How Magic Johnson Franchised Starbucks | MOONSHOTS
AI Summary
Summary of Magic Johnson’s Journey to Franchise Ownership
- Initiation: Magic Johnson expressed interest in breaking into the franchising business. He sought to connect with influential people in the industry.
- Initial Meeting: Johnson met Howard Schultz at a Seattle Supersonics game, where he proposed having lunch next time he was in Seattle.
- Investment in Inner Cities: He built the Magic Johnson Theaters, proving successful in investing in urban areas. He believed Starbucks would thrive in inner cities among Latino and African-American communities.
- Pitch to Starbucks: After showcasing his theater operations to Schultz, including the unique experience audiences had, Schultz saw the potential and agreed to consider the franchise opportunity.
- Expansion of Starbucks: Johnson successfully obtained approval to open franchises and ultimately built 125 Starbucks in 40 different markets across America.
- Community Impact: His efforts focused on creating job opportunities in the markets he cared about, including providing contracts to women-owned and minority-owned firms for supplying goods.