"Some companies take a hands-on approach to ensuring supply." from Bloomberg Businessweek

"On Aug. 27, Nestlé launched a program to invest 500 million Swiss francs ($508.6 million) in coffee projects by 2020. Nestlé agronomists will provide advice to farmers and give them 220 million high-yield, disease-resistant coffee plants. Last October the company said it would spend 110 million Swiss francs to improve the quality of cocoa platns by 2020. Japan's Bridgestone Group just announced a similar, smaller project for growers of rubber trees.

Companies can hike prices, which could alienate customers or cause them to opt for lower-margin private label goods. At Starbucks, recent increases in the cost of buying beans and other necessities such as dairy, sugar, and cocoa led to a change in pricing strategy. On Aug. 17, Starbucks stated on its website that it intended to absorb rising bean prices on "labor-intensive and larger-sized beverages" in some markets. In a statement, Chief Executive Officer Howard Schultz said rising costs for key ingredients have "completely altered the economic and financial picture of many players in the coffee industry." "