Coffee review

Starbucks is protested by Chinese people that coffee is more expensive than abroad in the Chinese market.

Published: 2024-11-10 Author: World Gafei
Last Updated: 2024/11/10, The scene caused Chinese people to complain, but Starbucks responded, saying that they were valuable in China. According to the description of the relevant media, Miss Zhu ordered a small latte in the United States with a list price of $2.75. After adding about 8% consumption tax, Miss Zhu paid a total of about $3, equivalent to 18 yuan, while in a Starbucks store in Shanghai, a small cup of latte label

The scene caused Chinese people to complain, but Starbucks responded, saying that they were valuable in China. According to the relevant media description, Miss Zhu ordered a small latte in the United States with a list price of US $2.75. After adding about 8% of the consumption tax, Miss Zhu paid a total of about US $3, or 18 yuan, while in a Starbucks store in Shanghai, a small cup of latte was priced at 27 yuan, which is 1/3 more expensive than that in the United States. Today, the reporter also went to a Starbucks coffee shop in Futian District of Shenzhen to learn about the situation. The reporter noticed in this Starbucks coffee shop that the prices of coffee and other non-staple foods are all about 30 yuan, and it is easy for two or three guests to spend more than 100 yuan for a table, and at four or five o'clock in the afternoon, the place is full of people, almost full. A recent survey conducted by foreign media in several cities around the world shows that the price of Starbucks in Beijing is higher than that in Tokyo, New York, Hong Kong, London and other cities. Among them, the price of a Starbucks coffee priced at $3.81 in London has become $4.81 in Beijing, an increase of 26%. The per capita disposable income in Beijing is much lower than that in cities such as New York and London. According to Starbucks' 2013 financial statements, the operating profit margin of China's Asia-Pacific region is much higher than that of Europe and the United States, and even 16.8 times that of Europe and other regions. The price of the same Starbucks drink in China is nearly 1/3 higher than that in the United States. Starbucks says operating costs and market drivers in the Chinese market are completely different. Pricing is based on the comprehensive consideration of various raw materials and equipment, employee compensation and benefits, rent, as well as exchange rates, import duties, logistics and transportation and other operating costs. Because of these dynamic factors, the same drink varies greatly in the 62 markets operated by Starbucks. With regard to the high paper profit margins in China and the Asia-Pacific region, Starbucks explained that other forms of operation in China and the Asia-Pacific region, such as joint venture stores and franchise stores, account for a higher proportion, and the financial report only takes into account the profits of these stores. Direct stores should reflect the various costs and the ultimate profit. According to the survey, most Chinese consumers do not understand this response.

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