Abstract

The coffee sector’s active engagement with sustainability issues appears to be a relatively new phenomenon. Even newer is the necessity to deal with recycling and waste. Next to the waste produced by the “coffee to go” mobile drinking culture and coffee bars, the popularity of coffee capsules – i.e. single-use contrainers made of metal or plastics – is creating mountains of waste unknown to the traditional method of brewing coffee. The pioneer in this premium coffee sector has been Nespresso, a subsidiary and brand of the Swiss company Nestle. Many other companies – from discount retailers to big-brand coffee shop chains like Starbucks – have copied Nespresso’s machine-and-capsule concept, adding to both the popularity and the waste problem. Next to the problem of waste production, coffee companies are addressing the problem of ethical sourcing. A key but by no means the only element is sourcing via “fair trade” schemes. Assuming that finding answers to these sustainability challenges can have a crucial impact on future sales, this article sets out to analyse and compare coffee companies’ sustainability programmes, using the examples of Nespresso and Starbucks. It finds that both firms engage in rather similar activities, but some critical differences can be identified. Both firms have a successful record in ethical sourcing. Both have not yet developed convincing waste solutions. Nespresso’s insistence on using aluminium for its capsules remains a critical issue. Keywords: Aluminium, coffee, consumers, Corporate Social Responsibility (CSR), environment, ethics, Nestle, Nespresso, recycling, Most Similar Systems Design (MSSD), sourcing, Starbucks, sustainability, waste FULL TEXT PDF only in English (toggle language: upper right hand corner)

Highlights

  • The purpose of this case study is to provide an analysis of two coffee company sustainability achievements and conclude with an outlook on further opportunities of action

  • This article will not examine Nestlé’s overall Corporate Social Responsibility (CSR) activities. It will be focused on coffee sustainability programmes with regard to ethical sourcing and waste reduction

  • We limit ourselves to comparing Nespresso’s efforts to those of competing firm Starbucks. Both are very popular brands, both have had an enormous impact on the coffee sector, and both provide a wide range of sustainability communications

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Summary

Introduction

The purpose of this case study is to provide an analysis of two coffee company sustainability achievements and conclude with an outlook on further opportunities of action. This article will not examine Nestlé’s overall Corporate Social Responsibility (CSR) activities. Instead, it will be focused on coffee sustainability programmes with regard to ethical sourcing and waste reduction. We limit ourselves to comparing Nespresso’s efforts to those of competing firm Starbucks Both are very popular brands, both have had an enormous impact on the coffee sector, and both provide a wide range of sustainability communications. This enables us to investigate and compare actions and success, and critically reflect on both firms’ progress. Nespresso and Starbucks both market relatively highpriced premium coffee brands through lifestyle appeals and social and green promises, which partly legitimise the high price and premium image among their customers

Problem background
Measurable sustainability?
Challenges and improvement
Findings
Conclusion
Full Text
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