Starbucks and fair trade coffee

Topics: Fair trade, Coffee / Pages: 3 (654 words) / Published: Nov 7th, 2013
Based on the details portrayed to me, the issue is whether or not Starbucks should buy fair trade coffee, as pressure and accusations from NGO Global exchange to do so has presented Starbucks with this challenge. Failure to respond cooperatively to this demand may have negative outcomes- a national boycott, which can ultimately harm Starbucks’ corporate image. There are a few risks associated with the fair trade movement; however, the benefits of sourcing fair trade are greater in terms of long-term sustainability. I recommend that you impose the implementation of fair trade, as it is a viable and responsible option when conducting business morally and ethically, and doing so would be suitable with your organization’s mission statement.

I propose that you collaborate with producers who have their fair trade certification to assist small-scale coffee farmers in poor countries to compete in large global economies, and ensure they receive a fair amount of wage to sustain their quality of life and alleviate poverty. The outcome of such action would be substantial; establishing equitable, long-term partnerships and mutual respect between Starbucks and less-developed nations is crucial for the prospect of business sustainability. Moreover, you may consider the fact that Starbucks is a successful, large company and should take on the responsibility of helping developing nations in return for using their agricultural products in the past years. You must, nevertheless, ensure the quality of the coffee as well as the source's reliability. I will present to you how fair trade coffee can thrive in the market and make Starbucks better off. In the short-run, you will be paying a higher cost for coffee, which means higher prices for consumers, causing a decrease in demand from some consumers. However, in the long-run, buying fair trade coffee will promote competition, guarantee a vast number of coffee plantations, and can ensure that the supply chain of Starbucks coffee

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