McDonald’s plans to challenge Starbucks head-on by introducing 14,000 in-restaurant coffee bars staffed by baristas, according to internal company documents. McDonald’s expects the coffee bars to add $1 billion a year to its $21.6 billion in annual sales. McDonald’s also aims to be less “condescending” than its Seattle competitor. “A typical Starbucks customer would ask for a Grande Latte; our Baristas need to know that this is a medium size drink,” notes a 2006 memo. (The Wall Street Journal)
The Bottom Line
January 7, 2008
Try 4 Risk-Free Issues of The Week magazine.
of The Week magazine.