Comparative Business Ethics and Social Responsibility

Why has Starbucks been so concerned with social responsibility in its overall corporate strategy?
 

 

The purpose of this paper is to excavate the need of the corporate social responsibility in shaping the culture of the organization.  In order to sustain the organizational position in the global competitive market, it is necessary for the management of the organization to implement Corporate Social Responsibility[1]. In case of the global business, CSR Strategy of the organization plays a significant role. Here, in accordance with the case study, Starbucks is recently trying to expand their market in China. The company has 700 stores in the market of China but now the company has decided to open hundred more stores in China. There are several factors, which influences the organization to adopt CSR strategy for the betterment of the organization.

• Starbucks is dealing in such places, where demographic is concerned with the green consumerism and it is considered as the good marketing strategy.
• To run a long-term business, Starbucks has to face several problems. Recession is the significant problems regarding the implementation of CSR strategy. Along with that, climate change and global poverty are the significant challenge for the supply chain of the Starbucks[2]. If economic condition of the particular nation can be rectified then more people can be lifted their position from poverty level. Increased income level helps to enhance the capacity of Starbucks.
• Starbucks includes several leaders and managers, and their perspective towards the social responsibility is entirely different.
• To run the business successfully, the organization has to keep in mind the demand of the customers. Customers of these days are more concerned with the eco-friendly products. The customers are trying to use such products, which are not affecting our environment. It is the best for the management of the organization to associate with the community[3].
• Starbucks is concentrating on increasing the quality of the cup so reduce the waste percentage. For manufacturing of the cups, the organization is using eco-friendly polypropylene No. 5. It is the best strategy for attracting the customers.
• Another way to engage the customers is asking them to bring the tumblers. To encourage the customers for green economy, management has provided them 10% rebate on the next purchase, if they bring tumbler.
• Ethically run business is always noticeable, running the business ethically; the organization can able to improve their service. Socially responsible companies are often attracting consumers[4]. Corporate Social responsible companies have good impression on service users. Even shoppers feel good when they find that they are associated with the company, which is socially responsible.
• Ethical sourcing is another way of integrating the perception of the customers.

With the help of the corporate social responsibility, the management of the organization can able to help other communities[5].  Recently, the company is trying to expand its market in China so it is the best way to attract customers. Starbucks is committed in helping the poor and underprivileged people.  

References

Corporate social responsibility. in , London [u.a.], SAGE, 2007.

Haerens, M & L Zott, Corporate social responsibility. in .

Hopkins, M, The planetary bargain. in , London, Earthscan Publications, 2003.

Hunnicutt, S, Corporate social responsibility. in , Detroit, MI, Greenhaven Press, 2009.

Zu, L, Corporate social responsibility, corporate restructuring and firm's performance. in , Berlin, Springer, 2009.

[1] Corporate social responsibility, in , London [u.a.], SAGE, 2007.

[2] Haerens  M & L Zott, Corporate social responsibility, in .

[3] Hopkins M, The planetary bargain, in , London, Earthscan Publications, 2003.

[4] Hunnicutt S, Corporate social responsibility, in , Detroit, MI, Greenhaven Press, 2009.

[5] Zu L, Corporate social responsibility, corporate restructuring and firm's performance, in , Berlin, Springer, 2009.