DEBATEABOUTSTARBUCKS

Speaker 1. Good morningeverybody. Today, we aregoingto talk about the impact

of Starbucks in Colombia, divided in two key aspects to assess, advantages and
disadvantages of this polemic commercial entrance. So lets start. (Speaker 2)are
youfororagainstofStarbucks?

Speaker 2. Well (Speaker 1), I strongly believe that the commercial entrance of
Starbucks inColombia,opposite thateveryonethink,isbeneficialfortheeconomyin
generalandforthecoffeesproducers.

Speaker 3. Im with you on that. BecauseStarbucksagreeastrategywith National

Federation of Coffee Growers to improve Colombian Coffee awareness, inaspects
suchashishighqualityandstanding.

Speaker 4. Yes, I understand your point, however I consider the Starbucks arrival
was inopportune. Producers coffee was on strike and coffee prices had dropped
considerably as to import more coffee. Because only four of ten cups of coffee
consumedinColombiaarenational.YouknowwhatImean?

Speaker 1. Absolutely, andin relationwith you said,Speaker 3.Howwill Starbucks

improvethe ColombianCoffeeawareness,ifcoffee producers arethefirstaffected?
How efficient this strategy would it be? Because, actually, the coffee prices in
Starbucks shopare soexpensivewhile producers paymentmaintains boggeddown
andpoor.

Speaker3. Im afraid yourewrong.On the contrary,Starbuckswillpaytoproducers

15%overthatnormallypaymentbycoffeewithhighqualityandaddvalue.

Speaker 2. In addition, Starbucks will invest in association with the USAID (United
States Association forInternationalDevelop)moreof$3millionin3yearstoimprove
the quality life of 25.000 peasant coffee producers. So, what do you think is the
problem?

Speaker4.Ihaveareasontobelievethatwhatyousaywonthappen.


Speaker3.Canyouexplainuswhatisthatreason?

Speaker 4. Of course, because those are only future plans, which sounds very
imaginative. If these planscometrue,I willtakeback.Ineffect,nowadaysaccording
to Coffee International Organization, Starbucks pay $3 to coffee producersfor one
kilogrammer of his raw material, when a small cup ofcoffee inhis shopcosts until
$5.Itmakessense,right?

Speaker 1. Absolutely, we think the government should protect the coffee production like a
strategic industry, because is the most important export in Colombia. Because, in this
momenttheyareaffectedinmanyaspects.

Speaker 2. Thats true. However therearesomeplansandsupportstrategieswhicharereal

in the present. For example, the Support Center Starbucks in Manizales as a sign of
commitmentwithnationalproducers.

Speaker 3. Exactly. Moreover, Starbucks has contributed to renew the Colombian coffee
fields and these has been more of 500.000. If Starbucks support the improvement of fields
and production conditions, thenationalgrowerswillbeabletoproduce,sellandexportmore
coffee.

Speaker 4. Isee yourpoint.However,Ihaveaquestion,whatabouttheColombianCoffee?

Becausetheywillimportcoffee,theywillimportcoffeeinColombia!Youunderstand?

Speaker 2. I understand. Really, Starbucks agree with

National Federation of Coffee

Growers and Nutresa to offer in his menu uniquely Colombian Coffee. If they fulfill
thisagreement,peoplewillbuymoreColombianCoffee.

Speaker 1. Youre right, they made that agreement. Instead of, they are selling
differentkindsofcoffee,notonlyColombianCoffeeaswellastheypromised.

Speaker 4. Thats right and on theotherhand,inageneralviewStarbucksalwaysarrivesto

expand and multiply his shops all over the country. And if thishappeninColombia,smallor
popular coffee shops and important national business like Juan Valdez or Oma will be
affectedforthiswiderival.

Speaker 3. Im afraid youre wrong. Onthecontrary,thesalesinJuanValdezhasincreased

by30%.NowJuanValdezismorepopularinbecauseofnationalloyaltyandidentification.

Speaker 4. Nevertheless Starbucks lied to Colombia because they promise sell only
Colombian Coffee but they are selling coffee of other countries. If theyliewiththis,theywill
lieinotherimportantaspects,soColombiacanttrustanymoreinStarbucks.

Speaker 2. I agree with you. However we think that Starbucks with some rules andpolicies
could improve the Colombian Coffee production and generalize the coffee consumption. It
dependswhatgovernmentdoes.Areyouagreewithme?

Speaker 1. On second thought, we agree with you. We cant stop the increasing
globalization, the advantages or disadvantages for our country depends mostly of how we
facethischallenges.

Speaker 4. I agree with you, in my opinion with a strong support by government with
subsidies and strategies to protect this strategic industry, we can be success and turn the
coffeelikeanamazingexperience.

Speaker 3. Totally, we have to enforce our national treasures and we have to affront with
innovation and humility the wide rivals such asStarbucks.Inthisway, wecouldimproveour
productsandservices.

Speaker 2. Inconclusion,thissituationisntbad,becauseithasmany solutionsandpossible

strategies to improve. We finish this debate about Starbucks with strong beliefs of we can
make a change in our culture and open our mind in front of globalization. It will be a real
eyeopener!