"Success is best when it's shared."
— Howard Schultz, who turned Starbucks around.
Howard Schultz's idea of success was shaped long before he became the man behind Starbucks.
Born in 1953 in Brooklyn, New York, Schultz grew up in a working-class family. His father was a truck driver and a former US Army veteran. The family lived in a subsidised housing complex, and Schultz saw first-hand how difficult life could become when a family had little financial security.
Those early experiences left a lasting impression. Schultz would later build a business philosophy around the belief that employees should not simply work for a company — they should have a stake in its success. After graduation, he worked in sales and marketing before joining Starbucks in 1982. At the time, Starbucks was nothing like the global coffeehouse chain it is today.
When Schultz first joined Starbucks, the company was primarily selling roasted coffee beans. During a trip to Milan in 1983, however, he discovered something that would change his career.
Italian coffee bars were not simply places where people bought coffee. They were places where people met, talked, relaxed and built relationships.
Schultz returned to Seattle convinced that Starbucks could create a similar experience in the US — a “third place” between home and work.
The original owners were reluctant to change their business model. So Schultz left Starbucks in 1985 and founded his own Italian-style coffee company, Il Giornale.
But he did not give up on his original vision. In 1987, with backing from local investors, Schultz raised $3.8 million and acquired Starbucks' assets, including its name, roasting plant and six stores. Il Giornale adopted the Starbucks name. That was the turning point.
Schultz transformed Starbucks from a small coffee retailer into a coffeehouse experience built around quality, atmosphere and human connection.
The company went public in 1992 with 165 stores. Under Schultz's leadership, Starbucks expanded rapidly across the US and eventually around the world.
But one of Schultz's most significant decisions had little to do with coffee. It involved the people serving it.
Schultz believed that a company could not create a great customer experience unless it first created a great experience for its employees.
In 1988, Starbucks became one of the first major retailers to offer comprehensive health benefits to eligible part-time as well as full-time employees. In 1991, Schultz introduced Bean Stock, giving eligible employees an ownership stake in the company.
The idea was radical for the retail industry. Employees were no longer simply workers. Starbucks called them partners.
The philosophy was straightforward: if employees shared in the company's success, they would have a stronger reason to care about the company, its customers and its future.
Starbucks says its Bean Stock programme has awarded more than $2 billion in pre-tax earnings to partners over the years.
Schultz's quote — “Success is best when it's shared” — is more than a feel-good statement. It is a business strategy.
A company may have a brilliant founder, an excellent product and strong financial resources. But sustainable success depends on the people who turn the business plan into reality every day.
When employees feel valued, they are more likely to take ownership. When customers feel respected, they are more likely to return. When communities benefit from a business, the company builds something more valuable than short-term revenue: trust.
Schultz's own story demonstrates the power of this approach. He did not invent coffee, and he did not even start Starbucks. What he did was recognise an opportunity to transform a basic product into an experience — and build a culture around the people delivering it.
Today, Starbucks has grown from a handful of stores in Seattle into a global coffeehouse brand with more than 40,000 stores, according to the company.
For entrepreneurs, the message is particularly relevant: don't measure success only by what you earn. Measure it also by what you create for the people who helped you earn it.
Because the strongest businesses do not merely distribute products. They create opportunities, build communities and share the rewards of growth.
Success becomes more meaningful when the people who helped create it get to share in it.