Starbucks is the largest coffeehouse company in the world with over 16,000 stores globally. It offers coffee, tea and other beverages as well as snacks. Starbucks ensures growth does not dilute its culture through six guiding principles and emphasizes providing a great work environment. It has been successful in expanding internationally by adapting to local tastes and cultures in countries like Japan, China, and France.

1. The world's #1 speciality coffee

4. STARBUCKS – National Culture to Global vision Starbucks Ensures that - Growth does not dilute the company's culture and the common goal of the company's leadership to act like a small company. To create “Distinctive Starbucks experience" in the face of rapid expansion.

21. Starbucks Corporation M&A Summary Year Acquisitions Stakes Divestitures 2010 0 0 0 2009 1 0 0 2008 0 0 0 2007 0 0 0 2006 4 0 0 2005 3 0 1 2004 1 1 0 2003 4 3 2 2002 0 0 0 2001 1 0 0 2000 0 0 0 1999 2 1 0 1998 2 0 0 1997 0 0 0 1996 0 0 0 1995 0 1 0 1994 1 0 0 Total 19 6 3

22. STARBUCKS – CULTURAL DIVERSITY Diversity at Starbucks Aside from extraordinary coffee, Starbucks has made a business out of human connections, community involvement and the celebration of cultures. At Starbucks, Diversity is defined in the form of an equation. Diversity = Inclusion + Equity + Accessibility With a presence in over in over 50 countries, Passion for great coffee, genuine service and community connection Transcends language and culture.

23. Built on Great Global Partnerships We owe much of our global success to our international partners . In fact, we wouldn’t be the universally respected brand we are today without their commitment to bringing our coffees to the world. Shared values, strategic fit, good leadership and a strong track record are among the most important qualities we look for. Chairman Howard Schultz “ We remain highly respectful of the culture and traditions of the countries in which we do business . We recognize that our success is not an entitlement, and we must continue to earn the trust and respect of customers every day .” Starbucks is dedicated to supporting communities around the world – where we live, where we work and in the countries where our coffees are produced. STARBUCKS – CULTURAL DIVERSITY Respect for Local Cultures

24. Partners (Employees) - Focusing on partner development by educating and engaging partners. Customers - Extend the Starbucks Experience to all customers, recognizing and responding to their unique preferences and needs by connecting with customers in a culturally relevant way. Communities - Support and invest in local neighborhoods and global communities through strategic partnerships and economic development Opportunities. Suppliers - Trusted and welcoming company for suppliers through supplier diversity program Starbucks is dedicated to creating a workplace that values and respects people from diverse backgrounds, and enables its employees to do their best work. STARBUCKS – CULTURAL DIVERSITY

26. STARBUCKS – Store Structure Functional in structure and relatively flat

27. STARBUCKS – Global HRM The relationship we have with our people and the culture of our company is our most sustainable competitive advantage ." -Howard Schultz, chairman and chief global strategist of Starbucks "My biggest fear isn't the competition, although I respect it. It's having a robust pipeline of people to open and manage the stores who will also be able to take their next steps with the company." -Jim Donald, president, Starbucks North America in 2005 Starbucks realized early on that motivated and committed human resources were the key to the success of a business. Company takes great care in selecting the right kind of people and makes an effort to retain them. The company's human resource policies reflects its commitment to its employees.

31. STARBUCKS– Global Knowledge Management Use of IT In Knowledge Management Corporate IT System Individual Stores Individual Stores Sales, Inventory, Staffing Sales, Inventory, Staffing Individual Stores Inventory, Orders, Transfers Vendors, Distributors, Mgmt., Channel Members Orders, Budgets, Future Sales

34. STARBUCKS– Global Knowledge Management Benefits MyStarbucksIdea.com Starbucks Wi-Fi

36. Thank You