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Do you think the newly acquired tea stores will affect the demand at Starbucks' coffee stores? If so, how?

a) Yes, it will increase demand for coffee
b) No, it will not affect demand
c) Yes, it will decrease demand for coffee
d) It will only affect tea demand

User Avalez
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1 Answer

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Final answer:

The acquisition of tea stores by Starbucks can potentially increase the demand for coffee at their coffee stores. The correct option is a.

Step-by-step explanation:

The acquisition of tea stores by Starbucks is likely to affect the demand at Starbucks' coffee stores. With the addition of tea stores, Starbucks will be able to offer a wider range of beverage options to customers, attracting more people to their stores. This increase in foot traffic can potentially lead to an increase in demand for coffee as well, as customers may choose to try both tea and coffee during their visits.

Additionally, Starbucks can take advantage of cross-selling opportunities by promoting their coffee products in the newly acquired tea stores, which can further drive the demand for coffee. However, it is important to note that the actual impact on coffee demand will depend on various factors such as the location and popularity of the tea stores, as well as the preferences of the local customer base.

Overall, the acquisition of tea stores by Starbucks has the potential to positively influence the demand for coffee, but the extent of the impact will vary.

Hence, Option a is correct.

User Szydzik
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