Starbucks and China
Most people in business have heard that piracy in China is huge. A visitor there quickly notices a) a lot of products featuring Disney, Snoopy, Ralph Lauren and every Hollywood movie ever made 2) that are incredibly cheap – too cheap – and 3) that are of low quality – like a Polo shirt made of cheap polyester.
But what most people may not know is that logos – even whole businesses – are often ripped off, too. Starbucks was a victim of this. After Starbucks’ initial foray into China in (I think) 2002, an imitator quickly popped up. It had a very similar logo and practically the same name. The Chinese name for Starbucks is Xingbake, roughly pronounced as “sheen-bah-kuh.” The competitor was called Shanghai Xingbake.
(An interesting side note about Chinese corporate law. You can’t just call yourself, say, ABC Inc. You have to use the name of the city in which you are based – such as Shanghai ABC or Beijing ABC – or pay a huge licensing fee for the right to use the name throughout the country. Also,you cannot use the word “China” in your name unless you are a state-owned company.)
In any case, it’s a sign of progress that Starbucks successfully sued Shanghai Xingbake. You know capitalist American values are taking root when you can sue the hell out of somebody.
Here’s another example of logo piracy. It’s an ad for a shopping strip in Beijing. Look familiar? (Hat tip: Shanghaist)
January 7th, 2006 at 8:12 pm
The problem is the “Star” in Starbucks does not mean “star” but rather it was from the classic American novel Moby Dick. Yes, “Bake” (巴克) in Chinese sounds close to “Bucks”, but there are hundreds more Chinese character pairs would sound close or even closer to the word Bucks. The key should not be about the words or characters, the sound, or even the logos, but rather simply who came first! (http://nsigma.info/wp/index.php?cat=915)