Sunday, November 17, 2013

Blog 1: The truth behind a cup :: Black Gold



The Truth Behind a Cup :: BLACK GOLD



Background:               

                 Coffee is a drink that has been our daily life drink, especially in business world. You could see coffee in the office or people hold it for their quick breakfast in a hurry morning. Ethiopia is a birthplace of coffee. Tadesse Meskela is a representative of Ethiopia Coffee or The Oroma Coffee Farmers Co-operative Union, who sees the problems of Ethiopia Coffee business, and he tried to help coffee farmers from their problems.


Problem:
                 Ethiopian coffee got low price for selling, and it made farmers got low profit also. Low price, low profit equal less money. They did not have money to gain more workers or buy equipments to improve their production. In 1989, International Coffee Agreement collapsed, it made farmers got low price from sell coffee beans. Farmers did not have enough money to spend for their life and their family. Since, Ethiopia is what they called “3rd World”, they cannot survive or give a good education for their people. That is why most of Ethiopian farmers changed their product from coffee to “Chat”, which is one of the addicted plant consider as drug, because it make more money than coffee. Normally, the price of product that sells around the world judged by WTO (World Trade Organization), which somehow unfair for other countries that it is not US or Europe. When coffee sent to retail store or coffee shop with brand attached it, the price of coffee is getting high more than farmers got paid, what a sad story.


Theories:
                There are two interesting theories which I would like to compare them with story of “Black Gold”. 

        First, “Pax Romana”, Pax Romana was a period of Raman Empire that had been a wonderful business history. On that time, good business started from good law and good transportation for seller which was transport by ship. International business also started from here, it made people had a good life, since the price may low due to pirate problem, but products could be known wider through the sea. Ethiopian coffee failed in business by the collapsed of International Coffee Agreement, and it got unfair price in WTO too, these showed an uncertain business, and failure of somewhere in laws cause. It was also show that other countries involved in each other business since ancient times as Roman and Chinese, and today are Ethiopia and other countries, because of the word “International Business”

        Second, “Pax Americana”, Pax Americana was the increasing period of business in America. The United State of America developed to be one of the business leaders of the world. International business took an important role in America during Civil War; it turned to be a tool for fighting against each other.


Conclusion
        All in all, International business brought impacts to countries; it could be a judgment of economic country. For consumer, it made choices for people, and you can choose which brand from which countries you would like to try. What you do not know is the truth behind “Black gold” as a high price coffee. Black Gold is one of the truths hidden behind a cup of coffee that you drink every day. Somewhere or somehow, before you decide to buy coffee from retail stores or coffee shops, why do not you try to think more deeply about highly price coffee as “Black Gold”.

No comments:

Post a Comment