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Environmental Analysis Paper

3011 words - 13 pages


Environmental Analysis Paper: Starbucks

University of Phoenix

July 14, 2008

Environmental Analysis Paper: Starbucks
Macroeconomic Forecast
The importance of economic indicators to the strategic planning process in any organization is the ability to benchmark economic conditions that contribute to improve profitability, business growth and market size. Starbucks strategy is to expand globally to provide high quality coffee in convenient and highly visible locations. Despite recent economic setbacks the company is continuing to innovate and extend the business with imaginative new ready-to-drink beverages and expanded packaged coffee ...view middle of the document...

The Starbucks approach to corporate social responsibility (CSR) includes developing “ethical sourcing practices for products such as coffee and cocoa, strengthening their involvement in education programs focused on cultural diversity globally, funding water projects in developing countries, and reducing our environmental footprint” (Starbucks Corporation, 2007).
The company treats employees as the most valuable asset for the company and empowers them to make decisions. They continue to sustain the values of personal dignity, mutual respect, shared success and diverse workforce culture in the organization. Starbucks created an environment accommodation that allows customers access to free wireless internet. Schultz believes that “Operating with a social conscience has always been a core purpose and competency at Starbucks ”(CSR Report, 2007) so, they involved a corporate social responsibility and contributed US $5 million in the establishment of china educational project in 2005. Starbucks also built executive community leadership program to facilitate Starbucks executives’ service on non-profit boards and building community to support neighborhood organizations. To create a positive work environment Starbucks supports two-way communication channels and promotes a respectful workplace culture.
One of the many Starbucks environmental efforts includes Global Green's plan to educate individuals, stakeholders, businesses, and governments on how they can take action to address climate change. They conducted an inventory of emissions in an effort to better understand and quantify their environmental footprint. They have used the “World Resources Institute Greenhouse Gas Protocol” to perform the inventory of major emissions from the company-operated retail stores, coffee roasting, administrative operations and distribution network. They have been working the risks of climate change for their business and reduce GHG emissions (Starbucks Corporation, 2007).
Political and Legal Issues
Starbucks committed safety environmental procedures to reduce the risk of injuries for both their empoyees and customers. This includes the introduction of anti-slip floor mats in California company-operated stores and introducing new digital brewing equipment and automated espresso machines to reduce the risk of burns for employees. Starbucks abided by all applicable labor laws for their partners and followed International Labor Organization’s Declaration of the Fundamental Principles and Rights at Work. The company developed a tax policy that provides incentives for increased productivity as well as providing trade policy for intellectual property, trademarks and promoting transparency to U.S. and foreign governments of the trading relationship. Although the coffee retailing industry is not currently under regulations to add nutritional labeling, Starbucks plans labeling for their food-packaged products and non-packaged items to avoid...

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