Like
the brand he led for more than 40 years, Howard Schultz gained a well-deserved
reputation for innovation, success — and controversy. His impending departure as
Starbucks chairman has many
wondering if he will run for the presidency in 2020. Or he might follow the
lead of other business world “retirees” like Bill Gates and Michael Bloomberg,
using his voice and wealth to support causes he believes in. But based on past
behavior, his next act will be an impossible-to-predict surprise. The RTP editors discuss Schultz’s legacy as
well as his impact on the retail industry and the wider world.
Debbie Hauss,
Editor-in-Chief: Howard Schultz has been one of the world’s hardest-working
business executives since he initially became CEO of Starbucks in 1986.
Starbucks currently is one of the most recognized brand logos and has reported net revenue reaching $6 billion as of fiscal Q1
2018. The company has 14.2 million loyalty members who use the branded mobile
app regularly, which is impressive. Schultz also has led the charge to help
employees by providing fair pay and health benefits, as well as offering financial
assistance for college education. The big question now is whether or not he
will run for President of the United States. He’s definitely been vocal about
his concerns and most recently has not denied that he is considering the
possibility. I’ve learned not to predict with confidence who could win that
position. But it would definitely be historic since he would be the first
Jewish president.
Adam Blair,
Executive Editor: I’m sorry to see Howard Schultz depart as head of Starbucks. He and the company may not
always have gotten it right, but it was a model for the concept of “doing well
by doing good.” Offering health benefits to full- and part-time employees,
helping with college tuition and making efforts to hire young people are just a few of the initiatives launched on his watch. I
also like his recognition that all the good intentions in the world are
worthless unless they’re backed up by a profitable business: “The price of
admission to have a social impact agenda is to have financial performance,”
Schultz said during a New York Times conference in 2017. Starbucks’
highly successful mobile app and its expansion into China show the value of
hard-headed business acumen and risk-taking. However, I hope Schultz doesn’t go
into politics, at least not directly: one businessman president is quite enough
for my lifetime, thanks.
Glenn Taylor,
Senior Editor: There are very few brands that seem to appear literally
everywhere in pop culture: Apple, Nike
and Coca-Cola all come to mind, and
Starbucks is firmly entrenched in that group. In my stay in Chicago for the
Salesforce Connections conference, I’ve already seen four Starbucks locations
between my hotel and McCormick Place. It’s no small feat for a brand to be able
to make that kind of visual impact and somehow not feel like it is too omnipresent,
and Schultz is the primary engineer behind building this phenomenon over the
past 40 years. Very few people have been able to build a brand so recognizable,
while at the same time being very cognizant of the world surrounding it. It
seems unfair to ask anyone to be able to duplicate the success Schultz has had
running the show, but given the company’s continued push into China, CEO Kevin
Johnson does have a golden opportunity to continue the legacy in cracking a
market so few American companies have been able to master.
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Bryan Wassel,
Associate Editor: Few executives have left a mark as noticeable as the one Howard
Schultz imparted to Starbucks during his multi-decade tenure with the company.
The chain has come to define coffee culture in the U.S., and the strong message
of social responsibility he preached is part of that impact. A quieter, more
bottom-line focused coffee retailer would not have made anywhere near the same
splash, and without Starbucks’ trailblazing the latte would have remained a
sitcom punchline. The chain’s incredible success can be largely attributed to
Schultz’s powerful vision, and whatever he does next will more than likely
change the world again.
