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Starbucks faces more competition in China

(Global Times)

09:17, October 26, 2011


US coffee giant Starbucks is planning to triple the number of cafes to 1,500 in the Chinese mainland by 2015, the company said Tuesday.

Starbucks will enhance its presence in second- and third-tier cities, the company said. It is also planning to purchase more domestic coffee beans to meet the demand of the fast-growing market.

The Seattle-based coffeehouse chain will mainly focus on new markets, mostly second- and third-tier cities, in its expansion, while large cities such as Beijing still have potential for further penetration, Belinda Wong, president of Starbucks China, said Tuesday.

"In choosing the locations for our new cafes, we will evaluate its connection with our brand, customer demand, the availability of real estate and financial situations," she said.

Starbucks is also trying to get more involved in local culture as it expands its footprint in the country. "We always pay respect to the heritage of local people, and are still learning how to involve ourselves in the local community," Wang said.

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