Levis Posted July 31, 2008 Report Share Posted July 31, 2008 I thought this was interesting [big]Starbucks to leave 700 jobless[/big] [smaller]Daniella Miletic, Tom Arup And Daniel Emerson | July 30, 2008 - 11:10AM[/smaller] Starbucks will close 70% of its Australian stores and slash more than half of its workforce as the once-mighty coffee giant battles an economic downturn in the US, its own rapid expansion and local competition. Across the country, the company's 84 cafes closed yesterday at 2pm. Employees were summoned to meetings to learn whether or not their store was one of the 61 "underperforming" to be closed by Sunday or if they were one of the 683 employees to lose their job. The 23 remaining stores in Australia will be located in Melbourne, Sydney and Brisbane CBD areas only. This is the first mass closure since Starbucks revealed it would close 600 stores and cut up to 12,000 jobs in the US last month. Starbucks president Howard Schultz ruled out closing other stores internationally and cited "challenges unique to the Australian market". Retail analyst Barry Urquhart said Starbucks failed in Australia in part "because they didn't understand and respect the unique and differing characteristics of the Australian coffee consumer". "In America, Starbucks is a state of mind. In Australia, it was simply another player," he said. An entrenched presence of independent cafes as well as leading local brands such as Hudson's in Melbourne made it difficult for Starbucks to capture the following it needed, he said. But he said the main reason for its demise was that it sold such a limited range of products outside of its coffee range. "We (Australians) just simply didn't spend enough money there because there wasn't enough complimentary products to buy," he said. Management expert Professor John Roberts said Starbucks clashed with a culture heavily influenced by stronger brews brought in by European immigrants. Starbucks operates more than 16,000 stores around the world, including more than 80 in Australia and 22 in Victoria. In metropolitan Melbourne, there are two stores on Bourke Street, two on Collins Street, one on Queen Street, one on Swanston Street, one on Spencer Street and one in Docklands. Asia Pacific president John Culver said stores in "remote" locations were not getting enough foot traffic. He said the closures were based on what was happening in Australia, not on the US economy. ACTU president Sharan Burrow said Starbucks should pay all redundant workers their entitlements and assist them to find other jobs in the industry. Mr Culver said staff to lose their jobs are to receive payouts ranging from a maximum of 20 weeks' pay to a week's notice pay and a fortnight's severance pay. He said Starbucks would also provide a 24-hour employee advice line for redundant employees and said the company chose to inform employees face to face yesterday before informing the media. [article clipped] Source: The Age Link to comment Share on other sites More sharing options...
Ombre Vivante Posted July 31, 2008 Report Share Posted July 31, 2008 They pretty much expanded waaaay too much and drove themselves into this situation. Starbucks's got nobody else to blame for this. Link to comment Share on other sites More sharing options...
Levis Posted July 31, 2008 Author Report Share Posted July 31, 2008 I was surprised to see the Starbuckses here when I arrived. With the amount of competition, I couldn't understand how they were making any sort of a profit Link to comment Share on other sites More sharing options...
Ombre Vivante Posted July 31, 2008 Report Share Posted July 31, 2008 What's funny is that in some city blocks here it's other Starbucks that drove other Starbucks outta biz! Link to comment Share on other sites More sharing options...
Batman Posted August 29, 2008 Report Share Posted August 29, 2008 People like to think that Starbucks is really popular in America because it connects with our culture or the youth thinks it's cool or whatever, but in my opinion that's not true at all. Starbucks is really popular in America because caffeine is a drug and the majority of American adults have an addiction to it. Starbucks is just the most convenient way for people to get their fix. Link to comment Share on other sites More sharing options...
Foolonthehill Posted August 29, 2008 Report Share Posted August 29, 2008 I think a lot of people just have really shitty taste in coffee. Link to comment Share on other sites More sharing options...
Ombre Vivante Posted August 30, 2008 Report Share Posted August 30, 2008 I think a lot of people just have really shitty taste in coffee. As a person who was given coffee for breakfast as a kid, I know this to be true Link to comment Share on other sites More sharing options...
Batman Posted August 30, 2008 Report Share Posted August 30, 2008 haha that could be part of the problem as well Link to comment Share on other sites More sharing options...
Foolonthehill Posted August 30, 2008 Report Share Posted August 30, 2008 (edited) I think another reason why a lot of people like starbucks is because it's neat, consistent and completely risk-free. You can walk into a starbucks anywhere and expect to consistently get your favourite caffeinated beverage made exactly the way that you are familiar with from other starbucks. It sounds pretty boring, but there are a lot of unadventurous people out there. Edited August 30, 2008 by Guest Link to comment Share on other sites More sharing options...
Batman Posted August 31, 2008 Report Share Posted August 31, 2008 That's true. Starbucks is pretty much the McDonalds of the coffee industry. Link to comment Share on other sites More sharing options...
scott Posted August 31, 2008 Report Share Posted August 31, 2008 we can say shitty now? SWEET did I miss a memo or something, GLORY GLORY HALLELUJAH The rapture will come when I am allowed to say f***ing. oh...and.... sure sucks for Australians who like starbux Link to comment Share on other sites More sharing options...
MindCrime Posted August 31, 2008 Report Share Posted August 31, 2008 I wish they would do that here. I really don't like starbucks... overrated coffee, bland food items, and $5 to use their porn-free internet! Link to comment Share on other sites More sharing options...
Foolonthehill Posted August 31, 2008 Report Share Posted August 31, 2008 huh I thought it would bleep that out. Link to comment Share on other sites More sharing options...
Levis Posted September 1, 2008 Author Report Share Posted September 1, 2008 Why would Australians like Starbucks? They have millions of little cafes that actually KNOW what coffee is. 'tis why I was so surprised when I saw Starbucks cafes here - I wondered how they could possibly be making a profit, given the amount of competition. And they weren't Link to comment Share on other sites More sharing options...
RonJonSurfer Posted September 2, 2008 Report Share Posted September 2, 2008 Every diner in the world has better coffee than Starbucks....cheaper too. Link to comment Share on other sites More sharing options...
Batman Posted September 4, 2008 Report Share Posted September 4, 2008 This is true. I've never been a big coffee drinker because often when I have heavily caffeinated drinks early in the morning, I feel sick until the afternoon. I only drink coffee in the afternoon and evenings. Link to comment Share on other sites More sharing options...
Kevin Posted September 4, 2008 Report Share Posted September 4, 2008 I think it's also starting to dawn on people that a $3-5 dollar cup of coffee each day is a luxury they can do without now that gas and other household budget items have increased so rapidly and likely more will follow . A simple cup of coffee per day at $4 comes to nearly $1500 a year - one could go to Hawaii or elsewhere , if they would be content with a cheaper cup. It's similar to the savings one could have by quitting smoking .* Note to self * Link to comment Share on other sites More sharing options...
Jenny Posted September 5, 2008 Report Share Posted September 5, 2008 Starbucks just opened not too far from me. I'm not a big coffee drinker one way or the other, but when I do buy coffee, it's at Dunkin' Donuts. I am lucky, though. Where I work, we get free coffee...it tastes terrible though, so I go for the free tea. Link to comment Share on other sites More sharing options...
MarcM Posted September 5, 2008 Report Share Posted September 5, 2008 dd COFFEE IS ALL i BUY NOW. iT IS NOT AS HARSH AS sTARBUCKS. Link to comment Share on other sites More sharing options...
Foolonthehill Posted September 6, 2008 Report Share Posted September 6, 2008 I quit drinking coffee habitually a few months ago, but if I were to spend $4 on a cup of coffee, it wouldn't be at starbucks. Link to comment Share on other sites More sharing options...
edna Posted September 6, 2008 Report Share Posted September 6, 2008 I just went once to Starbucks. Had a milkshake (I don´t like coffee...) But I saw my friends drinking a very expensive coffee that wasn´t very good, as I was told lately... Link to comment Share on other sites More sharing options...
Kevin Posted September 6, 2008 Report Share Posted September 6, 2008 I've had a grand total of 2 Starbuck's coffees in my life . They weren't bad , by any means , but I don't see myself being a regular due to the outrageous price and freaky vocabulary required to order one ; ' just a ... you know, don't you... a regular coffee with cream?! ' . One is better off to buy their beans , grind them at home , and enjoy - as well as saving a bundle . Link to comment Share on other sites More sharing options...
The Seeker Posted September 6, 2008 Report Share Posted September 6, 2008 I don't like Starbucks for the same reasons Far too expensive and I always feel stupid ordering something... can't pronounce their stuff, always get everything mixed up because of those outlandish names and they always get my name wrong too. Some of the frappuccinos are nice though... Link to comment Share on other sites More sharing options...
RonJonSurfer Posted September 6, 2008 Report Share Posted September 6, 2008 I have a meeting with a customer this morning and I'm already thinking about stopping by dunkin' donuts for a far superior coffee....after I'm done. Link to comment Share on other sites More sharing options...
Kevin Posted September 6, 2008 Report Share Posted September 6, 2008 I don't like Starbucks for the same reasons Far too expensive and I always feel stupid ordering something... can't pronounce their stuff, always get everything mixed up because of those outlandish names and they always get my name wrong too. Some of the frappuccinos are nice though... No you mean a ' double, double, with , hold the cheese , Bob's your uncle, don't fire until you see the white's of their eyes , and chalk it up a bit ...' . I think it's a Freemason conspiracy , myself . Link to comment Share on other sites More sharing options...
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