Cocacola

The main ethical issue Starbucks is faced with, is their strategy of expanding their company. Known as clustering, Starbucks attempts to open as many locations around the globe as possible, often leading to many locations on one street. This method has many ethical issues, the main one concerning smaller coffee shops. Locally owned coffee shops tend to go out of business and bankrupt because of the many Starbucks locations in the vicinity. Starbucks main policy is customer service. With prospective customers in mind, Starbucks introduced a healthy and cheap breakfast or oatmeal and coffee. This meal appealed to the people who were trying to eat healthy and cheap. Starbucks also introduced the Pike Place Blend, and while trying to make it perfect they hired 1000 people and took 1500 hours of testing. They also gave free samples to people who asked. Paired with Conservation International, and made sure the beans were sustainably harvested. To try and keep customers returning, Starbucks introduced a loyalty card which would be filled when purchases were made. As a result, millions of people are returning to Starbucks with this incentive. Starbucks also keeps their mission statement and high regard. Starbucks distributes the mission statement and comment cards for feedback at orientation with new employees, taking their thoughts and comments into account. This allows Starbucks to continually relate decisions back to the guiding principle or principles they support. The company has formed a “Mission Review” system so any partner can comment or action relative to its consistency with one of the six principles. Starbucks has been criticized on issues such as fair-trade coffee, as well as genetically modified milk, and the accusations of running small coffee shops out of business.
The corporation demonstrated social responsibility through Starbucks founder and chair Howard Schultz, who has been an advocate for increased awareness of ethics in business. In a 2007