Starbucks’ unfair trade

The Starbucks’ franchise system is a success here in Taiwan (vacationing here) but what disappoints me about Starbucks Corp. is how much it is charging for its coffee in a developing country. The owner of the multinational corporation claims it is practicing fair-trade coffee, but as I sit here at Starbucks to read and blog, I am noticing some of their hypocrisy.  The purchasing power of Taiwanese people have decreased, but yet, it is charging customers here a premium for its coffee.

A cup of regular brew is 85/95 NT for a tall/grande, which is equivalent to US$ 2.80/3.12 (or Cdn$ 3.73/4.17).  A fair price ought only be 50/60 NT (according to its U.S. currency equivalent). What does this mean? If an American customer in Taiwan were to buy a tall cup of Pike Place, s/he would have to pay an extra US$ 1.15 (or 35 NT). Is this outrageous or what?!  Does this seem like a fair-trade practice to you?

Starbucks is taking advantage of its Taiwanese customers because it knows it can. People here worship almost anything made in America.  The owner/founder Howard Shultz claims he practices fair-trade but what is practiced and preached just seems a little incongruent to me.

It also makes me wonder where else around the world is Starbucks taking advantage of people.

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Author: Kevin S.

A follower of Jesus, a husband and a father. Hobbies include biking, keeping fish if they don't die on me, blogging when I can, theologizing and ministry, and pondering about world affairs.

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