1. Watch the Video and Find the Words

Watch the video about Howard Schultz and write the English equivalents from the script.

1.2. Write the exact word or phrase you hear in the video.

  1. бедность —
  2. едва сводя концы с концами —
  3. государственное / социальное жильё —
  4. ветеран армии —
  5. низкооплачиваемая работа / низкооплачиваемые работы —
  6. сбережения —
  7. безнадёжный —
  8. побеждённый / сломленный —
  9. стипендия —
  10. случайные подработки —
  11. убеждая —
  12. очарованный / восхищённый —
  13. обескураживающий —
  14. унизительный / отрезвляющий —
  15. использовать шанс / ловить момент —

Total Questions: 4

Correct Answers: 0

Incorrect Answers: 0

 

2. Video Comprehension Questions

Watch the video again and answer the questions.

  1. What kind of family was Howard Schultz born into?

  2. What happened to Howard’s father when Howard was 7 years old?

  3. How did this childhood experience influence Howard Schultz?

  4. How did Howard pay for college?

  5. What impressed Howard Schultz in Italy?

  6. Why did Howard quit Starbucks for some time?

  7. What is the main message of Howard Schultz’s story?

3. Retell the following text:

How did Schultz resurrect Starbucks?

The 2008 Turnaround Strategy: Schultz's Playbook

Howard Schultz wasted no time. His strategy was a masterclass in crisis management, centered on a few key actions:

  • Radical Ownership and Reconnection: He took immediate and public ownership of the problems, calling the company's decline a "failure of leadership". To reconnect, he invited employees to email him directly and started personally calling stores.

  • Retraining on Coffee: In February 2008, Schultz closed all 7,100 U.S. stores for a single, dramatic day to retrain every barista on how to make the perfect espresso. This bold move cost the company $6 million in lost revenue but was a powerful signal that quality would be the top priority.

  • Strategic Closures and Cost Cutting: He made the tough decision to shut down underperforming locations, closing around 600 stores in the U.S. (7% of the global workforce) and an additional 900 globally, saving $850 million in costs.

  • Investing in Core Operations: He addressed the fundamentals by replacing all espresso machines with a sophisticated new model, reorganizing the supply chain, and launching a major national advertising campaign to rebuild the brand's emotional connection.

💎 The Outcome

Schultz's relentless focus on quality, experience, and operational discipline worked. By 2012, the company's performance had begun a steady recovery. In the years that followed, Starbucks not only recovered but also reached new heights, posting record revenues and profits, solidifying its place as a global icon.

4. Translate into English using the words from task1.

  1. Говард Шульц был свидетелем того, как его отец, ветеран армии, жил в бедности, едва сводил концы с концами и работал на низкооплачиваемых работах, проживая в государственном социальном жилье. (Present Perfect + witness smb doing)

  2. Семья Шульца была вынуждена жить без сбережений, а его отец часто бывал побеждён безнадёжными низкооплачиваемыми работами. (Passive Voice)

  3. Многие наставники предлагают, чтобы Шульц ловил момент и использовал стипендию, чтобы выбраться из бедности, но он был очарован случайными подработками в кофейнях. (suggest that smb should do sth)

  4. В детстве Шульц часто слышал, как его отец описывал свои низкооплачиваемые работы как обескураживающие и унизительные, что оставляло его в чувстве безнадёжности. (hear smb do)

  5. Унизительный опыт взросления в бедности был разделён Шульцем во многих интервью, где он вспоминает, как убеждал своих первых инвесторов. (Present Perfect Passive)

  6. Друзья и семья видели, как Шульц брался за случайные подработки, получая стипендию, и они часто предлагают, чтобы он больше копил деньги, но он всегда ловит момент. (Present Perfect + witness smb do + suggest that smb should do)

  7. Побеждённый дух был преодолён Шульцем, которого никогда не сломила безнадёжность государственного социального жилья; напротив, он был восхищён умением ловить момент. (Present Perfect Passive + Passive Voice)

5. Speaking Task — Business Dialogue: Howard Schultz, Il Giornale, and Gates Sr.

Task: Work in pairs. Make up and act out a dialogue between the rival investor from Il Giornale and William H. Gates Sr., who has come to defend Howard Schultz and persuade the rival to back down.

Your dialogue should sound like a serious business confrontation. Try to make it natural, persuasive, and emotionally convincing.

Show / hide background information

Roles

Student A — The rival investor from Il Giornale

  • You believe your offer is stronger because it is higher and fully in cash.
  • You think business is about speed, power, and financial advantage.
  • You do not want to lose a profitable opportunity.
  • You may argue that Schultz is too risky because he has no money of his own.

Student B — William H. Gates Sr.

  • You believe Schultz deserves a fair chance.
  • You think the rival investor is acting opportunistically.
  • You want to defend Schultz and stop the rival from taking the deal.
  • You use moral pressure, business logic, and personal authority.

What your dialogue should include

  • Explain why the Starbucks deal is so important.
  • Mention the 60-day deadline and the difference between the two offers.
  • Show disagreement, tension, and persuasion.
  • Let Gates Sr. challenge the rival investor’s behaviour.
  • Let the rival defend his actions.
  • Finish with one of these outcomes:
    • the rival backs down;
    • the two sides reach a compromise;
    • the conflict remains unresolved.

Useful conversational formulas

Strong disagreement

  • I strongly object to the way you are handling this.
  • That may be legal, but it is hardly fair.
  • I don’t see it that way at all.
  • You are taking advantage of the situation.
  • I cannot let that pass without comment.

Pressure / persuasion

  • You should seriously reconsider your position.
  • I would urge you to step back from this deal.
  • This is not the kind of reputation you want to build.
  • There is still time to do the right thing.
  • I suggest you think beyond the immediate profit.

Business argumentation

  • From a financial standpoint, your offer is stronger.
  • On paper, that may seem like the better proposal.
  • The issue is not only the amount, but also the principle.
  • A deal like this depends on more than cash alone.
  • Long-term value matters more than short-term gain.

Defending yourself

  • I am simply making a competitive offer.
  • This is how business works.
  • I have every right to pursue this opportunity.
  • No one is forcing Schultz to compete.
  • If he cannot raise the money, that is not my responsibility.

Moral pressure

  • There is a difference between competition and exploitation.
  • You ought to be ashamed of this move.
  • Some lines should not be crossed, even in business.
  • Decency still matters in serious negotiations.
  • Just because you can do something does not mean you should.

Grammar patterns to use

1. Conditionals

  • If Schultz had had more time, he might have raised the money himself.
  • If you back down now, people will remember your integrity.
  • If you go through with this, you may damage your reputation.

2. Modals for criticism, advice, and possibility

  • You should withdraw your offer.
  • He may be financially weak, but he is not lacking in vision.
  • You must understand how serious this situation is.
  • This could destroy his only chance to buy the company.

3. Concession and contrast

  • While your offer is higher, it is not necessarily more honourable.
  • Although Schultz lacks personal capital, he has already shown leadership.
  • What concerns me most is the way you are exploiting the deadline.

4. Perfect forms

  • Schultz has already spent weeks trying to raise the funds.
  • You have placed him in an impossible position.
  • He had built Il Giornale before this opportunity appeared.

Speaking challenge

In your dialogue, try to use:

  • at least 4 conversational formulas from the list above;
  • at least 2 grammar patterns;
  • one sentence with although, while, or whereas;
  • one strong persuasive or moral judgment phrase.

Model opening

Gates Sr.: I have come here because I believe you are trying to block Howard Schultz in a deeply unfair way. You know perfectly well that he has only 60 days to raise the money, and yet you have chosen this moment to outbid him with an all-cash offer.

Rival investor: I am not blocking anyone. I am making a legitimate business offer. If my proposal is stronger, that is simply how the market works.

Follow-up questions

  1. Who sounded more convincing, and why?
  2. Was the rival investor unethical or just competitive?
  3. Should business decisions be based only on money?
  4. Did Gates Sr. use moral pressure effectively?
  5. What would you have done in Schultz’s position?