Supply Chain of Ugandan Arabica Coffee
Coffee has always been a staple part of the American breakfast, and work life. With its promise of a much needed midday energy boost, or morning pick me up, millions of Americans often turn to coffee to start the day. According to a recent Gallup poll nearly 64% of Americans adults ages 18 and up report drinking at least one cup of coffee a day, with the average coffee drinker drinking 2.7 cups a day (Saad, 2015). While some Americans choose to drink coffee blends, most Americans prefer to consume pure source coffee, or coffee that a specific type from a specific country. While coffees from Central America and Africa are popular, one of the richest and most pure forms of coffee is considered to be Arabica coffee from the Ugandan mountains. In the U.S. the most popular Ugandan Arabica coffee is Café Vianté’s Uganda Expresso, grown in the slopes of Mount Elgon. Grown and processed in Uganda, Arabica coffee
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The most severe challenge the Uganda coffee industry faces is low production levels due to the aging coffee tree population and drought mountain regions where Arabica coffee grows. Arabica coffee trees have an economic life of approximately 40 years. However, the average Arabica coffee tree in Uganda was planted nearly 50 years ago therefore surpassing its biological optimum for coffee production (UCDA, 2015). Additionally in recent years drought in the Elgon region, the region of Uganda where American coffee company Café Vianté gets its beans, has hurt coffee buds and increased the population of antestia bugs, which attack the buds. As a result, the amount of coffee exported has decreased by nearly one million 60kg bags since 1997 (Ecel, 19,497). To combat this slowdown in production the Uganda government has sponsored replanting initiatives to replace aged unproductive
Philz Coffee is an American coffee company and coffee shop chain founded in San Francisco, California by Phil Jaber, a Palestinian immigrant from Rammallah, West Bank, in 2003. Jaber owned and operated a corner grocery store in the Mission District of San Francisco for 25 years. Having established strong ties with the community and engaging them in the coffee blend development and selection process, Jaber turned this very same store on the corner of 24th Street and Folsom Street into the first Philz Coffee location. Today, Philz has thirty-six locations across three U.S. cities: San Francisco, Los Angeles, and Washington D.C.
As discussed in class, when demand decreases for a product, companies or in this case producers should exit the market. But when it comes to coffee, producers don’t want to exit the market because the costs of moving out of coffee production are quiet large and farmers don’t have the means for alternatives. The reason being that, farmers don’t have any outside funding to promote efficient diversification and development. Another reason is that there are protection policies from the United States and the European Union that have made it harder for framers to benefit from producing other crops. And yet, the opportunity cost for farmers to switch to another product is higher than the cost of coffee in a low profit market. So, this book discusses different strategies that are being used to help producers get a better advantage to provide a living for their families. Different strategies being used include shade-grown coffee, differentiation of products, organic coffe...
The most important part of the cup of coffee, the coffee beans, is typically harvested from South America, mainly because of the fact that Starbucks uses Arabica beans (Weinberg 1), which is dependent on a temperate climate that exists on the majority of the continent. The country that provides the biggest market supply of coffee beans for Starbucks is Brazil ...
Coffee is much more than the hot, black liquid that millions of us drink every morning; it is a worldwide commodity that has been keeping us awake for hundreds of years. It seems that a coffee shop can be seen on every shopping center and a coffee pot in every work break room. Our lives today revolve around coffee, regardless if we drink it or not, and ironically it not only stimulates of senses but also our economy. We wouldn’t be able to imagine Bill Gates not with his cup of coffee making Microsoft in his garage, or Henry Ford waking up early to perfect the auto industry and the assembly line. The economics of coffee may not be a simple one to study, but it is one you will be kept up all night learning about.
Caffeine, commonly found in coffee and many other beverages, and containing certain chemicals compounds leading to the constant necessity of fidgeting, jitters, sleepless hours, and health hazards as though being tormented by a hobgoblin with the irresistible sweet aroma and multiple flavors trapping you into a path, not being able to truly quit as desired or consequences attached, but is it the world’s most used legal drug addiction or something enjoyable, you decide? “The delicious chemical in caffeine is 1,3,7-trimethylxanthine”(Linn). “Caffeine is made by pressuring cooking beans with CO2 to produce the drug in powder form”(Linn). “In caffeine the consumption breakdown in Coffee is 54%, Tea it’s 43%, Food and misc it’s 3% and used as a common mood-altering drug in the world, most popular way of ingesting is through coffee”(Linn). The issue with drinking coffee is due to the fact that caffeine can cause some troubling effects like insomnia activity in the brain that prevents sleep, constant need to urinate leading to dehydration due to the lack of fluids in the body, and diarrhea causing the food right out because it accelerates the digestion in the stomach. The consumption of too much caffeine can cause damage in human health also causing an overdose leading to death. The impact in society is through how much caffeine Americans consume daily, and the effects it causes in human health and sleep patterns. Throughout the years past caffeine consumption in America has increased jarasicaly, about 90% in some form daily. “On average Americans have been known to consume 280 mg of caffeine per day or 2-3 cups of coffee”(Linn). Strangely enough, caffeine is still contained and found in decaffei...
The larger serving size of Great Cups of Coffee is perhaps the most apparent gage that will improve appeal for the company’s customers. Receiving extra of a proportionately quality product for a comparable price obviously works as an enticement for customers to prefer Great Cups more than the opposition. While customers identify with a better quality and superior taste with fresher coffee, Great Cups supports its effective model of serving coffee that has been roasted no more 72 hours ago and that is blended and ground right at the store. Great Cups also provides as an unintended marketing method community bulletin boards and assists with book club gatherings as well as
American adults are busier than ever. Whether it be work, kid’s sports or activities, exercise, long work hours, or time with friends, people are awake for long hours of the day and need a pick-me-up. Fifty-nine percent of Americans over eighteen years old drink coffee every day, with an average of 1.85 cups per day.1 With this, thirty percent of Americans drink coffee between meals to stay alert and awake.2
Nespresso is a subsidiary brand of Nestle, based in Switzerland. Nestle was started in 1905 when two companies Anglo-Swiss Milk and Farine Lactee Henri Nestle merged to form the Nestle corporation. The company had great success and grew considerably during both world wars; it has expanded its product line beyond its original products of condensed milk and infant formula products. The company is still mainly involved in the development and production of food and beverages. Nestle is a worldwide business, its main products are Nestle Waters, Nestle Nutrition, and other food and beverage products. Nestle has its primary listing on the SIX Swiss Exchange but also a secondary listing on Euronext. Nestle is too large and complex to analyze in such a short and focused paper. I am interested in the growth of the home and business capsule coffee and coffee systems, specifically Nespresso brand and how it is dealing with new entries into its market.
Starbucks founder Howard Schultz made it a point that in order to create the best brew, the best coffee beans were required. Starbucks utilizes only the highest of quality beans for their coffee products, which requires them to carry out a rigorous quality control process. Coffee beans vary in complexity and taste depending on where they are grown. Essentially, the harsher the environment the coffee is grown the better the over all taste. “Robusta beans are popular among some cheaper coffee distributors because they are grown in a more stable and predictable environment resulting in a cheaper price and taste” (Onward 83). Robusta beans have been domesticated, meaning they are “deliberately planted, protected, cared for, and used by humans” (The Human Mosaic 267) Arabica coffee beans are grown on steep mountains in high climates or in dry lands with intense heat. This stress produces b...
In the United States, coffee is the second largest import (Roosevelt, 2004). Furthermore, the United States, consumes one-fifth of all the worlds¡¦ coffee (Global Exchange, 2004). The present industry is expanding. It is estimated that North America¡¦s sector will reach saturation levels within 5 year (Datamonitor. n.d.). According to National Coffee Association (NCA), 8 out of 10 Americans consume coffee. In addition, it is estimated that half of the American population drinks coffee daily. The international market remains highly competitive. It is estimated that 3,300 cups of coffee are consumed every second of the day worldwide (Ecomall, n.d.). The latest trends included dual drinkers, an increase in senior citizens...
I have selected the Kicking Horse Coffee (KHC) brand since it is very rarely discussed in common literature. This is primarily because their business competitors (Starbucks and Tim Hortons), are more widely accepted and recognized across the globe since they have been around much longer then the KHC company. In brief, the KHC is a privately-held business that was Canada’s very first company to provide certified Fair-trade, organic, whole bean coffee. This Canadian firm was founded in 1996 by Elana Rosenfeld and her partner Leo Johnson in the Rocky Mountain town of Invermere, British Columbia. All KHC products are made from 100% Arabica beans, which in this company, had originated mainly in the shady areas of Ethiopia (and in some instances
Cameron’s Coffee has turned itself into a $40 million dollar business that continues to grow, adapt, and push boundaries. Social media, big data, and cloud computing have only recently become an integral part of businesses. Consumer relations and maximizing revenue are two vital factors that benefit when those three different methods are used. This white paper will provide recommendations that will boost the company in customer relations and profits. Summarize perceived technology needs
Besides the high demand and cost for gasoline these days, coffee is considered the second most traded commodity on worldwide markets next to oil. "Coffee is grown in more than 50 countries in a band around the equator and provides a living for more than 20 million farmers. Altogether, up to 100 million people worldwide are involved in the growing, processing, trading and retailing of the product" (Spilling the Beans , ). In 2001, coffee farmers and plantations produced over 15 billion pounds of coffee while the world market only bought 13 billion pounds. The overproduction in the coffee industry is not a usual thing and is one of the major reasons why prices vary throughout the industry.
Like a fairy tale at the top of a railroad, Uganda is a land of pristine beauty and astonishing ecosystems. From tall volcanic peeks in the East and Western borders, to the wetlands of the Albert Nile River, and the densely growth of rainforests of the North; Uganda has a rich soil that combined with its geographical location of central Africa has the ability to have coffee that has become both a mainstay of the agricultural economy and a favorite of connoisseurs around the world. The languages of English and Swahili, combined with mixtures of cultural dialects that exist throughout the nation, the religions of traditional African belief structures and Christianity are the main two of the region. I have chosen this country due to its economic solidarity and independence from outside requirements being self-sufficient for goods for one of the longest periods of African history.
It is reported that the C. Arabica shrubs in Ethiopia rainforest have more genetic materials than the commercial cultivars used to produce most coffee around the world. The C.arabica shrubs occur naturally in moist evergreen undergrowth of the Ethiopian Afromonate rain forest between 1000 and 2000 meters above sea level. This made Ethiopia the third largest C.arabica coffee producer next to Brazile and