) recently announced plans to open 100 new stores each in
Indonesia and Philippines over the next 3-4 years.
The coffee giant plans to expand in the lucrative South-East
Asian market by opening 100 new stores in Indonesia over the next
3 years and another 100 in Philippines over the next 4 years.
Starbucks already has a presence across 6 South-East Asian
countries, including Indonesia, Malaysia, the Philippines,
Singapore, Thailand and Vietnam, through more than 700
The Starbucks brand is gaining popularity with consumers
across Asia as the company continuously expands its store base
outside the U.S. Starbucks is increasingly investing in the Asian
markets, which have significant growth potential due to their
relatively low per-capita consumption as well as a burgeoning
middle class with rising income levels, which in turn is
increasing the demand for convenience food and beverages.
Starbucks' China and the Asia-Pacific (CAP) segment has
produced strong double-digit comps for 11 consecutive
quarters. Management believes that the CAP region, which
has grown 33% (in terms of revenues) since 2010, will drive more
meaningful business growth over the next 5 years.
Starbucks' business in China is rapidly growing and the region
is expected to become the company's second-largest market by
2014. The company is looking forward to take the store count in
this region to 1,500 in 70 cities by 2015.
Recently Starbucks entered the lucrative Indian market with
its first 3 stores opening in Mumbai in October and a 4
store in Delhi in early 2013. Starbucks also entered the Vietnam
market in Feb 2013 with a store opening in Ho Chi Minh City.
Other Stocks to Consider
Starbucks carries a Zacks Rank #2 (Buy). Some other stocks in
the retail/restaurant industry that are currently doing well and
are worth considering include
Red Robin Gourmet Burgers Inc.
) - Zacks Rank #1 (Strong Buy),
Burger King Worldwide, Inc.
) - Zacks Rank #2 (Buy) and
Dunkin' Brands Group, Inc.
) - Zacks Rank #2 (Buy).
BURGER KING WWD (BKW): Free Stock Analysis
DUNKIN BRANDS (DNKN): Free Stock Analysis
RED ROBIN GOURM (RRGB): Free Stock Analysis
STARBUCKS CORP (SBUX): Free Stock Analysis
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