With their PSLs and funky Frappuccinos, Starbucks always seems to brighten our day. But unfortunately, according to a recent study conducted by Harvard Business School, Starbucks may be behind our dire rent hikes. Starbs, how can you be so heartless?
Researchers from Harvard attempted to get to the bottom of gentrification — the process of lower-class urban neighborhoods being molded to fit the tastes of the middle-class. Gentrification usually means massive renovations, an influx of business, and major rent hikes.
The study suggests that the company may use gentrification to grow its business. Researchers write, “Starbucks may target its cafes in places that are on the upswing, so the correlation [between Starbucks placement and housing prices] may reflect Starbucks’s strategy.”
However, this scenario is a double-edged sword because the introduction of new businesses also contributes to gentrification. Starbucks may not target gentrifying areas, but rather areas begin to grow once the brand, and other businesses, are already introduced.
What’s more is that Yelp itself may be lending a hand in gentrification.
Researchers note that “it is possible that Yelp is also measuring neighborhood amenities that help drive neighborhood change.”
Although it’s interesting to see the correlation between Starbucks and rising rent prices, the real takeaway from the study is the realization that the availability of Yelp business data is an invaluable asset to researchers trying to track gentrification.
The moral of this story is that if you see a new Starbucks being built across the street, you might want to pick up a few more shifts at work so you can afford both your rent and your PSLs.
Let's be honest, after a long day, the thought of stepping into the kitchen to…
If you're a busy parent, having a reliable coffee maker like the Ninja Pod &…
Cinco de Mayo isn’t just a date on the calendar—it’s a lively celebration of culture,…
If you’re always running out of counter space while cooking, this top extra-large cutting board…
From dazzly edible glitter to fun-shaped cookie cutters, these tools will help you create cookie…
Learn how the Instant Pot Duo Mini can help you create budget-friendly meals with ease.…
This website uses cookies.