Case Study : Starbucks And Second Cup

3253 Words14 Pages
Corporate Social Responsibility

Audit Report on

Starbucks and Second Cup

Daljeet Grewal Wendy Thompson
Harmesh Kaushal
Navneet Kaur
Rajinder Kaur


Introduction 2
Issues of coffee industry 2
CSR Priorities and Policies of Starbucks: 2
Objective Analysis of Starbucks 2
Recommendations for Starbucks 2
CSR priorities and policies of Second Cup 2
Objective analysis of Second Cup: 2
Recommendations for Second Cup: 2
Personal statements 2

We have chosen two companies of
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Health and energy drinks are becoming competitors of coffee industry.
Poverty, child labour, low wages, long working hours, no employments benefits and illiteracy caused by coffee industries in coffee growing communities due to increased demand of coffee farmer’s children are involved to do work hard with their parents to earn more and also remain illiterate.
2. Environmental issues:- Due to increasing demand of coffee, farmers use agrochemicals on coffee plantation to increase productivity of coffee that will impact the quality of coffee as well as cause health problems and pollute environment.
High production of coffee causes deforestation because coffee growing countries require too much land to grow coffee more to fulfill the demand of coffee.
Plastic cups used for serving tea and coffee will increase wastage while they use recycling.
Bad agricultural methods and techniques lead to soil erosion.
Genetically modified organisms (GMO’s) cause risk for other plant species and consumer health problems.
3. Economic issues: - Coffee pickers don’t receive minimum wage rate for example in Guatemala, the minimum wage of coffee pickers are $3 per hour.
Even middle man pays less than the market price to them. It impacts the income of farmers and cause unemployment, poverty, child labour and illiteracy in that particular coffee growing country. It affects GDP and per capita income of country. Industries operations get effected by
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