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Corporate Social Responsibility of Starbucks

Introduction and Organization Overview

In the face of various aroused challenges, including global warming and the COVID-19 pandemic, corporate social responsibility (CSR) acquires increasing importance for the prosperity of business and society altogether. In these contexts, Starbucks Corporation can serve as an exemplary entity with active CSR clearly determined and consistently conducted by the leadership for more than two decades.

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Starbucks Corporation is an American international coffee company that represents itself as one of the largest chains of coffeehouses in the globe, with over 32,000 coffee shops in 83 countries (“Company profile,” 2020).

Core Business

The company’s business revolves around 30 blends of premium coffees that can be enjoyed either store, on-the-go, or at home. In particular, the products comprise handcrafted beverages, such as hot and iced espresso drinks, such as teas, and fresh-brewed coffee, and fresh food, namely, sandwiches, yogurt, baked pastries, and many others (“Company profile,” 2020).

Mission Statement

Starbucks’s mission: “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time” (“Company profile,” 2020). The mission can imply the significance of community and cohesion of people who can be inspired with a cup of quality and sustainable coffee.

Corporate Social Responsibility (CSR) Initiative

Evaluation of the Initiative

The company developed its C.A.F.E. practices that include a system of 249 indicators. Currently, C.A.F.E. practices contain about 400,000 coffee farmers in 30 countries, which allows for enhancing working conditions and intending over a million hectares of land for sustainable practices (“C.A.F.E. Practices,” n.d.). Thus, this plan is ethical because the company strives to follow the ethical sourcing practice standards approved by Conservation International.

Demonstration of CSR

C.A.F.E. Practices demonstrates CSR by promoting the transparency and sustainability of coffee growing practices and supporting coffee farmers and their workers and families. Kang and Namkung (2018) state that Starbucks’s CSR enhances consumers’ long-term relationships with that company. In this case, the given practice positively reflects Starbucks’s reputation, attracting new investors and valuable stakeholders, including committed employees. On the other hand, the company teaches farmers sustainable and simultaneously profitable practices.

Recommendations / Conclusion

Altogether, the given CSR plan has a beneficial effect on numerous communities in developing countries, encouraging farmers and collaborating companies to lead sustainable policy. Nevertheless, Starbucks could simplify its criteria to expand its coverage to a higher number of people. Besides, the company can offer education of their ecologically advantageous practices for all communities by cooperating with local governments tightly.

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C.A.F.E. Practices: Starbucks approach to ethically sourcing coffee. (2020). Starbucks. Web.

Company profile. (2020). Starbucks. Web.

Kang, J. W., & Namkung, Y. (2018). The effect of corporate social responsibility on brand equity and the moderating role of ethical consumerism: The case of Starbucks. Journal of Hospitality & Tourism Research, 42(7), 1130-1151. Web.

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