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Coca Cola: Ethics and Global Initiatives

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In the attached file, read the second case study on Coca Cola and respond to the following questions:

1. In a narrative format, discuss the key facts and critical issues presented in the case.

2. In a globally competitive environment, why would Coca Cola engage in questionable conduct such as channel stuffing, falsifying marketing research, anti-trust issues or racial discrimination?

3. As one of world's most valuable brands, what impact has Coca-Cola's ongoing struggle with ethics issues had on it reputation?

4. As the CEO of Coca Cola, outline a global initiative to manage your ethical risks and reputation.

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The answer to this problem provides an in-depth analysis on Coca Cola's struggle with ethical issues. The references related to the answer are also included.

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In compliance with BrainMass rules. this is not a completion of assignment but only guidance.

1. The key facts are that Coca-Cola Company is the world's largest beverage company and markets four of the world's top five soft drinks brands namely Coke, Diet Coke, Fanta, and Sprite. Over the years Coca-Cola has remained ahead of Pepsi, its main competitor. In 2006 however, Pepsi moved ahead of Coca-Cola by focusing on snack food and innovative strategies in the non-cola beverage market. The reputation of Coca-Cola has not only been among its customers but also among employees and potential employees. Coca-Cola also focuses on social responsibility issues such as education, and community improvement programs. However, ethical issues have halted the progress of Coca-Cola and misconduct and questionable behavior have adversely affected the Coca-Cola stakeholders. The crisis includes contamination claims against its products, adverse competitive issues, racial discrimination allegations, manipulation of research results, channel stuffing for inflating profits, lawsuits with distributors, and anti-union activities. Even though Coca-Cola has protected its image, its financial performance continues to lag.

2. In a globally ...

Solution provided by:
Hatim Baxamusa, MBA
Education
  • BSc , University of Calcutta
  • MBA, Eastern Institute for Integrated Learning in Management
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