Starbucks Korea to Close Stores for Mandatory History Lesson
Starbucks Korea will temporarily close all its stores simultaneously to conduct a mandatory history lesson for employees, following a controversial promotion that recalled a tragic pro-democracy massacre. The closures are scheduled for 3pm on 22 June, during which staff will watch recorded lectures on modern Korean history and participate in "social sensitivity" training. This half-day shutdown is expected to result in an estimated loss of 2.1 billion won ($1.4 million) in sales, according to data firm IGAWorks.
Background of the Controversy
The decision to close stores and conduct training follows a public relations crisis triggered by Starbucks Korea's promotion of its "Tank" tumbler series on 18 May, the anniversary of the 1980 Gwangju massacre. The promotion sparked widespread backlash, including store boycotts, customers smashing Starbucks mugs and tumblers, and government ministries severing ties with the chain.
Chung Yong-jin, billionaire chair of Shinsegae Group—which operates Starbucks Korea under license from the US parent company—will also participate in the training on 24 June alongside other executives. The curriculum includes major events in contemporary Korean history and guidance on how companies should consider historical and social sensitivities in their marketing strategies.
Company Response and Training Details
Shinsegae Group stated that the store shutdown aims to demonstrate the seriousness with which it regards the incident and to prevent similar controversies in the future. A company spokesperson noted that only a few airport outlets will remain open during the closures.
Market data indicates that payment volumes at Starbucks Korea dropped by 26% in the week following the controversy but showed partial recovery with a 12.8% increase in the first week of June. Despite this, volumes remain approximately 25% below levels prior to the incident.
The Gwangju Massacre and Its Significance
The Gwangju massacre remains a deeply painful memory in South Korea. Over a period of ten violent days, paratroopers suppressed pro-democracy protests against the authoritarian government. Victims’ groups estimate that hundreds of people were killed during the crackdown.
Details of the Offensive Promotion
Starbucks Korea branded the date of its promotion as "Tank Day" and used the slogan "thwack on the desk," which evoked a notorious police explanation related to the 1987 torture death of student activist Park Jong-chul. Authorities had falsely claimed that Park died after an officer "hit the desk with a thwack" during interrogation.
Shinsegae Group revealed that marketers selected the "thwack" slogan after consulting an AI tool for suggestions. It was later discovered that some managers who approved the campaign had not opened the email attachments containing the marketing materials.
The company withdrew the campaign within hours of its launch, but the backlash was immediate and severe, resulting in the dismissal of the chief executive on the same day.
Apologies and Investigations
Starbucks issued a statement expressing that it was "deeply sorry for an unacceptable marketing incident" and acknowledged that it "should never have happened." Chung Yong-jin issued a written apology and also apologized during a televised press conference where he bowed three times.
Starbucks’ headquarters in Seattle sent a written apology directly to the May 18 Foundation, a key organization representing Gwangju victims, following a formal demand for a response from the foundation.
An internal investigation found no evidence of deliberate intent behind the promotion, though a police investigation remains ongoing. Seoul police have registered Chung and the former chief executive as criminal suspects.
Societal Context and Ongoing Divisions
Attitudes toward the Gwangju Uprising continue to represent one of the most profound divisions in South Korean society. Far-right groups have perpetuated a long-discredited state narrative that the Gwangju protesters were sympathizers of North Korea. This claim was ruled false and defamatory by the South Korean Supreme Court earlier this year.
