Starbucks Mission: Social Responsibility and Brand Strength Essay

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Starbucks’ Mission: Social Responsibility and Brand Strength

1. Why do you think Starbucks has been so concerned with social responsibility in its overall corporate strategy?
Two reasons Starbucks has been so concerned with social responsibility are the negative impact on the company if they aren’t and the financial and nonfinancial rewards because they are. According to our textbook, Starbucks has been engaged in responsible business practices almost from day one of operation.

Because of their substantial growth over two decades, they have spent a considerable amount of time defending their image. Their “clustering” strategy put many small coffee shops out of business and many consumers began to wonder if there really was a need
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It’s extremely costly to hire new staff. The money saved by keeping the staff you currently have reflects in the company’s profits.

2. Is Starbucks unique in being able to provide a high level of benefits to its employees?
I believe so. I worked at Wal-Mart about eight or nine years ago. For a company that size and worth millions, one would think they offered a decent health insurance plan. They didn’t. Also, their health plan was only offered to those working 32 hours or more per week. For Starbucks to offer part time employees stock options and health insurance complete with dental and vision is fantastic. It’s extremely rare for companies to offer part time employees benefits of any kind except those which are mandatory. I would consider working at Starbucks. Even though I’m not a coffee drinker, I would learn to drink something they offered.

3. Do you think that Starbucks has grown rapidly because of its ethical and socially responsible activities or because it provides products and an environment that customers want?
I believe their growth is the result of both practices. First Starbucks offers a product the consumers want, and they offer an atmosphere unlike any other. As a result of the recession, they looked at more affordable offerings to keep the customer base they already have. I feel this is one reason the company has continued to being profitable during this last recession. If I was a Starbucks customer, I would still continue
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