Starbucks (SBUX) Opens Store In Bali, Expands Global Presence
Zacks Investment Research | Jan 13, 2019 08:25PM ET
Starbucks Corporation (NASDAQ:SBUX) announced the opening of One-of-a-Kind Coffee Sanctuary in Bali, Indonesia. This move is In line with the company’s strategy to bolster global presence. Notably, Starbucks Dewata Coffee Sanctuary is the largest store in Southeast Asia.
The 20,000 square feet store marks the 10th Starbucks Reserve Bar store in Indonesia. The company is optimistic about attracting customers to the store as Bali is one of Asia’s top travel destinations. The company is also working closely with farmers in Indonesia to promote Indonesian coffee to the world. Starbucks is a major buyer of Indonesian Arabica coffee.
Strategic Expansion to Drive Growth
In the past two years, management has successfully turned around its EMEA business by improving customer experience through innovative new store designs, ramping up product offerings and growing margins through process and supply chain efficiencies.
Moreover, Starbucks brand is gaining popularity with consumers across Asia as the company is increasingly investing in the Asian markets. The relatively low per-capita consumption as well as a burgeoning middle class with rising income levels increase the demand for convenience food and beverages, and promise significant growth potential. Management believes that China and the Asia-Pacific region will drive meaningful business growth over the next five years supported by rapid unit growth, improving brand awareness, and increased usage of the digital/mobile/loyalty platforms.
Stock Performance
In the past three months, this Zacks Rank #3 (Hold) company’s shares have gained 12.9%, outperforming the Original post
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.