Business Ethics Case Analysis

Kpatton14
CoffeeWar.pdf

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Discussion Questions

1. Consider Starbucks’ litigation strategy. When they used legal maneuvering to attempt to get

Zurich to withdraw, was that ethical? Was it a legitimate hard-nosed business practice or did

Starbucks use their resources in an attempt to force Black Bear into settlement? Explain your

answer.

2. Starbucks invests substantial resources into their theme of being a responsible company. On its

website, the company announces that, “We’ve always believed that businesses can-and should-

have a positive impact on the communities they serve.” How does this statement square with

their strategy in the Charbucks litigation?

3. It there any ethical conflict between a company’s stated objectives to be a good corporate

neighbor and its obligation to its stakeholders to protect its intellectual property?

4. Even if Black Bear was legally entitled to use the name Charbucks, was it ethical to use a

name that sounds so close to someone else’s famous coffee trademark?

5. In general, is it ethical for a company to use a name that is similar to another company’s

name? Does it depend on factors such as: product, industry, geographic location, etc.? Explain

your answer.

6. In your opinion, was it ethical for Starbucks to rely on the consumer survey (telephone survey)

conducted by scientist, Warren Mitofsky as a method of establishing actual dilution?