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Starbucks Starts Operating in South Africa

starStarbucks Starts Operating in South Africa


Great news for those that live in sub-Saharan Africa is that Starbucks opened its operations in South Africa. Taste Holdings is the company that partnered Starbucks for bringing the brand in South Africa, and since that announcement the price of the shares in their company rose up to about 20%.On their first opening recently, Starbucks offered free samples of coffee along with umbrellas and blankets for the South African citizens.


South Africa is the first place where Starbucks`s coffee brand enters, and they plan to use latest technology in order to provide the South African citizens with best coffee possible. Besides Starbucks, other brands like Burger King and Krispy Kreme are also planning an expansion. However, only a quarter of a million South African citizens can afford to buy coffee from Starbucks, so the brand plans to sell coffee on discounted prices. That is the plan for attracting more people to buying the coffee. Positive thing about this operation is that it will boost the competition and will make local coffee shops work better, so they can grow as well.


Johannesburg is the first place where the coffee shops will be opened, before moving up to Cape Town. Compared to the prices in the USA, Starbucks cut the coffee prices for its shops in Johannesburg. Majority of coffee drinks will cost 30% less than they cost in the US. However, the price of a small coffee in Johannesburg’s Starbucks is 20% higher than the price of cup of coffee in other competitive coffee sellers.



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