Starbucks’s recent announcement to close about 150 outlets across North America and eliminate 900 jobs may appear to be a straightforward corporate restructuring, but it reveals something deeper: A reconfiguration of the “third place” — the space between home and work.
For years, Starbucks successfully positioned itself as the quintessential third place, where consumers could linger with a latte, access Wi-Fi, and feel welcome in a cafe culture that transcended the act of buying coffee. That positioning carried real economic value.
By monetizing time and space, Starbucks not only sold beverages but also offered a social utility. Today, however, the economic fundamentals of this model are being tested.
In Canada, the closures will be felt most acutely in large urban centres such as Toron