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The Starbucks Culture: Responsible, Radical Innovation in an Irresponsible, Incremental World
Abstract
As we are bombarded with reports of immoral performances of larger and smaller corporations, we are nearly convinced that ethical companies are a thing of the past. Indeed, the pressure increases daily, and CEOs, facing narrow performance windows, often feel pressured to adopt a hit-and-run mentality, thereby contaminating their entire corporate culture. Yet, there are companies that continue to outperform their competitors and redefine their industries nationally and internationally while simultaneously following a strict moral compass. One such company is the Starbucks Coffee Company, a seasoned brand entailing 18,000 stores worldwide of which approximately 13,000 are located in North America. The Starbucks Corporation holds 5,500 coffeehouses in 61 countries under its direct supervision. After a successful expansion into China, Starbucks is now moving into India. Yet, through all of these aggressive moves, the coffee giant has managed to recurrently make the list of the world’s most ethical companies for good reasons. This case reviews Starbucks’ internal and external culture, examining its partner treatment, environmental awareness, farmer support, stakeholder inclusion, and other revolutionary strategies, in hopes to have these elements serve as a set of focus points for current and future leaders to consider.
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