Updated
Updated · Bloomberg · Jun 19
Starbucks Cuts 180 London and Hong Kong Jobs as Licensees Gain More Control
Updated
Updated · Bloomberg · Jun 19

Starbucks Cuts 180 London and Hong Kong Jobs as Licensees Gain More Control

1 articles · Updated · Bloomberg · Jun 19

Summary

  • About 180 corporate roles were eliminated across Starbucks’ international hubs, including roughly 120 positions in London and about 60 in Hong Kong.
  • The cuts are part of a global restructuring that gives third-party licensees more latitude to run Starbucks stores outside North America.
  • Hong Kong’s reductions amount to about 20% of staff in the office overseeing Asia-Pacific markets excluding China and Japan, while London serves as the base for Europe, the Middle East and Africa.
  • The move signals Starbucks is shrinking central oversight in overseas markets as it leans more heavily on local operating partners.

Insights

By ceding majority control in China, is Starbucks unlocking growth or risking its most valuable market?
Is Starbucks' $2B cost-cutting plan sacrificing its premium brand experience for short-term profit?