Austerity is finally focussing both people and governments. Governments need the tax revenue, and are less indulgent of the multis than before. Today, in Britain representatives of Starbucks were forced to explain lamely to Parliament how they were in fact doing Britain a favour by not paying Corporation Tax because they needed to pay themselves – elsewhere- for the logos on their store. It’s fair to say they convinced no-one and we see here, and in America a backlash to multinationals shunting internal debt about to avoid paying tax anywhere. Occupy see an opportunity to make Starbucks’s life singularly difficult.
The picture above is from Occupy in London but similar to others at Occupy Wall Street in America. Slick polished sharp. The one below, less sophisticated perhaps, but more heartfelt is from a home-run coffee shop and cafe at the bottom of my street.
This has legs and with such focus on Starbucks, I’d think carefully about holding onto shares.
Copyright David Macadam 2012