Marketing pitfall for Starbuck in China
Date Submitted: 09/10/2006 00:27:05
Category: / Business & Economy / Marketing and Advertising
Length: 3 pages (801 words)
Category: / Business & Economy / Marketing and Advertising
Length: 3 pages (801 words)
Marketing Pitfall
In September 2000, the opening of Starbucks in Beijing's Forbidden City, also known as the Palace Museum, brewed storm in China, with the outraged local media reporting that 70 percent of people would rather not sip the American chain's frappucinos in the footsteps of the Son of Heaven.
For many locals, they were incensed by the U.S. chain's opening in the ancient home of China's emperors as an act of American economic and cultural …
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…St Petersburg).
Thus, having said above, I think the decision by Starbuck's to open a coffee chain in the Forbidden City is a pitfall. It demonstrates the fact that Starbucks has not grasped the importance of understanding China's culture before entering the market. Starbucks could have done a better job by first studying its culture and understanding the sensitivity of heritage preservation, thus, choosing the right place and moment, before embarking on a marketing mission.
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