National - by Josh Becker on Thursday, December 4, 2008 17:12 - 0 Comments - 17 views
As you may recall, earlier this year, Starbucks had to shut down 600 locations in an effort to recoup recent sales downturns. Basically, the company was spreading itself too thin. And now the coffee retailer is facing more financial trouble, but its solution is pimping its Seattle’s Best Coffee brand to Subway.
Why? Starbucks may think that it will just make more money by selling its coffee at the popular sandwich chain. But for a company experiencing massive layoffs and having lost nearly 60% in market shares in 2008, expanding its business seems like the last thing it wants to do. To fund such distribution to Subway, guess what it’ll probably have to do? Fire more workers and raise prices again!
Bigger is not always better. And who goes to Subway to get coffee anyway?
Photo courtesy of Flickr user Thomas Hawk. Used under CC license.











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