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Coke India Case Study

In: Business and Management

Submitted By caseyblake99
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1. What are the key problems that Gupta should focus on in the short term and in the long term?
In my opinion the most important thing to focus on short term for Gupta would be to make sure the contamination was contained only to the areas where it was originally discovered. The Coca-Cola brand would be at serious risk from a global standpoint had the news broken out more. The long term problem that Gupta should focus on is obvious, regaining the stock prices that dropped dramatically. So the main goal here would be to focus on new promotion and advertising strategies to hopefully win back and gain new customers.

2. How would you evaluate the crisis?
On a scale from 1-10 ten being the worst I would say it’s about an 8. No company that is involved in the food and beverage industry she be able to get away with what Coca-Cola did. Findings and statistics don’t lie, so on paper it seems as though Coca-Cola was purposefully taking advantage of the less enforced rules and regulations that they had to follow in India, most likely to save a couple of bucks though it was not violating any laws.

3. How well prepared was Coke India to deal with the CSE’s allegations?
In terms of the amount of time it took them to respond to the media I think they did a great job. They denied the allegations and also made a promise to show data that proves the safety of their manufacturing and products. Both Coke and Pepsi attacked the CSE by questioning their credibility. Coke India also threatened legal action against the CSE which made it look as if Coke had the upper hand.

4. What is your recommendation for Coke’s communication strategy? Who are the key constituents?
If I were Gupta I would continue handling the situation as he did right from the beginning. By questioning the credibility of the CSE and showing the public findings that their products are safe and made in a...

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