Starbucks is without a doubt one of the world’s most successful coffee businesses, but even this industry titan needs to take stock and adjust course from time to time – and any entrepreneur seeking to emulate its colossal scale should take heed – says Andrew Richardson
“The only real mistake is the one from which we learn nothing,” Henry Ford once wisely said. That sentiment was probably in good supply at Starbucks HQ as new CEO Brian Niccol took the helm in October 2024 with a pledge to return the business to its ‘roots as a community coffee house’.
As the world’s largest coffee chain, Starbucks is frequently the focus of much speculation, and after Laxman Narasimhan’s brief leadership, many will be wondering just how – and whether – the former Chipotle boss can profitably return Starbucks to its coffee house roots.
When it comes to the price of achieving colossal scale, there are some valuable lessons to be gained. Many burgeoning coffee enterprises may seek to emulate Starbucks’ success – but should they? When I launched my first coffee business, I was bequeathed some friendly advice: “Beware of growing too fast”. Like any entrepreneur I didn’t see myself starting a business for it to stay small – I was starting an empire and growing fast was exactly what I wanted!
