Coca-Cola Is Good for Africa - Discuss

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The African economy is one of debate due to its unpredictability - it is infamous for its devastating famine and health problems, but some transnational companies (TNCs) see opportunities of regeneration and economic boost for both their company and the financial state of the country, as a wave of improving governance and demographics is predicted to come by some. Mukhtar Kent, who researches untapped markets for TNCs to penetrate, describes Africa as, 'the untold story'. He believes, "the presence and the significance of [...] business in Africa is far greater than India and China even today. The relevance is much bigger". Around 1 million Africans are employed to the biggest soft drink brand in the world - Coca-Cola. They have been there since 1929 and is the continents largest employer, "with 65,000 employees and 160 plants". A study at the University of South Carolina found that, "1% of South Africa's economy was tied up, one way or another, in the distribution and sale of Coke". With the population of each African nation being typically higher than in most other continents, it gives a large pool of opportunity to global companies like Coca-Cola to invest in local labourers at a reasonable price. The fact is that a high population also opens up a large pool of customers as well. It may be a surprise to some, but actually affording the Coke won't be a problem either. This is because the price is set so low, "-around 20-30 American cents", for a bottle, and the 50 millilitre sodas in Kenya costing, '30 Kenyan shillings (37 cents) each. Coca-Cola's most obvious form of promotion in Africa is probably the regeneration schemes it carries out, where bright colours, texts and logos are printed on a lot of the independent shops. Acting as a form of obvious advertising, it appeals to the company's "on-the-go" brand. The infrastructure it is building is one of,

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