Despite its wild success and position as the top coffee chain in the country, Starbucks is considering selling its Japanese operations, opening the possibility it could “return to Japanese hands”

They’re considering selling, because they’re not doing well in the US HQ.

Japan is like a museum for defunct US brands. Lawson, Mr. Donut, and so on…

Well Japan Starbucks offers some really cooler drinks

My go to place for getting some work done on the weekends.

The Japan business is doing very well. This is a financial/strategic discussion they are having and official plans haven’t been announced. It could be various plans – IPO or sale of a stake, etc.

Might be that potential Japanese buyers have lower cost of capital and willing to pay more for it than Starbucks investors (mostly U.S.) expect.

Japan has truly been Starbucks success story hand down. I’ve never been to one that didn’t feel well operated and maintained. So basically striking while the iron is hot in Japan while it’s going cold in other places. The payoff short term would be much larger than if they waited until a later date with risks that could equate to losses overwhelming current conditions in other countries. I’m sure they’re thinking something along the lines of holding equity hence the IPO. They don’t want to lose foothold. But let’s be realistic here, how much longer can Starbucks hold on to a market that’s changing economically and is also waving swords at foreigners that spend and maintain that “essence” that Starbucks needs to continue to succeed as well as they have in Japan. Starbucks in Japan is a true love story, but the kids are now a part of the marriage and their needs are pulling the family and in many directions. A correction may be exactly what the brand needs even though the brand might not be who carries the bags of money to bank

I can’t read the full article because it’s behind a paywall, but the headline seems to ignore how Starbucks Japan actually developed over 25 years.

Starbucks entered into a partnership with Afternoon Tea, which initially held the controlling stake in Japan. Afternoon Tea understood Japanese consumers, Japanese retail, and Japanese lifestyles far better than anyone in Seattle.

The result wasn’t an American Starbucks transplanted into Japan. It was a Starbucks adapted for Japan by Japanese management. Store layouts, seasonal products, customer flow, and the overall experience were shaped locally while maintaining the core Starbucks philosophy.

Japan is one of Starbucks’ strongest international markets; walk into many locations, and you’ll still find long lines.

Perhaps the biggest success is the Frappuccino. Japan embraced and expanded that category to record levels. Seasonal and limited-edition Frappuccinos have become cultural events in their own right.

Remember that ownership and management are not the same thing. The company continues to be run in Japan by Japanese executives, making decisions for the Japanese market.

So the idea that Starbucks might somehow “return to Japanese hands” misses the bigger point. The business was built through Japanese insight from the beginning.

Remember we are talking about the company that purchased Teavana who then shut it down not because it was not profitable but not profitable enough; however, we all know the real reason was to kill competition.

Overpriced garbage !