Complexity At Starbucks

In a previous post I explained that not all complexity is bad. Complexity resulting from the proliferation of products and services can be good when the customer values it and are willing to reward a company for it. Consequently, businesses must eliminate any complexity that their customers do not value. They must then find a way to either reduce the cost of the remaining complexity or capture its value by charging their customers more for it. So it was interesting to note that Starbucks recently announced that it is to raise the price of complex drinks and cut the costs of simple ones.