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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 much money does Jerry Baldwin invest in Howard's coffee houses?
(a) $200,000.
(b) $250,000.
(c) $100,000.
(d) $150,000.

2. What date does Starbucks finally go public?
(a) September 18, 1992.
(b) November 18, 1992.
(c) July 26, 1992.
(d) June 26, 1992.

3. Who suggests the name, Il Giornale, for Howard's new coffee houses?
(a) Gordon Bowker.
(b) Jerry Baldwin.
(c) Arnie Prentice.
(d) Ron Margolis.

4. What year does Howard introduce the employee stock option at Starbucks?
(a) 1990.
(b) 1993.
(c) 1991.
(d) 1992.

5. 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 raises prices on coffee.
(c) He lowers the prices on coffee.
(d) He only raises the price on specific coffees.

Short Answer Questions

1. What point does Howard make in response to the less than positive reaction that his new employee plan receives from board members?

2. What product is Starbucks purchasing from Hammarplast when the company catches Howard's attention?

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

4. What company does Howard work for after graduating from college and returning to New York?

5. What profession does Ron Margolis, the first investor of Il Giornale, have?

(see the answer key)

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