Starbucks Corp is on the rise in China with ambitious expansion plans but like any big new emerging market there are teething problems, not least of which is that customers love it so much, they stay for hours and hours and sometimes don’t even buy a drink.
Chief Executive Howard Schultz expects mainland China to overtake Canada as Starbucks’ second-largest market by 2014 and some analysts believe it could one day rival the United States as the company’s biggest market.
“For a decade the core business was expats and tourists. Without question, the core business today is Chinese nationals,” Schultz said ahead of a trip to Beijing and Shanghai to meet store managers.
The world’s biggest coffee chain is a symbol of Western affluence in a nation of tea drinkers. But the tendency for Chinese visitors to linger in cafes and their lower income levels means sales volumes are much…
View original post 578 more words