Starbucks (SBUX): Any Benefit From Re-Training?

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By Douglas A. McIntyre Published

The staff at most of the Starbucks (NYSE: SBUX) recently went though a few hours for training. The nationwide program was designed to make the people working in the stores do a better job of serving customers that way that founder Howard Schultz thinks they should be served. If a customer is unhappy with a drink. he can simply ask to have it made again. What more could people want?

Investors would think that the action of closing so many stores and putting so much effort into improving service would show results immediately. These results might not last, but they would be a sign that management and employees both want to help the company’s results through better customer service.

A visit to a Starbucks in Mt. Kisco, New York indicates that no one was paying attention during the training day. The store was dirty. A cigarette butt at one door. A snow shovel against the new coffee makers on sale. Floors that had not been swept recently. The service area for getting milk and napkins in disarray.

Perhaps Starbucks workers should be paid based on the stock price. That might get their attention.

Douglas A. McIntyre

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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