Case Study Illy Cafe

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About Illy Company background and description The history of illycaffè is linked to the lives of the company's founder, Francesco Illy, and his family. Francesco in 1933 set up a business in the cocoa and coffee sector, and then decided to concentrate exclusively on coffee. Nowadays the illy group is made up of several companies located in North America, France, Germany, Spain and Benelux. Product Illy serves coffee to its customers. They insist on the fact that there are not selling basic coffees but the one which is a result of Scientifics’ research. They want to serve the best coffee due to a result of a long experience, knowledge of coffee biology and chemistry, very good skill at roasting, enabling technologies, and also a…show more content…
The original goal of Illy was to provide best coffee to customers, but the good quality coffee does not necessarily mean responsibly produced coffee. So many coffee growing countries use unethical growing practices which reduces the price of 1 kg of coffee from the farmer, but jeopardizes the company´s ethical image. Thus now Illy needs to balance three aspects – quality, profitability and ethical aspect, which is a difficult problem, since it involves the whole supply chain and for the company of such scale of operation to solve this problem will be extremely difficult (140 countries on 5 continents). Plus this challenge is also industry driven – all big coffee companies are moving towards sustainability of supply chain, and greater awareness of the customers about these issues nowadays can give a coffee company additional competitive advantage. 2) First of all before we outline alternatives and solutions, we need to clarify, what responsible coffee business means. Although “sustainability” has been defined in a variety of ways over the past several decades, the Brundtland Report (1987) has provided the most widely-accepted and enduring definition at the international level. According to the Brundtland report: “Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.. In relation to coffee business Acting Responsibly involves a complex activity spread over

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