Will Starbucks leave India soon? That’s what the brand says

In India, coffee is not just a drink, but an emotion that has helped us create memories. And this is the reason why all the big brands have entered the Indian market. From Starbucks to Cafe Coffee Day, the range is quite extensive. But the latest news was that the buzz was that Starbucks, the international coffee chain, was on the verge of exiting the Indian market. Scroll down to read the truth.
It has been reported that due to high operating costs and low profitability coupled with deviation from Indian consumer preferences, Starbucks is considering withdrawing from the Indian market. The buzz is due to high rents, imported ingredients and price-conscious customers. The brand is facing losses and has decided to exit the Indian market.
In response to the buzz, Tata Consumer Products Ltd told media on December 19 that reports that Starbucks was considering leaving India were “completely false and baseless.”

The relationship between Tata and Starbucks is strong, thanks to shared values ​​and commitment to India, the FMCG company said.
According to a business media report, Tata Starbucks’ sales grew 12 per cent to Rs 1,218 crore in the last fiscal, while its net loss widened to Rs 80 crore rupees from Rs 25 crore. In the first half of this year, revenues increased only slightly.
According to business information provider Tofler, in the last financial year, Tata Starbucks’ revenue more than doubled from four years ago.

The buzz around Starbucks’ release also mentioned that Indian consumers generally prefer local and cheap substitutes such as chai, filter coffee and local coffee shops, which better suit their preferences and culture. And these factors sparked rumors about the company’s exit. He adds that to stay in business, Starbucks must adapt and be able to offer lower prices, local menus and streamlined operations tailored to the Indian market.
What do you think of such rumors? Share your thoughts in the comments section.
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