Coca Cola Company

COMPANY DESCRIPTION

MISSION

AND VISION

STATEMENT

“At The Coca-Cola Company we strive to refresh the world, inspire moments of optimism and happiness, create value and make a difference.”

PEOPLE

PORTFOLIO PARTNERS

PLANET

PROFIT

PRODUCTIVITY

MAJOR

CHALLENGES

• Headquartered in Atlanta, Georgia
• Beverage retailer, manufacturer, and marketer
• Offers 500+ brands and has 3500+ beverages
• 200+ countries
• 125 years in business
• 139,600 worldwide

employees

• 49 consecutive years

with increased revenue

COMPANY HISTORY

• Health Issue

• Environmental Effects

• Business Ethics

• Cola War

• Dr. John Stith Pemberton created the first syrup on May 8, 1886
• Asa Griggs Candler was given the rights to Coca-Cola for $2300
• Sold bottling rights to Joseph Whitehead and Benjamin Thomas for one dollar
• Began expanding in 1923
• Roberto Goizueta became CEO in 1981 and used "intelligent risk

taking" to expand

• Entered new markets and

brands during the 1990s

for further growth

• Universal product

Health Drinks

& New Flavors

• Invest in R&D
• Coca Cola “ambassadors” to gage response

Gary P. Fayard

Executive Vice President, Chief Financial Officer

KEY PERSONNEL

Muhtar Kent

Chairman of the Board,

CEO

CONCLUSIONS

• Form committees to create proposals for subsidiaries
• Create standard ethics codes
• Create incentives

BOTTLING

SUBSIDIARIES

Alexander B. Cummings Executive Vice President, Chief Administrative Officer

John M. Farrell

Vice President,

Chief Strategy Officer

SUSTAINABILITY, AGRICULTURAL ADVOCACY, SPONSORSHIP, WORLDWIDE LEARNING

• Haiti Hope Project

• Plant Bottle Packaging debut

• Water Sanitation Efforts in Niger

• Energy Management Devices/Cooling Techniques

• Develop more health conscious products
• Adopt more locally responsive flavors of drinks

INTERNATIONAL OPERATIONS

• Invest more in research and development

RECOMMENDATIONS

• Assume control of more bottling subsidiaries

MARKETING VIA GLOBAL PARTNERSHIPS

• Mobile Marketing
• Olympic Games
• FIFA World Cup
• Music artists
• Community Outreach

• “Happy Truck”
• “Expedition 206”

MOST

POPULAR BRANDS

• Coke Zero
• Vitamin Water
• Minute Maid Pulpy
• Minute Maid Pulpy Super Milky
• Yuan Ye

• Well-oiled Machine (Germanic)
• Village Market (Anglo/Nordic)

• 38 Bottling Plants

• 2 Concentration Plants

COCA-COLA IN CHINA

REGIONAL

UNITS

• Swire Beverages
• COFCO Coca-Cola Beverages Ltd.
• Coca-Cola China Industries Ltd.

MAIN

BOTTLERS

• Coca-Cola Beverages (Shanghai) Ltd.
• Coca-Cola China Ltd.
• Coca-Cola Far-East Ltd.

HOFSTEDE'S CULTURAL VALUE DIMENSIONS

CULTURE

• Higher Power Distance
• Higher Uncertainty Avoidance
• Historically Masculine
• Individualist

• Only international company that has sponsored four of the biggest public events in China’s history.

• 2007 Shanghai Special Olympics
• 2008 Beijing Olympic Games
• 2008 Beijing Paralympics Games
• 2010 Shanghai World Expo

India

Brazil

China

RISKS

South Africa

Corruption

Popular

Dissent

Terrorism

Corruption

Corruption

Political

MAIN COUNTRIES

• Mainly enters into partnerships overseas instead of Greenfield ventures to protect its licensing and its secret formulas

• In 2006, Coca Cola-owned bottling subsidiaries brought together under the Bottling Investments operating group

• Most bottling subsidiaries locally owned

FOREIGN DIRECT INVESTMENT

Slowing

Growth

Poor

Infrastructure

Economic

Slowdown

Large Debts

Economic Slowdown

Financial

Social

Caste

System

Human Rights

Dissent

Security

#1

#2

3 MAIN ENTITIES

#3

• Corporate
• Bottler
• Customer

Sports Drink Producer

Carbonated (Sparkly) Drink Producer

Bottled Water Producer

GLOBAL BRAND

STRUCTURE & ORGANIZATION

• DSD

• Geographic Operational Groups

• Restructured in 2009

• Started globalizing in the 1890s, first branching out to Cuba and Canada
• Overseas Sales = 2/3 of Coca Cola’s Revenue, ¾ of operating income
• Manufacturing & Bottling
• 20 plants overseas manufacture beverages
• 300 bottling subsidiaries

Chris Fisher

Holly Lobprise

Annie Nam

Brittni Ping

Hub

Strategy

SWOT ANALYSIS

Roughly 300 Bottling Partners

REGIONAL AND TRANSNATIONAL STRATEGIES

STRATEGIES

Think Globally,

Act Locally

“Glocal”

Strategy