...The Coca – Cola Company struggles with Ethical Crises Coca-cola has the most valuable brand name in the world and, one of the most visible companies worldwide, has a tremendous opportunity to excel in all dimensions of business performance. However, over the last ten years, the firm has struggled to reach its financial objectives and has been associated with a number of ethical crises. Warren Buffet served as a member of the board of directors and was a strong supporter and investor of Coca-Cola but resigned from the board in 2006 after several years of frustration with Coca-Cola’s failure to overcome many challenges. Many issues were facing Doug Ivester when he took over the reins at Coca-Cola in 1997. Ivester was heralded for his ability to handle the financial flows and details of the soft drink giant. Former CEO Robert Goizueta had carefully groomed Ivester for the top position that he assumed in October 1997 after Goizueta’s untimely death. However, Ivester seemed to lack leadership in handling a series of ethical crises, causing some to doubt the “Big Red’s” reputation and its prospects for the future. For a company with a rich history of marketing prowess and financial performance, Ivester’s departure in 1999 represented a high-profile glitch on a relatively clean record in one hundred years of business. In 2000 Doug Daft, the company’s former president and chief operating officer, replaced Ivester as the new CEO. Daft’s tenure was rocky, and the company was allegedly...
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...company, and the facts and issues of the case. According to Ferrell, the Coca-Cola Company is the world’s largest beverage company, and markets four of the world’s top five leading soft drinks. The company operates the largest distribution system in the world, which enables it to serve customers and businesses in more than two hundred countries. The Coca-Cola Company estimates that about 85 percent of its sales come from outside the United States (Ferrell). Former CEO Roberto Goizueta once said “Coca-Cola used to be an American company with a large international business. Now we are a large international company with a sizable American business” (Ferrell). According to Ferrell, Coca-Cola is the most-recognized trademark and brand name in the world today with a trademark value estimated to be about $25 billion. Coca-Cola’s vision for sustainable growth is fostered by being a great place to work where people are inspired to be the best they can be, by bringing the world a portfolio of beverage brands that anticipate and satisfy peoples’ desires and needs, by being a responsible global citizen that makes a difference, and maximizing return to share owners while being mindful of their overall responsibilities (Ferrell). While Coca-Cola’s vision statement may sound ethical, they have had several unethical issues come about in the past decade. According to Ferrell, in the early 2000’s Coca-Cola was involved in racial discrimination, misrepresenting market tests and manipulating...
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...Challenges in the Global Business Environment Code of Ethics Conduct Coca-Cola Company Richard Bonds Dr. J. A. Anderson, Sr. Date May, 31 2014 Abstract Coca-Cola Company or Coke s the largest distributor of soft drinks in the world. Businesses such as Coke and other corporations set a strict code of ethics laws to live by and operate upon. This paper will illustrate the code of ethics of Coke the industry leaders and two of its partners/competitors PepsiCo and Dr. Pepper/Snapple Co. and the similarities of their ethics code for operations as American multination companies. Coca-Cola Company or Coke is the largest distributor of soft drinks in the world. A successful businesses like Coke and other large corporations set a strict code of ethics laws to live by and operate upon. A brief look at the industries three largest leaders in the soft drink industry, with Coke being the front runner followed by the PepsiCo Groups and Dr. Pepper/Snapple Group all unique in their own way with a variety of products consumers have been using for nearly 100 years. All three companies born in the southern part of the United States has provided different brands names under different company logos worldwide. Coke has such names in the soft drink industry like Sprite, Minute Made, Fanta, Power Aide, an Simple Orange to name a few of the 3500 plus products they produce worldwide. The largest and closest competitor of Coke is a bit more diverse in the product...
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...Coca Cola Hellenic Inc Corporate Case Study Table of Contents Executive summary……………………..………………………………4 Stakeholders……………………………………………………………………...……5 GRI & UN compact…………………………………………...……………………….5 Social and environment issue………………………………………………….…........6 CSR and Environmental Sustainability………………………………………………..8 Economic performance………………………………………………………………...9 Sustained competitive advantage………………………………………………….....10 Recommendations........................................................................................................12 References……………………………………………………………....13 Appendix A…………………………………………………………….14 Appendix B…………………………………………………………….17 Appendix C…………………………………………………………….18 Executive summary The Coca-Cola Company is the world’s largest non-alcoholic drinks company, controlling over 21% of soft drinks off-trade RTD volumes. Along with Coca-Cola, recognized as the world's most valuable brand, the Company markets four of the world's top five non-alcoholic sparkling brands, including Diet Coke, Fanta and Sprite, and a wide range of other Soft drinks company. In this report, we are working toward expanding our sustainability reporting on topics that are most important to Company and stakeholders. We include increased our discussion of stakeholder engagement, GRI & UN compact, Issues on social and environment, CSR and Environmental Sustainability, Economic performance, Quality of Management, Sustained competitive advantage and give some recommendations...
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... 3. Ethics Policy and its Development 5 3.1. Proposed Ethics Policy 5 3.2. Rationale of Ethics Policy 6 3.3. Policy Development 6 3.3.1. Virtue Ethic 7 3.3.2. Utilitarianism Ethic 7 3.3.3. Kantianism Ethic 8 3.4. Corporate Social Responsibility 8 4. Implementation, Effectiveness, and Limitations 9 4.1. Implementation of Ethics Policy 9 4.2. Effectiveness of Ethics Policy 10 4.3. Limitations of Ethics Policy 11 5. Conclusion 12 6. Reference List 14 1) Executive Summary The Coca-Cola Company was founded in 1892. The company, till date, offers a wide range of products to meet different demands of customers all over the world. Coca-Cola not only produces and sells soft drink and non-carbonated beverages; they also distribute bottled waters around the world. Increasing shareholder values would be any major company’s target, likewise Coca-Cola’s, having to keep costs low but yet selling the customers their trusted quality products. Coca-Cola operates in a very competitive environment being in the beverages industry. In 1893, Coca-Cola’s greatest competitor, Pepsi-Cola, came into the market, and rivalry has been going on from then till now. Competition leads to the necessity of continual upgrading and innovation of both the staffs and technology in the company. As Coca-Cola sells and...
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...Ethics Case Study February 18, 2015 Coca-Cola began in 1886 when Atlanta pharmacist Dr. John Pemberton created a flavored syrup to be sold at soda fountains in Atlanta. After many years on the market Coca – Cola has become the world’s number one selling sparkling beverage. (Coca-Cola, 2015) To protect their brand their recipe has become a closely guarded secret. While competitors have attempted to duplicate their formula they have not come close which is why Joya Williams was aggressively prosecuting when she was caught attempting to sell trade secrets to their rival Pepsi Co. She was caught on camera taking top secret documents as well as samples of upcoming Coca-Cola products and placing them in her purse. It was also alleged that she wrote a letter to Pepsi Co. offering them the Coca-Cola trade secrets for a price of $1.5 million. The jury at trail initially was deadlocked however, under further review they found her guilty and she was sentenced to eight years in prison. The critical issues at hand are that the she violated the Uniform Trade Secrets Act as Coca-Cola keeps their secret recipe offsite in a bank vault. (Cheeseman, Pg. 396) She attempted to infringe upon their secrets for her own personal gain. She misappropriated the secret documents and samples as a result committing industrial and economic espionage. The stakeholders in this case are the employees of Coca-Cola, Pepsi Co. as well as the general public. If Pepsi Co. purchased the...
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...Coca-Cola Case Study Factors Affecting Management Christopher H. Thompson Texas A&M University Central Texas Instructor: Dr. David Geigle G BK 444.115 – International Business Texas A&M University-Central Texas Summer 2014 Absract There have been and/or are plenty of factors, both internal and external impact the planning function for management within an organization. Regardless of size, age, revenue, product, or service, planning is the most fundamental and important component for management. By no means is the Coca-Cola Company an exception. Arguably, Coca-Cola is the most recognized, most popular, as well as the biggest-selling soft drink in history. Synonymous for Coke, the company produced nearly 550 million servings in 2007 selling other brands such as Sprite, Dasani, Bacardi, Fanta, Minute Maid, and Powerade generating a net operating revenue of $28.9 million. (Isdell, 2007). This paper will examine 4 major internal and external factors that impact managerial planning; globalization, technology, diversity, and ethics. In addition, will explain how managers can use delegation to manage the impact that these factors have on the four functions of management. Brief History It all started back on a regular afternoon, in the year 1886 in Atlanta, Georgia, when a pharmacist named John Pemberton, by curiosity decided to stir up a fragrant, caramel-colored liquid (syrup) and was combined with carbonated water. This drink, named Coca-Cola, was...
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...1 ACCT2162 Ethics and Accountability COCA COLA and PEPSI Student name: Pham Thuy Vy Vy Ta lam Han Tieu Thien Tam Assignment: Ethics and Accountability ACCT2162 1|Page 2 ACCT2162 Ethics and Accountability RMIT International University Vietnam Bachelor of Commerce Program ASSIGNMENT COVER PAGE Your assessment will not be accepted unless all fields below are completed Subject Code: ACCT2162 Subject Name: Ethics and accountability Location where you study: RMIT Vietnam- SGS campus Title of Assignment: Group assignment File(s) Submitted: Cocacola_Pepsi Pham Thuy Vy Vy Student name: Tieu Thien Tam Ta Lam Han Student Number: S3325175 S3324340 S3275812 Learning Facilitator in charge: Samia Ibrahimo Assignment due date: 18th April 2013 18th April 2013 Date of Submission: Number of pages including this one: (Please number your pages like this: 13 page 1 of 7, etc.) 2200 words (exclude references, table of content and Word Count: reference) (Main Content) 2|Page 3 ACCT2162 Ethics and Accountability Contents INTRODUCTION....................................................................................................................................... 4 COMPARE AND CONTRAST POLICIES, PROCESSES AND GUIDELINES ......................................................... 5 a) Health and Safe Work Environment: .....................................................................
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...BPMN 3123 MANAGEMENT ETHICS SECOND SEMESTER 2014/2015 TITLE UNETHICAL COMPANY-COCA COLA (HUMAN RESOURCES ISSUES IN CHINA) PREPARED FOR: EN. ZAHID ARIFFIN BIN IDRUS PREPARED BY: NURUL SABIHAH BINTI MOHAMMAD 221604 NUR AMALINA BINTI YUSOF 221811 HALIMAH BINTI A KASAH 222147 SHARIFAH NUR ATIQAH BT SYED PUTRA 222210 DATE OF SUBMISSION 14th MAY 2015 Table of Contents 1.0 INTRODUCTION 1 2.0 COCA-COLA 'ABUSED LABOUR’S RIGHTS’ 2 3.0 WORKPLACE DISCRIMINATIONS 3 4.0 HEALTH AND SAFETY WORKPLACE 4 5.0 CONCLUSION 5 6.0 REFERENCE……………………………………………………………………………………………6 1.0 INTRODUCTION China is a major and expanding market for Coca-Cola. Surging sales in emerging markets like China and India have been credited for Coke’s best sales growth for almost nine years with sales rising 19% from 2007 (The Times, 2007). According to President of Coca-Cola China, Doug Jackson, the company currently counts China as it’s fourth-largest market in terms of revenue, although it is expected to overtake Brazil to become its third-largest in two years and the second-largest within five years (China Daily, 2007). In the Hangzhou Coca Cola bottling factory, contract workers usually stay on duty for 12 hours. There were a lot of inappropriate activities on the part of Coca Cola factories concerning violation of labor contract towards its workers. Firstly, almost five bottling factories failed to ensure...
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...Product Project Product: Coca-Cola Classic is a type of soft drink manufactured by The Coca-Cola Company that is recognize in the entire world. United State is the country of the origin of the company that was introduced in 1886. The recipe was formulated at the Eagle Drug and Chemical Company, a drugstore in Columbus, Georgia by John Pemberton, originally as a coca wine called Pemberton's French Wine Coca. He may have been inspired by the formidable success of Vin Mariani, a European coca wine. Pemberton responded by developing Coca-Cola, essentially a non-alcoholic version of French Wine Coca. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8, 1886. It was initially sold as a patent medicine for five cents a glass at soda fountains, which were popular in the United States at the time due to the belief that carbonated water was good for the health. Pemberton ran the first advertisement for the beverage on May 29 of the same year in the Atlanta Journal. Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoors wall advertisement was painted in the same year as well in Cartersville, Georgia. Cans of Coke first appeared in 1955 and the first bottling of Coca-Cola occurred in Vicksburg, Mississippi, at the Biedenharn Candy Company in 1891. Although, Coca-cola still investing in their soft drinks of competition. Coca-Cola used to focus its strategy on the three A’s and P’s. The A’s are availability, acceptability, and affordability...
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...explore the fascinating story of CocaCola® – the world’s best-known beverage brand. The World of CocaCola is the home of the more than 125-year-old secret formula for CocaCola and features more than 1,200 artifacts from around the world that, until now, have never been displayed to the public before. Around every corner you’ll experience something new and inviting. You’ll see great interactive exhibits such as a thrilling, multi-sensory 4-D movie (3-D glasses with moving seats) and get an inside look at the bottling process. You can view more than 1,200 artifacts from around the world that, until now, have never been displayed to the public before. You can even give our 7-foot CocaCola Polar Bear a big hug! And of course, a World of Coca-Cola favorite—the tasting experience, will give you a refreshing opportunity to sample over 100 flavors from around the world. All this and much more make the World of CocaCola a unique and must-see Atlanta experience! A visit of the entire attraction is estimated to last an average of 2 hours. Check out a timeline featuring key milestones in the history of the World of CocaCola. 1990: The original World of CocaCola is established at Underground Atlanta as an attraction dedicated to the heritage of The CocaCola Company. 2000: By 2000, The CocaCola Company accumulates approximately 20 acres of land in downtown Atlanta near Centennial Olympic Park. 2002: The CocaCola Company announces plans for development of the land to help spur ongoing...
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...paper 2.2) -HR's involvement in ethics programs is important to success, but HR should not expect to accomplish the task alone. Fairness issues are important to employees and the involvement of HR staff and departments in ethics and compliance programs could be important to the real and perceived fairness of those programs. HR offices can play a key role in developing ethics programs with a proper balance of values and compliance orientations, and in integrating ethics programs into important organizational activities. -Some organizational challenges or policies that might challenge and HR professional are competitive position (cost, quality, and distinctive capability), decentralization, downsizing, organization restructuring, technology, outsourcing, and even organizational culture. -Managers may face ethically challenging tasks such as firing someone, delivering negative feedback, and denying bonuses-tasks in which a manager must cause pain or discomfort to another person in the name of a greater good. Social Responsibility paper begins on next page………… Coca-Cola Company is a well-known respected company throughout the world. John Pemberton, a pharmacist in Atlanta, invented the drink that many have come to call “something special”. Driven by his curiosity, Pemberton, together with Jacob’s Pharmacy created Coca-Cola, in 1886, which in the first year alone sold 9 glasses a day. However, Pemberton was merely the inventor of Coca-Cola. It wasn’t until Atlanta businessman...
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...Angus Coca Cola is a well-known company all around the world. Coca Cola was founded in 1892 by Asa Griggs Candler. The Company is currently headquartered in Atlanta, Georgia. The company invented the popular soft drink with a unique cola taste. Coca Cola also make different brands of soft drinks such as Nestle, Dr Pepper, Diet Coke, RC Cola, Sprite, Fanta, Minute Maid, PowerAde, and Dasani. The market of the company is in beverage, and has good positioning as one of the top beverages in the world. The drink is sold in stores, vending machines and restaurant around the world. Licensed Bottlers have contracts with the drink around the world. It is important to consider environmental factors because they can possibly affect marketing both domestically and global. Factors can include cultural differences, demographics, physical infrastructure, social responsibility, trade practices, and economic interdependence. Global Economic interdependence: Interdependence can help a company’s understand relationships of mutual dependence between life forms and elements. Global economic interdependence is when economies of different companies are joined together in the formation of world trade. Different companies are so closely linked that if one were to fail it can affect all. Member countries of involved in the trades are required by the World Trade Organization to regulate of goods that are imported. World trade requirements are set to ensure safe and proper domestic production. Coca Cola...
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...Marketing is the efficient and effective management and utilization of company resources to meet consumer demand through and company objectives through sale of products. Global marketing involves sale of products in different countries and it is usually complex and involves a lot of capital while domestic marketing involves a single country. The coca cola company is involved in both global and domestic marketing. The Company was founded in 1886 and is the world leader in the manufacture, marketing and distributor of non-alcoholic beverage concentrates and syrups (www.coca-colafemsa.com ). It operates in over 200 countries worldwide has 230 different brands (www.coca-cola.com). It is affected by many environmental factors and must consider them in decision making such as: global economic interdependence and trade practices, demographics and physical infrastructure, social responsibility, ethics and legal obligation, cultural differences, political systems, Foreign Corrupt Practices Act and legislations and technology. Global economic interdependence and the effect of trade practices and agreements is a key influence on the coca cola company. Global economic interdependence has been defined as the mutual dependence at a global level (business directory). It has increased because of technological advancements and improved trade practices. The formation of the World Trade Organization in 1995 requires all member countries to regulate and check all goods that are imported to make...
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...The ethical issues and dilemmas that Coca Cola faced were actually very surprising since I have been drinking the product for years. Allegations of Intimidation, Racial Discrimination Financial Misconduct, and Environmental issues have hovered beyond the walls of the Conglomerate with very little room to disappear. I was extremely surprised about the Financial Misconduct but having interviewed for them and being denied due to credit issues I assume I can understand. Seems to me that the management within the organization was not up on ethical standards within an organization because, it could have been taught to many of the staff workers worldwide. The Columbian Union situation with you Union was very frightening yet a red flag in my book. In 2001, SINALTRAINAL, a Colombian labor union, charged that Coca-Cola and its bottlers Panamerican Beverages (Panamaco), Bebidas y Alimentos De Uraba, and Coca-Cola Femsa, were linked to the violence against its union members in Colombia. Around eight union leaders of Coca-Cola's plants in Colombia had been murdered since 1989, and many others had been abducted and tortured. Coca-Cola was accused of hiring paramilitary death squads to kidnap, torture, or kill union leaders and intimidate worker union activists at its bottling plants. (Management Paradise, 2009) Another that was amazing and seemed as if Management was unaware of how to handle was when hundreds of Belgians—including school children—complained of nausea and vomiting after...
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