Le Costbucks is a French coffee bar chain specialising in organic high quality coffees and French pastries. Its unique stance on CSR (corporate social responsibility) and ethically sourced delicious products have made it a big hit in Europe where it also has stores across the UK, Italy and Spain. Le Costbucks is looking to break into the Asian market and is planning to open its first stores in Shanghai and Beijing (China).
As before, the new stores will operate in a very similar way to operations in France (HQ), with the same product line in order to retain their individuality and unique ethical selling point. A General Manager has been identified and is available to be flown over to China in the first instance from France, but the company require more advice on staffing policy and whether to hire local staff.
1. Discuss the ethical issues which could be relevant for a European MNC setting up in China, with specific reference to ‘migrant workers’ and terms & conditions of employment.