Starbucks

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Go to your eBook (pp. 475-479) and select Case 2: Starbucks CEO Kevin Johnson: “I’m not Howard Schultz.” For this discussion you will read and then answer ONE the following five questions for the case by Friday at 11:59 PM MST. Your discussion post to one question below should not exceed 200 words.

Questions:

  1. How did Starbucks create its uniqueness in the first place? Why was it so successful?
  2. To be a source of competitive advantage over time, core competencies need to be honed and upgraded continuously. Why and how did Starbucks lose its uniqueness and struggle in the mid-2000s? What strategic initiatives did Howard Schultz, following his return as CEO in 2008, put in place to re-create Starbucks’ uniqueness?
  3. What is your assessment of Howard Schultz as a strategic leader? Where on the Level-5 pyramid of strategic leadership (see Exhibit 2.2) would you place Schultz? Why? Explain.
  4. Howard Schultz, as the creator of the Starbucks brand that we know today, is a larger-than-life figure in the company and business community. Do you think it is difficult to follow such an iconic leader? Why or why not?
  5. How is Kevin Johnson as CEO different from Howard Schultz? What leadership style is Johnson pursuing? Do you think he will be successful? Why or why not?

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