🌍TNC - CASE STUDY: Coke Flashcards

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1
Q

Where is Coke sold?

A

More than 200 countries (no1 manufacturer of soft drinks globally)

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2
Q

Where is their headquarters?

A

Atalanta, USA

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3
Q

SO: How many associates does it have around the world?

A

139,600 associates - 50% outside US

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4
Q

SO: How many people does the Coca-cola Europe Group employ?

A

1,600 Company associates w approx 60,000 employees

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5
Q

SO: What does the Coca-Cola Europe Group company team do?

A

1/3 of the team provides shares for all of the Europe Group and beyond, managing group-wide resources

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6
Q

SO: How many business units are there?

A

12
consisting of 1- 4 countries each, executing plans at a LOCAL market level

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7
Q

Describe coke’s sales:

A
  • Sell nearly 400 different products
  • 70% sales generated outside North America
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8
Q

G: WHo invented Coca-Cola originally?

A

Recipe formulated at the Eagle Drug and Chemical company drug store (Georgia) by John Pemberton

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9
Q

G: What was Coke’s original name?

A

Pemberton’s French Wine Coca

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10
Q

G:What happened to Coke in 1886?

A

The country passed a legislation prohibiting an alcoholic version
Pemberton responded developing ‘Coca-Cola’ (non-alcoholic version)

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11
Q

G: Where was Coca-Cola first sold to the public?

A

Jacob’s Pharmacy
- Atalanta, 8th May 1886

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12
Q

G: what were the original claims of Coke?

A

PEMBERTON claimed it cured diseases such as:
- morphine addiction
- headache
- impotence

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13
Q

G: What happened in 1891 + 1894

A

First bottled Vicksburg, Mississippi 1891
Sold in bottles for the first time 1894

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14
Q

G: What happened in 1955?

A

First coke cans

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15
Q

G: What happened when cop[yright started to occur?

A

Advertising focused on the authenticity of Coca-Cola urging consumers to:
“Demand the genuine”
“Accept no substitute”

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16
Q

G: What happened in 1892?

A

Named “The Coca-Cola Company”

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17
Q

G: By 1900 which countries did The Coca-Cola company situate?

A

Canada
Panama
Cuba
Puerto Rico
France
Etc

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18
Q

G: How did the no. of bottlers change?

A

1900 - 2 bottlers of Coca-Cola
1928 - 1,000

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19
Q

G: When did Coca-Cola expand overseas?

A

1923

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20
Q

G: What happened to Coke in 1928?

A

Coca-Cola was introduced to the Olympic Games, travelling with US to 1928 Amsterdam Olympics

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21
Q

G: How did Coke contribute in WW2?

A
  • Business remained steady
    BUT
  • offered Coca-Cola to any troops for 5 cents
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22
Q

G: What happened after WW2 to Coke?

A

From the mid 1940s until 1960s the no of countries with bottling operations nearly doubled

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23
Q

G: When did Coca-Cola expand their flavours?

A

After 70 years of success:
Fanta developed 1940, introduced 1950
Sprite 1960
Minute Maid Company (juices) 1960

24
Q

G: Where did Coke further expand too?

A

Cambodia
Montserrat
Paraguay
Macau
Turkey
Etc

25
Q

G: How did Coke continue to grow in the 1990s?

A

Their association with sports strengthened with ongoing support of the Olympic Games, FIFA, Rugby World Cup + the official soft drink of NASCAR racing

26
Q

P: What did The company aim for during 1920s and 30s?

A

A major push towards establishing bottling operations outside US where plants opened in countries such as:
France
Guatemala
Honduras
MExico
Belgium
Italy
Peru
Spain
Australia
South Africa

27
Q

P: Where was Coke being bottled at time of WW2?

A

44 countries

28
Q

P: What did Coke do after the fall of the Berlin Wall?

A

Invested heavily into plants in Eastern Europe
More than $1.5bn committed to new bottling facilities in Africa

29
Q

P: How does Coke work with subcontractors?

A

Don’t always own their factories, subcontracting out to pre-existing bottling companies to save money

30
Q

P: What populations does Coke have access too?

A

India (large earning)
- By manufacturing goods closer to intended market they save money on transportation costs

31
Q

P: How do Cokes bottles operate?

A

• Bottlers buy the concentrate from the Coca Cola Company. then mix it with water and sweeteners and bottle finished product.
- Each bottling company has exclusive rights to a region of the world.
- Coca Cola owns shares in some of the companies but not all of them, some are independent.

32
Q

P: Describe bottles distribution

A
  • Bottlers are in charge of distributing the products to the retailers.
  • Retailers sell the bottled products to the public to buy.
33
Q

R+D: How do Coke describe their R+D?

A

uses sensory science, product development and consumer insights to create totally new beverages and to improve existing ones. We work with our other R&I centres around the world as well as suppliers, agencies and outside research institutes to create the best beverages in the world.”

34
Q

R+D: How has R+D expanded?

A

“According to a Coca-Cola official, the company, which has been attempting to increase its efforts in Turkey, is now finalizing the details in order to bring the R&D centre project into fruition. Michael O’Neill, CEO of Coca-Cola Soft Drinks, stated, “The issue of tax incentives is definitely a significant factor in the decision to make Turkey a R&D centre.”

35
Q

Global Marketing

A

A process of promoting and selling products and services

36
Q

What does global marketing include?

A

a whole process of planning, producing, placing, and promoting a country’s products in a worldwide market

37
Q

Big Mac in global marketing

A

Tastes the same in every country but varies items on menu according to local food tastes
- Coke’s formula and bottle are same in every country

38
Q

What advertising approach does Coke use?

A

Standardised advertising approach but adapts for local culture

39
Q

Hit me with 2 coke stats pops!!

A
  • 2011 - avg person consumed 92 cans
  • Mexico drinks 20x more than India
40
Q

Where and when was the water pollution problem?

A

Kerala, South India, 2004

41
Q

What happened to the well in Kerela/

A

Villager’s well ran dry and available water turned toxic after a coke factory opened

42
Q

How much were damages in Kerela?

A

Around $30 mil

43
Q

What did the villagers do in Kerela?

A

In 2002 they protested outside the factory which was eventually shut down in 2004

44
Q

Working conditions at coke

A

Long hours with little pay

45
Q

What does franchise operation mean for local bottlers?

A

They profit from the sale supporting the economy indirectly and directly

46
Q

What did coke set up to help obesity and how much was spent?

A

. $4.86 million spent
. European Hydration Institute set up

47
Q

How much was invested into expanding markets like Africa?

A

$90 million

48
Q

How many more times did coke contain pesticide above the recommended level?

A

30x

49
Q

How many females have been empowered by coke?

A

5 million

50
Q

Where are the majority of coke’s profits returned to?

A

Shareholders in the USA

51
Q

What was Coke’s marketing strategy?

A

. One brand
. Taste the Feeling campaign

52
Q

What is meant by a one-brand strategy?

A

. Brings together four product variants like Diet Coke
. Will provide more health choices

53
Q

How many ads were launched in 2010 and what was the aim of them?

A

. 10 ads
. Glimpse into intimate experience of drinking coke

54
Q

Role of GIFs in taste the feeling

A

. Boost viral share ability
. Personalise the scene

55
Q

Why was Coke inspired by Disney?

A

. Stay true to brand values
. Avoid erratic behavior
. Stay consistent

56
Q

What is Coke’s net worth?

A

$235 billion