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Seminar Three JournalEthics and Professional Code of Conduct

Starbucks’ Structure

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Everybody knows the Starbucks coffee house chain. This is the real worldwide company, which gathered more than a dozen countries that producing coffee. Types of coffee used in Starbucks are grown in the Oceania, Latin America, Arabia and Africa. That is why drink has a unique taste because of differences in climate and soil. Starbucks coffee for many Americans is the third most visited place after home and work. In Starbucks cafe guests are offered coffee, hot and cold drinks, sandwiches, snacks and cakes. Coffee house chains have spread to 50 countries and brought together 17,000 stores. Most of them are located in the U.S. (11 000), in Canada (more than 1,000) and the UK (more than 700).

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Starbucks story began in 1971. Two teachers, Zev Ridge and Jerry Baldwin with a writer Gordon Bowker combined their finances and bought a little shop which they opened in Seattle (Washington). It was the first shop that sold premium coffee beans and cooking appliances for the homemade coffee. The name for the store was taken from the novel “Moby Dick”. Founders of Starbucks Corporation also had a creative approach to make a logo. On it was a picture of a topless siren, beautiful and mythical girl who was supposed to symbolize the distant country, coffee of which were brought for Starbucks shops. Later siren chest was covered with long curls, although the first store of the company logo was preserved in its original form.

An idea to open a chain of cafes had come to Howard during a trip to Milan, which was famous for its Italian coffee shops. However, two American teachers and writer honored tradition and believed that real coffee can be boiled only at home. Schultz was so passionate about his idea and believed in the success; in 1985, he opened his own coffeehouse II Gionale. Moreover, Starbucks hasbeen a co-investor of the institution. Two years later founders of Starbuck’s decided to transit to Peet's Coffee because it is more in line with world ideology of Starbuck’s founders. Howard Schultz bought Starbucks for $ 4 million and renamed it the Starbucks Corporation.

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People who work with Schulz say about his ability to react quickly to circumstances that may be changed. President of Starbucks monitors market trends and always know what the clients will want to see soon in his coffee house. The Starbucks franchise helped Schultz to realize his dream and to build a cafe in the U.S. on every corner. Successful businessman concerned not only about sales volume, but also wanted to create a exceptional atmosphere in each institution. Unique interior in coffee is a merit of the design team and Howard Schultz. In addition, the menu always includes special dishes that are typical for a certain nationality. This does not prevent the standardization imposed by the company; the main range of products is the same.

Unlike other cafes, the main in the menu of Starbucks is coffee. Somebody enjoys the atmosphere of cafes, sitting there for a long time; others buy a hot drink to drink it on the way to work. Fortunately, that paper cups do not burn people’s hands. Customers of Starbucks are businessmen, students and people with laptops. Availability of Wi-Fi attracts bloggers and freelancers, and podcasters who edit sound files. Music plays in all stores. There is a single server translating the lyrics to the entire Starbuck’s coffee house chains. This means that if the coffee house situated in Chicago sounds one of the melodies, it is currently listening to in Seattle. This love of music in 2007 led Schultz to the agreement with Apple. Owners of iPhone and iPod Touch have the opportunity to purchase the favorite songs ussing a special application that allows making a purchase in iTunes Store (online store digital content).

Almost all employees of Starbucks are satisfied with their work, but there are also advantages and disadvantages. In Starbucks exist special training, which is paid by the Company, and it is an interesting experience to work there. Person who work there have an opportunity to give positive all day to everyone who comes into the coffee house. Company provides with the ability to work flexible hours; employee can make a career. Starbucks creates a nice atmosphere and one may work with a good and friendly staff. There are also some disadvantages, for example, employee had to do all work from cleaning floors and toilets to the promoter work (advertise different stuff like cups, spoons etc.). Also, his obligation includes carrying garbage bags, unloading merchandise and washing dishes. It is not easy job although if working staff consists of girls. It can be advised to the Company to hire cleaners and increase fee.

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Starbucks is probably the only institution of this kind, which are not ashamed to work a young man in. Being a barista in some way is prestigious. Although this is a hard work which require a lot of energy, but, according to the company, one should try it to feel the amazing atmosphere of Starbucks.

The economic crisis is one of the causes of the problems in Starbucks. After all, the coffee in this coffee house is frankly expensive. In addition, to form the current situation, internal problems within the company contributed to its current status. Not long ago, Howard Schultz said that he returns to Starbuck’s to solve problems, which is mired in the Company. Now Starbucks is not in the best situation, but probably soon the Company will make every effort to get out of the crisis.

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