Coke Case Study

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Coca-Cola Case Study Summary of Facts Coca-Cola was invented in 1886 by John Pemberton. It wasn’t until they added carbonation that the soda really started to take off and by the early 1900’s Coke had gone international by opening plants in Cube, Canada, and Panama. By 2003 Coke was the largest soda company in the world. Coke has always tried to live by the rule that local is better. Even though they were expanding worldwide they wanted each plant to pull employees and resources from the local community. This helped Coke’s image around the world by making them appear to favor the little guy and helped to stimulate these smaller under developed countries where Coke was opening plants. Coke had a plant in India and was the leading soft drink there until 1977 when laws forced them to give up their recipe or leave the country, so they left in order to keep their soda safe. It wasn’t until 1993 when laws were changed that Coke returned to India. Now Coke was behind other local India companies and had to try and get their name out there again. They invested lots of money and even though the country as a whole didn’t drink too much soda Coke was able to penetrate each social class with clever advertising and had doubled revenue several times over. Statement of Problem In 2003 CSE released a report stating that soft drinks in India contained hazardous levels of pesticides. The report asked the government to step in and put in place more laws to regulate soft drinks. The food and drink laws in India are fairly vague and can be interpreted many ways and as for soft drinks there were hardly any regulations at all. Coke and Pepsi claim to follow American regulations, they do their own tests and said nothing is wrong with the soda in India. It didn’t help as sales dropped over the next couple years. Alternative Solutions 1. Wait it out Coke has

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