What does the Starbucks success in China leadership change mean?

Starbucks China will promote Molly Liu from co-chief executive to chief executive effective September 30, while Belinda Wong stays on as China chairman. Global chief executive Brian Niccol backed the move. Liu, who studied at Fudan University and worked at McKinsey, previously led digital innovation and built services such as Starbucks Delivers and the Kuaiqu order-ahead format.

The change completes a generational handover and clarifies who leads the China business, which the company frames as a sign of long-term commitment to the market. Wong built the foundation for Starbucks in China, and Liu now works alongside roughly 60,000 partners there. The appointment also follows Niccol's own recent start as global CEO of the coffee giant.

Starbucks China announced a major leadership change today: effective September 30, Molly Liu will be promoted from co-chief executive to chief executive of Starbucks China, while Belinda Wong will continue as China chairman. The appointment has received strong backing from new global CEO Brian Niccol, marking the completion of a generational handover for Starbucks in the Chinese market. Molly Liu has a background at Fudan University and McKinsey, and previously led digital innovation, building growth engines such as Starbucks Delivers and啡快. Belinda Wong laid the foundation for Starbucks China's success. This adjustment highlights Starbucks' long-term commitment to the Chinese market and injects new momentum into localized operations.

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This morning, Starbucks announced an adjustment to its China leadership structure to all employees, which means that after appointing a new global CEO, the coffee giant will also see a major transfer of power in the Chinese market.

Starbucks announced that, effective September 30, Molly Liu will move from co-chief executive of Starbucks China to chief executive of Starbucks China, while Belinda Wong will continue to serve as chairman of Starbucks China.

Last year, Molly Liu was appointed executive vice president and co-chief executive of Starbucks China, jointly leading the China business with then Starbucks China chairman and chief executive Belinda Wong, which was also the first time Starbucks added a co-CEO position in the domestic market. Starbucks China noted that this leadership adjustment further clarifies responsibilities and leadership priorities, and has the support of Starbucks' new global CEO and chief executive Brian Niccol.

"Molly is a respected leader with an outstanding track record of continuing to drive innovation and deliver operational excellence in China, a fast-growing market," said Brian Niccol, chairman and chief executive of Starbucks Coffee Company. "I look forward to working with Molly to elevate the Starbucks experience in China and build our business for the future."

Regarding the company's appointment, Molly Liu said she is honored to lead Starbucks China into a new phase full of huge opportunities, and is also delighted to work side by side with 60,000 partners to expand the brand's unique competitive advantages and build deeper emotional connections with domestic customers.

Starbucks CEO Molly Liu

Starbucks said that in the future, Molly Liu will be responsible for leading the company's operations in the Chinese market, focusing on driving continued growth in the China business. Over the past 12 months, the company has been gradually and smoothly transferring leadership in China to a new generation of successors as part of its established plan.

Before that, from 2011 to 2021, Belinda Wong had always been chairman and chief executive of Starbucks China, until October 2021, when Belinda Wong stepped down as chief executive of Starbucks China to begin a "coffee break" while retaining the chairman position. ( It is understood that the "coffee break" is a Starbucks employee benefit available to employees who have worked at the company for 10 years, and after approval they may take a one-year leave. In October 2022, Belinda Wong returned as chief executive of Starbucks China.)

Starbucks China Chairman Belinda Wong

"Belinda has built a large-scale, continuously thriving business for Starbucks in the Chinese market, laying a solid foundation for our further growth. Her entrepreneurial spirit and deep affection for the brand and partners have driven Starbucks' tremendous development and made it one of the most successful multinational brands in the Chinese market," Niccol said. "I am delighted to have her leadership and support in planning the company's long-term development vision in China."

It is reported that the resume of Starbucks China's new CEO Molly Liu is as follows: an undergraduate student at Fudan University enrolled in 1998 and a master's student enrolled in 2002, holding a bachelor's degree and a master's degree in international finance. After graduating with a master's degree in 2005, she joined McKinsey as a business analyst, and when she left she was a McKinsey client manager responsible for the consumer goods and retail industries.

She joined Starbucks in 2012, when Molly Liu served as corporate project director. Starting in 2016, she served as general manager of Starbucks' digital innovation department. It was from that year that a series of digital innovation initiatives by Molly Liu at Starbucks brought her into prominence. In 2021 she was promoted to chief operating officer, and in 2023 she was promoted to co-CEO of Starbucks China.

It is reported that under Molly Liu, Starbucks China's digital innovation business grew from nothing and became an important engine for the company's business growth. As of the third quarter of fiscal year 2023, the digital innovation business accounted for 48% of China sales. Molly Liu was also the architect behind the "Starbucks Delivers" and "啡快" digital ordering services, and developed the Starbucks Rewards program into a leading membership system with more than 20 million active members.

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