5 Things Starbucks Should Manufacture in the US

Earlier, Starbucks SBUX announced that it is releasing a line of merchandising products made in the US. Starbucks has so far announced a 16-ounce acrylic tumbler, a coffee that is blended, roasted, and packaged in the US, and a ceramic mug made with domestic raw materials. While Starbucks intentions may seem noble, the fact these products are being produced in the US could make them more expensive. With this in mind, what other products may Starbucks wish to produce in the US?

1. CD Players: Starbucks still sells compact disks at their cafes, an interesting fact in the increasingly digital world. With the rise of mp3 player such as Apple's AAPL iPod, CD players have largely become obsolete. To keep CD sales strong, Starbucks should consider selling CD players. Since CD players retail anywhere from $10-50, expect the Starbucks CD player to cost at least $100.

2. iPhone Case/Coffee Mug: Starbucks might as well try to enter the mobile space by releasing a line of smartphone cases that double as coffee mugs.

3. Women's Handbags: Starbucks could make a line of women's handbags made in the US. The company could hire unemployed Americans to assemble them at triple the cost of China. The handbags would have slots for a wallet, a smartphone, and of course a Starbucks coffee.

4. Coffee Grinder: To go with the new American coffee, Starbucks could launch an American-made coffee grinder. The new product would have the Starbucks logo on it and carry a hefty price tag. Since these retail for between $20 and $90 dollars, Starbucks might cost $150.

5. Jobs: If the entire point of this new program is to create jobs in the US, then why does Starbucks simply hire more people? Starbucks could hire someone to twirl a sign outside or be responsible for taking the trash out

If Starbucks is concerned with unemployment in the US, the company should consider giving unemployed Americans scholarships to go to technical school or get a degree. There are a lot of unemployed people for many reasons, including the fact that companies have been becoming leaner and more efficient since 2008. With productivity up, employment should fall, and this is the dilemma that companies face across the country.

Market News and Data brought to you by Benzinga APIs
Posted In: NewsManagementEventsIntraday UpdateMarkets
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...