Starbucks Controversy

Improved Essays
Earlier this year Starbucks made recent news when an incident took place at one of its stores in Philadelphia. The incident occurred when two African American men entered the Starbucks store, sat down, and waited for a business associate to show up for a meeting. The two were approached by a Starbucks employee who asked if they were going to order anything. The men did not order anything and remained at the table. After asking them to leave, the employee called the police who then asked the men to leave and arrested them for trespassing. The incident has brought great controversy to the company as it is now under fire for racial profiling and bias. For a company that has always spoken up about political issues including inclusion and political …show more content…
This is the key sociocultural challenge that Starbucks faces. The company is frequently criticized by consumers for having high prices and taking advantage of customers, yet on the other hand, it still has millions of consumers that buy from the store every day. The company could offer cheaper alternatives to meet consumer demand, it has to ensure that it does not sacrifice quality in the process of lowering prices. By lowering prices Starbucks would have an opportunity to expand its customer base, raising the number of middle to lower class consumers that buy from its …show more content…
Thus Starbucks must demonstrate its commitment to the environment. This is an issue the company has managed to stay ahead of by pursuing greener stores, products, and conserving energy and reducing waste. A related issue is ethical sourcing which is a major issue that customers care about. Starbucks has a great reputation for sourcing its beans and tea in an ethical way and this brings ease to society and customers. Every day consumers become more concerned about ethics in sourcing ingredients for many of the products that are sold in our country and Starbucks has taken this under consideration when dealing with its suppliers and sources. Currently the company has a program in place to work towards 100% ethically sourced raw materials and ingredients. Starbucks calls of its efforts the “Starbucks Shared Planet” in which the company shows its commitment to do the best for the people and planet. The company also uses reusable cups and contributes many hours to community service each year. The company has been focused on minimizing its environmental impact as well as dealing with climate changes and has placed emphasis on inspiring other companies to do the same thing. Starbucks partners with NGOs and other not for profits to engage in social, community, and

Related Documents

  • Improved Essays

    On October 5th a Dunkin Donuts spokesperson stated, "The franchise owner has apologized to the police officer on behalf of Dunkin' Donuts, and he has counseled the employee about her behavior." An employee of Dunkin Donuts in Providence left a message on a police officer’s coffee cup stating #BlackLivesMatter. This message created a controversy between residents of the surrounding area. Many locals believed the employee behaved inappropriately while others argue the officer should not have been offended by the employee’s message. I believe the employee’s actions were inappropriate.…

    • 309 Words
    • 2 Pages
    Improved Essays
  • Improved Essays

    The commitment from Keurig that in five more years the amount of waste will diminish does not satisfy many consumers. Keurig Green Mountain ensures they are an eco-friendly company. The pressure is on to reduce waste. The argument over K-cup or seeking options by office buildings and consumers alike is on the rise.…

    • 1637 Words
    • 7 Pages
    Improved Essays
  • Decent Essays

    Second Cup Essay

    • 410 Words
    • 2 Pages

    Further, second cup is also failing to leverage its longstanding commitment to sustainability. As it is seen that second cup is celebrating its 40th Anniversary, the company is not unfamiliar to Canadian out-of-home coffee drinkers. Whereas, there are some consumers, who are largely unfamiliar with brand. So, second cup has become lost among food service giants. It is notice that second cup is facing a daunting challenge to re-establish itself in a field of strong competitors.…

    • 410 Words
    • 2 Pages
    Decent Essays
  • Improved Essays

    Chipotle Ethical Issues

    • 554 Words
    • 3 Pages

    The company also supports and helps literacy programs and international relief efforts. They’re also big on community service. Last year they volunteered about 230,000 hours of community service. Starbucks is an ethical company because it helps with the environment and social life not just focuses on their business.…

    • 554 Words
    • 3 Pages
    Improved Essays
  • Great Essays

    EXECUTIVE SUMMARY Coffee market is continuously changing and this section include the marketing plan to show where Starbucks stands in this current market. Major changes in coffee industry include changes in the price of coffee, changes in buying habits of customers,new market entrants etc... Starbucks is well known for its exceptional coffee products and is regarded as the company that has revolutionized coffee business. Its origin is in Seattle,Wsahington. The company has its operations currently in 5 continents,in nearly 30 countries.…

    • 1975 Words
    • 8 Pages
    Great Essays
  • Great Essays

    Starbucks Case Study

    • 2837 Words
    • 12 Pages

    Its partnership with Apple to bring app based discount coupons is helping it ride the mobile wave easily. The company introduced Wi-Fi capabilities in its outlets already. Internet is important to the consumers. They can now surf the web and do work while sipping Starbucks coffee.…

    • 2837 Words
    • 12 Pages
    Great Essays
  • Improved Essays

    Starbucks was able to find a $3 million funding from the U.S. Agency for International Development (USAID) to help build a research facility in Manizales, Colombia, to make sure that the get closer to the farmers, and have them received good training to become more knowledgeable on how to produce the best beans possible. The funds will also help pay for agronomists to analyze soil and inform growers on factors that affect profit and yield, including fertilizers, climate and pests. This move guaranteed that Starbucks gets the best beans possible, and directly from its source. In this way, Starbucks and farmers would get better prices and a guarantee production. At the same time, a sort of “lobbying” was going on in the political arena, where licenses, permits, compliances, and due processes were somehow oversighted.…

    • 786 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Starbucks’ community involvement includes environmental responsibility, which is best exemplified in “All partners should seek ways to proactively address the environmental impacts of our operations and incorporate the principles of the environmental mission statement into their work.” In addition to community involvement, Starbucks values integrity in an effort to prevent conflicts of interest, maintain accurate books and records, and honesty in disclosures. Finally, Starbucks values respect, much like Target, in the workplace and its store locations. Respect in the workplace comprises partners being entitled to work in an environment that is free of harassment, bullying and discrimination. In terms of customer service, employees must treat customers with respect.…

    • 736 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Looking over the advertisement, a picture of a well recognizable Starbucks cup that states, “If your coffee is not perfect, we’ll make it over. If it is still not perfect, make sure you’re in a Starbucks.” At the bottom…

    • 720 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    In view of these factors, suppliers offer modest low bargaining power. 4.5 Threat Of Substitute Products And Services (moderate to high) In addition to high quality coffee, excellent customer service and a good atmosphere, Starbucks also sells premium coffee and coffee machines. High quality and brand loyalty reduce the threat of alternatives to a certain extent. The company's alternatives include tea, soft drinks, hot drinks and different types of fruit juices.…

    • 789 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    They also offer a variety of drinks, which include teas, iced coffee, and expresso based coffee drinks. They not only adjusted to the local environment, but also provided their unique products. Therefore, this supported the fact that Turkish coffee had a significant role in their culture. The actual product benefits include the quality of the coffee offered, branding of coffee products into various varieties such as iced coffee, and the styles of introducing new products through public relations and marketing events. Starbucks boasts augmented product benefits such as the provision of exceptional services through serving customers with passion, provision of warrants through product testing in case of a new product.…

    • 1137 Words
    • 5 Pages
    Superior Essays
  • Improved Essays

    McDonald 's is one of the world 's largest corporate entities and has been counted as most recognizable and committing to each of their values by being ethical, truthful and dependable. In contrast Starbucks wants to, "inspire and nurture human spirit - one person, one cup, and one neighborhood at a time." (Starbucks et. al.). In comparison, both companies have commitments to its customers and quality products.…

    • 810 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    Starbucks corporate-level strategies are the main factors that led to Starbucks success. According to Bradley (2016), “corporate level strategy is concerned with the strategic decisions a business makes that affect the entire organization. Financial performance, mergers and acquisitions, human resource management and the allocation of resources are considered part of corporate level strategy.” There are many strategies of Starbucks corporate level strategies, such as value Neutral strategy (Bradley, 2016).…

    • 1350 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    These suppliers have diverse interests that make them do business with Starbucks. Some believe in the values of Starbucks while others supply as a normal way of doing business. Environmental groups advocate for better environmental practices. It is for this reason that most choose to partner with Starbucks Coffee Company. Starbucks believes in safer environment for doing business and hence in accomplishing this it needs these groups.…

    • 1096 Words
    • 5 Pages
    Improved Essays
  • Superior Essays

    Just as Starbucks connects with their customers, they value their employees, society and environment as well. Starbuck does this by sharing its economic success by supporting educational, health, and social service projects. The most important Starbucks contribution is to its coffee growers. Starbucks has the money to pay its coffee farmers, who in turns can uses traditional methods of farming, which helps preserve tropical forest. Back in 2001 Starbucks acquired help from the Conservation International group to help Starbucks revamp their ways of buying coffee and made a conscious decision to pay their coffee farmers a higher price for their coffee These coffee farmers must meet a list of social, environmental, economic, and quality standards.…

    • 1019 Words
    • 5 Pages
    Superior Essays