They use roughly TWICE the amount (two tablespoons for each 8 ounces water) of first class coffee beans per cup than the average american does in the home, and grind the beans themselves each day. (if you don't beleive me, try it yourself!). Then of course there has to be a profit or they couldn't stay in business. Most people who enjoy coffee could do it at home for much less as I've mentioned, but when you are out and about and want a perfect 'cuppa joe' Starbucks fits the bill. Sure, some people are just plain snobs who want to impress by being able to spend so much on such a simple luxury, but really, there IS a diferrence between the typical 'swill' we have all been familiar with, and good quality coffee made properly.