China will become the second largest market of Starbucks by the end of 2014

The world's largest coffee chain currently has more than 1200 stores in 68 Chinese cities. Howard Schultz, chairman of Starbucks Coffee, said: "Starbucks' success in the United States does not necessarily mean that other markets will be successful." For Starbucks, success in markets outside the United States is not picked up, but won. Starbucks is opening stores and recruiting in more than 60 cities in China, creating opportunities for suppliers and hoping to boost the local economy. "

Starbucks management from Seattle is paying more and more attention to the Chinese market. On the 5th, Schultz and a number of Starbucks executives came to Beijing to elaborate on its China development plans. Two days ago, Schultz attended a meeting with more than 1200 Starbucks partners (employees) and their families in Guangzhou.

Starbucks was founded in 1971 with 1982 Schultz and only four stores. Schultz later returned to Starbucks in 1987 after a brief start-up and acquired it. Today, Starbucks has more than 20,000 stores around the world. The development of the Chinese market began in 1999, and now China has become the focus of Starbucks' international market. In fiscal year 2013, Starbucks opened more than 300 new stores in China and settled in 10 new cities.

Wang Jingying, president of Starbucks China, told Tencent Finance about how Starbucks keeps growing against the backdrop of slowing economic growth in China. Starbucks hopes to create a "third space" (outside its home and workplace) through its existing 1200 stores, which she believes has a lot of room for growth in the Chinese market. Starbucks wants to focus on expanding its scale while maintaining the quality of its customers' experience.

In the quarter to the end of March, Starbucks' net profit was $427 million, up 9 per cent from the same period last year. Quarterly net revenue was $3.87 billion, with global same-store sales up 6 per cent. Among them, sales revenue in China increased by 7% compared with the same period last year.

Starbucks in the coffee culture prevails in the United States market, there are a large number of competitors, a variety of cafes dotted. But in China, rival Pacific [- 1.30%] Coffee, COSTA, Shangdao and Dio are still difficult to shake Starbucks' position, and it can get a high premium in China.

In 2013, there was another episode in Starbucks' rapid development in China: CCTV programs criticized Starbucks for being profiteering because it was more expensive in China than in the United States. This seemingly just campaign not only failed to resonate with consumers, but also attracted satire on social media about CCTV. Starbucks has received widespread sympathy, a far cry from the criticism of its Imperial Palace stores in 2007.