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Starbucks Closures. 300 Stores, 6700 Jobs - 2/3rds in the US. Business Down 69%

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Comments

  • fc1234
    I am sorry to hear about how difficult things are for you - but you seem mega philosophical and up - wow!

    also the comedy guys do make me giggle...
    Gala bingo wins £70!!! mystery shopping earnings: £0
    MutualPoints 2898 STP £20.50 Tesco clubcard points £950 for summer 09!

  • mower5
    mower5 Posts: 189 Forumite
    Subway opened a branch in my town few weeks back (and duely applied for late license). Last Saturday the bakers Owens closed down. In the Mid-week local paper the the statement from Owens stated that they had refused to renew the lease due to large rent increase demanded by the landlord.

    I think that Subway use paying high rents as a tactic to destroy competition. Also Martins newsagent has down sized into a unit half the side because of rent demand.

    Lots of pressure on businesses at the moment, at what point will the landlords back off or are they highly leveraged and desperate too?
  • :rotfl:

    I can't believe I've just heard on the Radio that Subway are going to open another 600 stores in the UK.

    Either they've read my post and have got onto their PR dept pronto to squash the rumour, or they are making a big mistake in the current climate. I suppose they could even be sourcing cheaper ingredience to reduce their prices.

    Yes I heard this and said to my friend why on earth are they opening more stores to cater for luxuries like that? Friend pointed out it was because of credit junkies downgrading from restaurants, not thrifty people like me upgrading from home made sarnies!
    'Never keep up with Joneses. Drag them down to your level. It's cheaper.' Quentin Crisp
  • fc123 wrote: »
    I believe it's one of those BAD things in life that could end up turning into A Very Good Thing in the end.
    We just have to work our way through the bad thing first. Fortunately, I have taken some professional advice and we will be doing what needs to be done to suit us longterm.


    Hi FC, sorry I haven't replied - I've only just seen this. I'm glad to hear that you are more positive about this after speaking with your advisor. Hope it all works out in the long term :)
  • fc123
    fc123 Posts: 6,573 Forumite
    SamIAm wrote: »
    Hi FC, sorry I haven't replied - I've only just seen this. I'm glad to hear that you are more positive about this after speaking with your advisor. Hope it all works out in the long term :)

    Someone else has posted it, I can't recall what order they fall in, the emotion list when one has to face a difficult (life changing) experience. I won't compare it to bereavement (even I am not that dramatic), but the list of emotions that were first thought up to explain the grieving process. Kubler Ross??


    Mr Advisor is very sweet and nice (and knows the deal) but, I am a bit of a closet researcher, can't bear to not fully understand absolutely everything myself, right down to the last detail....but then lose confidence in my knowledge to present it in the correct way. So I will probabaly drive him mad in the end.


    My big rule is not expend emotional energy on anger, resentment, bitterness and the old one ''It's Not Fair'' (and I can tell everyone on here...it is absolutely Not Fair at all) ....instead, take the energy and leftover brain juice (after a long day) and channel it into the future.

    I am 45.
    When I was 25 and 35, I ran myself ragged with the total unfairness of, pretty much, everything in my life. It was like waking up each day to an imaginary battering ram being shoved at my life.

    My error was taking it personally.

    To anyone under 45...it's not personal.....it's just what it's like.


    My frustration now is that events are being forced on us by Total Morons (apologies if that is a non PC word..but I'm 45 and can't think of another) who don't seem to have a clue where the retail world is heading.

    !!!!!!? isn't on here so much nowadays but I feel he feels as I did 10 years back.....fed up with the total incompetence of those that just mucked everything up....then let us take the strain....BUT I look at things in a different way now.

    My old dad told me that Govts always muck up ones everyday life...happened to his dad (WW2) and happened to him (70's economic meltdown). He understands that one may duck and dive and avoid the fall out BUT, in the end, it's like being the ant in the swarm that missed getting stamped on.

    You live to fight another day......and, I still believe in The Power of One...just.
  • fc123
    fc123 Posts: 6,573 Forumite
    mower5 wrote: »
    Subway opened a branch in my town few weeks back (and duely applied for late license). Last Saturday the bakers Owens closed down. In the Mid-week local paper the the statement from Owens stated that they had refused to renew the lease due to large rent increase demanded by the landlord.

    I think that Subway use paying high rents as a tactic to destroy competition. Also Martins newsagent has down sized into a unit half the side because of rent demand.

    Lots of pressure on businesses at the moment, at what point will the landlords back off or are they highly leveraged and desperate too?
    Give it 10 years...a lot of the Pap they are feeding people is going to get rumbled. My son is already totally indignant about the carp that Tescos 0ffer as ''Food''. He read my copy of Joanna Blythmans 'Shopped' recently.

    I don't preach to my kids at all...in fact teen daughter is going through Junk Food addiction at the moment...she thinks Subway is just divine.

    He was appalled....''Mum, why do 'They' allow this to go on?''

    And I didn't have the answer. He is 21.
  • mower5
    mower5 Posts: 189 Forumite
    Goodluck with your business plans fc123.
    I agree Subways are a sign of decay on the high street, cheap and nasty food, aimed at drunks and skint children, salt, sugar, saturated fat. I just hope the decent independant shops can get though the downturn.
  • djm1972
    djm1972 Posts: 389 Forumite
    As someone who frequents both Subway and Starbucks (or Costa) on an almost daily basis, let me put the other side of the argument, as it rarely gets a look in on these sort of threads.

    Firstly Subway. Yes, their meats are processed, but no more so than the meats you buy from Tesco to make sandwiches at home. There is nothing wrong with their salad and vegetable accompaniments; and if you ask they will really load up your sandwich - lots of chillis and pickled gherkins will do more for your system than any amount of Actimel. The logistics (procuring, storage) and costs of providing a similar variation and quantity of vegetables in your diet without somewhere like Subway are prohibitive. Yes - they are. Do you do it? Well try it then and report back.

    Very similar arguments re Starbucks, but from a throttling rather than excess point of view. OK, so you say £2.50 is a lot for a coffee; but caffeine in controlled amounts has its place in a healthy diet / metabolism - but not too much of it. Yes, you can buy espresso machines and re-create the "Starbucks Experience" at home; but a) you've got to buy the machine, and then you run the risk of having way too many each day because the financial throttle of Starbucks isn't there. So my daily latte is a pick me up; a great source of calcium, and a significant and healthy component of my daily calorie intake.

    That's less than a fiver a day I spend on healthy calories and a significant proportion of my daily nutritional needs (on top of that I have just one other main meal, and then toast if feeling a little peckish later in the evening). How many people do you see spending more than that every day in McDonalds (way too heavy on bad calories, and virtually no veg) or even Boots on a "Healthy Living Meal Deal" (malnourishment)?
  • olly300
    olly300 Posts: 14,738 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    djm1972 wrote: »
    As someone who frequents both Subway and Starbucks (or Costa) on an almost daily basis, let me put the other side of the argument, as it rarely gets a look in on these sort of threads.

    Firstly Subway. Yes, their meats are processed, but no more so than the meats you buy from Tesco to make sandwiches at home. There is nothing wrong with their salad and vegetable accompaniments; and if you ask they will really load up your sandwich - lots of chillis and pickled gherkins will do more for your system than any amount of Actimel. The logistics (procuring, storage) and costs of providing a similar variation and quantity of vegetables in your diet without somewhere like Subway are prohibitive. Yes - they are. Do you do it? Well try it then and report back.
    The salad stuff they use is not healthy.

    You can buy sandwiches from independent sandwich shops - I used to. They actually use fruit and veg they cut up themselves not stuff that comes in tubs and has been treated to keep it fresh longer. They have to because it's the cheapest way to get fruit and veg when you are a small business.

    djm1972 wrote: »
    Very similar arguments re Starbucks, but from a throttling rather than excess point of view. OK, so you say £2.50 is a lot for a coffee; but caffeine in controlled amounts has its place in a healthy diet / metabolism - but not too much of it. Yes, you can buy espresso machines and re-create the "Starbucks Experience" at home; but a) you've got to buy the machine, and then you run the risk of having way too many each day because the financial throttle of Starbucks isn't there. So my daily latte is a pick me up; a great source of calcium, and a significant and healthy component of my daily calorie intake.
    There are independent coffee shops, cafes and station outlets that sell coffee for a cheaper price and they use the same machines. There is no need to go to Starbucks.
    djm1972 wrote: »
    That's less than a fiver a day I spend on healthy calories and a significant proportion of my daily nutritional needs (on top of that I have just one other main meal, and then toast if feeling a little peckish later in the evening). How many people do you see spending more than that every day in McDonalds (way too heavy on bad calories, and virtually no veg) or even Boots on a "Healthy Living Meal Deal" (malnourishment)?
    Most adults eat a variety of food. It's teenagers who tend not to.
    I'm not cynical I'm realistic :p

    (If a link I give opens pop ups I won't know I don't use windows)
  • djm1972
    djm1972 Posts: 389 Forumite
    olly300 wrote: »
    The salad stuff they use is not healthy.

    You can buy sandwiches from independent sandwich shops - I used to. They actually use fruit and veg they cut up themselves not stuff that comes in tubs and has been treated to keep it fresh longer. They have to because it's the cheapest way to get fruit and veg when you are a small business.

    So do Subway. Because like you say, it's the CHEAPEST way to get the raw materials. You can see in to the back-room of my local Subway and they're always there chopping / slicing. You hear the same thing said of KFC - that they use generically modified mutations instead of real chicken. No they don't - because real chickens are cheaper.
    olly300 wrote: »
    There are independent coffee shops, cafes and station outlets that sell coffee for a cheaper price and they use the same machines.

    Yeah, but they stuff the cup under the espresso machine to save on washing up, and use generic rather than quality controlled beans. Sometimes it's nice - I have bought coffee at said places, but more often than not it's unpleasant. It's the consistency and predictability of their product that the big chains pay attention to that is part of what has got them where they are.
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