The University of San Francisco USF Scholarship: a digital repository @ Gleeson Library | Geschke Center Doctoral Dissertations Theses, Dissertations, Capstones and Projects 2010 Globalization and development revealed in Starbucks and Wal-Mart's business practices in Shanghai, China : issues in restructuring society for ethical practices Andrea Colangelo Follow this and additional works at: https://repository.usfca.edu/diss Recommended Citation Colangelo, Andrea, "Globalization and development revealed in Starbucks and Wal-Mart's business practices in Shanghai, China : issues in restructuring society for ethical practices" (2010). Doctoral Dissertations. 363. https://repository.usfca.edu/diss/363 This Dissertation is brought to you for free and open access by the Theses, Dissertations, Capstones and Projects at USF Scholarship: a digital repository @ Gleeson Library | Geschke Center. It has been accepted for inclusion in Doctoral Dissertations by an authorized administrator of USF Scholarship: a digital repository @ Gleeson Library | Geschke Center. For more information, please contact [email protected]. The University of San Francisco GLOBALIZATION AND DEVELOPMENT REVEALED IN STARBUCKS AND WAL-MART’S BUSINESS PRACTICES IN SHANGHAI, CHINA ISSUES IN RESTRUCTURING SOCIETY FOR ETHICAL PRACTICES A Dissertation Presented to The Faculty of the School of Education Department of Leadership Studies Organization and Leadership Program In Partial Fulfillment of the Requirements for the Degree Doctor of Education by Andrea Colangelo San Francisco December 2010 Abstract With the rise of globalization and development, Western companies like Starbucks and Wal-Mart are influencing the individual identities, culture and traditions of the urban youth in China. The subsequent rise of globalization and development influences traditions, culture, and individual identities among China’s urban youth. China’s urban youth represent the rising middle class and are major participants in Western consumerism. The significance of the research illuminates the serious concerns related to ethical issues associated with Starbucks’ and Wal-Mart’s emerging business practices as potential dilemmas for China’s future social growth among the urban youth. Critical hermeneutics theorists such as Ricoeur (1992), Gadamer (1999), Herda (1999) and Kearney (2002) illuminate the reader’s understanding about the research categories for this project, which are ethics and identity. Therefore, Starbucks’ and Wal- Mart’s business practices, advertising, and marketing are viewed through the lens of critical hermeneutic theory and related sources in the literature. Critical hermeneutic research provides the necessary framework for understanding the research topic as the research categories of ethics and identity are explored. The data elucidate that the Chinese urban youth desire to express individuality and status through participating in Western consumerism. Specifically the findings are that tension exists between respecting ancient Chinese culture and allowing Western influences into contemporary society. Some of the Chinese urban youth express the difficulty they have balancing participating in Western consumerism and holding onto aspects of their cultural identity. Chinese urban youth view the lifestyle of those in the United States as affluent, abundant in choice, and self-expressive through Western style. ii Some of the participants convey that global companies must have an understanding of Chinese culture and act ethically in their business ventures. The significance of studying large corporations in urban China is that we are living in an increasingly global community where trade is growing and the far-reaching effects of corporations in the United States are becoming more prevalent around the world. iii This dissertation, written under the direction of the candidate’s dissertation committee and approved by the members of the committee, has been presented to and accepted by the Faculty of the School of Education in partial fulfillment of the requirements for the degree of Doctor of Education. The content and research methodologies presented in the work represent the work of the candidate alone. Andrea Colangelo 12/03/10 Candidate Date Dissertation Committee Ellen A. Herda, Ph.D. 12/03/10 Chairperson Patricia Mitchell, Ph.D. 12/03/10 Betty Taylor, Ph.D. 12/03/10 iv Acknowledgements “The journey is the reward” –Ancient Chinese proverb I would like to first thank my remarkable advisor and critical hermeneutic guide Dr. Ellen Herda for guiding me through my dissertation journey. Your wisdom, guidance, and passion for critical hermeneutics inspired me throughout my time in the Organization and Leadership program. I am indebted to your assistance throughout my time spent at the University of San Francisco. I am extremely appreciative of Dr. Patricia Mitchell and Dr. Betty Taylor for taking the time and energy to be a part of my dissertation committee. Thank you for your insight and assistance throughout my journey. I am appreciative of the countless hours of motivation, support and love my parents, grandfather and my sister Janelle provided throughout this dissertation process. I am overwhelmed with appreciation for the participants whom enriched my research and my life through our conversations. Thank you for sharing your time and your stories with me. I would like to thank my fellow classmates for their support and wonderful energy that helped me along my journey. Lastly, I would like to thank my friends for their motivation, support, kindness and providing hope in the moments when I did not see the light at the end of the tunnel. v Table of Contents Abstract .......................................................................................................................... ii Acknowledgements ........................................................................................................ v Table of Contents .......................................................................................................... vi CHAPTER ONE INTRODUCTION OF RESEARCH TOPIC ................................................................. 1 Introduction .................................................................................................................... 1 Background of Research Topic ...................................................................................... 4 Significance of the Research Inquiry ............................................................................. 7 Summary ........................................................................................................................ 9 CHAPTER TWO COUNTRY AND COMPANY BACKGROUNDS ...................................................... 10 Introduction .................................................................................................................. 10 Background on China ................................................................................................... 10 Background on Starbucks ............................................................................................. 17 Background on Wal-Mart ............................................................................................. 20 Summary ...................................................................................................................... 22 CHAPTER THREE REVIEW OF LITERATURE ........................................................................................ 23 Introduction .................................................................................................................. 23 Hermeneutic Authors ................................................................................................... 23 Globalization, Trade and Commerce ............................................................................ 34 China’s Transitional Identity ........................................................................................ 51 Summary ...................................................................................................................... 67 CHAPTER FOUR RESEARCH PROCESS AND PROTOCOLS ............................................................. 69 Introduction .................................................................................................................. 69 Research Topic Focus .................................................................................................. 69 Theoretical Framework: Research Orientation ............................................................ 70 Research Site ................................................................................................................ 73 Research Categories ..................................................................................................... 74 Ethics ............................................................................................................................ 74 Identity .......................................................................................................................... 75 Research Conversation Guidelines and Questions ....................................................... 77 Research Conversation Participants ............................................................................. 79 Data Collection and Presentation ................................................................................. 84 Data Analysis ..............................................................................................................