• Starbucks may end its joint venture with Tata !

    Business
    Starbucks may end its joint venture with Tata !

    Digital Desk : There have been reports that Starbucks is planning to exit the Indian market. Due to high operating costs and low profitability, the brand is facing losses and it may force them to end its joint venture with Tata.


    But in response to this buzz, Tata replied that this report is "completely false and baseless". They further added that Starbucks is fully committed to the Indian market. The FMCG company informed that the partnership between Tata and Starbucks is still strong. Tata Starbucks is currently operating around 470 stores in 76 cities across India.


    Starbucks and Tata Group started this joint venture in 2012 and it was named as Tata Starbucks Limited. This opened the path for Starbucks to enter into the Indian markets. The first Starbucks store in India was opened in Mumbai.


    As per a report by a media house, sales at Tata Starbucks rose to 12% in the last financial year which is more than double compared to four years ago. Tata Starbucks is planning to increase its stores to 1000 by FY28.


    Last month TCPL MD & CEO Sunil D'souza told PTI, "With Starbucks, we are very clear that the store profitability is not an issue. And as we get to scale, we know that we can generate profits out of it. "

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