Case 17 Starbucks Corporation New S Curves N Eanly Days Growth Develagmet Tralegy System W Q34401240

CASE 17 Starbucks Corporation: The New S-Curves n the eanly days of it growth and develagmet tralegy and system wee paying ol In the Uaited States Howard Schults, chairman and CO of Startbucksomparable-stoee sales had rs consecatie quarters on the trength of a umber of rodacts and custome service-hancin By the end of facal year (FY) oio, Starbucks pain- fal, three year transdormation apenda, which included dosing mone than goo stores, termiating skso jobs, replacing the senior leadeship team and implement ing new Lean store practies to achieve operational excellencs, was ementially complete. Starting with the neturn in 3oo of Starbacks founder and boand chairman owand Schatz as its peesidest and CEO, Starbucka had pulled itself back from the brink of “destruction ahe n unsustainable stose espansion straegy coupled with global econemic recession had the looking uncertain and its stock Finishing FY with a record sio 7bilion in nevenue and a fintewer shascholder dridend, S PYson poised to celcbrale its 4oh anniversary by ocus ng on a sew opri for gowth Sourcing, roasting, and serving high-quality coffee wil emalia our core, but we ane also pursaing s rolitale growth with a more diversifiell, mulichannel nd muhibean sach as mobile payments integraned with the companys longstanding i channel develogment segment had gon to s1.4 billion, and to boost its buncss both inside and utside is calfes the company hd acquired three new Statuds shares suped by 44% in FY2003-whie the Standard & Poor’s 900 Indes-drahced y0% ng that tranegy coupled withime. By h a4 Starbadks stock had company’s fue igh of just over so losing hall its valoo us over suing thecm k losing hat valuc. igh of just over s8o-moehn Bo increase over Starbacka began described by Schult Still the qunstion remained whether the company could conistently maintain thia pha of agid powth in a moee disciplined manner than it had parsaed during ts peevious phase of rapid powch,which had mded in than destoyed sustainablefnancial crisis and a a souring of the brand riks of another apgressive gouth implosion Could the pursae so mamy diverse products and chan- su Had the company ceated an inernal growth iem and orn company That growth would be enabled by a ne orgamels without damaging its core cotlee bauine onal and leadership system sepported by lessos the company earned during the transformation. Schus oudined those lessons at the end of his secend book Gow withldicipline Balance isuion wih rge Inovae New Products and Categories ways to see. Never expet a siver bllet Get yoar hands s tcy ane your foundationold pople accoustablei coee and coffee drinks in US bricksand mortar bwgeve shem the nools to swaeed Mac the anghchekek N al shop continuedtodivethem.ornyo(İbseout company fecwed on Show transcribed image text