Starbucks founder and C.E.O. Howard Schultz stepped down from his position in 2000, only to see his company suffer immensely. This corporate suffering could have been caused by various factors, including rapid expansion, a focus on food rather than coffee, as well as generally difficult economic times.

Schultz could not let his company perish and eight years later he returned to the front line as C.E.O.. He made some changes: shutting down many U.S. stores and “ditching the stinky cheese breakfast sandwiches and bringing back the scent of java to the cafes” (Strauss).

Starbucks quickly soared back up to success, and although Schultz is reaching the ripe old age of 60, there have been no signs of retirement plans. The company is facing many challenges, most significantly aggressive competitors such as Tim Hortons and McDonald’s Cafe. Schultz is quoted in Strauss’s article explaining that “it’s harder today than at any other time in my 35-year career to maintain this kind of success at this level” (Strauss).

During one of our Comm 101 classes, we were discussing the importance of a business’s atmosphere, and analyzing the importance of the C.E.O.’s role in creating and maintaining that atmosphere. From what we can see in Starbuck’s case, the C.E.O. definitely played a big role in the resurgence of the company and its successful atmosphere. Whether the company will be able to succeed or not without the caffeine wonders of Shultz in years to come remains unknown. Strauss explains that “it’s clear that coffee, and cafe culture, is a passion for Mr. Schultz” (Strauss).

Read this Globe and Mail article here for more information on Starbucks and its C.E.O..

Howard Shultz, C.E.O., smiles proudly in front of the Starbucks logo.