This assignment will describe in its main-part what main activities regarding acting (social) responsible are being implemented by Starbucks, emphasizing firstly on the second-biggest city in Indonesia, Surabaya. It will also depict some controversies around Starbucks. Beforehand, the paper will briefly explain the beginning of CSR and where it does stand now, as well as give a short history of Starbucks. At the end, the findings will be summarized, and a forecast will be made.
Corporate social responsibility (CSR) has become a topic of great interest for companies all around the world. 93 % of the 250 biggest companies worldwide are stating a CSR report and since the EU-directive 2014/95/EU is implemented in national law, became easier to hold the companies responsible for their activities. Starbucks has been an early adapter of the strategy to concentrate on economic, social and environmental issues and combining them to an overall corporate strategy and is now the second most valuable fast food company on the globe.
Table of Contents
1. Introduction
2. Starbucks and their CSR activities
2.1. Corporate Social Responsibility
2.2. Starbucks
2.3. Starbucks and CSR
2.4. Controversies around Starbucks
3. Conclusion
4. References
Objectives and Themes
This assignment examines the implementation of Corporate Social Responsibility (CSR) strategies within the global corporation Starbucks, with a specific focus on community initiatives in Indonesia and an analysis of past controversies surrounding the company's business practices.
- Evolution and theoretical foundations of Corporate Social Responsibility (CSR).
- Starbucks' historical transition and current implementation of CSR programs.
- Social and environmental initiatives, including employee well-being and supply chain ethics.
- Critical analysis of past controversies regarding tax avoidance and social responsibility incidents.
- The strategic importance of stakeholder trust for long-term corporate sustainability.
Excerpt from the Book
2.1. Corporate Social Responsibility
The first definition of corporate social responsibility (CSR) delivered Bowen (1953). He mentioned that businessmen should make policies and decisions which are in line with the desires and values of the society (cf. Bowen, 1953, p. 6). Davis (1960) and Walton (1967) came up with a similar definition and said that it could be monetarily profitable for entrepreneurs to act responsible (cf. Davis, 1960, p. 70) and that social responsibility is depicting the very intimate relationship between customers and businesses and that each entrepreneur should be aware of this fact when making decisions (cf. Walton, 1967, p. 18). Social responsibility goes beyond acting in accordance to the law, since every citizen should endure this in their actions (cf. Davis, 1973, p. 313). It means that a “CSR firm should strive to make a profit, obey the law, be ethical, and be a good corporate citizen” (Carroll, 1991, p. 43). Nowadays, scholars have widely agreed to a three-dimensional CSR term which covers the economic, social and environmental parts of responsible behaviours within corporations – the triple bottom line (cf. Elkington, 2007; Panapanaan et al., 2003).
Summary of Chapters
1. Introduction: This chapter provides an overview of the rising importance of CSR for global corporations and outlines the scope of the assignment regarding Starbucks' activities and controversies.
2. Starbucks and their CSR activities: This section explores the historical development of Starbucks, the theoretical context of CSR, the company’s specific social and environmental efforts, and the public controversies they have faced.
3. Conclusion: This chapter synthesizes the main findings, emphasizing Starbucks' strategic approach to stakeholder management and its balance between profit-seeking and social responsibility.
4. References: This section lists all academic sources, reports, and press releases cited throughout the assignment.
Keywords
Corporate Social Responsibility, CSR, Starbucks, Triple Bottom Line, Ethical Sourcing, Stakeholder Management, Environmental Sustainability, Community Engagement, Tax Avoidance, Corporate Culture, Supply Chain, Human Rights, Business Ethics, Social Impact, Corporate Reputation.
Frequently Asked Questions
What is the core subject of this paper?
The assignment fundamentally explores how Starbucks integrates Corporate Social Responsibility (CSR) into its global business operations and evaluates the impact of these strategies.
What are the primary thematic areas covered?
Key themes include the evolution of CSR theory, Starbucks' internal corporate culture, their specific social initiatives in Indonesia, environmental sustainability goals, and critical responses to past corporate controversies.
What is the primary objective of this work?
The main goal is to describe how Starbucks implements socially responsible activities and to examine whether these actions effectively align with stakeholder expectations and corporate sustainability, while addressing noted shortcomings.
Which methodology is applied in this paper?
The paper utilizes a qualitative analysis, relying on a review of academic literature and secondary data sources, including CSR reports, press releases, and journalistic investigations.
What is the focus of the main section?
The main section details the history of Starbucks and its transformation, specific CSR programs in regions like Indonesia, efforts toward environmental sustainability, and a critical look at public disputes involving the company.
Which keywords characterize the work?
The work is characterized by terms such as Corporate Social Responsibility, Triple Bottom Line, Stakeholder Management, Ethical Sourcing, and Corporate Governance.
How does Starbucks justify its CSR efforts to investors?
The paper indicates that Starbucks views CSR as a strategic imperative to build trust, ensuring long-term revenue and profit by catering to both social demands and shareholder interest.
What role does the local community play in Starbucks' CSR strategy?
Communities are viewed both as beneficiaries and as potential future employees and customers, creating a sustainable cycle of engagement that secures the company's reputation and market position.
How has Starbucks addressed the controversies mentioned in the study?
The response ranges from corporate apologies and the implemention of anti-bias training to active participation in global initiatives aimed at ethical sourcing and supply chain transparency.
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- Maximilian Sidorowicz (Autor:in), 2021, Starbucks and their CSR activities, München, GRIN Verlag, https://www.grin.com/document/1322216