Coca Cola Case Study

Topics: Coca-Cola, The Coca-Cola Company, Diet Coke Pages: 3 (740 words) Published: September 20, 2013


About Coca Cola
Coca Cola sells over 400 brands in over 312 countries
90 billion servings of coke are consumed each day
Coca Cola is a multinational company (MNC) it operates in more than one country across the world It is bottled in 200 countries
Multi national companies
MNC’s also have many other characteristics :
Huge Profits
Well known brands
Large numbers of employees
Headquarters mainly in MEDC’s

Why is Coca Cola located in India?
Manufacturing the product in the country you sell it has many advantages : The cost of labour is a lot lower in India which means higher profits It reduces transport costs which also means higher profits

Legislations on working conditions, workers rights , health and safety and the environment are less strict in India . India offer initiatives such as low tax to try and get Coca Cola to invest in their country so this also raises profits Both India and Coca Cola benefit from the investment

It widens the market so there are more consumers which increases profit

Weaknesses of Coca Cola in India

• Lack of knowledge about Indian culture in detail
• Lack of marketing expertise in the Indian conditions
• Hazardous by products and health issues
• Facing issues with water exploitation and resource exploitation all over the world • Difference in management styles
• Indian tendency to avoid foreign products

Strengths of Coca Cola in India
• Reputed brand
• Global brand recognition
• Bottling system
• Technological advancement
• Efficient management system
• Good marketing knowledge
• Growing Indian market

The problems with Coca Cola

Social

Coca Cola has been linked to many different health problems , all of which have been thoroughly investigated yet Coca Cola aren’t willing to do anything about it. Phosphoric Acid in Coca-Cola and Diet Coke has been shown to destroy bones by contributing to osteoporosis and destroying teeth. Aspartame's neurological side effects...
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