Bachelorarbeit, 2011
45 Seiten, Note: 1,0
This paper analyzes Fair Trade in the Ethiopian coffee market from an economic ethics perspective, employing the Ordonomic research approach. It examines the interdependency of institutional rules and mind categories within a globalizing context. Using a three-tiered model, the paper explores the dilemma structures prevalent in North-South trade relationships, the conflicts present in public discourse, and the implications for rule-setting processes within the global coffee market.
The first chapter introduces the concept of Fair Trade and its development as a response to globalization. It then delves into the specific context of the Ethiopian coffee market, highlighting the "coffee paradox" and the role of fair-traded coffee in Ethiopia. The second chapter provides an Ordonomic perspective on New Governance, analyzing its role in supporting the state and exploring various types of New Governance commitments. The third chapter analyzes Fair Trade as an instrument of New Governance, identifying dilemma structures within North-South trade relationships. It explores solutions offered by Fair Trade along the entire coffee value chain, focusing on different types of commitments. Finally, this chapter examines the properties of Fair Trade, highlighting its challenges and deficits in daily implementation.
Fair Trade, Ethiopia, coffee, North-South trade, globalization, New Governance, Global Corporate Citizenship, Ordonomics, dilemma structures, prisoner dilemma, sustainability, ESG criteria.
It refers to the situation where global coffee sales are booming and prices for consumers are high, while the prices paid to the farmers in producing countries like Ethiopia remain extremely low.
Fair Trade provides a minimum price floor and a social premium, helping farmers overcome "prisoner dilemma" structures where they would otherwise be forced into harmful price wars.
Ordonomics is a rational choice analysis that examines how institutional rules and mental categories interact to solve social dilemmas in a globalized economy.
Ethiopia is the birthplace of Arabica coffee and possesses the world's largest genetic pool of coffee beans, making it crucial for global coffee biodiversity and quality.
Challenges include high certification costs for small farmers, market saturation, and the difficulty of ensuring long-term sustainability across all three ESG (Environmental, Social, Governance) criteria.
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