Starbucks
The Triple Mocha Frappuccino
The MNC: Starbucks
- Starbucks Head Office is located in South Seattle, Washington U.S
- The first Starbucks store was located in Seattle at 2000 Western Avenue. Now in 2021, it was recorded that there was 33,833 Starbucks stores Worldwide, just under half are located in the United States
- Its major production facilities are The York Roasting Plant, The Carson Valley Roasting Plant, The Amsterdam Roasting Plant and The Starbucks Kent Roasting Plant.
The Triple Mocha Frappuccino, Ingredients and The Supply Chains
The Triple Mocha Frappuccino has 6 ingredients
- Sweet Cold Brew Whipped Cream
- Dark Mocha Sauce
- Coffee
- Milk
- Ice
- Dark Mocha Drizzle
The Triple Mocha Frappuccino
Its main components are chocolate, milk and coffee.
The chocolate is from UTZ certified farmers and/or Rainforest Alliance Certified farms, cocoa is also purchased from COCOA practices-verified supply chains.
Starbucks sources its coffee beans directly from nearly 30,000 coffee farms around the world, in countries such as Brazil, Columbia, Guatemala, Kenya, Mexico, Saudi Arabia, and Tanzania. The coffee is produced in roasting plants.
Cooperative Dairy Farmers of America is one of the dairy companies that provide Starbucks with milk
Where Starbucks stores are located around the world
Starbucks Coffee (left) and Cocoa (right) production farm maps
Environmental Considerations
The Coffee Industries Positives:
- The traditional practise, shade grown coffee, doesn't have deforestation
- Grows under the shade of canopy trees
- Has a natural habitat for indigenous animals and insects
- Prevents topsoil erosion
- Naturally keeps the soil quality high
The Coffee Industries Negatives:
- Deforestation must occur for sun-grove coffee practises
- Pesticides and chemicals are needed
- Sun-grown coffee practises create a large impact on the soil quality
The Dairy Industries Positives:
- Farms are using manure management practises to reduce greenhouse gas emissions
- Manure management practises are also helping reduce eutrophication levels, keeping the soil and waterways healthy.
The Dairy Industries Negatives:
- The dairy industry has 3 times as much greenhouse gas emissions
- Uses more land than any other kind of milk
- Higher levels of eutrophication
- Uses large amounts of fresh water
The Chocolate Industries Positives:
- Many farms use shade-grown coffee practises, having the plants grow in the shaded canopy of the non-cocoa trees
- The non-cocoa trees that shade the cocoa plants help absorb carbon emissions
The Chocolate Industries Negatives:
- Sun-grown coffee practises results in deforestation
- Soil quality is reduced significantly
- Sun-grown coffee practises release a large amount of carbon emissions
Social Considerations
The Coffee Industries Positives:
- Families are able to improve housing conditions
- A study opportunity for young people
- Important part of the development of strengthening the capacity of rural communities
The Coffee Industries Negatives:
- Children are being pulled out of school to work on coffe farms
- Families can no longer afford food and medicines
- Coffee farmers are having their well-being affected, such as their health and nutrition
The Cocoa Industries Positives:
- Cocoa powder helps reduce inflammation
- Can protect consumers from multiple different diseases
- Rich in phytonutrients but low in fat and sugar
The Cocoa Industries Negatives:
- The workers work in very dangerous conditions
- Workers receive under the poverty wage or no wage at all
- Many of the workers are children under 14 years old
- Majority of the children who work on cocoa farms are pulled out of school to go and work
- Workers work for over 14 hours a day and sleep for very few hours
- Workers must bear beatings
The Dairy Industries Negatives:
- Farmers recieve financial stress and high workload
- Cows must be milked twice a day, super early in the morning and in the afternoon, every day of every week
- Dangerous workplace with large livestock
The Dairy Industries Positives:
- Milk is full of calcium which helps improve bone health
- Can reduce the risk of multiple diseases
Economic Considerations
The Coffee Industries Positives:
- The industry is responsible for nearly 1.7 million jobs in the US
- Is the second most tradeable commodity in the world
- Coffee boosts the Economy
The Coffee Industries Negatives:
- Is responsible for nearly $28 billion dollars in taxes
- One year, the economic impact of coffee in the US was over $225 billion dollars
The Dairy Industries Positives:
- Is responsible for 62.2 thousand dairy industry jobs
- The national dairy herd size is around 1.63 million cows, with 240 cows in each herd
The Dairy Industries Negatives:
- Adds $49 billion dollars in economic impact
- $13 billlion dollars in farm, manufacturing and exporting
The Cocoa Industries Positives:
- Has many income and employment opportunities for people
- Cocoa is important for confectionary foods and pharmaceutical and cosmetic industry products
The Cocoa Industries Negatives:
- Living off of cocoa is extremely difficult for people apart of the cocoa industry
- Has low revenue
- High costs of production
Interconnections between People, Places and Environments
Issue: Child Labour
Issue: Child labour is being used in the production of cocoa, the children are given no wages, they work for 14 hours a day with very little sleep and they bear beatings whilst working.
Strategy 1:
Increase the total percentage of profit that cocoa farmers receive so that older workers can be hired and paid, not hiring children to work for free.
Strategy 2:
Starbucks would only purchase cocoa from businesses that have/are approved with anti-child labour laws.
Preferred Strategy
Strategy 2:
Starbucks would only purchase cocoa from businesses that have/are approved with anti-child labour laws.
Reasons:
- It has a realistic plan to stop child labour through the government, not through hoping that profits will increase for farmers to hire older workers instead of hiring young children without paying them
- It has measures/laws that multiple other countries already have in place
- Children will be able to go to school and be educated instead of having to be pulled out at a young age to go and work on a cocoa farm with no pay
Outcomes and Consequences
1. Governments may choose not to put these laws in place. The reason why I predict this outcome with this strategy is because not all governments may listen to what their citizens would like to have taken into matter. The governments of these countries that are apart of the production of cocoa may not add these laws to stop child labour.
2. Adding a minimum wage pay may add more financial stress to farmers. Having enforced laws that all workers MUST be paid with a minimum wage for working, may put financial stress on farmers. Cocoa farmers only make 6% profit of the total profit made with chocolate, having to pay workers may mean they wouldn’t be able to afford any of their own medicines and food or be able to pay their own workers.
3. Shortages of workers whilst kids are at school. If the majority of cocoa farm workers were children (of appropriate age) then there may be worker shortages whilst the children would be at school. This would mean that the farmer would have to hire more staff which they may not be able to afford
Credits:
Sources used with all information provided in page