Starbucks has announced the closure of a high end coffee shop it was running in Ho Chi Minh City under the Starbucks Reserve brand, Tuoi Tre has reported. The store has reportedly been open for seven years and was one of two in the country, the second in Hanoi.
Of note, Vietnamese love coffee almost as much as they love food. It’s a staple of social life in a country that has grown to become the world’s second-largest producer of coffee beans.
Of note, opening a cafe or coffee shop in Vietnam for foreign firms or individuals, however, is not always easy. Not only are there a number of technical and licensing requirements that need to be met, but Vietnam has also developed its own very distinct and unique coffee culture which can make penetrating Vietnam’s coffee consumer class challenging. For example, a coffee at a local cafe can cost as little as US$2 as opposed to US$5 at Starbucks.
Understanding the nuances of Vietnamese coffee culture and the complexities of business establishment procedures in advance of entering the market can therefore be crucial to the success of a new cafe or coffee shop in Vietnam.
See also: How to Open a Cafe in Vietnam: Ultimate Guide 2024