Initial Public Offerings Essay Example | Topics and Well Written Essays - 500 words

Initial Public Offerings - Essay Example So as to fully understand IPO and how it works this article will briefly discuss the Starbucks Co. (SBUX) IPO. The Starbucks Co. is known worldwide for its ability to provide among the best brewed coffee in the market as well as offer outstanding customer service extending this to the community through Corporate Social Responsibility (CSR). The company specializes in the purchase of high-quality whole coffee beans which it roasts and sells together with fresh ones. Starbucks also supplies an array of richly brewed coffee, ready-to drink beverages, cold blended beverages, various types of premium teas, Italian-style espresso beverages, beverage related equipments and accessories and a myriad of complementary food items. As a result, the company has managed to operate in more than 50 countries where it runs about 15,000 retail stores in the US only. From the year 2001 to 2005, Starbucks managed to open approximately 1,200 stores on a yearly basis. During the same period the company man aged to go public by issuing an IPO. This enabled it to increase its revenues from $2.17 billion to approximately $5.39 billion. Its net earnings also drastically increased from $94.9 million to about $494.5 million. Moreover, Starbucks is committed to developing a long-lasting connection with its customers wherever it is located thereby bringing an exceptional experience to all.