The current corporate social strategy problem relating to Strawbacks is the poor pay to its employees leading to a situation where the employees are not able to meet their basic needs. In that case, it means that the company exploits its employees. This is a bad image to the company and can affect its activities in the future. Paying the employees poorly is likely to demoralize them hence their productivity will decline. As a result, the output of the company will reduce.
The planned strikes are also likely to disrupt the activities of the company, which will affect the output hence profits. It is more economical to pay the workers as the union demands because the costs of doing so are less than the benefits.
Failure to honor the demands of the union will negatively affect the publicity of the company. People will start viewing the company from another perspective. As long as the company is making profits, it should not be too greedy to exploit the workers by paying them poorly and failing to meet their needs. Employees should be able to access good healthcare and food from the payment they get.
The customers of the company will also respond to the situation. The employees and customers are members of the society and failure to meet the needs of the employees affects the society negatively. As a result, the customers from the society and the rest of the world will seek products from other companies that are socially responsible. This can affect the sales of the organisation negatively hence its profits.
Even though corporate social responsibility is expensive, there is no reason to avoid it. Failure to implement corporate social responsibility in some countries makes the customers in US view the company with a lot of skepticism. It appears that the company is not thankful to the society but is after pleasing them in order to benefit from them eventually. This situation matters to everyone and Strawbacks has no option rather than implement the demands by the employees.
Reference
Jargon J (2013). Corporate News: Starbucks Workers Plan Chile Strike. The wall street journal.
