As Janice Chan mentioned, market research is critical before a company enters a new market. Starbucks does a great job locating its first store in the business centre of Mumbai. Despite the higher prices of the coffee, customers will still enjoying buying coffee from Starbucks. As I mentioned in my previous post, the franchise brand name has a strong effect on customer’s preference. Starbucks is welcomed by many new markets not mainly because of their coffee quality, but the renowned name that the company has in the world.
https://blogs.ubc.ca/janicechan/2012/10/21/first-starbucks-store-in-india/