Starbucks' Next Chapter in China

Jiemian News

A reset in control

Starbucks no longer holds a majority stake in its China business — and that may be its biggest liberation. "Without control, it must share decisions," one consumer investor told Jiemian News. "The brand and locations remain its core assets, but the new shareholder will push for local operations and a second growth curve." In fiscal 2025, Starbucks China returned to growth with revenue up 5% to US$3.11 billion. Same-store sales and traffic rose for two consecutive quarters, and its membership base hit 25.5 million. Margins remain in double digits despite a price war among delivery apps — proof that the underlying business is still healthy. The new joint venture will keep its headquarters in Shanghai and pledges to accelerate drink innovation, digital operations and market expansion beyond major cities. But its deeper task lies in translating trust into execution — and transforming a global coffee brand that was slow to adapt into one ready to compete in China's reshaped coffee-and-tea landscape, where agility, local management and a renewed sense of premium value will define its comeback. For Starbucks, after a decade of slower growth and mounting competition, that might be exactly what it needs to start anew.