Ethics and Compliance in Starbucks
Ethics and Compliance in Starbucks
Avia Thompson, Joi Edwards, Martina Saines, and Dwayne Blount
FIN/370
November 21, 2012
Arnold Harvey
Ethics and Compliance in Starbucks
Starbucks, one of the largest global beverage industry’s mission is “to inspire and nurture the human spirit- one person, one cup and one neighborhood at a time” (Our Mission). Be that as it may, without an upstanding ethical foundation, it would not have succeeded thus far. This paper will highlight Starbucks ethics and compliance within its financial environment, its procedures to ensure positive ethical behavior while explaining the workings of the United States financial markets. Found within these pages will be the process used b Starbucks to comply with SEC regulations, an evaluation of its financial performance for the past two years, and any trends leading to the company’s health.
In 2002, the passing of the Sarbanes Oxley Act narrow the gap of wrongdoing within organizational financial reporting. The purpose of the Act was to “safeguard the interests of the shareholders by providing greater protection against accounting fraud and financial misconduct” (Titman, Keown, & Martin, 2012, p. 11). Ethics guides his or her moral decisions, but when it pertains to business, the path taken leads to long-term success or failure. Business ethics, an organization’s management tool, shares the values, obligations, virtuous ambitions of the company, and the way of doing things. At no time should undesirable ethical practices bolster personal interest, any decisions made should be of sound moral fiber and with the corporation’s interest in mind.
For six consecutive years in a row, Starbucks ranks as one of the most ethical companies in the world (“2012 World’s Most Ethical Companies”, 2012). This distinction went to organizations committed to ethical practices, portrayed through their governance indicating good financial
Avia Thompson, Joi Edwards, Martina Saines, and Dwayne Blount
FIN/370
November 21, 2012
Arnold Harvey
Ethics and Compliance in Starbucks
Starbucks, one of the largest global beverage industry’s mission is “to inspire and nurture the human spirit- one person, one cup and one neighborhood at a time” (Our Mission). Be that as it may, without an upstanding ethical foundation, it would not have succeeded thus far. This paper will highlight Starbucks ethics and compliance within its financial environment, its procedures to ensure positive ethical behavior while explaining the workings of the United States financial markets. Found within these pages will be the process used b Starbucks to comply with SEC regulations, an evaluation of its financial performance for the past two years, and any trends leading to the company’s health.
In 2002, the passing of the Sarbanes Oxley Act narrow the gap of wrongdoing within organizational financial reporting. The purpose of the Act was to “safeguard the interests of the shareholders by providing greater protection against accounting fraud and financial misconduct” (Titman, Keown, & Martin, 2012, p. 11). Ethics guides his or her moral decisions, but when it pertains to business, the path taken leads to long-term success or failure. Business ethics, an organization’s management tool, shares the values, obligations, virtuous ambitions of the company, and the way of doing things. At no time should undesirable ethical practices bolster personal interest, any decisions made should be of sound moral fiber and with the corporation’s interest in mind.
For six consecutive years in a row, Starbucks ranks as one of the most ethical companies in the world (“2012 World’s Most Ethical Companies”, 2012). This distinction went to organizations committed to ethical practices, portrayed through their governance indicating good financial