ENGAGING ACTIVITY

Search the Web for a company site where there is a good description of that company’s
international operations. On the basis of this information, try to establish how the company enters
foreign markets and what overall strategy it is pursuing (global, international, multidomestic,
transnational).

COCA-COLA COMPANY DESCRIPTION

The World's Largest Nonalcoholic Beverage Company

The Coca-Cola Company (NYSE: KO) is a total beverage company with products sold in more than
200 countries and territories.

Our company’s purpose is to refresh the world and make a difference. Our portfolio of brands
includes Coca-Cola, Sprite, Fanta and other sparkling soft drinks. Our hydration, sports, coffee and
tea brands include Dasani, smart water, vitamin water, Topo Chico, Powerade, Costa, Georgia, Gold
Peak, Ayataka, and BodyArmor. Our nutrition, juice, dairy and plant-based beverage brands include
Minute Maid, Simply, innocent, Del Valle, fairlife and AdeS.

We’re constantly transforming our portfolio, from reducing sugar in our drinks to bringing
innovative new products to market. We seek to positively impact people’s lives, communities and
the planet through water replenishment, packaging recycling, sustainable sourcing practices and
carbon emissions reductions across our value chain. Together with our bottling partners, we
employ more than 700,000 people, helping bring economic opportunity to local communities
worldwide.

1. How the company enters foreign markets?

 Coca-Cola began building their global network in the 1920s. Their global growth expanded
during World War II when Coca-Cola President Robert Woodruff believed that every
American service man and woman should have a Coke at their disposal, no matter where
they were or the cost to the company. Woodruff’s vision during this critical period in
American history helped establish Coke as a global corporation by introducing the product
to different markets.
Now operating in more than 200 countries and producing over 200 brands, their system has
successfully applied a simple formula on a global scale: Refresh the World. Make a
Difference.
2. What overall strategy it is pursuing? (Global, international, multidomestic, transnational)

 Transnational Strategy
Coca-Cola operates in more than 200 countries and takes a localization approach that
means you can order a “Coke,” a “Cola,” or a “Coca,” depending on the global market. Every local
market has slightly different messaging and formula, but they use simplified, universal messaging
that works no matter the market: happiness, enjoyment, and sharing. Combining this
standardization with variations in local flavors and packaging is what makes them so successful.
Coca-Cola currently pursues a transnational strategy where the company keeps the
flexibility but at the same time achieves equilibrium at a reduced cost. The benefits of this strategy
are that it will reduce costs,maintain high standards, adapt to local markets and will maintain the
economy scale.