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Starbucks Is Using Its Purchasing Power to Continue Its Quest

question 90

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Starbucks is using its purchasing power to continue its quest to reduce its energy usage by a quarter by the end of 2012.Recently,the company announced plans to replace all of the traditional incandescent and halogen bulbs in its stores worldwide with more efficient light emitting diode (LED) bulbs-a move the company claims will enable it to cut energy consumption in its stores by up to 7%.Starbucks would be considered a leader in


Definitions:

Average Collection Period

A metric that calculates the average time taken to receive payments from customers, indicating the efficiency of a company's credit and collection policies.

Days' Sales In Inventory

A financial metric indicating the average number of days that a company holds its inventory before selling it.

Full-Capacity Level

The maximum level of output a company can produce and sell with its current resources and without incurring significant additional costs.

Operating Capacity

The maximum amount of work that an organization can complete in a given period under normal circumstances.

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