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This quiz consists of 5 multiple choice and 5 short answer questions through Part 3, Twenty Million New Customers Are Worth Taking a Risk For and You Can Grow Big and Stay Small.

Multiple Choice Questions

1. How does Howard initially handle the crisis of a shortage of coffee beans and increased costs?
(a) He chooses to keep his prices fixed.
(b) He lowers the prices on coffee.
(c) He only raises the price on specific coffees.
(d) He raises prices on coffee.

2. Based on United Airlines' estimates, how many of their customers request coffee during the flights?
(a) Between twenty five and forty percent.
(b) Between thirty and forty percent.
(c) Between thirty five and fifty percent.
(d) Between twenty and thirty percent.

3. Which shoe company did Scott Bedbury work at before joining Starbucks?
(a) Nike.
(b) Keds.
(c) Converse.
(d) Adidas.

4. When does Howard report the first profitable year for Starbucks?
(a) October 1991.
(b) November 1990.
(c) October 1990.
(d) November 1991.

5. Which music company does Howard work with to produce the compilation CDs that are sold in Starbucks stores?
(a) Infinity Music.
(b) RedEye Music.
(c) AEI Music.
(d) Koch Entertainment.

Short Answer Questions

1. What comparison does United Airlines make about its decision to serve Starbucks coffee on its flights?

2. What does Howard observe about the espresso bars he visits in Italy?

3. As the crisis and other companies lower their prices, how much does Starbucks increase its prices to compensate for the stock they have?

4. What type of music is featured on the CDs that Starbucks begins selling?

5. What city is United Airlines based out of?

(see the answer key)

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