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Starbucks purchases and roasts whole bean coffees and sells them, along with handcrafted coffee and tea beverages and a variety of fresh food items, through Company-operated retail stores. It also sells coffee and tea products and license its trademarks through other channels, such as licensed retail stores and, through certain of its licensees and equity investees, the Company produces and sells a variety of ready-to-drink beverages. In addition to its flagship Starbucks brand, its portfolio includes brands, such as Tazo Tea, Seattles Best Coffee, and Starbucks VIA Ready Brew. Starbucks has three operating segments: United States (US), International, and Global Consumer Products Group (CPG). In October 2010, the Company acquired Magic Johnson Enterprises remaining 50% interest in Urban Coffee Opportunities.
Starbucks
From Wikipedia, the free encyclopedia Jump to: navigation, search For other uses, see Moby-Dick#Starbuck. Starbucks Corporation
Type Traded as
Public company NASDAQ: SBUX NASDAQ-100 Component S&P 500 Component Restaurants Retail coffee and tea Retail beverages Entertainment Pike Place Market in Seattle, Washington (March 30, 1971) Jerry Baldwin Gordon Bowker Zev Siegl Seattle, Washington, U.S. 19,435 (Mar 2012)[1] 58 countries (Mar 2012) Howard Schultz
Industry
Products
Whole bean coffee Boxed tea Made-to-order beverages Bottled beverages Baked goods Merchandise Frappuccino beverages Smoothies Coffee US$ 10.71 billion (FY 2010)[2] US$ 1.42 billion (FY 2010)[2] US$ 945.6 million (FY 2010)[2] US$ 6.38 billion (FY 2010)[2] US$ 3.68 billion (FY 2010)[2] 149,000 (2011)[3] Starbucks Coffee Company Tazo Tea Company Seattle's Best Coffee Torrefazione Italia Hear Music Ethos Water Evolution Fresh Starbucks.com
Services Revenue Operating income Net income Total assets Total equity Employees
Subsidiaries
Website
Starbucks Corporation (NASDAQ: SBUX) is an international coffee company and coffeehouse chain based in Seattle, Washington. Starbucks is the largest coffeehouse company in the world, with 19,435 stores in 58 countries, including 12,781 in the United States, 1,241 in Canada, 1,062 in Japan, 976 in Great Britain and 645 in China.[1] Starbucks sells drip brewed coffee, espresso-based hot drinks, other hot and cold drinks, coffee beans, salads, hot and cold sandwiches and panini, pastries, snacks, and items such as mugs and tumblers. Through the Starbucks Entertainment division and Hear Music brand, the company also markets books, music, and film. Many of the company's products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered at grocery stores. From Starbucks' founding in later forms in Seattle as a local coffee bean roaster and retailer, the company has expanded rapidly. In the 1990s, Starbucks was opening a new store every workday, a pace that continued into the 2000s. The first store outside the United States or Canada opened in the mid-1990s, and overseas stores now constitute almost one third of Starbucks' stores.[4] The company planned to open a net of 900 new stores outside of the United States in 2009,[5] but has announced 300 store closures in the United States since 2008.[6]
Contents
[hide]
1 History o 1.1 Founding o 1.2 Sale and expansion o 1.3 International expansion 1.3.1 1996 to 2006 1.3.2 2007 to present o 1.4 Restaurant experiment o 1.5 Corporate governance o 1.6 Recent changes o 1.7 VIA "Ready Brew" instant coffee o 1.8 Store closures o 1.9 Unbranded stores o 1.10 2009 New York City bombing o 1.11 Peet's in discussions to sell itself to Starbucks o 1.12 Juice bars 2 Intellectual property o 2.1 Name 2.1.1 International names o 2.2 Logo o 2.3 Parodies and infringements 3 Corporate social responsibility o 3.1 Environmental impact 3.1.1 Recycling o 3.2 Fair trade o 3.3 Ethos water o 3.4 Product Red o 3.5 New Orleans o 3.6 Sparkhope o 3.7 Starbucks Foundation o 3.8 Community o 3.9 Youth Action o 3.10 Green Building 4 Criticism and controversy o 4.1 Market strategy o 4.2 Labor disputes o 4.3 Opening without planning permission o 4.4 Hoax letter about Israel and violent responses o 4.5 "The Way I See It" o 4.6 US military viral email o 4.7 Coffee quality o 4.8 Wasting water o 4.9 Gun Controversy 5 Music, film, and television o 5.1 Partnership with Apple o 5.2 Partnership with MSNBC
[edit] History
The Starbucks store at 1912 Pike Place. This is the second location of the original Starbucks, which was at 2000 Western Avenue from 1971 to 1976.
[edit] Founding
The first Starbucks opened in Seattle, Washington, on March 30, 1971 by three partners: English teacher Jerry Baldwin, history teacher Zev Siegl, and writer Gordon Bowker. The three were inspired by entrepreneur Alfred Peet (whom they knew personally) to sell highquality coffee beans and equipment.[7] The name is taken from Moby-Dick; after Pequod was rejected by one of the co-founders, the company was named after the chief mate on the Pequod, Starbuck. From 19711976, the first Starbucks was at 2000 Western Avenue; it then was relocated to 1912 Pike Place, where it remains to this day. During their first year of operation, they purchased green coffee beans from Peet's, then began buying directly from growers.
The Starbucks Center, Seattle. The company HQ, in the old Sears, Roebuck and Co. catalog distribution center building
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[edit] 1996 to 2006 The first Starbucks location outside North America opened in Tokyo, Japan, in 1996. Starbucks entered the U.K. market in 1998 with the $83 million[8] acquisition of the then 60outlet, UK-based Seattle Coffee Company, re-branding all the stores as Starbucks. In September 2002 Starbucks opened its first store in Latin America, in Mexico City. In April 2003, Starbucks completed the purchase of Seattle's Best Coffee and Torrefazione Italia from AFC Enterprises, bringing the total number of Starbucks-operated locations worldwide to more than 6,400. On September 14, 2006, rival Diedrich Coffee announced that it would sell most of its company-owned retail stores to Starbucks. This sale includes the company-owned locations of the Oregon-based Coffee People chain. Starbucks converted the Diedrich Coffee and Coffee People locations to Starbucks, although the Portland airport Coffee People locations were excluded from the sale.[9] In August 2003 Starbucks opened its first store in South America in Lima, Peru. In March 2011 Starbucks opened its third restaurant in Central America and its first in Guatemala City, Guatemala.[10]
[edit] 2007 to present The Starbucks location in the former imperial palace in Beijing closed in July 2007. The coffee shop had been a source of ongoing controversy since its opening in 2000 with protesters objecting that the presence of the American chain in this location "was trampling on Chinese culture."[11][12][13][14] Also in 2007, the company opened its first store in Russia, ten years after first registering a trademark there.[15] In 2008, Starbucks continued its expansion, settling in Argentina, Belgium, Bulgaria, the Czech Republic and Portugal.[16] European and Scandinavian expansion continued in 2009 with Poland (April),[17] Utrecht, Netherlands (August), and Sweden at Arlanda airport outside Stockholm (October).[18] In 2010 the growth in new markets continued. In May 2010, Southern Sun Hotels South Africa announced that they had signed an agreement with Starbucks that would enable them to brew Starbucks coffees in select Southern Sun and Tsonga Sun hotels in South Africa. The agreement was partially reached in order for Starbucks coffees to be served in the country in time for the commencement of the 2010 FIFA World Cup hosted by South Africa.[19] In June 2010, Starbucks opened its first store in Budapest, Hungary and in November the company opened the first Central American store in El Salvador's capital, San Salvador.[20] In December 2010, Starbucks debuted their first ever Starbucks at sea, where with a partnership with Royal Caribbean International; Starbucks opened a shop aboard their Allure of the Seas Royal Caribbean's largest ship, and also the largest ship in the world.[21] In November 2011, the Oasis of the Seas also featured a Starbucks.[21] Starbucks is planning to open its third African location, after Egypt and South Africa, in Algeria. A partnership with Algerian food company Cevital will see Starbucks open its first Algerian store in Algiers.[22] In January 2011, Starbucks and Tata Coffee, Asia's largest coffee plantation company, announced plans for a strategic alliance to bring Starbucks to India and also to source and roast coffee beans at Tata Coffee's Kodagu facility.[23] Despite a false start in 2007,[24] in January 2012 Starbucks finally announced a 50/50 joint venture with Tata Global Beverages Limited which will own and operate as Starbucks Coffee A Tata Alliance.[25] Starbucks is expected to open its first store in India in either Mumbai or Delhi in September 2012. In February 2011, Starbucks officially started selling their coffee in Norway, the first Norwegian shop will open 8th February 2012 at Oslo lufthavn, Gardermoen. Instead they supply Norwegian food shops with Starbucks. In October 2011, Starbucks opened another location in Beijing, China, at the Beijing Capital International Airport's Terminal 3, international departures hall; making the company's 500th store in China. The store is the 7th location at the airport. The company plans to expand to 1,500 stores in China by 2015.[26] Many bookstores have Starbucks licensed stores within them, including Barnes & Noble in the United States, Chapters-Indigo in Canada (company operated), Jarir Bookstores in Saudi Arabia, Livraria Saraiva, Fnac in Brazil and B2S in Thailand.
One Starbucks location in Hong Kong uses a retro Bing Sutt design
Starbucks in Beirut
Howard Schultz, CEO of Starbucks Orin C. Smith was President and CEO of Starbucks from 2001 to 2005. Starbucks' chairman, Howard Schultz, has talked about making sure growth does not dilute the company's culture[28] and the common goal of the company's leadership to act like a small company. In January 2008, Chairman Howard Schultz resumed his roles as President and CEO after an eight year hiatus, replacing Jim Donald, who took the posts in 2005 but was asked to step down after sales slowed in 2007. Schultz aims to restore what he calls the "distinctive Starbucks experience" in the face of rapid expansion. Analysts believe that Schultz must determine how to contend with higher materials prices and enhanced competition from lowerprice fast food chains, including McDonald's and Dunkin' Donuts. Starbucks announced it will discontinue its warm breakfast sandwich products, originally intended to launch nationwide in 2008, in order to refocus the brand on coffee, but the sandwiches were reformulated to deal with complaints and the product line stayed.[29] On February 23, 2008, Starbucks closed its stores from 5:309:00 pm local time to train its baristas.[30][31]
In March 2008, Schultz made several announcements to Starbucks shareholders. Schultz introduced Starbucks' "state of the art espresso system",[32] the Thermoplan AG manufactured Mastrena, which replaced their previous superauto, the Thermoplan Verismo 801 (known internationally as the Thermoplan Black & White). Though discouraged by corporate, small businesses have since acquired the Starbucks discarded Thermoplan Verismo 801s and refurbished/recycled them back into the coffee market. Starbucks also announced that the company hopes to enter the energy drink market. Pre-ground beans will no longer be used, so that the grinding of whole bean coffee will "bring aroma, romance and theater" to American stores. The company also announced the acquisition of The Coffee Equipment Company,[32] the manufacturer of the Clover Brewing System. They are currently test marketing this "fresh-pressed" coffee system at several Starbucks locations in Seattle, California, and Boston.[33]
A typical sales area, this one in Peterborough, UK, showing a display of food and the beverage preparation area Starbucks stopped using milk originating from rBGH-treated cows in 2007.[34] In early 2008, Starbucks started a community website, My Starbucks Idea, designed to collect suggestions and feedback from customers. Other users comment and vote on suggestions. Journalist Jack Schofield noted that "My Starbucks seems to be all sweetness and light at the moment, which I don't think is possible without quite a lot of censorship". The website is powered by the Salesforce software.[35] In May 2008, a loyalty program was introduced for registered users of the Starbucks Card (previously simply a gift card) offering perks such as free Wi-Fi Internet access, no charge for soy milk & flavored syrups, and free refills on brewed drip coffee.[36] Free Wi-Fi Internet access varies in different regions. US & Canadian card holders can access 2 hours of Internet access through AT&T in the United States and through Bell Canada within Canada. In Germany customers can get 2 hour of free Wi-Fi through BT Openzone, and in Switzerland and Austria customers can get 30 minutes with a voucher card (through T-Mobile). In June 2009, the company announced that it will be overhauling its menu and selling salads and baked goods without high-fructose corn syrup or artificial ingredients.[37] The move is expected to attract health- and cost-conscious consumers and will not affect prices.[37] At least three stores in Seattle were "debranded" to remove the logo and brand name, and remodel the stores as local coffee houses "inspired by Starbucks."[38][39] The first, 15th Avenue Coffee and Tea, opened in July on Capitol Hill after Starbucks employees visited local coffee houses to look around. It serves wine and beer, and plans to host live music and poetry readings.[40][41] The practice has been criticized as "local-washing", similar to greenwashing.[42]
In September 2009, Starbucks in the UK rolled out free Wi-Fi at most of its outlets, working with its Wi-Fi partner BT Openzone. Customers with a Starbucks Card will be able to log-on to the Wi-Fi in-store for free with their card details, thereby bringing the benefits of the loyalty program in-line with the United States.[43] Beginning in July 2010, Starbucks plans to offer free Wi-Fi in all of its US stores via AT&T and information through a partnership with Yahoo!. This is an effort to be more competitive against local chains, which have long offered free Wi-Fi, and against McDonald's, which began offering free wireless internet access in 2010.[44] On June 30, 2010, Starbucks announced it would begin to offer unlimited and free Internet access via Wi-Fi to customers in all company-owned locations across Canada starting on July 1, 2010.[45] A store in Seattle known for its use of the corporation's new ideas will reopen in the fall of 2010 with modifications to the interior decorating and the addition of wine from Pacific Northwest vineyards. The espresso machines will be in the middle of the store to create what Starbucks calls a "coffee theater".[46]
had received board approval to reduce his salary.[55] Altogether, from February 2008 to January 2009, Starbucks terminated an estimated 18,400 U.S. jobs and began closing 977 stores worldwide.[56] In August 2009, Ahold announced closures and rebranding for 43 of their licensed store Starbucks kiosks for their US based Stop & Shop and Giant supermarkets. However, Ahold has not yet abandoned the licensed Starbucks concept; they plan to open 5 new licensed stores by the end of 2009.[57][58]
The store in Insadong, Seoul, South Korea with Hangeul script sign
Starbucks Coffee () in mainland China Starbucks U.S. Brands, LLC, is a Starbucks-owned company that currently holds approximately 120 Starbucks Coffee Company patents and trademarks. It is located at 2525 Starbucks Way in Minden, Nevada.[68]
[edit] Name
The company is named in part after Starbuck, Captain Ahab's first mate in the novel MobyDick, as well as a turn-of-the-century mining camp (Starbo or Storbo) on Mount Rainier. According to Howard Schultz's book Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time, the name of the company was derived from Moby-Dick, although not in as direct a fashion as many assume. Gordon Bowker liked the name "Pequod" (the ship in the novel), but his then creative partner Terry Heckler responded, "No one's going to drink a cup of Pee-quod!" Heckler suggested "Starbo". Brainstorming with these two ideas resulted in the company being named after the Pequod's first mate, Starbuck.[69] [edit] International names Starbucks is known internationally by the following names:
Arabic-speaking countries: ( transliteration: Strbaks) Bulgaria: (transliteration: Starbks) China, Hong Kong, Macau, Taiwan: Pinyin: xngbk ( xng means "star", while is a transliteration of "-bucks") Israel: Hebrew: ( transliteration: srbaqs)
Japan: (transliteration: sutbakkusu), and the abbreviation is also used in slang Russia: (transliteration: Starbaks) South Korea: (transliteration: seutabeokseu), but the Korean translation (star-teahouse) is also used in slang Quebec, Canada: Caf Starbucks Coffee[70] Thailand: pronounced [stbk]
[edit] Logo
In 2006, Valerie O'Neil, a Starbucks spokeswoman, said that the logo is an image of a "twintailed siren".[71] The logo has been significantly streamlined over the years. In the first version, which was based on a 16th-century "Norse" woodcut,[69] the Starbucks siren was topless and had a fully visible double fish tail.[72] The image also had a rough visual texture and has been likened to a melusine.[73] In the second version, which was used from 198792, her breasts were covered by her flowing hair, but her navel was still visible. The fish tail was cropped slightly, and the primary color was changed from brown to green, a nod to Bowker's Alma Mater, the University of San Francisco.[74] In the third version, used between 1992 and 2011, her navel and breasts are not visible at all, and only vestiges remain of the fish tails. The original "woodcut" logo has been moved to the Starbucks' Headquarters in Seattle. At the beginning of September 2006 and then again in early 2008, Starbucks temporarily reintroduced its original brown logo on paper hot-drink cups. Starbucks has stated that this was done to show the company's heritage from the Pacific Northwest and to celebrate 35 years of business. The vintage logo sparked some controversy due in part to the siren's bare breasts,[75] but the temporary switch garnered little attention from the media. Starbucks had drawn similar criticism when they reintroduced the vintage logo in 2006.[76] The logo was altered when Starbucks entered the Saudi Arabian market in 2000 to remove the siren, leaving only her crown,[77] as reported in a Pulitzer Prize-winning column by Colbert I. King in The Washington Post in 2002. The company announced three months later that it would be using the international logo in Saudi Arabia.[78] In January 2011, Starbucks announced that they would make small changes to the company's logo, removing the Starbucks wordmark around the siren, enlarging the siren image, and making it green.[79]
Green logo used from 1987-2010, still being used as a secondary logo.
In 2003, Starbucks sent a cease-and-desist letter to "HaidaBucks Coffee House" in Masset, British Columbia, Canada. The store was owned by a group of young Haida men, commonly referred to as "bucks." After facing criticism, Starbucks dropped its demand after HaidaBucks dropped "coffee house" from its name.[89] Other cases have gone against the company. In 2005 Starbucks lost a trademark infringement case against a smaller coffee vendor in South Korea that operates coffee stations under the name Starpreya. The company, Elpreya, says Starpreya is named after the Norse goddess, Freja, with the letters of that name changed to ease pronunciation by Koreans. The court rejected Starbucks' claim that the logo of Starpreya is too similar to their own logo.[90] A bar owner in Galveston, Texas, USA won the right to sell "Star Bock Beer" after a lawsuit by Starbucks in 2003 after he registered the name, but the 2005 federal court ruling also stated that the sale of the beer must be restricted to Galveston, a ruling upheld by the Supreme Court in 2007.[91] Ongoing cases include a dispute over the copyright application for Seattles Rat City Rollergirls logo in 2008[92] The company claimed the roller derby leagues logo by a Washington artist[93] was too similar to its own. Starbucks requested an extension to further examine the issue and possibly issue a complaint, which was granted by the Trademark Office. The July 16, 2008 deadline passed without action by the corporation.[94] Starbucks launched action against an Indian cosmetics business run by Shahnaz Husain, after she applied to register the name Starstruck for use with coffee and related products. She said her aim was to open a chain of stores selling coffee and chocolate-based cosmetics.[88] Others have used the Starbucks logo unaltered and without permission, such as a caf in Pakistan that used the logo in 2003 in its advertisements[95] and a cafe in Cambodia in 2009, the owner saying that "whatever we have done we have done within the law".[96]
In 1999, Starbucks started "Grounds for your Garden" to make their business more environmentally-friendly. This gives leftover coffee grounds to anyone requesting it for composting. Although not all stores and regions participate, customers can request and lobby their local store to begin the practice. In 2004, Starbucks began reducing the size of their paper napkins and store garbage bags, and lightening their solid waste production by 816.5 metric tons (1.8 million pounds).[98] In 2008, Starbucks was ranked No.15 on the U.S. Environmental Protection Agency's list of Top 25 Green Power Partners for purchases of renewable energy.[99] In October 2008, The Sun newspaper reported that Starbucks was wasting 23.4 million litres of water a day by leaving a tap constantly running for rinsing utensils in a 'dipper well' in each of its stores,[100] but this is often required by governmental public health code.[101] In June 2009, in response to concerns over its excessive water consumption, Starbucks reevaluated its use of the dipper well system. In September 2009, company-operated Starbucks stores in Canada & the United States successfully implemented a new water saving solution that meets government health standards. Different types of milk are given a dedicated spoon that remains in the pitcher and the dipper wells were replaced with push button metered faucets for rinsing. This will reportedly save up to 150 gallons of water per day in every store.[citation needed]
A bin overflowing with Starbucks cups [edit] Recycling The U.S. Food and Drug Administration granted the first-ever approval to use recycled content in food packaging for Starbucks coffee cups. In 2005 Starbucks received the National Recycling Coalition Recycling Works Award.[102] Starbucks bought 2.5 billion cups for stores in North America in 2007. The 10% recycled paper cups used by Starbucks are not recyclable, because the plastic coating that prevents the cup from leaking also prevents it from being recycled. The plastic cups used for cold drinks are also non-recyclable in most regions. Starbucks cups were originally made using plastic No.1 (polyethylene terephthalate, PETE) but were changed to plastic No.5 (polypropylene, PP). The former type of plastic can be recycled in most regions of the U.S. whereas the latter
cannot. Starbucks is considering using biodegradable material instead of plastic to line the cups, and is testing composting of the existing cups. The exception to this is stores in Winnipeg, Manitoba, Canada, where paper cups are recycled to a local company called "Wriggler's Wranch", where they are composted. The majority of Starbucks stores do not have recycling bins; only 1/3 of company-owned stores recycled any materials in 2007,[103] however improvements have since been made and recycling bins are popping up in more stores (the only thing hindering Starbucks' ability to have bins in every store is the lack of facilities for storage and collection of recycling in certain areas.)[citation needed] Allen Hershkowitz of the Natural Resources Defense Council says that Starbucks claimed they were using only 10% recycled material partly because the recycled material costs more.[104] Starbucks gives customers a 10-cent discount when they bring their own reusable cup, and it now uses corrugated cup sleeves made from 60 percent post-consumer recycled fiber.[103]
Starbucks coffee beans In 2000, the company introduced a line of fair trade products.[105] Of the approximately 136,000 metric tons (300 million pounds) of coffee Starbucks purchased in 2006, only about 6% was certified as fair trade.[106] According to Starbucks, they purchased 2,180 metric tons (4.8 million pounds) of Certified Fair Trade coffee in fiscal year 2004 and 5,220 metric tons (11.5 million pounds) in 2005. They have become the largest buyer of Certified Fair Trade coffee in North America (10% of the global market). Transfair USA,[107] a third-party certifier of Fair Trade Certified coffee in the United States, has noted the impact Starbucks has made in the area of Fair Trade and coffee farmer's lives: Since launching {its} FTC coffee line in 2000, Starbucks has undeniably made a significant contribution to family farmers through their rapidly growing FTC coffee volume. By offering FTC coffee in thousands of stores, Starbucks has also given the FTC label greater visibility, helping to raise consumer awareness in the process. All espresso roast sold in the UK and Ireland is 100% Fairtrade.[108] This means that the coffee in all cappuccinos and lattes are brewed with 100% Fairtrade Espresso. Groups such as Global Exchange are calling for Starbucks to further increase its sales of fair trade coffees.[citation needed]
Beyond Fair Trade Certification, Starbucks argues that it pays above market prices for all of its coffee. According to the company, in 2004 it paid on average $1.42 per pound ($2.64 kg) for high-quality coffee beans.[109] This is in comparison to commodity prices which were as low as $0.50$0.60 in 200304.[citation needed] After a long-running dispute between Starbucks and Ethiopia, Starbucks agreed to support and promote Ethiopian coffees. An article in BBC NEWS,[110] states that Ethiopian ownership of popular coffee designations such as Harrar and Sidamo is acknowledged even if they are not registered. The main reason Ethiopia fought so hard for this acknowledgement was to allow its poverty-stricken farmers a chance to make more money. Unfortunately, this has not been the case. In 2006 Starbucks says it paid $1.42 per pound for its coffee. At,[111] the coffee Starbucks bought for $1.42 per pound had a selling price, after transportation, processing, marketing, store rentals, taxes and staff salary and benefits of $10.99 per pound. As of August 2010, Starbucks sells only one Ethiopian coffee on its website and it is proclaimed by the website to be new.
A display of Ethos water Ethos, a brand of bottled water acquired by Starbucks in 2003, is sold at locations throughout North America. Ethos bottles feature prominent labeling stating "helping children get clean water", referring to the fact that $.05 from each $1.80 bottle sold ($.10 per bottle in Canada) is used to fund clean water projects in under-developed areas. Although sales of Ethos water have raised over $6,200,000 for clean water efforts, the brand is not incorporated as a charity. Critics have argued that the claim on the label misleads consumers into thinking that Ethos is primarily a charitable organization, when it is actually a for-profit brand and the vast majority of the sale price (97.2%) does not support clean-water projects.[112][113] The founders of Ethos have stated that the brand is intended to raise awareness of third-world clean water issues and provide socially responsible consumers with an opportunity to support the cause by choosing
Ethos over other brands.[114] Starbucks has since redesigned the American version of the Ethos water bottles, stating the amount of money donated per bottle in the description.
[edit] Sparkhope
In 2004, UNICEF Philippines and Starbucks launched SparkHope, a programme in which Starbucks stores in the Philippines provide early childhood care and development for children in a particular community. An area in each store contains a donation box and shows photos of the adopted community and information about UNICEFs programme.[118]
[edit] Community
Starbucks has developed various community service projects based around local Starbucks branches. In April 2011 Starbucks became involved in Global Month of Service. Starbucks formed over 1400 community service projects, using 60,000 volunteers from 30 countries on 4 continents. 156,000 hours of community service were counted after 30 days. The efforts provided approx 3.3 million USD of fiscal value in communities by service. Starbucks provides more local opportunities to become involved in service through their website and community cafes.[120]
The Reverend Billy leading an anti-Starbucks protest in Austin, Texas in 2007 Starbucks workers in seven stores have joined the Industrial Workers of the World (IWW) as the Starbucks Workers Union since 2004.[129]
According to a Starbucks Union press release, since then the union membership has begun expanding to Chicago and Maryland in addition to New York City, where the movement originated.[130][131] On March 7, 2006, the IWW and Starbucks agreed to a National Labor Relations Board settlement in which three Starbucks workers were granted almost US$2,000 in back wages and two fired employees were offered reinstatement.[132][133][134] According to the Starbucks Union, on November 24, 2006, IWW members picketed Starbucks locations in more than 50 cities around the world in countries including Australia, Canada, Germany, and the UK, as well as U.S. cities including New York, Chicago, Minneapolis and San Francisco,[135] to protest the firing of five Starbucks Workers Union organizers by Starbucks and to demand their reinstatement. Some Starbucks baristas in Canada,[136] Australia and New Zealand,[137] and the United States[138] belong to a variety of unions. In 2005, Starbucks paid out US$165,000 to eight employees at its Kent, Washington, roasting plant to settle charges that they had been retaliated against for being pro-union. At the time, the plant workers were represented by the International Union of Operating Engineers. Starbucks admitted no wrongdoing in the settlement.[129] A Starbucks strike occurred in Auckland, New Zealand, on November 23, 2005.[137] Organized by Unite Union, workers sought secure hours, a minimum wage of NZ$12 an hour, and the abolition of youth rates. The company settled with the Union in 2006, resulting in pay increases, increased security of hours, and an improvement in youth rates.[139]
Anti-Starbucks demonstration in Beirut, Lebanon In March 2008, Starbucks was ordered to pay baristas over US$100 million in back tips in a Californian class action lawsuit launched by baristas alleging that granting shift-supervisors a portion of tips violates state labor laws. The company plans to appeal. Similarly, an 18 yearold barista in Chestnut Hill, MA has filed another suit with regards to the tipping policy. Massachusetts law also states that managers may not get a cut of tips.[140][141] A similar lawsuit was also filed in Minnesota on March 27, 2008.[142]
In May 2008, a branch of Starbucks was completed on St. James's Street in Kemptown, Brighton, England, despite having been refused permission by the local planning authority, Brighton and Hove City Council, who claimed there were too many coffee shops already present on the street.[144][145] Starbucks appealed the decision by claiming it was a retail store selling bags of coffee, mugs and sandwiches, gaining a six month extension,[146] but the council ordered Starbucks to remove all tables and chairs from the premises, to comply with planning regulations for a retail shop.[147] 2500 residents signed a petition against the store,[148] but after a public inquiry in June 2009 a government inspector gave permission for the store to remain.[149] A Starbucks in Hertford won its appeal in April 2009 after being open for over a year without planning permission.[150] Two stores in Edinburgh,[151] one in Manchester,[152] one in Cardiff,[153] one in Pinner and Harrow, were also opened without planning permission.[143] The Pinner cafe, opened in 2007, won an appeal to stay open in 2010.[154] One in Blackheath, Lewisham[155] was also under investigation in 2002 for breach of its licence, operating as a restaurant when it only had a licence for four seats and was limited to take away options. There was a considerable backlash from members of the local community who opposed any large chains opening in what is a conservation area. To this date, 8 years after the court case, the Starbucks is still operating as a takeaway outlet.
A store on Piccadilly with its windows boarded up after being smashed by protesters
A damaged front window of a Starbucks coffee shop in Toronto On January 12, 2009, a Starbucks in Whitechapel Road in London was the target of vandalism by pro-Palestinian demonstrators who broke windows and reportedly ripped out fittings and equipment after clashes with riot police. In the early hours of the following morning a suspected makeshift firebomb was hurled into the premises, causing further damage.[164][165][166] On January 17, 2009, a pro-Gaza protest was held by the Stop the War Coalition in Trafalgar Square in central London. After the rally, two groups of people, some hiding their faces, smashed and looted two Starbucks on Piccadilly and Shaftesbury Avenue. Although the stores had requested greater police protection following the violence against a Starbucks the previous week, Scotland Yard stated it could "not stop thugs hell-bent on causing damage."[165][167][168][169] On June 26, 2010, during the 2010 G-20 Toronto summit protests, a Starbucks window was smashed, as well as other stores, by a "black bloc group". A supposed member, when asked why by a CBC radio reporter, cited Starbucks' support for Israel as the reason.
Starbucks and the originator sent out a correction,[172] but Starbucks' VP of global communications, Valerie O'Neil, says the email is still forwarded to her every few weeks.[173][174][175]
Starbucks' second Hear Music Coffeehouse at the South Bank development adjacent to the River Walk in downtown San Antonio, Texas. Hear Music is the brand name of Starbucks' retail music concept. Hear Music began as a catalog company in 1990, adding a few retail locations in the San Francisco Bay Area. Hear Music was purchased by Starbucks in 1999. Nearly three years later, in 2002, they produced a Starbucks opera album, featuring artists such as Luciano Pavarotti, followed in March 2007 by the hit CD "Memory Almost Full" by Paul McCartney, making McCartney the first artist signed to New Hear Music Label sold in Starbucks outlets. Its inaugural release was a big non-coffee event for Starbucks the first quarter of 2007. In 2006, the company created Starbucks Entertainment, one of the producers of the 2006 film Akeelah and the Bee. Retail stores heavily advertised the film before its release and sold the DVD.[188]
words of MSNBC president Phil Griffin, it was not paid placement at that time.[190] The move was met with mixed reactions from rival news organizations, viewed as both a clever partnership in an economic downturn and a compromise of journalistic standards.[191]