The Starbucks coffee shop on Sixth Avenue and Pine Street in downtown Seattle sits serene and orderly, as unremarkable as any other in the chain bought 15 years ago by entrepreneur Howard Schultz. A little less than three years ago, however, the quiet store-front made front pages around the world. During the World Trade Organisation talks in November, 1999, protestors flooded Seattle’s streets, and among their targets was Starbucks, a symbol, to them, of free- market capitalism run amok, another multinational out to blanket the earth. Amid the crowds of protestors and riot police were black-masked anarchists who trashed the store, leaving its window smashed and its tasteful green-white décor smelling of tear gas instead of espresso. Says an angry Schultz: “It’s hurtful. I think people are ill-informed .It’s very difficult to protest against a can of Coke, a bottle of Pepsi, or a can of Folgers. Starbucks is both this ubiquitous brand and a place where you can go and break a window. You can’t break a can of Coke.”
The store was quickly repaired, and the protestors have scattered to other cities. Yet cup by cup, Starbucks really is caffeinating the world, its green-and-white emblem beckoning to consumers on three continents. In 1999, Starbucks Corp. had 281 stores abroad. Today it has about 1,200-and it’s still in the early stages of a plan to colonize the globe. If the protestors were wrong in their tactics, they weren’t wrong about Starbucks’ ambitions. They were just early.
The Story of how Schultz & Company transformed a pedestrian commodity into an upscale consumer accessory has a fairly-tale quality. Starbucks has grown from 17 coffee shops in Seattle 15 years ago to 5,689 outlets in 28 countries. Sales have climbed an average of 20 per cent ...