Friday, October 06, 2006

The Global Spread of Starbucks

Recently, Starbucks announced that it plans on tripling the number of its stores worldwide. The current number of stores is about 12,000, but Starbucks plans on reaching a number of 40,000 stores around the world. Of this number, Starbucks wants half these stores to be located in the United States, and the other half being overseas. However, the coffee chain has not given a timescale for this number to occur.

In the five week period to October 1, Starbucks says they have had a 6% increase in sales, which was compared to the same time period one year ago. This is higher than a 3.3% increase which was predicted earlier. Other good news for the conglomerate is that the latest sale figures and the new expansion target show an 8% increase in its shares. Starbucks says that they have benefited due to increased business from women, Hispanics and less affluent consumers. With all this and more, Starbucks founder and chairmen Howard Schultz states that he believes they are only 50% through the opportunity for stores in North America, which is a very promising figure. And because of the conglomerate’s growth, targeted areas around the world include China, India, Brazil, Russia and Egypt.

This is a great example of how U.S. conglomerates are expanding and influencing cultures around the world, as well as showing how we are a global superpower. The spread of American culture is being sent to countries which these global conglomerates are located in. In ways, this can be a good thing; however, there can be consequences with this. For example, the spread of a U.S. company helps our economy by bringing in income from around the world. However, some cultures don’t want their way of life to be affected by these conglomerates. Which is an example cultural nationalism, and can cause some social tensions around the world. But, for the most part, in my opinion, this isn’t such a bad thing. The sharing of cultures doesn’t necessarily have to be a bad thing, it just gives people around the world a piece of our culture.

Starbucks to Triple Store Numbers

2 Comments:

At Saturday, October 07, 2006 2:04:00 PM, Blogger Veritas said...

Hmmm, I don't quite agree with you here. Although it is important for people to be able to immerse themselves in different cultures, I believe this is going a little bit too far. I mean, Starbucks is taking over small businesses, and really, if you have ever been to a big city, there are five Starbucks cafes on one street. Is that really necessary? I think not.

 
At Monday, October 09, 2006 6:02:00 PM, Blogger Veritas said...

First of all, I don't think that North American culture taking over the world is the greatest idea. Would you really want to visit another country just to see that there are 20 McDonalds' in one city?? I mean, fine it is okay having one or two so that people can "experience" our culture once in a while, just like we have a restaraunts that serve food from Mexico, Italy, India, etc. (though rarely do you find a restaurant that serves authentic cuisine from these countries like Mcdonalds does.....)
Also, going back to Starbucks, I love it, but it is not the only coffee shop I want to go to. But soon it may become the only coffee shop I go to considering the fact that it is taking over small businesses and other individually owned coffee shops. I went to Houston last summer, and their was a street that seemed to be lined with Starbucks'. I do not think that was a necessity. It was just extremely annoying.
Finally, like I said before sharing cultures isn't a bad thing...in moderation.

 

Post a Comment

<< Home