
Decoding Corporate Tax Strategies: The Starbucks Approach
Many large corporations employ sophisticated financial engineering to minimize their tax obligations, often paying significantly less than smaller businesses. We uncover how a global brand like Starbucks structures its international operations, utilizing royalty payments and transfer pricing through subsidiaries in countries like the Netherlands and Switzerland, to shift profits away from high-tax jurisdictions. These legal yet controversial strategies highlight a complex side of corporate finance and its impact on public services and local competition.