As well, this paper will discuss an analysis of the influence of the Foreign Corrupt Practices Act, and include with a summary that will analyze the importance of Coca-Cola’s social responsibility and ethics when it comes to their market choices.
Consumers are met with an interactive new board in English and Spanish, a social media newsfeed, and a “Ah Affect” video on the Coca-Cola website. This demonstrates the company’s ability to trade successfully products within the global market and still satisfying customers domestically. No matter global or domestic, Coca-Cola can be seen on every billboard restaurant ad, and in magazines worldwide.Despite the company’s many successes, environmental factors still exist that could change the future of the company.
In an article “The Beginning of Coca-Cola,” discusses how Coca-Cola began marketing in China in 1927. In 1 979, Coca-Cola plants were introduced to China again after 30-years. One environmental factor that the company faced in China was sales. The company found their products were more successful in smaller markets than in larger cities and larger retail chains.
To offset this factor, the company developed an aggressive marketing campaign that involved new products which were geared toward the potential consumers ofChina. Coca-Cola had to consider the people of China who did not consume as much soda as other people in other parts of the world. The company developed a solution. New products were introduced specifically designed for the consumers in China. These new products consisted of non-carbonated beverages and fruit juices that were tailored to the Chinese taste (Shank, Rainstorm, Bloch ; Schuss, 2009). The article goes to show how Coca-Cola was successful with the new products introduced in China. Coca-Cola takes nothing for granted, constant research and development is essential to imagining at the top of the beverage game.Since the World Trade Organization of 1995, member of all nations are required to regulate imported goods with all provisions that must be adhered to for domestic production.
All countries have equal opportunities to trade among themselves. With competitors of Coca-Cola, other entities may be set up around the world that could hurt the beverage giant. As Coca-Cola continues to expand its market, more countries are becoming familiar with the Coca- Cola brand, and are welcoming beverage giant, and everything that comes with it with open arms. Distribution was another environmental factor that the company Coca-Cola faced.Distributing to some retailers required drivers to work longer hours to get the product to the correct destination. Drivers had to travel in rugged terrain which presented a challenge. Tracking sales was also difficult.
As a result, Coca-Cola hired sales representatives to monitor the amount of products sold at different locations. Once the amounts were captured, the results were entered into a database. Because of poor geographical locations, the representatives had difficulty identifying locations, which resulted in some ales not being captured and entered into the database (Shank, Rainstorm, Bloch ; Schuss, 2009).Technological change influences a business both domestically and globally. “Advances in information technology make it possible for people in different parts of the world to communicate by satellite videoconferencing and to send complex design drawings over the Internet”(Perpetual ; McCarthy, 2011). By developing new products to suit customer needs, Coca-Cola could make a positive step forward in their market.
The soft drink company employees a large number of individuals in plants nationwide both domestic and global. The organization also invests millions into China’s economy.According to the article, Coca-Cola supports 400,000 jobs in China through retailers, suppliers, wholesalers, and distributors. The Foreign Corrupt Practices Act was passed in 1 977 to prohibit bribery of foreign officials. Coca-Cola is a major soft drink company with ties to many countries. With the reputation of the company the organization must be protected from illegal acts such as bribery. The company must also follow local, national, and international laws.
Coca-Cola must adhere to the laws of he country if they plan to remain a supplier in the country (Shank, ironing, Bloch & schuss, 2009).Coca-Cola uses many promotional methods to attract the consumer. One of them is the Coke Rewards program. With the Coke rewards program customers can enjoy a beverage and have a chance to win merchandise at the same time. Although Coca-Cola is a well-known successful company, marketing mistakes do occur.
In the marketing phase, when determining if Coca-Cola should revisit China, more research should have been done to determine the number of people in China who drink the beverage. The many could have saved money on promotions and advertisements by just developing the new product from the start.As companies explore the marketing arena, suggestions will be made to expand to a new market or introduce a new product. Careful research must be done to make sure all avenues are examined.
Companies use marketing forecasts to determine important marketing decisions, such as expansion or introducing a new product. Coca-Cola like many other companies must be prepared for both a positive and negative forecast. Companies must be aware of the various changes within a market ND must be prepared to monitor market growth, market maturity, and sales decline.Coca-Cola may be a recognized leading beverage supplier today, but the company must always be aware of the effectiveness of their marketing plan for tomorrow. At current Coca-Cola has been a success in China with drinks tailored to that market In October 2009, the marketing giant introduced its first dairy drink in China. The beverage is a mixture of fruit juice, milk powder, and coconut bits that will be available to customers in 300 Chinese cities (Shank, Rainstorm, Bloch & Schuss, 2009).
As the forecasts room the articles predict, Coco-Cola will continue to remain a strong and effective distributor in China.