Starbucks has been going on a downward spiral with an initial job cut and then a lawsuit over "free" wifi. Starbucks is finally closing the doors of 600 outlets! That's a lot I tell you. That's approximately 10% of their total store chain since they have 6,800 US stores. And 600 stores have the equivalent of 12,000 employees losing their jobs. That's really sad.
So what happened you ask? Let's take our answer from Boston.com's Alex Beam - he has laid down in the best and simplest possible terms the answer
What went wrong at Starbucks? To invoke the venerable business cliche, they didn't stick to their knitting. Their core business was overcharging consumers for coffee, and a very lucrative business it was. Then they started selling dreamy CDs, and the company even helped produce a movie, "Akilah and the Bee," that bombed at the box office. Schultz bought a basketball team and started hanging out with Mick Jagger and Paul McCartney, the usual recipe for business disaster.
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