Starbucks Increases Investment in India Despite Growing Losses — Bloomberg

Investing.com – According to Bloomberg, despite facing increasing losses, Starbucks Corporation’s India operations are expanding their store network and launching new products such as protein foam coffee to strengthen their market position in the world’s most populous country.

The company is the largest coffee chain in India by store count. Sushant Dash, CEO of Tata Starbucks Pvt., told Bloomberg that with increased investment, the company will focus on expansion rather than profitability. The company is operated as a joint venture with Starbucks and Tata Group each holding a 50% stake.

Dash stated that India remains a key market for the company, ranking among Starbucks’ top five markets worldwide. He added that the business has achieved positive cash flow but declined to provide a specific timeline for profitability.

This Seattle-based chain is increasing its investment in the Indian market. Despite fierce local competition and slowing consumer demand, it is seeking new markets to revive growth. Starbucks is streamlining its U.S. operations while facing consumer resistance in the Middle East. Last year, the company sold a 60% stake in its China business.

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