Starbucks Goes International

There is no surprise that Starbucks is just as popular overseas. When the company’s chairman, Howard Schultz, first opened his store in 1996, he was not amazed to see over 100 people lined up awaiting the ribbon cutting at 6:30 AM. A man in his 20’s seemed as if he slept outside the shop the day before to become the first customer to enter Starbucks in Japan. Pronounced STAH-bukz-zu, this new coffee shop has redefined the way Japanese view coffee. Normally attending small, dimly lit shops, Japanese customers are now well adjusted to the large comfy sofas, American Hip-Hip and reggae music playing, and large selection of gourmet brew. Starbucks in Japan also does not allow smoking, attracting even more customers such as young women or men.

Starbucks Coffee Japan has proven so popular that it opened its 300^th store, and planning to open 180 more. Its sales of $242 million, or 29 billion yen were more than double of the previous year. Investors have noticed its success as well, putting it on the Nasdaq Japan exchange two years ahead of what they expected. The stock then traded at 73,000 yen. Mr. Schultz quotes “Any way you measure it, we’ve exceeded our wildest expectations.” The sales and success of Starbucks in Japan is twice as great compared in the United States. Masao Yamashita, executive director of the All Japan Coffee Association, stated how there’s lots of room for the market to grow and expand.