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This test consists of 15 multiple choice questions and 5 short answer questions.

Multiple Choice Questions

1. At Starbucks, what kind of product does Howard strive to deliver?
(a) One that sells well, regardless of what the customers want.
(b) One that is exactly what the customers want.
(c) One that is better than what the customers know they want.
(d) One that is slightly less than what the customers know they want.

2. How much money does Howard estimate it will take to launch his new coffee house business?
(a) $2.7 million.
(b) $1.7 million.
(c) $170,000.
(d) $270,000.

3. What is Howard Behar's position when he helps Starbucks become accepted in Chicago?
(a) He is a member of the Chicago City Council.
(b) He is in charge of Starbuck's promotions.
(c) He is a lawyer in Chicago.
(d) He is in charge of Starbuck's retail operations.

4. Responding to the success of existent stores, how many Starbucks stores does Howard open in 1990?
(a) Thirty.
(b) Fifty.
(c) Forty.
(d) Twenty.

5. How does Howard describe the service in Starbucks stores when he first begins working there?
(a) Emphatic.
(b) Friendly.
(c) Arrogant.
(d) Rude.

6. What is the prognosis of Howard's father's condition after Howard moves to Seattle?
(a) Less favorable.
(b) Howard does not know.
(c) More favorable.
(d) The same.

7. Which sports team does Howard's father take the family to see?
(a) The Yankees.
(b) The Jets.
(c) The Mets.
(d) The Giants.

8. By incorporating some aspects of the Il Giornale logo, what color is the new Starbucks logo?
(a) Brown.
(b) Blue.
(c) Green.
(d) Red.

9. What profession does Ron Margolis, the first investor of Il Giornale, have?
(a) Optometrist.
(b) Pediatrican.
(c) Obstetrician.
(d) Chiropractor.

10. What is the purpose of a company Mission Statement?
(a) The board members of the company know what it stands for.
(b) Everyone in the company knows what it stands for.
(c) The board members know what rules to follow.
(d) Everyone in the company has the same rules to follow.

11. How many more Starbucks stores does Howard open in 1992 as opposed to 1991?
(a) Twenty one.
(b) Five.
(c) Eleven.
(d) Thirty five.

12. How is Howard's salary affected by his new job with Starbucks?
(a) It increased by a small amount.
(b) It is increased by a large amount.
(c) It is decreased by a small amount.
(d) It is decreased by a large amaount.

13. How much money does Howard need to raise in order to purchase Starbucks?
(a) Five million dollars.
(b) Three million dollars.
(c) Four million dollars.
(d) Two million dollars.

14. What term does Howard use to replace "employees" after the introduction of the employee stock option?
(a) Team members.
(b) Partners.
(c) Co-owners.
(d) Investors.

15. At the time Howard visits Italy, what type of coffee is Starbucks selling?
(a) Brewed.
(b) Mostly brewed, but some loose bean.
(c) Mostly loose bean, but some brewed.
(d) Loose bean.

Short Answer Questions

1. What is the initial reaction to Starbucks in Chicago?

2. How much money does a group of Seattle businessmen invest in Il Giornale that causes Howard to go forward with his expansion plans?

3. Under Howard's new plan, what is the minimum hours per week that a Starbucks employee has to work in order to receive health care benefits?

4. What is Howard's primary role in Starbucks during the time when he is joined by people to help the company expand?

5. How many more stores does Howard open in Chicago to prove that it can catch on in that market?

(see the answer keys)

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