Friday, September 24, 2010

A Cup of Joe

In basic terms, mass customization is the concept of a notable company expanding into the global economic market. American companies, specifically fast food and U.S. clothing companies, have been infamous for following this concept since the 1980s and 1990s. What has been the result? Well, the average person living in China can enjoy a nice and juicy Whopper for a lunch break. Yet, there is one American company that has become the exception to the fast food/clothing line success: Starbucks.


Starbucks is deemed as one of the greatest success stories and this could be credited to its use of mass customization. Starbucks began as a private, coffee shop company that with only 6 retail outlets. It now stands an American icon. The company’s unique economic practice of entering into joint ventures has resulted in drive thru services, food menus, sales in grocery stores, bookstores, schools, airlines, cruise lines, and even hotels. Furthermore, it has become a prominent international icon as well. On a global scale, Starbucks operates 1,300 international outlets. The bulk of its international success is due to its market expansion into Asia.

 
So, what’s big deal about Starbucks success and its use of mass customization? Well, the fact is that both of these subjects are features of popular culture. In Starbucks utilizing mass customization, there have been cross roads in cultural, political, and economic arenas. In fact, they have been more of consequences. The cultural and political consequences go hand-in-hand. Being an international company, Starbucks faces the risk of operating in volatile political and cultural regions. It was a target of internet boycott campaigns claiming it donated profits to Israel; the country was under international scrutiny for the Gaza War. The economic consequence has been protests on its international labor practices. At one point, the company was under fire for the $2.50 daily minimum wage of its Guatemalan coffee bean pickers. The example of Starbucks gives even more evidence of the complexity of popular culture.

 
 
Works Cited
http://www.telegraph.co.uk/news/worldnews/middleeast/israel/4279688/Starbucks-smashed-and-looted-as-anti-Israel-protests-turn-to-violence.html
http://www.entrepreneur.com/tradejournals/article/132354507.html
http://www.globalexchange.org/campaigns/fairtrade/coffee/662.html

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