Ixing the paper below that is attached!!!!Global Policy

My part of the paper is:

If Starbucks continues with its current plan as stated below: I am to do the part of global policy on the paper.

I am attaching the paper I have previously written, Our team leader has problems with my paper and I will attach her comment from earlier, I really do not know what she wants from me.
I am not attaching the power point but if you come up with a slide to match the paper that would be wonderful and I need this asap as it is due on monday. See if you know what I need to do on the paper thanks.



The week 5 paper asks us to determine if Starbucks should continue, expand, or reduce their operations in three areas price, production, and composition of inputs (how staffing is determined) and then write about our decision. So, the first matter of business is to decide our answer as a team. I think that Starbucks should continue with its current plan of closing down stores in the U.S. and expanding operations in Europe. Not only do I personally think that this is the best route for the company, but it will make this paper easier to write if we simply stick to their plan of action rather than creating a whole new one.

So what do each of you think Starbucks should do??

Once we have all agreed to a course of action, we will need to complete the following for the paper:

Introduction including the questions being asked
Analyze the effects of global competition
Analyze the effects of government policy
Analyze the effects of social diversity
Analyze the effects of business ethics
Conclusion including our final decision

We will then need to create a PowerPoint presentation of our paper I suggest we each create slides that correspond with the sections we write.
Connie Analyze the effects of government policy paper section and slide(s)



The effect of government policy on Starbucks
Starbucks, the American coffee market giant, is currently facing immense challenges from its competitors and US government policies as well. In order to sustain in the market Starbuck is now closing down its unprofitable outlets in US and they concentrating more in European countries now.
The growth of Starbucks in US was unbelievable. It has increased its outlets from 700 to 9100 in a decade alone. But along with its growth, it faces challenges from the strict US government policies along with other competitors like Mc Donald s, Nestle, Dunkin Donuts etc. The US laws regarding the federal tax, labor, health insurance, and trade policies affected the growth of Starbucks substantially in the current global economic crisis scenario. Moreover, in US, the company has limited options for expansion now because of its excessive outlets. The US market is almost saturated for them.
 Double-digit spikes in health-care costs threaten the companys ability to offer medical coverage -a signature employee benefit it extends to even part-time workers. And as the company dips its toe into more sensitive areas, such as coffee-flavored liquor sales, it faces greater regulation . (Steve Hannaford) The US laws regarding the health care of employees is strict compared to other countries. The health expenses are immense in US and the employer should provide enough support to its employees
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irrespective of part time or full time. In order to counter the competition from others, Starbucks tried to diversify its product range by introducing a new product, coffee flavored liquor. But the increased regulation of liquor usage in US affected this concept badly. Starbucks was successful in getting the approval of treating them as a manufacturing segment rather than a service segment in order to reduce the tax liabilities. But that was not enough for them to exist in the US market.
 As Starbucks plans to expand overseas, having nearly saturated the US market, issues of trade polity loom ever larger. This includes lowering tariff barriers to coffee beans and products in other SUI trading partners. While companies like Wal-Mart and Cargill are getting their desires represented at trade negotiations, Starbucks has to follow suit to remain profitable . (Steve Hannaford). The US policies of liberalization and globalization have encouraged Starbuck s domestic and international competitors largely.
Another challenge Starbucks currently facing is its image against labor unionism. Some of the US court verdicts questioned the company s attitude towards workers  A National Labor Relations Board judge has found Starbucks guilty of extensive violations of federal labor law in its bid to counter the IWW Starbucks Workers Union. In an 88-page decision, Judge Mindy E. Landow found that Starbucks maintained multiple policies which interfered with workers right to communicate about the union and about working conditions, terminated three workers in retaliation for union activity, and repeatedly discriminated against union supporters. The union is confident that Judge
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Landows decision will be upheld by the National Labor Relations Board in Washington, D.C. should Starbucks appeal.  Starbucks faces another Labor Board trial next month in Grand Rapids, Michigan over illegal union-busting .(Ron Moore)
 Starbucks has been struggling in the U.S., as consumers hit by several macro-economic pressures, such as high fuel prices, have reduced spending on small luxuries like expensive coffee. Disposable consumer spending is expected to decline as consumers face rising cost of fuel and heating bills, and falling values of homes. December month unemployment rate jumped to 5% after economy created only 1.3 million net new jobs in 2007 sharply lower than 2.3 million in 2006. Competition also has stiffened for coffee dollars. Dunkin Donuts and McDonalds are ready introducing their own lines of gourmet coffee at cheaper prices than at Starbucks. (Schultz Faces Challenges at Starbucks) The increase in prices of coffee, milk, and sugar forced average people from staying away from the excessive use of coffee under the current economic crisis. Such attitudes of people reduce the coffee sale a lot in US.
Conclusion
Like every other industry, the coffee industry is also facing challenges from the current financial crisis. Apart from the financial crisis, the US government policies also put them on the defense. The competition also increased a lot. Starbucks operations in US are almost saturated. Considering all such issues,  Starbucks is currently exploring new markets, especially in European countries.

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Sources
1. Steve Hannaford -Starbucks and lobbyingRetrieved on 8/1/09
<09 < :) Unfortunately, I noticed a lot that needs to be fixed before it can be added to the teams paper: Approximately 60% of your paper is quoted material, which some people (Janine) may view as too much for an academic paper (especially for a 300 level course) You should focus on government policy, not on competition or the current economic issues we are facing Paragraphs should have no fewer than three sentences per APA The second sentence in paragraph two needs to be cited because the specific numbers you provide arent common knowledge please provide an in-text citation and reference list entry for this information The in-text citations are incorrect per APA formatting Direct quotes 40 words and longer must be formatted separate from the paragraph per APA The reference list entries are incorrect per APA There are grammatical er