MALAYSIANS should stop boycotting Starbucks Malaysia as it is only hurting the locals running the company, said Berjaya Corp Bhd founder and advisor Tan Sri Vincent Tan.
According to the business tycoon, up to 85% of Starbucks Malaysia’s employees were Muslims and there were no foreigners working in the company’s head office.
“I think all those who are boycotting Starbucks Malaysia should know that it is a Malaysia-owned company. We don’t even have one foreigner working in the head office,” Tan was quoted as saying by NST during a media meet at Okinawa, Japan yesterday (March 3).
“In the stores, 80-85% of employees are Muslims. This boycott doesn’t benefit anyone.”
Tan is in Okinawa for the groundbreaking ceremony of Four Seasons Resort & Private Residences Okinawa, an ultra-luxury resort to be developed over a 40-month period.
However, Tan noted that the tide seems to have turned as they are seeing some improvement in sales.
Tan expects the third quarter of the financial year 2024 to show improvement in sales.
“Yes it has some impact on us but now at least it is improving and like I said it’s all Malaysian owned, it’s run by Malaysian. It’s just a franchise, it’s not owned by an American,” he added.
Tan’s Berjaya Food Bhd (BFood) faced significant challenges due to the boycott of Starbucks in Malaysia, made worse by the weakening of the ringgit against the dollar.
This led to a substantial decline in revenue and a record net loss for the second quarter of the fiscal year 2024.
The boycott, sparked by the Israel-Palestine conflict, heavily impacted BFood as Starbucks Malaysia contributes 90% of the group’s revenue. – March 4, 2024
