Second Cup is expanding where Starbucks can’t follow: Pakistan

(yuggy15/Flickr)

The home advantage wasn’t enough to save Second Cup in the ’90s, when Seattle-based Starbucks wrested dominance of the Canadian premium-coffee sector away from the company on its own turf. But now the coffee chain has a plan to expand into territory where Starbucks will have trouble following. This is especially true in Pakistan, where North American coffee culture is gaining popularity, but anti-American sentiment runs high. Second Cup has already tapped the Middle East for growth, with franchises in Kuwait, Oman, Saudi Arabia and others. Tea has long been the traditional drink in South Asia, but coffee consumption is rapidly growing among young people in Pakistan, creating a market for premium coffee shops.

I think Second Cup got a really good opportunity. It is easier to expand their business with less competitors. Especially with no Starbucks. If Second Cup don’t emphasize that it is American product ,since there is anti-American sentiment runs, and fits into Pakistan people’s life smoothly. It will definitely success because Second Cup is not only expanding their business in Pakistan, they also expanding their business in middle east area. It also might be a risky somehow but if they make strategy efficiently like sell tea-based drink or give out free sample coffee on the street, I believe that they will success.

 

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Photo and article

http://www.canadianbusiness.com/companies-and-industries/a-second-chance-for-second-cup/

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