I’ll go to Starbucks with my dad and do my homework while drinking delicious drinks! Who spread this Starbucks to the world so much?
I will answer these questions.
There is a person who is said to be one of America’s leading business executives, who succeeded in global expansion of a coffee chain that was said to be ‘impossible’, and also succeeded in reviving a company that once fell into a difficult situation.
“We are not developing a coffee business. We are developing a ‘people business’ that provides coffee.”
Howard Schultz used his indomitable spirit to bring Starbucks coffee to the world
This article is about Howard, who became CEO of Starbucks after encountering Starbucks coffee, and grew it from six stores and less than 100 employees to 1,300 stores and more than 25,000 employees in 10 years. ・Introducing the trajectory from Schultz’s encounter with Starbucks to the coffee empire that spread to the world.
Howard Schultz Starbucks Founder Meeting
What’s your name today?
I am here because you are here
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Howard was the vice president of a certain company. One day, a small business placed a large order for coffee makers.
“Why do you use such a coffee maker from such a small company?” Mr. Howard will visit the company. The name of the company is Starbucks Coffee Tea Spice.
Then I was shocked by the coffee I was given there.
While Howard listens to various stories there, he completely falls in love with Starbucks.
At that time, Starbucks had three partners. They established Starbucks with the desire to deliver truly delicious coffee to just those people who love coffee.
Their store prospered more than expected, and their reputation continued to rise.
Howard Schultz decided to move to Starbucks
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Howard begins to feel strongly that he wants to give up his current position, high salary, etc. to work with them at Starbucks.
And I will have the opportunity to have dinner with the founders and convey Howard’s thoughts…
Starbucks has endless possibilities. Starbucks can get bigger. More people are addicted to Starbucks coffee. It is possible to become a large company with hundreds of stores.
However, the next day, I received a phone call from one of the founders, Jerry, and the answer was “No.”
The founders were reluctant to accept Howard into Starbucks.
Instead of fascinated the three of them, I made them flinch. They are afraid that the company will be destroyed. I was not the right person. It was like a bride who was run away by the groom in the middle of the wedding ceremony. The shock was so great that I could not gather my thoughts for a while.
Unable to give up, Howard calls Jerry the next day and passionately argues that his knowledge of marketing and sales will have a great impact on Starbucks.
Jerry says he will spend the night thinking about Howard’s allegations.
The next morning he got a call from Jerry, who was very positive about working with him.
Without those encounters, Howard would never have joined Starbucks.
In 1982, at the age of 29, Howard joined the company as director of marketing.
Howard Schultz Acquisition of Starbucks
Starbucks and other coffee shops weren’t what they are today, Starbucks was just a shop selling roasted coffee beans.
In 1983, Howard visited Italy and noticed little espresso bars scattered around the city.
A friendly voice rang out from behind the counter, and the barista gracefully poured an espresso and handed me a cup. A cozy atmosphere permeated the bar. Howard is surprised at this moment.
“This is not just a place to have coffee and take a break.
Howard changed the style from a store that sells coffee beans to a store where customers drink coffee.
But Howard and his co-founders didn’t get along when it came to changing to a coffee-drinking style. Jerry saw Starbucks as a retailer.
Howard is leaving Starbucks.
He made up his mind to quit Starbucks and started a company to create a coffee shop of his dreams. After that Howard grew into a popular coffee shop, even though he struggled many times to raise funds.
The following year, word came in that the Starbucks founders would sell their store, roastery and trademark. Upon hearing this, Howard immediately decided to buy Starbucks, raking in $3.8 million from investors. He puts up a Starbucks sign in his store.
That was the beginning of today’s Starbucks, and from here began the story of miracles.
What is Howard Schultz’s Starbucks location?
“Why is Starbucks so popular? Above all, customers feel that it is their place. Secondly, high-quality coffee. I think it’s because I exceeded my expectations.”
Howard wanted more than just a coffee shop. A “third place” that is not home, work or school. It was a place to rediscover myself.
The most important thing in a place where you can rediscover yourself is people who can create a comfortable atmosphere and high-quality coffee. Above all, Howard valued the employees he called his partners.
That’s why it was a “people business”.
It’s a chance to meet such a good thing! The way he acts without hesitation when he feels something is very similar to Ray Kroc, the founder of McDonald’s, who was mentioned earlier!
The road to business success learned from McDonald’s founder “Lake Rock” 【Foundation of the hamburger empire】
Howard Schultz Must Love Starbucks
Howard enforced corporate policy. He doesn’t just value people. So did his stance of not losing ethics and integrity in the name of profit. That’s why the best people gathered, and the customers supported it.
Starbucks grows steadily and goes public. Once Howard stepped down as CEO in 2000 and handed over to his successor, it seemed like the company continued to thrive, but it didn’t.
“The company made a mistake. It grew out of control.
Unreasonable store openings have created various problems. Lack of human resources, declining quality, and product development that bends Starbucks policies. The sale of snacks that spoil the aroma of coffee filled the store with the smell of burnt cheese. Declining brand power
In 2008, Howard will return as CEO. Everyone thought a Starbucks revival was impossible. However, the United States is shocked by the reforms that have been launched.
All 7,100 stores across the United States were temporarily closed at once. The purpose is to re-educate all baristas who brew coffee. But it gets even worse. Despite losing millions of dollars, Howard continues to reform.
Products that interfere with the aroma of coffee are abolished. Acquisition of a company to improve coffee machines. A new course of action… In the end, about 600 stores were closed and about 1,800 people were laid off. A company that values people above all else has made a difficult decision.
“A brand must be loved. To do that, the employees must love the company first. That creates great power. The most important thing is the love of the workplace.”
In just two years, the company has made an astounding recovery, posting record sales in a few years. He accomplished another miracle that everyone thought was impossible.
“Companies have a mission to change the world. Some people may think that this is not the role of companies, but I believe that the role of companies is changing.”
“You should be aware of the little things,” Howard said, even in a foreign land to reach out to those in need.
Companies that do the right thing will have people and profits. Starbucks did just that.
I would be happy if you could refer to it even a little.
Thank you for reading to the end.