Reference no: EM132096134
Case Study: Coca Cola Coca Cola was invented by Doctor John Pemberton, a pharmacist, in 1886 in his back yard in Atlanta, Georgia. His bookkeeper, Frank Robinson came up with the name and the flowing letters that don coke cans until this day. The drink was initially sold at one soda fountain in Atlanta, bring in about $50 a day in revenue, while production costs equaled over $70, obviously operating at a loss. A year after its inception, another pharmacist, Asa Candler bought the formula from Pemberton and through aggressive marketing made Coca Cola one of the most popular fountain drinks in America. As the soda fountain era came to an end, the era of bottled soft drinks and fast food restaurants began to rise and opened up a new distribution channel for Coca Cola. Today more than 1.4 billion drinks are consumed per day around the world in over 200 countries. The Coca-Cola Company is currently the world's largest beverage company, with more than 500 brands. They are the number one provider of sparkling beverages, ready-to-drink coffees, and juices and juice drinks in the world. According to Coca Cola’s 2012-2013 Sustainability Report, “At Coca-Cola, sustainability is a critical component of our business strategy. It is about improving lives, creating jobs, increasing opportunity, preserving resources and meeting needs for the communities we proudly serve around the globe,” said Muhtar Kent, Chairman and CEO, The Coca-Cola Company. “There are no issues that will more shape or define the 21st century than the global empowerment of women; the management of the world’s precious water resources; and the well-being of the world’s growing population.” Coca Cola’s sustainability focus is based on a framework of “Me, We, World” and has three leadership priorities: Women, Water, and Well-being. The focus on women addresses women entrepreneurs to help them overcome barriers to starting and operating businesses from fruit farmers to artisans in 22 countries. In the area of sustainability, Coca Cola’s water initiative with companies and organizations throughout the world to reduce water use and deliver safe drinking water to communities in need. Coca Cola partnered with DEKA to provide Slingshot ™, a vapor compression water purification machine that can produce about 30 liters of water an hour on minimal energy usage, to communities in need of clean water in rural parts of Latin America and Africa. In the area of well-being Coca Cola has focused on addressing obesity through production of low or no calorie products and has decreased its average calories per serving in its drinks by nine percent. In addition, they support healthy living programs in many countries. Coca Cola maintains a philanthropic arm of the company that supports many community based initiatives, investing over $101.6 million in 2012 alone. They have maintained their policy not to market to children, and address global climate issues through an ambitious goal of reducing their carbon footprint by 25% by 2020.
Case Study: Coca Cola
Coca Cola was invented by Doctor John Pemberton, a pharmacist, in 1886 in his back yard in Atlanta, Georgia. His bookkeeper, Frank Robinson came up with the name and the flowing letters that don coke cans until this day. The drink was initially sold at one soda fountain in Atlanta, bring in about $50 a day in revenue, while production costs equaled over $70, obviously operating at a loss. A year after its inception, another pharmacist, Asa Candler bought the formula from Pemberton and through aggressive marketing made Coca Cola one of the most popular fountain drinks in America.
As the soda fountain era came to an end, the era of bottled soft drinks and fast food restaurants began to rise and opened up a new distribution channel for Coca Cola. Today more than 1.4 billion drinks are consumed per day around the world in over 200 countries. The Coca-Cola Company is currently the world's largest beverage company, with more than 500 brands. They are the number one provider of sparkling beverages, ready-to-drink coffees, and juices and juice drinks in the world.
According to Coca Cola’s 2012-2013 Sustainability Report, “At Coca-Cola, sustainability is a critical component of our business strategy. It is about improving lives, creating jobs, increasing opportunity, preserving resources and meeting needs for the communities we proudly serve around the globe,” said Muhtar Kent, Chairman and CEO, The Coca-Cola Company. “There are no issues that will more shape or define the 21st century than the global empowerment of women; the management of the world’s precious water resources; and the well-being of the world’s growing population.”
Coca Cola’s sustainability focus is based on a framework of “Me, We, World” and has three leadership priorities: Women, Water, and Well-being. The focus on women addresses women entrepreneurs to help them overcome barriers to starting and operating businesses from fruit farmers to artisans in 22 countries. In the area of sustainability, Coca Cola’s water initiative with companies and organizations throughout the world to reduce water use and deliver safe drinking water to communities in need. Coca Cola partnered with DEKA to provide Slingshot ™, a vapor compression water purification machine that can produce about 30 liters of water an hour on minimal energy usage, to communities in need of clean water in rural parts of Latin America and Africa. In the area of well-being Coca Cola has focused on addressing obesity through production of low or no calorie products and has decreased its average calories per serving in its drinks by nine percent. In addition, they support healthy living programs in many countries.
Coca Cola maintains a philanthropic arm of the company that supports many community based initiatives, investing over $101.6 million in 2012 alone. They have maintained their policy not to market to children, and address global climate issues through an ambitious goal of reducing their carbon footprint by 25% by 2020.
Analyze:
How do each of these companies address sustainability?
How does the focus on sustainability provide a strategic position for the company, if any?
Analyze why the company engages in social activities.
What form of corporate governance best fits a sustainable company?
For each company, analyze:
How do each of these companies address sustainability?
How does the focus on sustainability provide a strategic position for the company, if any?
Analyze why the company engages in social activities.
What form of corporate governance best fits a sustainable company?