Intense competition in China prompts Starbucks to introduce free study rooms in order to drive growth.
According to the Zhixin Finance APP, Starbucks (SBUX.US) has introduced free "study rooms" in some of its stores in China. This is the company's latest move to cope with intensified competition in the domestic market and boost customer traffic in its second largest market. Starbucks China announced on its official Weibo account this week that it has introduced "study rooms" areas in some stores in Guangdong (Guangzhou, Shenzhen area), and there is no need to make a purchase at Starbucks to use these areas. The new study areas do not require reservations and there is no usage time limit. Stores provide free power outlets, free hot water, and other amenities.
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