The company has not only faced some setbacks in its global


Question: Starbucks - the case continues

The company has not only faced some setbacks in its global expansion plans (although business in China was said to be growing rapidly again in 2010), but also criticism from activists in several countries. Some criticise it for an apparently relentless expansion, offering a similar global brand that tends to push out local companies, reducing the variety of local shopping areas. Others have cast doubt on its claims to treat coffee growers fairly. It has taken these criticisms seriously, and has for 10 years been working with Conservation International to help farmers grow coffee in ways that are better for people and for the planet. The goal is that 100 per cent of coffee will be responsibly gown and ethically traded - at present about 75 per cent meets that standard. It also has targets that by 2015 all of the cups will be reusable or recyclable, and that it will contribute more than one million community service hours each year. It expects all suppliers to comply with the conditions set out in a detailed statement of social responsibility standards, covering matters such as transparency, worker health and safety, worker treatment and rights, hours and pay, and environmental protection.

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Management Theories: The company has not only faced some setbacks in its global
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