Analyzing Starbucks' Ethical Compliance and CSR in Global Business

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This report provides an overview of Starbucks' business ethics and corporate social responsibility (CSR) initiatives. It details the company's history, structure, and culture, emphasizing its mission to inspire and nurture the human spirit. The report highlights Starbucks' ethical business practices, including ethical sourcing, environmental stewardship, and community involvement, all underpinned by the concept of the Triple Bottom Line. It explores the company's offensive and defensive strategies related to ethical branding and corporate reputation, as well as its commitment to transparency and accountability through TBL reporting. The report also addresses the challenges and considerations for Starbucks in international business, such as labor laws, cultural diversity, and tax regulations. Recommendations include adapting to diversified cultures in product offerings and refreshing the brand image. The report concludes that Starbucks operates on the basis of the Triple Bottom Line and aligns its activities with set objectives, while maintaining ethical compliance.
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BUSINESS ETHICS: STARBUCKS
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Overview of the organisation
History, Structure &culture
Established in 1917
CEO Kevin Johnson
Multinational company around 22,519* (as of June
28, 2015) in 75 Locations worldwide
The company operates around the world with the
help of partnerships
The idea of the company is to
provide good quality coffee along
with a good time with friends or
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Overview of the organisation
Mission & Vision
The mission of the company is “to inspire and nurture
the human spirit – one person, one cup, and one
neighborhood at a time” (Starbucks.com 2018).
The vision of the company is stated as
to provide the highest quality
coffee in the world, to the way we
engage with customers and
communities to do business
responsibly” (Starbucks.com 2018)
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Overview of the organisation
Ethical Business Practices
Follows the concept of Triple Bottom Line
Ethical Sourcing
Environmental Stewardship
Community Involvement
Apart form these aspects the
company has a range of CSR
activities (Starbucks.com 2018)
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Ethical Strategies
Corporate Social Responsibility of
Starbucks
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Offensive/defensive
Strategies
Ethical branding and corporate
reputation
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Offensive/defensive
Strategies
Cultural/ Ethical shift
Starbucks from the
beginning was an
organisation that did not
focus only on the profit of
the business but wanted to
wanted to bring a feeling of
connection
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TBL reporting
Transparency and accountability
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TBL reporting
Transparency and accountability
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TBL reporting
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TBL reporting
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TBL reporting
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TBL reporting
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International business
Starbucks have to abide by the following rules and
regulations:
labour laws of the country
Safety and security of the employees
Acceptance of diversity and culture of the country of
operation
Regulations regarding the CSR framework of operation
Tax laws
level of rigidity in trade and business in the country
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Lifecycle Assessment of the
product
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Recommendations
The company has to introduce some kind of major
changes in the operations as well as in the product
line in order to make the customers excited about the
brand
The company has the opportunity to expand the
business in the Asian market
The company has to adapt to diversified culture in the
product as well in order to gain the attention of a
wider customer.
The company has the scope of
improvement in the brand image as well
to refresh the brand’s value and
principles
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Ethical Compliance
The value of the company is to conduct business
ethically by a determined drive to do what is correct.
The organisation deems this principle to be significant
in the path of its success (starbucks.com 2018).
The company has a business ethics and compliance
program
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Ethical Compliance
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Conclusion
Starbucks is an organisation that runs on the basis of
the concept of triple bottom line
The company issues their yearly CSR report on the
official website for all the stakeholders to review
This report is issued in several languages owing to
the fact that the company is operating in more than
75 countries
The company aligns the activities with the set
objective Starbucks also complies with ethical
business
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Reference
Globalassets.starbucks.com., 2017. Global Social Impact 2016.
[online] starbucks.com. Available at:
https://globalassets.starbucks.com/assets/9265e80751db48398b88
bdf09821cc56.pdf [Accessed 26 Apr. 2018].
Korschun, D., Bhattacharya, C.B. and Swain, S.D., 2014. Corporate
social responsibility, customer orientation, and the job performance
of frontline employees. Journal of Marketing, 78(3), pp.20-37
Starbucks.com ., 2018. Business Ethics And Compliance. [online]
starbucks.com. Available at:
http://www.starbucks.com/about-us/company-information/business-
ethics-and-compliance [Accessed 26 Apr. 2018].
Starbucks.com., 2018. Our Starbucks Mission Statement. [online]
starbucks.com. Available at:
http://www.starbucks.com/about-us/company-information/mission-
statement [Accessed 26 Apr. 2018].
Starbucks.com., 2018. Our Starbucks Mission Statement. [online]
starbucks.com. Available at:
http://www.starbucks.com/responsibility [Accessed 26 Apr. 2018].
Stark, J., 2015. Product lifecycle management. In Product Lifecycle
Management (Volume 1) (pp. 1-29). Springer, Cham.
Wild, J.J., Wild, K.L. and Han, J.C., 2014. International business.
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