History of Starbucks
Starbucks was founded in 1971 in Seattle, Washington, by Jerry Baldwin, Zev Siegl, and Gordon Bowker, originally as a retailer of roasted coffee beans rather than prepared beverages. Howard Schultz joined the company in 1982 and, after observing Italian espresso culture, advocated for a shift toward a café format. He acquired the company in 1987 and began expanding the store-based model across the United States. Starbucks went public in 1992.
Through the 1990s and 2000s, Starbucks pursued international expansion into Asia, Europe, and the Middle East, operating through a combination of company-owned and licensed stores. It developed a range of branded beverages and a loyalty programme that became a significant driver of repeat visits. By the mid-2010s, the company had built a network of tens of thousands of locations globally.
In recent years, Starbucks has faced pressure on multiple fronts, including labour disputes at unionised stores in the United States, declining same-store sales in key markets, and calls from consumer activists related to its perceived stance on geopolitical issues. The company appointed a new CEO in 2024, bringing in Brian Niccol from Chipotle to lead a recovery effort focused on operational improvements and customer experience.
Starbucks operates in Israel through licensed partnerships. Following boycott campaigns that gained momentum in 2023 and 2024, the company acknowledged a measurable impact on sales in certain international markets. The brand continues to manage the reputational challenges arising from its global footprint and the expectations of consumer bases with differing views on the conflict.