Starbucks Adjusts Its Brew: Why Some Stores Are Brewing Their Last Cup

Starbucks, the coffee giant known for its widespread presence, is making some big changes. It's closing around 400 stores in North America. This is part of a larger plan to save about $1 billion. The company's CEO, Brian Niccol, said these stores weren't up to par or weren't making enough money. This move comes as no surprise. The coffee market has changed a lot. More competition, higher prices, and changes in where people live and work have all played a role. During the COVID-19 pandemic, many people moved away from cities. This left some Starbucks stores with fewer customers. Also, independent coffee shops and other chains are giving Starbucks a run for its money. Customers are also feeling the pinch. Many people are visiting Starbucks less often because of higher prices. This is especially true for people making less than $100, 000 a year. Starbucks is trying to win back these customers by making some changes. They're renovating stores to make them more inviting. They're also bringing back old traditions, like baristas doodling on cups. But it's not all smooth sailing. Some workers have complained about the new changes. They say the new drinks are complicated to make, and the doodling on cups is causing a bottleneck. Despite these challenges, analysts believe Starbucks is on the right track. They think the changes will pay off in the long run. Starbucks is not giving up. They still plan to open new stores next year. But for now, they're focusing on making the stores they have better. It's a big task, but one they seem ready to take on.