Starbucks is closing 250 stores in North America by the end of the week
Quick Look
- Starbucks is closing 250 stores in North America by the end of the week, including some in the USA.
- The affected locations were not named.
- The closures affect branches with poor financial results or inadequate customer experience.
AI-generated summary
Why It Matters
Starbucks is the world's largest coffeehouse chain headquartered in Seattle. Last year, 627 stores in North America and Europe were closed.
New York. Starbucks plans to close 250 stores in North America by the end of the week. Starbucks, the world's largest coffee house chain headquartered in Seattle, did not announce on Thursday which locations were affected and how many of them were in the USA. At the end of June, Starbucks had 18,371 stores in North America.
The selected stores either did not achieve acceptable financial results or were unable to provide customers with the desired experience, said chief operating officer Mike Grams in a letter to staff. If possible, employees should be able to move to other branches or receive severance pay.
It is the second major wave of closures under CEO Brian Niccol. Last year, Starbucks closed 627 stores in North America and Europe. In connection with the renewed branch closures, the group expects costs of 300 million dollars (around 262 million euros).
What to Watch
AI outlook — possibilities, not facts
Starbucks will complete store closures by the end of the week.
Very likely · Within days
Starbucks will report improved operational efficiency next quarter.
Possible · Within months
Open Questions
- Which specific locations are affected by the closures?
- How many of the 250 stores to be closed are in the United States?
- How many employees will be directly affected by the closures?
