Starbucks latest foreign target for Chinese media
Beijing: Starbucks has become the latest foreign firm to be roasted by China`s state-run media, following a series of accusations it is overcharging consumers.
State broadcaster CCTV aired a seven-minute-long report criticising the coffee shop chain`s pricing in China, arguing that a tall latte in Beijing is more expensive than in London, Chicago and Mumbai.
The report yesterday stated the price of a Beijing latte as 27 yuan (USD 4.42), compared with 24.25 yuan (USD 3.97) in London, 19.98 yuan (USD 3.26) in Chicago and 14.6 yuan (USD 2.39) in Mumbai.
It came after a stream of print stories attacking the Seattle-based firm, with the state-run Economic Information Daily accusing it of "profiteering".
The China Daily newspaper last week took aim at the chain in an article headlined: "Starbucks can`t justify high prices in China".
The allegations come after US tech giant Apple was subjected to a barrage of attacks earlier this year over its warranty policy and customer service, which state media cited as examples of its "unparalleled arrogance" toward Chinese consumers.
The criticism stopped after Apple CEO Tim Cook apologised.
Foreign baby formula and pharmaceutical firms have also recently been targeted by authorities over allegations of price-fixing and corruption.
In a statement, Starbucks said that its pricing in different cities is based on a variety of factors, including infrastructure investment, real estate, currency valuation and labour costs.
"Each Starbucks market is unique and has different operating costs, so it would be inaccurate to draw conclusions about one market based on the prices in a different market," the company said.
Starbucks opened its doors in China in 1999 and now has more than 1,000 stores in the country and growing, making China likely to overtake Canada as its second-largest market after the US next year.
More from India
More from World
More from Sports
More from Entertaiment
- Zee Media exclusive chat with 'Welcome to Karachi' cast
- Reservation issue: Police register case against Bainsla, 20 others
- Zee Media exclusive interview with Haryana CM Manohar Lal Khattar
- Manali: Heavy corruption found in environmental taxes
- UP Minister allegedly threatens, abuses Gonda businessman
- UP: Jammu-bound Muri Express derails in Kaushambi
- Five unmanned parachute-like objects spotted over Mumbai airport
- Aapke Sitare: Astro prediction for May 24, 2015
- Watch: Fast N Facts @ 7:30pm
- Dawood's intercepted phone calls prove yet again he is in Pakistan
- One year of Modi govt: How satisfied is the common man?
- Jaipur girl Mini Rajpal wins Miss India Deaf 2015!
- CBSE Board Class 12th Exam Results 2015 declared
- Mumbai architecture creates double decker bus from scrap!
- One year of Modi govt: How satisfied is the common man? Part-2
- IPL 2015 Final: MI vs CSK - As it happened...
- CBSE.nic.in 12th XII Results 2015: CBSE Board (cbseresults.nic.in) Class 12th XII Exam Results 2015 to be announced on May 25
- Heatwave continues in North India; death toll in Andhra Pradesh, Telangana more than 400
- IPL 2015 final: Mumbai Indians thrash Chennai Super Kings by 41 runs to lift second title
- Heatwave claims over 550 lives so far, Delhi saw hottest day
- LIVE - Cbse.nic.in & cbseresults.nic.in Class 12th XII Results 2015: CBSE Board Class 12th XII Exam Results 2015 to be announced shortly
- Check cbseresults.nic.in for CBSE Class 12 result 2015
- Cbse.nic.in & cbseresults.nic.in Class 12th XII Results 2015: CBSE Board Class 12th XII Exam Results 2015 declared
- Mathura rally: PM Modi slams 'corrupt' UPA regime, lauds NDA govt's efforts in past one year
- Two dead, over 100 injured as Muri Express derails in UP; Prabhu announces Rs 2 lakhs ex-gratia for kin of dead
- CBSE Class 12 results out: Here's how you can check
- PM Narendra Modi's Mathura rally: As it happened
- Check WBBSE (wbresults.nic.in) Class 12th Results: West Bengal Board (wbscvet.org) Higher Secondary Class XII Vocational Results to be declared today at 4 PM
- Public rally on 100 days of AAP govt: As it happened
- CBSE Board 12th XII Results 2015: Cbse.nic.in & cbseresults.nic.in Class 12th XII Exam Results 2015 to be announced today at 12 Noon