Preview

Starbucks Global Issues

Best Essays
Open Document
Open Document
2987 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Starbucks Global Issues
Business Faculty

Starbucks Case Study.

Written by:

Module title: Issues in Global Business & Consultancy

Module code: 6IM004

Word count: 2902

Contents
Introduction 3
Methodology 4
Company’s profile 5
Globalisation 6 Globalisation of markets 6 Globalisation of production 7 Antiglobalisation protests 7
Business ethics 8 Employment practices 8 Human rights 8 Environmental pollution 9 Moral obligations 9
Conclusion 10
References: 11

Introduction

Globalisation referred by Hill (2009) is the shift towards a more integrated world. It is the process of economies, societies and cultures integrated through a global network. One of those networks is trade network. This means that there is a movement of materials and goods between national boundaries. Globalisation also involves movement of labour and causes a variety of effects: political ethical, cultural, social, etc. More importantly, the effects brought by it can cause issues that require further investigation.

The purpose of this report is to center around a major organisation – Starbucks Coffee Company and to carry out a depth investigation into its position in global market and issues related to it.

The report will firstly present the research methods used to get the information and justify that. Secondly, will discuss globalisation and its position in Starbucks Company including criticism that exists. Later on, the report will discuss ethical issues raised by the globalisation of the company, including employment practices, human rights, environmental pollution and moral obligations. Finally, the conclusion will be drawn.

Methodology

In order to investigate the company and its operations, the research has to be carried out so that issues could be addressed. As described by University of Oxford, research “comprise creative work undertaken on a



References: 1. Hill, C. W. L. (2009) International Business: Competing in the Global Marketplace. 8th edn. New York: McGraw-Hill/Irwin. 2. Brassington, F. & Pettitt, S. (2003) “Principles of Marketing”. 4th edn. London: Prentice Hall. 3. Marques, J. F. (2008) Spiritual Performance from the Organisational Perspective: a Starbucks Way, Corporate Governance. 8 (3), pp. 248-257. 4. Vrontis, D., Thrassou, A. & Lamprianou, I. (2009) International Marketing Adaptation versus Standardisation of Multinational Companies, International Marketing Review. 26 (4/5), pp. 477-500. University of Oxford. (2010) Frascati Definition of Research. [Online]. Available at: http://www.admin.ox.ac.uk/rso/applying/frascati.shtml (Accessed 3 December 2010). Colorado State University. (2010) Writing @ CSU [Online]. Available at: http://writing.colostate.edu/guides/research/casestudy/pop2a.cfm (Accessed 5 December 2010) Starbucks Coffee. (2010) Starbucks Company Profile. [Online]. Available at: http://www.starbucks.com/assets/company-profile-feb10.pdf (Accessed: 13 December 2010). Global Exchange. (2003) Lattes for all: Starbucks plans global expansion. [Online]. Available at: http://www.globalexchange.org/campaigns/fairtrade/coffee/662.html (Accessed: 13 December 2010). Pajamadeen. (2008) Why Starbucks Failed in Australia. [Online]. Available at: http://www.pajamadeen.com/tag/starbucks (Accessed 13 December 2010). University of Florida. (2010) Cultural Imperialism. [Online]. Available at: http://iml.jou.ufl.edu/projects/Spring01/Poux/Cultural%20Imperialism.html (Accessed 15 December 2010). Spiked. (2008) Starbucks and the socialism of fools. [Online]. Available at: http://www.spiked-online.com/index.php/site/article/5547/ (Accessed 9 December 2010). Business Week. (2005) Starbucks: Selling the American Bean. [Online] Available at: http://www.businessweek.com/innovate/content/dec2005/id20051201_506349.htm (Accessed 11 December 2010). Organic Consumers Association. (2010) Starbucks’ Grinding Labor By Doug Nielson. [Online]. Available at: http://www.organicconsumers.org/starbucks/grinding.cfm (Accessed 13 December 2010). The Telegraph. (2010) Bahrain human rights petition Starbucks. [Online]. Available at: http://www.telegraph.co.uk/news/worldnews/middleeast/bahrain/8191731/Bahrain-human-rights-petition-Starbucks.html (Accessed 13 December 2010).

You May Also Find These Documents Helpful

  • Powerful Essays

    Uop Mgt/598

    • 2158 Words
    • 9 Pages

    Starbucks mission is a visionary statement that outlines the company’s objectives as follows: “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (Starbucks, 2013). The company’s values include quality, passion, fully engaging customers, humanity and enjoyment of life, setting the standard for being good neighbors, and accountability (Starbucks, 2013). Starbucks currently sets the standard in one market sector: whole bean coffee distribution within the United States. However, as Team A consultants identified, the company jeopardizes its frontrunner industry position by not expanding. Team A consultants discussed two primary expansion opportunities, specifically expansion of the company’s product portfolio and expansion of the company’s primary product, coffee, into foreign markets. Although both expansion options provide great competitive advantage for Starbucks, expansion into strategic foreign markets provides the most opportunity for competitive advantage and is most aligned with the company’s values as it enables the company to set standards in new industry sectors and broaden the neighborhoods in which it serves.…

    • 2158 Words
    • 9 Pages
    Powerful Essays
  • Satisfactory Essays

    Mgt448 Week 1 Dq's

    • 738 Words
    • 3 Pages

    Hill, C. W. (2009). International business. Competing in the global marketplace (7th ed.). Boston, MA: McGraw-Hill.…

    • 738 Words
    • 3 Pages
    Satisfactory Essays
  • Best Essays

    * Nancy F.Kohen, Marya Besharov, Katherine Miller. (2008). Starbucks coffee company in 21st century. Available: Harvard digital library. Last accessed 30 September 2011.…

    • 4211 Words
    • 17 Pages
    Best Essays
  • Satisfactory Essays

    Hill, C. W. (2009). International business. Competing in the global marketplace (7th ed.). Boston, MA: McGraw-Hill.…

    • 2449 Words
    • 15 Pages
    Satisfactory Essays
  • Powerful Essays

    Starbucks Case Study

    • 11286 Words
    • 46 Pages

    References: “Starbucks Corporation”, Arthur A. Thompson, The University of Alabama, and John E.Gamble, University of South Alabama http://www.mhhe.com/business/management/thompson/11e/case/starbucks.html. Fortune Magazine, Vol. 149 No. 2. “Financial Analysis, Starbucks vs. Java the Hut”, Starbucks Project from Gregory Tabar http://www.tabarsphere.com/Projects/Starbucks/index.htm. Irina Ganzha, Marketing Seminar of Spring 2000, Goizueta Business School, Emory University http://www.fc.bus.emory.edu/~Irina_Ganzha/starbucks.html. “Starbucks Coffee: Expansion in Asia” by Valerie Darguste, Ana Su, Ai-Lin Tu, and Peggy Wei of Stern School of Business at New York University and Sonia Ketkar of the Fox School of Business and Management at Temple University – 2003. “The Starbucks Brandscape and the Discursive Mapping of Local Coffee Shop Cultures” by Craig J. Thompson and Zeynep Arsel, University of Wisconsin – Madison, Department of Marketing. “I Hate Starbucks” (http://www.IHateStarbucks.com). “Call it Starbucking, the Fine Art of Hating Your Local Outlet of the Seattle Coffeehouse Chain” by James Sullivan, San Francisco Chronicle, August 2003. “Starbucks Options Plan Puts Dilution on Menu”, by Troy Wolverton, TheStreet.com, December 2004. “Lattés for all: Starbucks plans global expansion” by Helen Jung, The News Tribune, April 2003. Starbucks Corporation (http://www.starbucks.com).…

    • 11286 Words
    • 46 Pages
    Powerful Essays
  • Good Essays

    4) Cultural challenge is the main problem for Starbucks to be global. Every country needs to be treated differently. If in US people got used to very sweet coffee, in Japan they did not.…

    • 730 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    The beginning introduces the company as a whole, yet the information on its employee approach is only applicable to Starbucks in the UK, as employee approach varies in different countries, due to different legislation and cultural issues. The following paragraphs break down the management approach and style as well as the internal communication of the company.…

    • 2132 Words
    • 9 Pages
    Powerful Essays
  • Better Essays

    Research of Bottled Water

    • 5277 Words
    • 22 Pages

    10. Kotler, P., Armstrong, G., Wong,V., Saunders, J. (2008). Principles of Marketing. (5th ed.). England: Pearson Education Limited.…

    • 5277 Words
    • 22 Pages
    Better Essays
  • Powerful Essays

    Kotler, P. and G. Armstrong (2008). Principles of marketing. Upper Saddle River, NJ, Pearson/Prentice Hall.…

    • 9278 Words
    • 38 Pages
    Powerful Essays
  • Powerful Essays

    Globalization of Starbucks

    • 1642 Words
    • 7 Pages

    Starbucks is one of the largest coffeehouse companies in the wild world, which is started by Jerry Baldwin, Zev Siegl in Seattle’s Pike Place Market by selling premium-roasted coffee. Then Gordon Bowker started the company after gaining motivationfrom Peet’s Coffee. Today, Starbucks is the premier roaster and retailer of specialty coffee around the world which operating in more than 60 countries with about 15000 total stores until now. Regarding of the study results online, lots of consumers think about Starbucks is the third place to spend time beside home and work place. Within just one little store in 1971 in Seattle, Starbucks flourished rapidly as increasing 3 new stores being opened daily in the world.…

    • 1642 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    The starbucks did not have much competition like Mc Donald’s and the likes in the initial days but now they have competitors such as Tully’s coffee shop. They also had problems of employees’ discontentment. The expensive and aggressive marketing strategy has given starbucks market dominancy. They earn $181.2 million in the year 2000, sales were still growing but it started growing in a decreasing rate, because their aggressive strategy and attitude towards competitors not only they grew rivalry with local business people but they lost customer. It was difficult for them to maintain their growth of 20% only on domestic market. So, they opted for going overseas. They maintain some aggressive attitude in other countries also. The largest overseas market of starbucks was in Japan when they had 368 shops, UK was their second largest overseas market, and by the end of 2001 they started operation in the Middle East. They want to have 10,000 outlets abroad by next three years. In the domestic market they repositioned…

    • 1367 Words
    • 6 Pages
    Good Essays
  • Powerful Essays

    Word’s first Starbuck Coffee was opened in Seattle in 1971 by two teachers and one writer and they are Jerry Baldwin, Zev Siegel and Gordon Bowker. Starbuck Corporation was officially formed in 1985 and it had become the world’s leading roaster and retailer of specialty coffee now. Starbucks company only purchases and roasts high-quality whole bean coffees and sells them, along with fresh, rich-brewed coffees, Italian-style espresso beverages, cold blended beverages, a range of complementary food items, different varieties of premium teas and coffee-related accessories and equipment, primarily through company-operated retail stores. Starbucks also sells coffee and tea products and licenses its trademark through other channels such as licensed retail stores and, through certain of its equity investees and licensees, Starbucks produces and sells a range of ready-to-drink beverages. All channels outside the Company-operated retail stores are collectively known as specialty operations. Several online activism groups maintain websites criticizing the company 's fair-trade policies, labor relations, and environmental impact, and holding it as a prime example of what they see as U.S. cultural and economic imperialism. On February 2006, Starbucks had 6,216 company-operated outlets worldwide: 5,028 of them in the United States and 1,188 in other countries and U.S. territories.…

    • 2083 Words
    • 9 Pages
    Powerful Essays
  • Powerful Essays

    Marketing Strategy

    • 5012 Words
    • 21 Pages

    This report provides an analysis and evaluation of the current situation and prospective profitability of Starbucks. It also looks at the threats and weakness of Starbucks and how they can be dealt with by taking advantage of their strengths and opportunities.…

    • 5012 Words
    • 21 Pages
    Powerful Essays
  • Powerful Essays

    Bionade Case Study

    • 3872 Words
    • 16 Pages

    References: Brassington, B., Pettitt, S. (2000). Principles of marketing. 2nd edition. London: FT Prentice Hall…

    • 3872 Words
    • 16 Pages
    Powerful Essays
  • Powerful Essays

    Atestat

    • 4308 Words
    • 18 Pages

    1. “Onward: How Starbucks Fought for Its Life without Losing Its Soul” by Howard Schultz; 2. “Pour Your Heart into It: How Starbucks Built a Company One Cup at a Time” by Howard Schultz; 3. “5 Things You Didn’t Know: Starbucks” by “The Best Article Every Day”, written by Ross Bonander; 4. “Forty Years Young: A History Of Starbucks” – “The Telegraph”, May 11th, 2011;…

    • 4308 Words
    • 18 Pages
    Powerful Essays