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Starbucks: Accept The Addiction

This article and level of discussion is excellent. However, I can't help but notice that everything I've read about SBUX has been overly concerned with ghetto MCD rather than the true marketshare threat: Dunkin. People who like the SBUX brand will not be caught dead with a MCD cup. However, Dunkin has managed to create a brand that people feel comfortable associating with. Further, the coffee is cheaper, loaded with caffeine, and is highly regarded for taste. Bags of Dunkin recently appeared in my local TGT, and I imagine this roll out will hurt SBUX.

I want to believe that this is like the time Buffett bought KO at a huge discount and went on to become a legend. However, until someone can show how SBUX intends to play defense against the increasingly popular Dunkin (kudos to Dunkin's new management), I think everyone is ignoring a major issue. (By the way, pop star Rachael Ray proudly drinks Dunkin.)

Thoughts?