Cause & Effect — Identify the Relationship: I. In Africa, a large part of coffee plantations has been destroyed. II. Starbucks is considering introducing non-caffeinated drinks in its international cafés. Which option best captures the causal link between I and II?
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AIf I is the immediate cause and II is its effect.
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BIf II is the immediate cause and I is its effect.
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CIf I is the effect but II is not its direct/immediate cause.
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DIf II is the effect but I is not its direct/immediate cause.
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EIf I and II are unrelated facts.
Answer
Correct Answer: If II is the effect but I is not its direct/immediate cause.
Explanation
Introduction / Context:The stem pairs supply-side destruction in Africa’s coffee sector with a multinational’s product-mix consideration. We must decide whether this is a direct/immediate causal chain.
Given Data / Assumptions:
- I: Large-scale destruction of coffee plantations in Africa.
- II: Starbucks mulls non-caffeinated beverages.
- Global sourcing is diversified; corporate product shifts are multifactorial (health trends, margins, supply risk).
Concept / Approach:While supply shocks can influence product strategy, the leap from African plantation loss to “non-caffeinated drinks” is not a direct or immediate causal step; Starbucks sources worldwide and could substitute origins. Thus, II may be an effect of broader market considerations, but I is not its immediate/direct cause.
Step-by-Step Solution:
1) Identify that I affects global coffee prices/supply but not deterministically Starbucks’ decaf/non-caffeinated pivot.2) Recognize other drivers (consumer health trends, portfolio diversification, competitive positioning).3) Choose (d): II is an effect, but I is not its direct/immediate cause.Verification / Alternative check:If the stem had specified “due to African crop failure Starbucks lacks beans,” causality would be stronger; it does not.
Why Other Options Are Wrong:They overstate immediacy or reverse direction.
Common Pitfalls:Inferring firm strategy from a single-region supply shock in global commodities.
Final Answer:Option D: II is the effect, but I is not its direct/immediate cause.