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How has starbucks dealt with the issues it faces in international market? |
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Starbucks and Fair Coffee Trade
Starbucks was accused of exercising unfair control over international coffee bean trade. In 2006, BBC reported that Starbucks pressured NCA or National Coffee Association to halt the trademark efforts of Ethiopian coffee beans, thereby denying Ethiopian farmers more than $80 million in earnings annually. Starbucks CEO Jim Donald and Ethiopian Prime Minister Meles Zenawi had talks about the matter in November 2006, but the problem has yet to be solved.
Starbucks then attempted to promote 'fair trade' by using coffee grown by farmers in third world nations. The company plans to buy one million pounds of this coffee at 'competitive' prices in its supposedly altruistic efforts to improve the living standards of third-world coffee farmers.
This move is controversial, however, because this third-world coffee makes up a tiny fraction of the chain's total coffee import. Anti-Starbucks protesters say that it "seems that Starbucks can give much more than it offers."
First answer by Katesati. Last edit by Katesati. Contributor trust: 19 [recommend contributor]. Question popularity: 9 [recommend question]
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