INDEX / DIRECTORY / STARBUCKS / ECONOMIC

Starbucks ECONOMIC

ECONOMIC AUDIT UPDATED 2026-09-08
Economic Score 3.50 /10 D Starbucks - Complicity Index 394
Economic 3.50

Evidence-only forensic audit. Scoring happens downstream - see the main dossier for the composite assessment.

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Supply Chain & Sourcing Relationships

No public evidence identified of a verified Starbucks commercial relationship with Mehadrin, Hadiklaim, Galilee Export, Agrexco successors, or another named Israeli agricultural exporter in the reviewed supplier disclosures, impact reporting, SEC filings, and targeted searches.1, 2, 3

Starbucks’ public supplier guidance and impact reporting do not publish a supplier-by-supplier country list, leaving direct and indirect sourcing through undisclosed intermediaries unresolved.2, 3

No public evidence identified of recurring or counter-seasonal procurement of Israeli produce, including December–April sourcing.2, 3

No public evidence identified that Starbucks sources Israeli-origin agricultural products through Nestlé, Osem, or another named intermediary; the current packaged-product evidence does not disclose coffee or other ingredient origin at supplier level.1, 4, 5, 6

No public evidence identified of a Starbucks-owned Israeli importer-of-record entity, joint venture, or dedicated import company.1, 7, 4, 8

A verified third-party distribution mechanism exists: under the Global Coffee Alliance, Nestlé controls distribution of Starbucks packaged coffee outside Starbucks stores, while Israeli Starbucks at Home and Osem-Nestlé materials show local products and consumer support.1, 4, 8, 9

The reviewed sources do not identify the precise importing legal entity, shipment origin, supplier contracts, or retail customer list for those packaged products.4, 8, 5, 9

The historical Israeli activity documented in Starbucks filings was described as licensed operations rather than as an import entity or disclosed sourcing platform.10

No public evidence identified of a settlement-linked supplier relationship, including supply from West Bank settlements, East Jerusalem settlements, or the Golan Heights.11, 12

Product Origin, Labeling & Regulatory Compliance

No public evidence identified of Starbucks-specific findings concerning settlement-origin products, country-of-origin labeling, customs enforcement, DEFRA action, or a corporate policy specifically addressing products from occupied territories.1, 2, 3

The Israeli Starbucks at Home product page identifies product types and broad coffee-region descriptions, but does not identify a West Bank, East Jerusalem, Golan Heights, or Israeli production site; it therefore does not establish Israeli manufacture or settlement origin.5

No public evidence identified of country-of-origin or territorial-labeling details for current Israeli packaged Starbucks products in the reviewed sources.4, 5, 13

No public evidence identified of Starbucks stores, licensees, sales, sourcing, distribution, services, or revenue specifically in West Bank settlements, East Jerusalem settlements, or the Golan Heights.11, 12, 14

The Israel-facing Starbucks at Home sources establish packaged-product distribution and consumer activity in Israel, but do not disclose delivery geography, warehouse locations, retail outlets, or settlement-specific sales; they cannot establish or exclude settlement distribution.4, 8, 5

The 2023 OHCHR settlement-business database update re-assessed 112 previously listed entities for the period from 1 August 2019 through 31 December 2022 and states that it is not a complete list.11

Starbucks was not named in the supplied full-text review of that OHCHR document, which is a document-scoped non-listing rather than evidence of absence from all potentially relevant activity.11

Starbucks was also not named in the supplied full-text review of the UN Special Rapporteur’s 2025 report A/HRC/59/23, including paragraphs 48–86, which is likewise a document-scoped non-mention.12

Investment, Capital & Financial Exposure

Starbucks’ FY2002 Form 10-K recorded six licensed Starbucks locations in Israel.15

Starbucks’ May 2003 Form 10-Q recorded a $2.0 million provision associated with dissolving its licensed Israel operations and identified dissolution costs as contributing to increased expenses for the relevant 26-week period.10

In October 2023, Starbucks stated that it dissolved its Israel partnership in 2003 because of ongoing operational challenges and characterized the decision as non-political.14

Starbucks’ statement said any future re-entry would depend on a viable business case and local partner, without announcing a current Israeli operation.14

Starbucks’ Global Coffee Alliance with Nestlé is an ongoing global commercial licensing arrangement; Starbucks licenses trademarks for grocery and foodservice, Nestlé controls distribution of Starbucks packaged coffee outside Starbucks stores and in some cases roasts and packages the products, and Starbucks recognizes product sales and royalty revenue under the alliance.1

The FY2025 filing states that most Channel Development revenue is product sales to and royalty revenue from Nestlé and reports $176.5 million in prepaid royalty revenue from Nestlé in each of FY2023–FY2025; this is global reporting rather than Israel-specific revenue attribution.1

The FY2025 filing also describes an approximately $7 billion FY2018 prepaid royalty under the alliance and continuing deferred-revenue and performance-obligation reporting as of 28 September 2025.1

No public evidence identified of Starbucks-held Israeli sovereign bonds, Israel-focused funds, Israel-domiciled portfolio holdings, a current Israeli operating investment, R&D facility, logistics hub, data centre, factory, or real-estate holding in the reviewed disclosures.1, 7

The current Israeli packaged-product evidence is insufficient to attribute an Israel-specific portion of Starbucks’ Global Coffee Alliance revenue, royalty income, or capital investment.1, 4, 5

No public evidence identified of a Starbucks corporate investment in Wiz or another Israeli company, Israeli state or military contract, or Israel Bonds activity in the reviewed accountability materials.11, 12

A 2021 press report described a personal Howard Schultz investment in Wiz, but the report relied on people familiar with a funding round and did not identify the amount, ownership percentage, investment vehicle, current holding, or a Starbucks corporate investment.16

Wiz’s May 2024 issuer release states that it raised $1 billion at a $12 billion valuation led by Andreessen Horowitz, Lightspeed Venture Partners, and Thrive Capital; it does not name Schultz, describe his participation, or establish renewal or duration of the reported 2021 investment.17

A separate syndicated Wiz issuer release dated 7 May 2024 explicitly names Howard Schultz among existing investors participating in that funding round; this supplements the shorter Wiz blog announcement. It does not disclose his individual investment amount or ownership percentage.18

Google completed its acquisition of Wiz on 11 March 2026, and Alphabet’s related SEC filing records a preliminary purchase price of $29.467 billion after adjustments, excluding post-combination compensation arrangements.19, 20

Neither the Google announcement, Alphabet filing, nor Wiz’s closing statement identifies Schultz, consideration paid to him, whether he held Wiz securities at closing, whether he exited, or any continuing exposure.19, 20, 21

The reviewed record establishes Schultz investment reporting in 2021, named participation in the May 2024 funding round, and the acquisition of Wiz in March 2026; his amount, exact holding period, ownership at closing, proceeds, and continuing exposure remain undisclosed. These sources do not identify Starbucks Corporation as an investor.16, 19, 20, 21, 18

Operational Presence & Market Activity

Starbucks’ FY2025 Form 10-K reported 40,990 global stores as of 28 September 2025, comprising 21,514 company-operated stores and 19,476 licensed stores.1

Starbucks’ latest retrieved quarterly filing reported operations in 90 markets and more than 41,000 company-operated and licensed stores as of 28 June 2026.22

The FY2025 filing described the International segment as encompassing China, Japan, Asia Pacific, Europe, the Middle East, Africa, Latin America, and the Caribbean, while the June 2026 filing likewise includes the Middle East within broader International reporting.1, 22

Israel is not identified as a separately reported market in the FY2025 store tables or the June 2026 quarterly filing, and those filings do not disclose Israel-specific stores, revenue, workforce, tax registration, facilities, or market characterization.1, 22

Full-text checks of the FY2025 Form 10-K and the June 2026 Form 10-Q found no occurrence of “Israel”; these findings document disclosure text and do not establish the absence of every possible commercial relationship.1, 22

Starbucks’ October 2023 official Middle East and North Africa country list names Bahrain, Egypt, Jordan, Kuwait, Lebanon, Morocco, Oman, Qatar, Saudi Arabia, Türkiye, and the UAE, and identifies MH Alshaya Co. WLL as the licensee operating those stores.14

Israel is not included in that 2023 official regional country list, which does not by itself confirm the entire 2026 regional footprint.14

Associated Press reported on 19 December 2023 that Starbucks had no stores in Israel or Gaza, independently supporting the absence of retail stores at that date but not resolving non-retail relationships.23

Israel is, however, a current market for Starbucks-branded packaged at-home products through Nestlé’s licensed channel: a localized Israeli website lists Starbucks whole-bean, roast-and-ground, and Starbucks by Nespresso products, and its terms state that the site is managed and operated by Nestlé or on its behalf.4, 5

The Israeli Starbucks at Home contact page states that the Starbucks name and logo are used under Nestlé licence, provides Nestlé/Osem contacts in Shoham, and Osem-Nestlé provides a dedicated “STARBUCKS” customer-service telephone number.8, 9

Nestlé’s Israeli coffee-shop FAQ states that Starbucks capsules are made by Nespresso and compatible with Nespresso Original machines; this verifies the retail-product channel but does not identify the importer of record, manufacturing country, or a Starbucks-operated local facility.13

No public evidence identified of a renewed Starbucks-operated or Starbucks-licensed coffeehouse network in Israel after the 2003 dissolution.1, 14, 22

No public evidence identified of current Starbucks-operated offices, stores, warehouses, support centres, workforce, tax registration, or sales revenue in Israel or occupied territories; Nestlé/Osem support contacts do not establish Starbucks-operated facilities or employees.1, 22, 4, 9

Starbucks’ January 2026 Investor Day release identifies Brian Niccol as chairman and CEO, Brady Brewer as CEO of Starbucks International, and Cathy Smith as CFO, but does not announce an Israeli operation or market entry.24

Starbucks stated in December 2023 that it had never contributed to any government or military operation in any way, although this corporate statement is not independently audited evidence of all possible indirect financial exposure.25

Starbucks’ November 2023 trademark complaint against Workers United concerned branding and social-media communications relating to the Middle East, and the pleading does not establish an Israeli investment, supply, settlement, or state-finance relationship.26

Corporate Structure & Foundational Ties

Starbucks Corporation is a Washington-incorporated SEC registrant with principal executive offices in Seattle, Washington, and its common stock trades on Nasdaq under the symbol SBUX.1

The FY2025 filing defines Starbucks and related terms as Starbucks Corporation together with its subsidiaries and reports North America, International, and Channel Development operating segments.1

The FY2025 significant-subsidiary exhibit lists SBI Nevada, Inc.; Shanghai Starbucks Coffee Enterprise Co., Ltd.; Starbucks Coffee (Cayman) Holdings Ltd.; Starbucks Coffee International, Inc.; Starbucks EMEA Holdings Ltd.; and Starbucks International (Holdings) Ltd.7

Israel is not among the listed jurisdictions of organization in that significant-subsidiary exhibit, but the exhibit excludes subsidiaries below the applicable SEC significance threshold.7

No public evidence identified of an Israeli operating company acquired or controlled by Starbucks in the reviewed FY2025 Form 10-K and significant-subsidiary exhibit.1, 7

Brian Niccol has served as Starbucks chairman and chief executive officer since September 2024.27

The FY2025 filing identifies Cathy R. Smith, Mike Grams, Brady Brewer, Sara Kelly, and Pilar Ramos as executive officers, while the 2026 proxy lists 11 director nominees and discloses more-than-5% beneficial holdings by The Vanguard Group, Capital Research Global Investors, and Capital World Investors.1, 28

Howard Schultz was described by Starbucks as its founder and chairman emeritus in its 2024 CEO-transition announcement, and Starbucks announced that he left the board effective 13 September 2023.27, 29

No public evidence identified of Israeli founding, Israeli headquarters, Israeli tax residency or PTE status, Israeli state ownership, government board appointments, critical-infrastructure designation, beneficial control by Israeli capital, or governance features tying Starbucks to Israeli state policy.1, 7, 28

Profit Repatriation & Economic Contribution

No public evidence identified of currently disclosed Starbucks revenue from Israel, Israel-specific profit repatriation, Israel-specific taxes, an Israeli workforce, or a Starbucks-operated economic-ecosystem role in Israel.1, 10, 14, 22

The current Nestlé channel establishes local availability of packaged Starbucks-branded products, but Starbucks’ public reporting aggregates the Global Coffee Alliance globally and does not disclose Israeli sales, royalties, profit flows, employees, tax payments, assets, or local counterparties.1, 4, 8, 5

The last directly evidenced Starbucks licensed coffeehouse activity in Israel was the operation dissolved in 2003; the current evidence instead concerns Nestlé’s licensed packaged-product channel.10, 14, 4, 5

Under Starbucks’ current licensed-store model, licensees bear operating costs and capital investment while Starbucks sells branded products and supplies and receives royalties and license fees, but the FY2025 filing does not identify an Israeli licensee or Israeli licensed stores.1

The FY2025 filing reported approximately 381,000 employees worldwide, including approximately 158,000 outside the United States, without providing an Israel-specific employee figure.1

Footnotes

  1. https://www.sec.gov/Archives/edgar/data/829224/000082922425000114/sbux-20250928.htm ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11 ↩12 ↩13 ↩14 ↩15 ↩16 ↩17 ↩18 ↩19 ↩20 ↩21 ↩22 ↩23 ↩24 ↩25

  2. https://about.starbucks.com/annual-impact-report/ ↩ ↩2 ↩3 ↩4

  3. https://www.starbucks.com/business/suppliers/ ↩ ↩2 ↩3 ↩4

  4. https://www.starbucksathome.com/il/he-il/terms-and-condition ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11

  5. https://www.starbucksathome.com/il/he-il/products ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9

  6. https://www.nestle.com/brands/coffee/starbucks-coffee-at-home ↩

  7. https://www.sec.gov/Archives/edgar/data/829224/000082922425000114/sbux-09282025xexhibit21.htm ↩ ↩2 ↩3 ↩4 ↩5 ↩6

  8. https://www.starbucksathome.com/il/he-il/contact-us ↩ ↩2 ↩3 ↩4 ↩5 ↩6

  9. https://www.osem-nestle.co.il/contact-us/call-center ↩ ↩2 ↩3 ↩4

  10. https://d18rn0p25nwr6d.cloudfront.net/CIK-0000829224/5cfe706a-2485-4c83-99bf-1d7faacb29c8.pdf ↩ ↩2 ↩3 ↩4

  11. https://www.ohchr.org/sites/default/files/documents/hrbodies/hrcouncil/sessions-regular/session31/database-hrc3136/23-06-30-Update-israeli-settlement-opt-database-hrc3136.pdf ↩ ↩2 ↩3 ↩4 ↩5

  12. https://docs.un.org/en/A/HRC/59/23 ↩ ↩2 ↩3 ↩4

  13. https://shop.nestle-coffee.co.il/pages/%D7%A9%D7%90%D7%9C%D7%95%D7%AA-%D7%95%D7%AA%D7%A9%D7%95%D7%91%D7%95%D7%AA ↩ ↩2

  14. https://about.starbucks.com/press/2023/facts-about-starbucks-in-the-middle-east/ ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8

  15. https://www.sec.gov/Archives/edgar/data/829224/000089102002002061/v86608e10vk.htm ↩

  16. https://fortune.com/2021/04/07/wiz-howard-schultz-investment-fundraising-cybersecurity-startups-starbucks-ceo/ ↩ ↩2

  17. https://www.wiz.io/blog/celebrating-our-1-billion-funding-round-and-12-billion-valuation ↩

  18. https://www.vcaonline.com/news/2024050718/wiz-announces-1-billion-funding-round-at-12-billion-valuation/ ↩ ↩2

  19. https://blog.google/innovation-and-ai/infrastructure-and-cloud/google-cloud/wiz-acquisition/ ↩ ↩2 ↩3

  20. https://www.sec.gov/Archives/edgar/data/1652044/000165204426000048/R17.htm ↩ ↩2 ↩3

  21. https://www.wiz.io/blog/google-closes-deal-to-acquire-wiz ↩ ↩2

  22. https://www.sec.gov/Archives/edgar/data/829224/000082922426000130/sbux-20260628.htm ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7

  23. https://apnews.com/article/3b1165fc74ed181a4a5dad2106779922 ↩

  24. https://investor.starbucks.com/news/financial-releases/news-details/2026/Starbucks-Is-Back-Turning-Momentum-Into-Long-Term-Sustainable-Growth/default.aspx ↩

  25. https://about.starbucks.com/press/2023/what-has-starbucks-said-about-the-conflict-in-israel-and-gaza/ ↩

  26. https://about.starbucks.com/uploads/2023/12/Starbucks-v.-Workers-United-First-Amended-Complaint.pdf ↩

  27. https://www.sec.gov/Archives/edgar/data/829224/000119312524200724/d848513dex991.htm ↩ ↩2

  28. https://www.sec.gov/Archives/edgar/data/829224/000121390026007780/ea0270973-01.htm ↩ ↩2

  29. https://investor.starbucks.com/news/financial-releases/news-details/2023/Starbucks-Announces-Transitions-to-Its-Board-of-Directors/default.aspx ↩