36氪·2025-11-04 13:14Core Viewpoint - The acquisition of Starbucks China by Boyu Capital for a valuation of $13 billion marks the largest merger in the consumer sector in nearly a decade, highlighting the challenges Starbucks faces in the Chinese market and the strategic shift needed to regain competitiveness [6][7][8]. Group 1: Acquisition Details - The deal involved Boyu acquiring a 60% stake in Starbucks China, with the valuation split into $4 billion for the joint venture and the remainder attributed to brand value [11]. - The acquisition process was lengthy, involving over 30 top investment institutions and multiple rounds of negotiations, reflecting the high stakes and interest in the deal [7][10]. - Boyu Capital's strategy includes leveraging its real estate resources to enhance Starbucks' property portfolio and proposing significant store expansion plans [12]. Group 2: Market Position and Challenges - Starbucks China has seen a decline in market position, with its operating profit margin dropping from a peak of 28% in 2013 to around 12-13% currently [55]. - The company has struggled to adapt to the competitive landscape, particularly against rivals like Luckin Coffee, which has aggressively pursued a lower price point strategy [39][44]. - The high operational costs, including supply chain expenses that are 1.5-2 times higher than competitors, have hindered Starbucks' ability to lower prices [52][53]. Group 3: Strategic Shifts and Future Directions - Following the acquisition, there is a consensus that Starbucks needs to focus on cost reduction, price adjustments, and expansion into smaller cities to regain market share [69]. - The company plans to increase its store count in China to 20,000, particularly targeting smaller cities and emerging regions, indicating a shift in strategy post-acquisition [69]. - The need for product innovation and faster adaptation to market trends has been highlighted, as Starbucks has lagged behind competitors in introducing new offerings [60][61].