Starbucks Plans to Start Nationwide Delivery in China

The video discusses Starbucks' performance in China and the US, highlighting the missed sales estimates in China, which is a key growth market. The US market faces saturation and competition, leading to a shift in focus towards China. The company plans to introduce national delivery in China and considers TV ads in the US. The feasibility of capturing the total addressable market in China is questioned, with concerns about the impact of trade tensions on US brands.

What was the key issue with Starbucks' performance in China?

• Decline in global sales

• High operational costs

• Missed estimates in same-store sales

• Increased competition from local brands

What strategic move is Starbucks planning in China by the end of the year?

• Opening new stores

• Starting a loyalty program

• Rolling out national delivery

• Launching a new coffee blend

Why is the US market no longer considered a growth market for Starbucks?

• High advertising costs

• Decline in coffee consumption

• Saturation of the market

• Increased competition from fast-food chains

What advertising strategy is Starbucks considering in the US?

• Social media campaigns

• Radio commercials

• National TV ads

• Billboard advertising

What is the skepticism around Starbucks' TAM analysis for China?

• The analysis is too conservative

• The analysis is outdated

• The analysis is overly optimistic

• The market is too small