Thursday, October 24, 2013

Chairman Mao & Starbucks

USA press is all atwitter at criticism Starbucks is taking in China for having s super-premium price on their coffee.  The fact is, Starbucks charges more in Chinese capitals than in any other country.
Chinese state-run CCTV fumed over the fact that a grande latte in Beijing cost (in US dollars) $4.42, with the same serving costing $3.97 in London, $3.26 in Chicago and a mere $2.39 in Mumbai.
That government press would complain is cited by USA media that Communist China still does not get "the free market."

AS if anyone in USA press gets the free market.

If you google "price gouging" you'll get 6.8 million hits.  Presumably charges of "price gouging" happen in USA as well.

But what is the view in China on the topic of Starbucks "price -gouging"?
Amy Li, a blogger for the South China Post, perhaps sums it up best: "My advice for grumpy Chinese coffee drinkers? If you don't like the price then don't buy it."
There is a more interesting back story, methinks.  Under Mao there were "speak bitterness" campaigns where people who were unhappy with anything (except communism) were encouraged to vent.  And vent they did, with horrific results.  No doubt some elements in China yearn for those days, which they see as happier times.

Battle lines are being drawn, and venting is coming out.  But so far, as the Chinese press terms this, it is a tempest in a coffee pot.

Reform in China: so far, so good.

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