Four Bucks For A Cup Of Joe?
Interesting article in Slate about how, far from steamrolling mom and pop coffee houses and putting them out of business, Starbucks has brought so many people into the $4 coffee market that business is expanding for the independents!
That's why the Kid loves capitalism. If you told him in the 70's that he'd be paying $4 for coffee (or $2 for bottled water, or $80 a month for TV) he'd be astounded.
Soon after declining Starbucks's buyout offer, Hyman received the expected news that the company was opening up next to one of his stores. But instead of panicking, he decided to call his friend Jim Stewart, founder of the Seattle's Best Coffee chain, to find out what really happens when a Starbucks opens nearby. "You're going to love it," Stewart reported. "They'll do all of your marketing for you, and your sales will soar." The prediction came true: Each new Starbucks store created a local buzz, drawing new converts to the latte-drinking fold.