Gulati, Huffman, and Neilson (2002), Starbucks proves relationships is an important asset for growth. Starbucks is a relationship-centric organization which relationship is act as a core asset of the firm. This asset is called “relational capital”, which indicates the value of a firm’s network of relationship with stakeholders such as customers, suppliers, alliance partners, and employees. Alliances Starbucks had made with its partners are one of the main cause Starbucks has become well-known brand and coffee leading company in the world.

The internal business measures Starbucks wishes to change must work in coordination with the other objectives presented in previous assignments. Although, each objective must stand on its own, they must fit like gears to promote a seamless and smooth change. When objectives step on each other in terms of priority, it is important for leadership to step in and recognize this disconnect and offer balanced solutions that can find ways to allow all objectives to be met.

Recommend the key components of Starbucks ' Organizational Culture that add to its accomplishment in a worldwide economy. Demonstrate administration 's part with making and managing the authoritative society.

As Starbucks continues to expand, more profits and more risks are in store. The corporation’s brand and reputation may be put at risk as the quality of the products supplied by third parties is outside of the company’s control (―Starbucks Corporation Fiscal 2009 Annual Report‖, 20). Partnering with farmers and suppliers meant letting go of control over the quality of certain products. In order to retain customers and protect their brand, Starbucks must establish and maintain effective working relationships with reputable farmers and suppliers, which could increase costs.

- Employee Loyalty—Starbucks’ partners are their greatest assets. They empower their employees, allowing them to make their customers’ experiences memorable and satisfactory.

The Starbucks Corporation significantly utilizes alliances to expand market reach, improve product image, and develop greater company profitability. Starbucks, due to their market position and attributes, applies a Differentiation Focus strategy as defined by Porter’s Generic Market Theory. A review of Starbucks Corporation’s marketing strategies and alliance strategies trying to build up the brand .