Starbucks Has a Pumpkin Spice Latte Problem in China
www.nytimes.com
For years, Starbucks was the dominant coffee chain in China. Now rivals offering local flavors and cheaper prices are crushing the company’s bottom line in its second-largest market.

Good article from the New York Times.

Summary

Starbucks China is losing customers at a very rapid pace. Starbucks corporate executives are angry. Brian Niccol, the new $100 million CEO of Starbucks, sounded the alarm in October, calling the competition “extreme”. For the Chinese Lunar year, Starbucks released a pork flavor latte. It cost more than $9 and was widely seen as a disaster.

Billionaire Howard Schultz, Starbucks’s former CEO, insisted that Starbucks would not enter a price war in China. He claimed “as chinese customers become more knowledgeable about coffee, they will want to upgrade from lower-end or discounted products”

  • h54@programming.dev
    74·
    18 days ago

    Well, of course. Putting geopolitics aside, Starbucks coffee is overpriced and not good. I wonder what the CEO who commutes via private jet to work will take away from this. Likely nothing.

    • sunzu2@thebrainbin.org
      25·
      18 days ago

      That’s the thing about these parasites… They get paid life changing money upfront.

      Zero skin in the game.