Professional Documents
Culture Documents
The prototype Coca-Cola 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.
In 1886, when Atlanta and Fulton County passed prohibition legislation, 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 claimed Coca-Cola cured many diseases, including
morphine addiction, dyspepsia, neurasthenia, headache, and impotence. Pemberton ran
the first advertisement for the beverage on May 29 of the same year in the Atlanta
Journal.
John Pemberton declared that the name "Coca-Cola" belonged to Charley, but the
other two manufacturers could continue to use the formula. So, in the summer of 1888,
Candler sold his beverage under the names Yum Yum and Koke. After both failed to
catch on, Candler set out to establish a legal claim to Coca-Cola in late 1888, in order to
force his two competitors out of the business. Candler purchased exclusive rights to the
formula from John Pemberton, Margaret Dozier and Woolfolk Walker. However, in
1914, Dozier came forward to claim her signature on the bill of sale had been forged,
and subsequent analysis has indicated John Pemberton's signature was most likely a
forgery as well.[15]
Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoor
wall advertisement was painted in the same year as well in Cartersville, Georgia. Cans
of Coke first appeared in 1955. The first bottling of Coca-Cola occurred in Vicksburg,
Mississippi, at the Biedenharn Candy Company in 1891. Its proprietor was Joseph A.
Biedenharn. The original bottles were Biedenharn bottles, very different from the much
later hobble-skirt design that is now so familiar. Asa Candler was tentative about
bottling the drink, but two entrepreneurs from Chattanooga, Tennessee, Benjamin F.
Thomas and Joseph B. Whitehead, proposed the idea and were so persuasive that
Candler signed a contract giving them control of the procedure for only one dollar.
Candler never collected his dollar, but in 1899 Chattanooga became the site of the first
Coca-Cola bottling company.[19] The loosely termed contract proved to be problematic
for the company for decades to come. Legal matters were not helped by the decision of
the bottlers to subcontract to other companies, effectively becoming parent bottlers.
Coca-Cola is a carbonated soft drink sold in stores, restaurants, and vending machines
internationally. The Coca-Cola Company claims that the beverage is sold in more than 200
countries. It is produced by The Coca-Cola Company in Atlanta, Georgia, and is often
referred to simply as Coke (a registered trademark of The Coca-Cola Company in the United
States since March 27, 1944). Originally intended as a patent medicine when it was invented
in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman As a
Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink
market throughout the 20th century.
The company produces concentrate, which is then sold to licensed Coca-Cola bottlers
throughout the world. The bottlers, who hold territorially exclusive contracts with the
company, produce finished product in cans and bottles from the concentrate in combination
with filtered water and sweeteners. The bottlers then sell, distribute and merchandise Coca-
Cola to retail stores and vending machines. Such bottlers include Coca-Cola Enterprises,
which is the largest single Coca-Cola bottler in North America and western Europe. The
Coca-Cola Company also sells concentrate for soda fountains to major restaurants and food
service distributors.
The Coca-Cola Company has, on occasion, introduced other cola drinks under the Coke
brand name. The most common of these is Diet Coke, with others including Caffeine-Free
Coca-Cola, Diet Coke Caffeine-Free, Coca-Cola Cherry, Coca-Cola Zero, Coca-Cola Vanilla,
and special editions with lemon, lime or coffee.
In response to consumer insistence on a more natural product, the company is in the process
of phasing out E211, or sodium benzoate, the controversial additive used in Diet Coke and
linked to DNA damage in yeast cells and hyperactivity in children. The company has stated
that it plans to remove E211 from its other products, including Sprite and Oasis, as soon as a
satisfactory alternative is found.
SWOT ANALYSIS FOR COCA COLA
Strengths
Weakness
Opportunities
Threats
Strengths:
Coca-Cola has been a complex part of American culture for over a century. The
product's image is loaded with over-romanticizing, and this is an image many
people have taken deeply to heart. The Coca-Cola image is displayed on T-
shirts, hats, and collectible memorabilia. This extremely recognizable branding
is one of Coca-Cola's greatest strengths. "Enjoyed more than 685 million times
a day around the world Coca-Cola stands as a simple, yet powerful symbol of
quality and enjoyment" (Allen, 1995).
Weaknesses:
Although domestic business as well as many international markets are thriving
(volumes in Latin America were up 12%), Coca-Cola has recently reported
some "declines in unit case volumes in Indonesia and Thailand due to reduced
consumer purchasing power." According to an article in Fortune magazine, "In
Japan, unit case sales fell 3% in the second quarter [of 1998]...scary because
while Japan generates around 5% of worldwide volume, it contributes three
times as much to profits. Latin America, Southeast Asia, and Japan account for
about 35% of Coke's volume and none of these markets are performing to
expectation (Mclean, 1998).
Coca-Cola on the other side has effects on the teeth's which is an issue for
health care. It also has got sugar by which continuous drinking of Coca-Cola
may cause health problems. Being addicted to Coca-Cola also is a health
problem, because drinking of Coca-Cola daily has an effect on your body after
few years.
Opportunities:
Threats:
Currently, the threat of new viable competitors in the carbonated soft drink
industry is not very substantial. The threat of substitutes, however, is a very real
threat. The soft drink industry is very strong, but consumers are not necessarily
married to it. Possible substitutes that continuously put pressure on both Pepsi
and Coke include tea, coffee, juices, milk, and hot chocolate ("Cola Wars",
1991).
Cola and Pepsi control nearly 40% of the entire beverage market, the changing
health-consciousness of the market could have a serious affect. Of course, both
Coke and Pepsi have already diversified into these markets, allowing them to
have further significant market shares and offset any losses incurred due to
fluctuations in the market ("Cola Wars", 1991).
Consumer buying power also represents a key threat in the industry. The rivalry
between Pepsi and Coke has produce a very slow moving industry in which
management must continuously respond to the changing attitudes and demands
of their consumers or face losing market share to the competition. Furthermore,
consumers can easily switch to other beverages with little cost or consequence
("Cola Wars", 1991).
Mission and Vision
• We have a team spirit in which trust, respect, openness and social
responsibility create organizational integrity.
• We have a passion for continuous improvement, excellence,
innovation, quality and leadership.
• We are committed to improving the environment of the communities
where we operate.
The equally famous Coca-Cola bottle, called the "contour bottle" within the
company, but known to some as the "hobble skirt" bottle, was created in 1915
by bottle designer Earl R. Dean. In 1915, the Coca-Cola Company launched a
competition among its bottle suppliers to create a new bottle for the beverage
that would distinguish it from other beverage bottles, "a bottle which a person
could recognize even if they felt it in the dark, and so shaped that, even if
broken, a person could tell at a glance what it was."[46]
Earl R. Dean's original 1915 concept drawing of the contour Coca-Cola bottle.
Chapman J. Root, president of the Root Glass Company, turned the project over
to members of his supervisory staff, including company auditor T. Clyde
Edwards, plant superintendent Alexander Samuelsson, and Earl R. Dean, bottle
designer and supervisor of the bottle molding room. Root and his subordinates
decided to base the bottle's design on one of the soda's two ingredients, the coca
leaf or the kola nut, but were unaware of what either ingredient looked like.
Dean and Edwards went to the Emeline Fairbanks Memorial Library and were
unable to find any information about coca or kola. Instead, Dean was inspired
by a picture of the gourd-shaped cocoa pod in the Encyclopedia Britannica.
Dean made a rough sketch of the pod and returned back to the plant to show Mr.
Root. He explained to Root how he could transform the shape of the pod into a
bottle. Chapman Root gave Dean his approval.[46]
The prototype never made it to production since its middle diameter was
larger than its base, making it unstable on conveyor belts.
Chapman Root approved the prototype bottle and a design patent was issued on
the bottle in November, 1915. The prototype never made it to production since
its middle diameter was larger than its base, making it unstable on conveyor
belts. Dean resolved this issue by decreasing the bottle's middle diameter.
During the 1916 bottler's convention, Dean's contour bottle was chosen over
other entries and was on the market the same year. By 1920, the contour bottle
became the standard for the Coca-Cola Company. Today, the contour Coca-
Cola bottle is one of the most recognized packages on the planet..."even in the
dark!".[48]
As a reward for his efforts, Dean was offered a choice between a $500 bonus or
a lifetime job at the Root Glass Company. He chose the lifetime job and kept it
until the Owens-Illinois Glass Company bought out the Root Glass Company in
the mid-1930s. Dean went on to work in other Midwestern glass factories.
A new slim and tall can began to appear in Australia as of December 20, 2006,
it cost AU$1.95. The cans have a distinct resemblance to energy drink cans. The
cans were commissioned by Domino's Pizza and are available exclusively at
their restaurants.
In 2008, in some parts of the world, the plastic bottles for all Coke varieties
(including the larger 1.5- and 2-liter bottles) was changed to include a new
plastic screw cap and a slightly taller contoured bottle shape, designed to evoke
the old glass bottles.[52]
Coke Mini
A 200ml "stubby" bottle widely available throughout China. These are sold in
small shops for 1 yuan, and must be consumed on site in order to return the
bottle.
Coke mini is a 7.5 ounce can packaging of Coca-Cola that debuted in December
2009.[53][54][55] There are plans to also sell smaller cans of Sprite, Fanta Orange,
Cherry Coca-Cola and Barq's Root Beer.[56]
Local competitors:
Pepsi is usually second to Coke in sales, but outsells Coca-Cola in some
markets. Around the world, some local brands compete with Coke. In South and
Central America Kola Real, known as Big Cola in Mexico, is a fast-growing
competitor to Coca-Cola.[57] On the French island of Corsica, Corsica Cola,
made by brewers of the local Pietra beer, is a growing competitor to Coca-Cola.
In the French region of Brittany, Breizh Cola is available. In Peru, Inca Kola
outsells Coca-Cola, which led The Coca-Cola Company to purchase the brand
in 1999. In Sweden, Julmust outsells Coca-Cola during the Christmas season.[58]
In Scotland, the locally produced Irn-Bru was more popular than Coca-Cola
until 2005, when Coca-Cola and Diet Coke began to outpace its sales.[59] In
India, Coca-Cola ranked third behind the leader, Pepsi-Cola, and local drink
Thums Up. The Coca-Cola Company purchased Thums Up in 1993.[60] As of
2004, Coca-Cola held a 60.9% market-share in India.[61] Tropicola, a domestic
drink, is served in Cuba instead of Coca-Cola, due to a United States embargo.
French brand Mecca Cola and British brand Qibla Cola, popular in the Middle
East, are competitors to Coca-Cola. In Turkey, Cola Turka is a major
competitor to Coca-Cola. In Iran and many countries of Middle East, Zam Zam
Cola and Parsi Cola are major competitors to Coca-Cola. In some parts of China
Future cola is a competitor. In Slovenia, the locally produced Cockta is a major
competitor to Coca-Cola, as is the inexpensive Mercator Cola, which is sold
only in the country's biggest supermarket chain, Mercator. In Israel, RC Cola is
an inexpensive competitor. Classiko Cola, made by Tiko Group, the largest
manufacturing company in Madagascar, is a serious competitor to Coca-Cola in
many regions. Laranjada is the top-selling soft drink on the Portuguese island of
Madeira. Coca-Cola has stated that Pepsi was not its main rival in the UK, but
rather Robinsons drinks.[citation needed]
Advertising:
An 1890s advertisement showing model Hilda Clark in formal 19th century
attire. The ad is titled Drink Coca-Cola 5¢. (US)
Coca-Cola ghost sign in Fort Dodge, Iowa. Note older Coca-Cola ghosts behind
Borax and telephone ads.
1941 saw the first use of the nickname "Coke" as an official trademark for the
product, with a series of advertisements informing consumers that "Coke means
Coca-Cola".[66]
In 1971, a song from a Coca-Cola commercial called "I'd Like to Teach the
World to Sing", produced by Billy Davis, became a hit single.
Selena was a spokesperson for Coca-Cola from 1989 till the time of her death.
She filmed three commercials for the company. In 1994, to commemorate her
five years with the company, Coca-Cola issued special Selena coke bottles.[67]