Chinese Regulators Reprimand Starbucks And Shake Shack Over Privacy Breach: Report
Portfolio Pulse from Shivani Kumaresan
Chinese regulators in Shanghai have reportedly reprimanded Starbucks Corp (NASDAQ:SBUX) and Shake Shack Inc (NYSE:SHAK) for privacy breaches, accusing them of excessively collecting personal information. Shake Shack and another company have made basic improvements to address the issues, while Starbucks is said to be making changes to meet the regulators' criteria.
June 21, 2023 | 11:20 am
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Starbucks has been reprimanded by Chinese regulators for privacy breaches and is making changes to meet their criteria.
The reprimand from Chinese regulators could negatively impact Starbucks' reputation and operations in China, leading to a short-term negative impact on its stock price. However, the company is making changes to address the issue, which may mitigate the impact.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50
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Shake Shack has been reprimanded by Chinese regulators for privacy breaches but has made basic improvements to address the issues.
The reprimand from Chinese regulators could negatively impact Shake Shack's reputation and operations in China, leading to a short-term negative impact on its stock price. However, the company has made improvements to address the issue, which may mitigate the impact.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50