What differentiates a positive organizational culture that enjoys a clean reputation and long-term success from a toxic culture drowning in scandals, mistrust, and legal fines?
The answer: Ethical leadership. Starbucks has always prided itself in being an ethics-first organization. Out of their 14 board members, five are from racial minority groups and five are women.
So, when the manager of a Starbucks outlet in Philadelphia called the cops on two black people who were simply waiting for their friend before making an order, the racially motivated incident clashed with the company’s core values.
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