Starbucks is keenly aware of the challenges climate change poses to its business model. As temperatures rise and growing land becomes unusable, the global supply of Arabica beans will shrink, and Starbucks supply costs will rise. Starbucks could be forced to source coffee from new suppliers and establish costly new supply chain routes [1]. To address this threat, Starbucks is focused on reducing its own environmental footprint while working directly with farmers to prepare for changing growing conditions.<\/p>\n
Starbucks has been focused on renewable energy and energy conservation since 2004 [7]. Starbucks is one of the EPA\u2019s top ten purchasers of renewable energy, purchasing Renewable Energy Certificates (RECs) equivalent to 100% of the energy used in U.S. and Canada company-owned stores [8]. Each REC helps subsidize the electricity price supplied by wind farmers to better allow the renewable source to compete with fossil fuels [8]. In addition, Starbucks installed energy management systems in 4,000 stores to better control heating and cooling costs [8]. Starbucks also builds new stores according to LEED (Leadership in Energy and Environmental Design) principles, and has more LEED-certified stores than any other retailer [9]. Finally, Starbucks is a member of the RE100, a global initiative of businesses committed to 100% renewable electricity [10].<\/p>\n
Beyond limiting its environmental impact, Starbucks works directly with growers to assess the impact of climate change on production and experiment with novel growing techniques. These actions range from using shade and tree cover to protect crops and farmers from the sun, to more novel approaches [1]. In 2014, Starbucks sold its first batch of a special coffee variety developed with a Costa Rica growing cooperative [1]. This coffee strand, named Geisha, is more resistant to fungal infections than other species and may signal future experiments in coffee growing innovation [11]. Starbucks has historically been generous with its discoveries: in 2014 the company distributed rust-resistant coffee plants to Mexican farmers who had lost much of their annual production to seed rust, and will have donated 20 million rust-resistant seedlings by the end of 2017 [1].<\/p>\n
Starbucks\u2019 commitment to addressing climate change is admirable, but has at times been at odds with its business imperatives. While Starbucks is meticulous in tracking its environmental impact, it has not always been successful at reaching its emissions-reduction goals.<\/p>\n
After setting a 25% reduction goal in 2008, Starbucks saw emissions rise in recent years, due primarily to store growth and its foray into heated food, which requires an increase in refrigeration and ovens [1] [7]. I am encouraged by the steps Starbucks has taken to date, but I am concerned as to how it will balance growth targets and pressure from shareholders with its stated desire to reduce emissions. Similarly, Starbucks seems genuinely committed to working to equip impacted farmers with the tools and knowledge needed to grow beans in changing climates. However, there is probably a limit to this investment, where Starbucks will limit innovative farming experiments and instead simply pass higher bean prices to consumers. Given the 125 million people worldwide who depend on the coffee trade for their livelihood, I would like to see Starbucks lead the effort to determine how to successfully grow beans in warmer and dryer climates. Perhaps Starbucks could partner with research universities and tech companies to produce truly innovative farming methods. Given the impending coffee crunch, a new blend of methods and company commitment will be required to address the impact of climate change.<\/p>\n 782 of 800 words<\/strong>.<\/p>\n References<\/u><\/p>\n 1 Byrnes, Natalia. \u201cStarbucks Responds to Climate Change, with Mixed Results.\u201d MIT Technology Report. <\/em>https:\/\/www.technologyreview.com\/s\/601404\/starbucks-responds-to-climate-change-with-mixed-results\/<\/a>. Accessed 3 Nov. 2016.<\/p>\n 2 Chamlee, Virginia. \u201cCoffee Market Braces for Global Warming\u2019s Effects.\u201d Eater<\/em>. http:\/\/www.eater.com\/2016\/5\/10\/11642246\/coffee-bean-global-warming-starbucks-latte<\/a> Accessed 3 Nov. 2016.<\/p>\n 3 Bunn, C., Laderach, P., Rivera, O., and Kirschke, D. \u201cA Bitter Cup: Climate Change Profile of Global Production of Arabica and Robusta Coffee.\u201d Climactic Change<\/em>, vol. 129, no. 1, 2015, pp. 89-101, http:\/\/link.springer.com\/article\/10.1007\/s10584-014-1306-x<\/a>.<\/p>\n 4 \u201cClimate Change Brews Trouble for Coffee.\u201d Clean Technica<\/em>. https:\/\/cleantechnica.com\/2016\/10\/05\/climate-change-brews-trouble-coffee\/<\/a>. Accessed 3 Nov. 2016.<\/p>\n 5 Perez, Marvin G. \u201cCoffee-Loving Millennials Push Demand to a Record.\u201d Bloomberg<\/em>. http:\/\/www.bloomberg.com\/news\/articles\/2016-10-30\/millennial-hunt-for-caffeine-fix-propels-coffee-demand-to-record<\/a>. Accessed 3 Nov. 2016.<\/p>\n 6 \u201cCoffee Farmers.\u201d Fairtrade Foundation<\/em>. http:\/\/www.fairtrade.org.uk\/en\/farmers-and-workers\/coffee<\/a>. Accessed 3 Nov. 2016.<\/p>\n 7 \u201cClimate Change.\u201d Starbucks<\/em>. http:\/\/www.starbucks.com\/responsibility\/environment\/climate-change<\/a>. Accessed 3 Nov. 2016.<\/p>\n 8 \u201cWater and Energy Conservation.\u201d Starbucks. <\/em>http:\/\/www.starbucks.com\/responsibility\/environment\/climate-change<\/a>. Accessed 3 Nov. 2016.<\/p>\n 9 \u201cLEED\u00ae Certified Stores.\u201d Starbucks<\/em>. http:\/\/www.starbucks.com\/responsibility\/environment\/leed-certified-stores<\/a>. Accessed 3 Nov. 2016.<\/p>\n 10 \u201cRE100.\u201d The RE100.<\/em> http:\/\/there100.org\/re100<\/a>. Accessed 3 Nov. 2016.<\/p>\n![\"starbucks\"](\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Starbucks-2.jpg\")
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