Nowadays, coffee has become a necessity for most of us. New coffee shops are opening every day, but there's one that almost everyone has heard of: Starbucks. Currently, Starbucks has a net worth of $30 billion and has over 24,000 stores in over 70 countries (Dennison S., 2018; Starbucks Company Profile, 2018). Globalization brings many problems, which Starbucks has not avoided. I chose to talk about Starbucks because, although the company has had its share of problems with its globalization, it has never given up and has always managed to overcome the difficulties it has faced. I will analyze the problems encountered in China and Australia using Pankaj Ghemawat's CAGE framework, which analyzes the cultural, administrative, geographic and economic distance between globalizing organizations and countries. (Pankaj Ghemawat, nd)Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay Starbucks opened its first store in Seattle, Washington, in 1971 (Starbucks Company Timeline, n.d.). It was founded by Jerry Baldwin, Zev Siegl and Gordon Bowker, students at the University of San Francisco (History of Starbucks, nd). It began as a small cafe offering freshly roasted coffee, teas and spices (Starbucks Company Profile., n.d.). In 1981, Howard Schultz joined the Starbucks team as director of retail operations and marketing. After traveling to Italy, he was inspired by the importance of coffee in Italian culture and said: Seeing the feeling of community, romance and theater over espresso… it made me realize that Starbucks n Maybe he wasn't in the right part of the coffee business. , the real deal and opportunity was the integration of the beverage to create a destination and sense of community in the store. (B. , 2015) After proposing to create a more community environment, his idea was rejected and Shultz subsequently left Starbucks. Years later, he ended up buying the company back in 1987 for $3. 8 million dollars (B., 2015). This is when Starbucks began its turbulent journey towards globalization. Starbucks opened its first store in China in the city of Beijing in 1999. At that time, there was another important Chinese coffee shop named “Shanghai Xingbake Coffee Co.” “Xing” is the Mandarin word for “star” and “bake” when pronounced sounds identical to the English word “bucks”. » (Davidson, J, 2006) Their logo looked very similar to Starbucks' famous green and white circular logo, seen here: Source: Starbucks When Starbucks discovered the existence of the popular Chinese coffee, they immediately sued them for infringement copyright in 2003. Starbucks eventually won the case in 2005 and Xingbake Coffe Co. had to pay $62,000 in compensation (Davidson, J, 2006; Beijing, DE, 2013). The Chinese administration has always been grappling with copyright infringement cases. “The lack of copyright law has made it virtually impossible for U.S. companies to protect proprietary technical information provided through licensing agreements. » (Schloss, PA, 1990) The administrative distance between China and the United States of America is demonstrated here. Ultimately, Starbucks managed to overcome this problem and continued to expand its coffee shops. Today, there are more than 3,400 stores in more than 140 cities in China. (Starbucks in China, n.d.) However, when the company began expanding to Australia, it was not so lucky. Seven years after opening its.