Starbucks Financial Statement Analysis
Starbucks Financial Statement Analysis
09/08/2011
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Starbucks Financial Statement Analysis The intent of this paper is to research and analyze the financial statement of Starbucks, a locally originated (yet global) publicly traded, Pacific Northwest Company. Resources used are the 2010 10-K, the DataMonitor company profile, Mint Global, and the NetAdvantage Corporate Social Responsibility reports, as well as several cited online resources. Company Overview Starbucks Corporation originated as a single store in the Pacific Northwest – downtown Seattle, WA in Pike’s Place Market over 40 years ago. The company started in 1971; the corporation was formed 1985. The Starbucks Mission Statement follows: “Our mission: to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” Starbucks purchases and roasts high quality whole coffee beans, creates handcrafted coffee and tea beverages, offers pastries and treat food items, and serves them passionately via a rewarding customer ‘experience’ of coffee, tradition, and a feeling of connection. Also available for purchase in-store are merchandise products centered on espresso and coffee, packaged goods, music, books, and gift items. In 1983 Howard Schultz (Starbucks chairman, president, and CEO) pursued his vision to bring the Italian coffeehouse tradition to the United States; a place for the neighborhood to gather for conversation and a sense of community. Today Starbucks stores have grown to 15,000 in 50 countries, and Starbucks is the premier roaster and retailer of specialty coffee in the world. Starbucks is attempting to stand as the most recognized and respected brands in the world. The company operates via a few channels: company-operated retail stores, licensed retail stores (specialty operations), and licensing of its trademark. There are three reportable operating segments: United States (US) International Global
09/08/2011
[pic]
Starbucks Financial Statement Analysis The intent of this paper is to research and analyze the financial statement of Starbucks, a locally originated (yet global) publicly traded, Pacific Northwest Company. Resources used are the 2010 10-K, the DataMonitor company profile, Mint Global, and the NetAdvantage Corporate Social Responsibility reports, as well as several cited online resources. Company Overview Starbucks Corporation originated as a single store in the Pacific Northwest – downtown Seattle, WA in Pike’s Place Market over 40 years ago. The company started in 1971; the corporation was formed 1985. The Starbucks Mission Statement follows: “Our mission: to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” Starbucks purchases and roasts high quality whole coffee beans, creates handcrafted coffee and tea beverages, offers pastries and treat food items, and serves them passionately via a rewarding customer ‘experience’ of coffee, tradition, and a feeling of connection. Also available for purchase in-store are merchandise products centered on espresso and coffee, packaged goods, music, books, and gift items. In 1983 Howard Schultz (Starbucks chairman, president, and CEO) pursued his vision to bring the Italian coffeehouse tradition to the United States; a place for the neighborhood to gather for conversation and a sense of community. Today Starbucks stores have grown to 15,000 in 50 countries, and Starbucks is the premier roaster and retailer of specialty coffee in the world. Starbucks is attempting to stand as the most recognized and respected brands in the world. The company operates via a few channels: company-operated retail stores, licensed retail stores (specialty operations), and licensing of its trademark. There are three reportable operating segments: United States (US) International Global
References: Gallander, S. (2002) Interview with Deborah James, Fair Trade Director at Global Exchange. CCCE http://depts.washingtyon.edu/gcp/pdf/djamesintrvw.pdf Gamble, J., Thompson, A Jawa, B., Majumdar, D., Roy, D., Thakur, A. (2008). Case Study: Starbucks. Retrieved from http://www.slideshare.net/avinav2712/starbucks-1085483 Miller, Claire Cain, A changed Starbucks: a changed CEO, The New York Times, March 13, 2011, p Schultz, H. with Gordon, J., (2011). Onward: how Starbucks fought for its life without losing its soul. Rodale Books, New York, NY. Starbucks Corporation. (2011). Retrieved August 15, 2011 from http://www.starbucks.com http://www.dailyfinance.com/quote/nasdaq/starbucks/sbux/financial-statements Yahoo, Inc. (2011). Starbucks Competitors. Retrieved from http://finance.yahoo.com/q/co?s=SBUX+Competitors https://mintglobal.bvdep.com/version-2011817/AsyncProgress.serv?context=2I4V6XY7J1GXQI2&CallId=