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The Definitive Guide to Modern Supply Chain Management (Collection) by Sara Lewis, Michael Watson, John Bell, Thomas J. Goldsby, Peter Cacioppi, Jay Jayaraman, Chuck Munson, Chad W. Autry, Mark A. Moon

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Case 16. Ethical Product Sourcing in the Starbucks Coffee Supply Chain

Dustin Smith

Washington State University, Pullman, Washington, USA; dustin.smith@email.wsu.edu

Introduction

Fair Trade is a movement that “seeks to empower family farmers and workers around the world while enriching the lives of those struggling in poverty.”1 Fair Trade is based on the principal of paying above the market rate for goods that are environmentally friendly and made by workers in safe conditions who are paid a livable wage. Coffee is a significant focus of the Fair Trade movement, because coffee trails only oil in global trade volume.2 Despite high global demand, market price fluctuations can create hardships for many of coffee’s small producers. In the United ...

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