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Showing posts from January 8, 2008

Starbucks Hopes Schultz Can Restore Buzz

Trouble has been brewing for some time at iconic global coffee chain Starbucks' rapid expansion — which included outlets in Barnes and Nobles bookstores, product distribution in supermarkets and its own record label — has watered down growth in overall traffic. Alex Hofford / EPA Analysis By John W. Schoen MSNBC January 08, 2008 Is it the coffee? Or too many outlets? Or are cash-strapped latte drinkers simply having second thoughts about shelling out $4 for a caffeine fix that they can get from a fast-food chain for a lot less? Those are some of the questions facing Starbucks Chairman Howard Schultz as he returns to his old job as CEO to try to revive a company whose phenomenal growth and customer focus once made it the darling of investors, business school professors and consumers looking for a little bit of luxury from their daily coffee routine. Buffeted by higher costs, rapid store expansion, improved offerings at fast food competitors like McDonald's, and pressure on consu...

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