The Starbucks index

The Starbucks Corporation is rightly known for the lockstep loyalty to the brand that it demands from employees. But even the most ardent, glassy-eyed exponents of the "Starbucks' Way" have had a tough time staying perky over the past couple of years as outlets closed and the company suffered consecutive quarters of flagging sales. But now, eureka! Starbucks has posted its best revenue figures since January 2008. One can only imagine the spring in the step, the extra note of chirpiness in the voice of your friendly neighbourhood barista. And touting their philanthropic role in world affairs, the corporate execs would probably say that much more is at stake than a mere cup of coffee.

They would be right. The McDonald's index is a well-established phenomenon: when times are lean, sales go up as consumers save a buck with a cheap fast-food fix. We can rest assured that if shoppers are paying Dh15 for a cup of coffee, fears of recession are fading over the horizon.