Republic of the Philippines

UNIVERSITY OF RIZAL SYSTEM

Province of Rizal

Second Semester
S.Y. 2023-2024
CONTEMPORARY WORLD
PRELIMINARY TASK PERFORMANCE

Name: Capin, Mikaela Sophia B. Subject: CW

Course, Year and Section: BEED 1-A Instructor: Mr. Rex O. Gonzales

“Locating the Global South by Lisandro E. Claudio”

The Starbucks and the Shanty

The Stand

Introduction
The dispute involving Starbucks and the shanty towns in the Global South, as analyzed
by Lisandro E. Claudio, delves into the intricate relationship between multinational
corporations and marginalized communities. Claudio's examination likely delves into
how Starbucks' presence in these regions symbolizes economic inequality, cultural
appropriation, and the power dynamics inherent in globalization.
As a well-known global brand, Starbucks often represents Western consumer culture
and capitalism. When contrasted with the poverty and informal settlements of the
Global South, it initiates discussions about the consequences of corporate expansion on
local economies and customs. The existence of Starbucks in these areas raises issues
regarding gentrification, exploitation of resources, and the perpetuation of unequal
power structures.
Through his scrutiny of this controversy, Claudio sheds light on broader topics like
development, sustainability, and social justice. The interactions between Starbucks and
the shanty towns serve as a miniature representation of the larger issues present in our
interconnected world, encouraging contemplation on how businesses, governments, and
individuals can cooperate towards a fairer and more inclusive global society.
Positive Stand
Taking a positive stance on "the Starbucks and the Shanty locating the Global South" by
Lisandro E. Claudio entails acknowledging the potential benefits and opportunities that
could emerge from the interaction between multinational corporations like Starbucks
and marginalized communities in the Global South. Here are several reasons to adopt an
optimistic viewpoint on this intricate issue:

 Economic Empowerment: The establishment of Starbucks in shanty towns can

generate job opportunities for local residents, providing them with a source of
income and potentially enhancing their standard of living. This economic activity
has the potential to contribute to community development and empowerment.

 Cultural Enrichment: Starbucks' presence can facilitate cultural exchange by

introducing global perspectives, products, and practices to the local community.
This exchange fosters diversity, mutual understanding, and the appreciation of
different cultures.

 Infrastructure Enhancement: Multinational corporations such as Starbucks

might invest in infrastructure development in the areas where they operate,
improving access to essential services like clean water, sanitation, and healthcare
for residents of shanty towns.

 Skills Development: Employment at Starbucks can offer employees valuable skills

training and opportunities for professional growth. This can boost their
employability and aid in their personal development and progression.

 Corporate Social Responsibility: Starbucks, being a global brand, often engages in

corporate social responsibility initiatives. By supporting community projects,
educational programs, or environmental sustainability efforts, Starbucks can
positively impact the well-being of residents in shanty towns.

 Advocacy for Sustainable Practices: Multinational corporations like Starbucks

possess the resources and influence to advocate for sustainable business
practices. Through the implementation of environmentally friendly initiatives
and ethical sourcing policies, Starbucks can contribute to environmental
conservation and social responsibility.
  Access to Global Markets: The presence of Starbucks in shanty towns can
potentially offer local artisans and producers’ access to global markets. This
exposure can assist in showcasing local products on an international scale,
potentially increasing income and expanding market reach.

 Community Collaboration: Multinational corporations have the capability to

engage with local communities through partnerships, initiatives, and programs
that address specific needs and challenges. By collaborating with residents of
shanty towns, Starbucks can foster positive relationships and mutual benefits.

To conclude, adopting a positive stance on the interaction between Starbucks and

shanty towns in the Global South involves recognizing the potential for economic
development, cultural exchange, social responsibility, and sustainable practices that can
benefit both the corporation and the marginalized communities. This approach
encourages a well-rounded perspective that acknowledges the opportunities for positive
impact and constructive engagement within these complex dynamics.

Negative Stand
Taking a negative stance on "the Starbucks and the Shanty locating the Global South" by
Lisandro E. Claudio involves acknowledging the potential drawbacks and issues that
could arise from the interaction between multinational corporations like Starbucks and
marginalized communities in the Global South. Here are several reasons to consider a
critical viewpoint on this complex issue:

 Labor Exploitation: The presence of Starbucks in shanty towns might lead to

exploitative labor practices, including low wages, extended working hours, and
substandard working conditions. This could perpetuate a cycle of poverty and
economic inequality among local residents.

 Cultural Erosion: Starbucks' standardized products and global brand image may
contribute to cultural erosion by overshadowing local traditions and businesses.
This could result in the loss of cultural identity and diversity within the
community.

 Resource Depletion: Multinational corporations like Starbucks may exploit local

resources such as water and land for their operations in shanty towns, leading to
negative environmental impacts and depriving communities of essential
resources.
  Gentrification: The presence of Starbucks in shanty towns could trigger
gentrification, causing increased property prices, displacement of residents, and
disruption of community cohesion. This may marginalize vulnerable populations
and disrupt social structures.

 Health Impacts: The proliferation of fast-food chains like Starbucks in

impoverished areas may contribute to health issues such as obesity, diabetes, and
other diet-related diseases. This could exacerbate existing health disparities
within the community.

 Social Disparities: Starbucks' entry into shanty towns might widen social
inequalities by catering primarily to wealthier consumers while neglecting the
needs of the most disadvantaged community members. This could deepen
divisions and escalate social tensions.

 Environmental Harm: Operations of multinational corporations like Starbucks

can lead to environmental degradation through waste generation, pollution, and
unsustainable practices. This could harm ecosystems and jeopardize the well-
being of local residents.

 Loss of Community Autonomy: The dominance of multinational corporations like

Starbucks in shanty towns may undermine local autonomy and decision-making
processes, limiting community agency and control over their own development.

To sum up, adopting a critical stance on the interaction between Starbucks and shanty
towns in the Global South involves recognizing the potential negative consequences
related to labor exploitation, cultural erosion, resource depletion, gentrification, health
impacts, social disparities, environmental harm, and loss of community autonomy. This
critical perspective encourages a deeper examination of the complexities surrounding
the relationship between multinational corporations and marginalized communities in
the Global South.

Final Stand/Conclusion
In my final stance on "the Starbucks and the Shanty locating the Global South" by
Lisandro E. Claudio, I acknowledge the complex interactions between multinational
corporations like Starbucks and marginalized communities in the Global South. While
there are potential advantages such as economic opportunities and cultural exchange, it
is vital to address the significant concerns and potential negative impacts linked with
such engagements.
The presence of Starbucks in shanty towns can create job prospects and promote skill
development for local residents, contributing to economic advancement and
empowerment. However, the risks of labor exploitation, cultural standardization, and
environmental harm must not be disregarded. Prioritizing ethical business practices,
social responsibility, and sustainable development is essential to mitigate these risks
and ensure favorable outcomes for all parties involved. Preserving culture and engaging
with the community should be at the core of any corporate involvement in marginalized
regions. Multinational corporations like Starbucks should honor local customs, endorse
community initiatives, and actively enhance the welfare of residents. By fostering
partnerships grounded in mutual respect and cooperation, corporations can establish
meaningful and enduring positive impacts in these communities. Moreover, tackling
issues such as gentrification, health disparities, social inequities, and the erosion of
community autonomy demands a comprehensive and inclusive approach. Governments,
civil society organizations, and businesses need to collaborate to establish policies and
practices that foster social justice, environmental sustainability, and community
welfare.
In conclusion, while acknowledging the potential benefits of multinational
corporations operating in the Global South, it is crucial to approach these interactions
cautiously and critically. By prioritizing the needs and perspectives of marginalized
communities, advocating for responsible business conduct, and championing
sustainable development, we can strive towards a fairer and more inclusive society
where everyone has the chance to prosper. Through thoughtful deliberation,
cooperation, and a dedication to social equity, we can navigate the complexities of
corporate involvement in marginalized communities and progress towards a more
sustainable future for all.

References
Sregger, M., Battersby, P., & Siracusa J. M. (2014). The SAGE handbook of
globalization (2nd vol.). Thousand Oaks: SAGE.