Saturday, October 12, 2019

Coffee Industry Creation of Needs and Wants - Part 2

Businesses create needs and wants for consumers through the use of advertising and marketing tactics. In the coffee industry we can view this ethical issue through the product itself and the producers side. Trends generated by the Coffee Association of Canada show that 72% of Canadians aged 18-79 years old drank coffee yesterday (2019), showing how big of an impact coffee has on our lives. 
In Canada, coffee is a $6.2 billion industry, as many Canadians consume 1-3 cups per day. When consumed with minimal amounts of cream and sugar, coffee has been proven to have health benefits. Studies have shown it can help reduce the risk of cancer, Alzheimers and Parkinsons disease, liver disease and others. Drinking coffee can also increase mental alertness and endurance, this may be the main reason for the high consumption levels. As McCafe has put it in an advertisement campaign, “nothing before coffee”. Bringing light to the reality that many people will not do anything with their day until they have had that first cup of coffee. Although the caffeine gives a boost, as human beings, we are able to function without coffee and there are many alternatives such as tea, energy drinks or even something as simple as getting a good sleep that would allow us to function without consuming coffee. 
The production of coffee starts with the farmers, then moves to organizations, to exporters and intermediaries, to importers, roasters and finally to the consumer. Brazil, Vietnam, Colombia, Indonesia, and Honduras are the largest producers of coffee in the world. Brazil in particular is responsible for 30% of production in the coffee industry, making it vital to their economy and economic growth. With the realization of the importance of free-trade prices for coffee farmers and producers, consumers are persuaded to purchase free trade coffee. Although coffee without the “free-trade” label may taste the same and provide the same benefits, there is a created need by producers behind the label to help gain support for their families and the environment.
We believe the ethical issue of created needs and wants in the coffee industry does not carry negative effects. For producers, creating a need for consumers to purchase fair trade coffee products creates positive effects on economic growth in developing countries as well as helps to keep the environment sustainable for production. The created need for the product itself, can provide physical health benefits, as well as a social aspect for coffee drinkers that can be good for mental health. The coffee industry markets their products to create needs and wants for the consumer, however, through a utilitarian ethical point of view, they are creating benefits for a greater amount of people.

McCafe “Nothing before Coffee” Ad






References
Coffee Association of Canada. (2019). Coffee & Health. Retrieved October 11, 2019 from https://www.coffeeassoc.com/coffee-facts/

Walton, J. (February 9, 2019). The 5 Countries that Produce the Most Coffee. https://www.investopedia.com/articles/investing/091415/5-countries-produce-most-coffee.asp

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