On July 27, the planning commission voted on a conditional-use permit that would allow Starbucks to open at Corinthian Corners but split evenly, sending the issue before the city council. The council voted Aug. 10 to unanimously approve the permit, giving Starbucks a green light to open up downtown.

During both meetings, Saratogans spoke out at public hearings in large numbers on the pros and cons of a Starbucks in that location on Big Basin Way. A major concern was whether increased competition from a large corporate chain would drive Saratoga's independent coffee shops out of business.

The Village's independent coffee shops, The Blue Rock Shoot, the International Coffee Exchange and the Coffee Grounds, are hangouts where Saratogans get their fix of caffeine, meet friends and take advantage of Wi-Fi Internet access.

In an attempt to allay fears of increased competition, Starbucks representatives cited a Sept. 24, 2002, Wall Street Journal article that stated that the arrival of Starbucks has been a good thing for neighboring independent coffee shops.

Leamon Abrams, director of civic and community affairs for Starbucks, supplied seven additional news articles from publications across the country that contend that Starbucks has been leading a wave of new coffee business that has benefited both independent coffee shops and consumers.

"We think we can have a positive impact on the overall commercial corridor as well as other retailers on Big Basin Way," Abrams said. "We're hoping that we'll be embraced by residents and visitors to Saratoga and become another community gathering place that helps the economic vitality of the city."

Chris Carris, owner of the Willow Glen Coffee Roasting Company in Willow Glen, said the articles provided by Starbucks do not reflect his experience. He said he lost 40 percent of his business when Starbucks moved in across the street. "They're like a strip mining operation," he said. "My business is slow. I'm still making money, but it always could be better."

Carris said that deep corporate pockets make it impossible for him to compete with Starbucks head-to-head. "They use predatory marketing techniques," he said. "You won't beat them on advertising. You won't beat them on placement. They can support and subsidize a store that can't do well. Now they've got three stores within a three-mile radius."

How has Carris managed to stay open? His shop hosts live music and supports individual artists by displaying their work, he explained. It provides catering, has a dining room for meetings, a gourmet ice-cream maker and great coffee, of course. Carris roasts his beans at the store and takes great pride in the quality of his coffee.

"I'm still able to do the unique stuff that we do," he said. "I'm very unique. I'm not Starbucks. We provide a better environment, a better atmosphere. Those people who enjoy a fast food atmosphere, they'll enjoy Starbucks."

Where Carris was threatened by a Starbucks moving in nearby, downtown Los Altos has a mix of independent coffee shops and franchises. Starbucks and Peet's Coffee and Tea share a compact part of downtown Los Altos with independent coffee shops Main Street Café and Books and The Village Pantry.

On a typical day, people can be found sitting at tables in front of Main Street Café and Books sipping coffee and eating breakfast or lunch. A few stores up the street, people sit in front of Starbucks Coffee sipping lattes and cappuccinos and surfing the Internet on laptops.

A short hop over to State Street and you're likely to find a congregation of spandex-clad cyclists sipping drinks in front of Peet's Coffee and Tea next to dogs tied up by the curb waiting for owners who have slipped inside for a mocha.

A few paces down Second Street from Peet's is The Village Pantry, an independent coffee shop owned by Julie Ogilvie and her British-born husband. Ogilvie said The Village Pantry has been serving coffee in Los Altos for 58 years, long before the concept of coffee shop franchises was ever dreamed up.

Ogilvie said she saw no decline in sales after Starbucks and Peet's came to town. "Even their employees come to my restaurant to drink my coffee," Ogilvie said. "We've been here a long time and we have a lot of customers who are loyal to us."

But where Starbucks and Peet's concentrate mainly on providing caffeinated beverages, The Village Pantry also serves breakfast and lunch. Its outdoor patio, set in a courtyard, is a popular Los Altos destination not only for espressos and cappuccinos but also for bacon, eggs and pancakes.

Like the Village Pantry, the Main Street Café and Books serves breakfast and lunch, and it has a rack with magazines on sale and bookshelves stocked with the latest bestsellers.

For David Lou and his family, who own several coffee shops in the Bay Area, a Starbucks coming to town has been nothing but bad news. Lou's family owned an Orchard Valley Coffee shop in San Jose but competition from Starbucks led to them breaking their lease and abandoning the location. Lou and his family own another Orchard Valley Coffee in Campbell that Lou said has struggled due to competition from a nearby Starbucks.

Lou also co-owns the International Coffee Exchange on Big Basin Way with his aunt, Lin Fong Chao. Competition from a new Starbucks at Corinthian Corners has Lou and Fong worried about whether the International Coffee Exchange can survive.

Ogilvie's advice for Saratoga's independent coffee shops is to compete by retaining their loyal customer base through good service and by providing different flavors of coffee from different countries that Starbucks doesn't offer. Ogilvie and her husband often travel to Europe in search of different drinks to offer their customers.

Carris' advice is to be ready for aggressive competition and try to adapt. "Choose very carefully what is unique and competitive about your store," he said. "It's always going to be tough. I'm one entity on the planet. They are thousands."