Since Tata Starbucks launched in 2014, it has been difficult for them to turn a profit. Much of this is due to the heavy up-front cost of expensive store fronts . In 2017 there were revenues of INR 2.72 billion and expenses of more than INR 3.04 billion .
What should James Fansdale do now? Starbucks believes there is opportunity in the Indian market and they invested heavily in this opportunity. Despite this opportunity, Starbucks has not been successful in its venture thus far. Consider the following three options available to James Fansdale:
1. Should James and his team devise a new, more open-minded strategy to capitalize on the Indian market? If they should adopt a new, tailored strategy, what might it look like?
2. Should he double down on their current strategy and hope it turns around?
3. Should he propose that Starbucks pulls out of the Indian market altogether, to avoid con- tinued losses?
