Starbucks establishes coffee trading company in Switzerland

Starbucks established a coffee trading company in Lausanne, Switzerland, to manage its purchases of green coffee. This strategic move allowed Starbucks to streamline its sourcing operations and enhance its supply chain efficiency. By establishing a presence in Switzerland, Starbucks aimed to leverage the country's favorable trading environment and its proximity to key coffee-producing regions. The Lausanne office focused specifically on the procurement of green coffee, which is the raw, unroasted coffee bean that is essential for the company's beverage offerings. While this trading company took on the responsibility of sourcing coffee, all other coffee-related operations remained centralized in Seattle, where the company's headquarters is located. This dual approach enabled Starbucks to maintain control over its brand and customer experience while optimizing its supply chain through localized sourcing efforts. The establishment of the coffee trading company in Switzerland had a significant impact on Starbucks' global operations. It allowed the company to better manage the complexities of coffee sourcing, including quality control and price volatility in the coffee market. By having a dedicated team in Switzerland, Starbucks could respond more effectively to market demands and fluctuations in coffee supply. This move also underscored Starbucks' commitment to sustainability and ethical sourcing practices, as the company sought to build direct relationships with coffee farmers and cooperatives. The trading company played a crucial role in ensuring that Starbucks could maintain its high standards for coffee quality while supporting the livelihoods of coffee producers around the world. Overall, this initiative marked a pivotal step in Starbucks' evolution as a global coffee leader, reinforcing its dedication to quality and sustainability in the coffee industry.