2.1. The diverse product development of Coca-Cola Since its inception to the present day, the formula of Coca-Cola has undergone numerous changes and the introduction of new products. These changes are believed to help Coca-Cola reduce costs or gain market share. Some of these changes have been well-received by customers, while others have faced criticism and public outrage. The first change was getting rid of cocaine. Upon its introduction to the market in 1886, Coca-Cola was advertised as a nerve tonic that could alleviate fatigue. Because coca leaves were used in the production of Coca-Cola, trace amounts of cocaine could be found in the beverage, but only about 9 mg per serving. The public eventually became aware of the addictive properties of these substances, so Coca-Cola was pressured to remove this drug from its list of ingredients. The Coca- Cola Company made steps to gradually phase out sources of cocaine from its production until it was finally eliminated in 1929. The second change is Coca-Cola's introduction of a new product: New Coke. On April 23, 1985, The Coca-Cola Company took a huge risk that shocked the world. They announced that they would be changing the formula of their world- famous soft drink. Despite its massive success, the company had been losing ground to one of its main competitors, Pepsi. Pepsi’s success wasn’t just in the United States. They were quickly expanding into markets that were once considered untouchable. Based on surveys and taste tests, consumers seemed to prefer the sweeter taste of Pepsi. Therefore, Coca-Cola began reformulating its formula to enhance competitiveness. After receiving positive feedback from nearly 200,000 customers in taste tests, New Coke was launched into the market. The public's reaction to this new version was outrage. Loud protests were organized, and the company was inundated with thousands of angry phone calls and letters. The backlash was so severe that the company had to revert to the old formula just 79 days after its debut in the market, reintroducing the classic Coca-Cola brand. Coca-Cola continued its product innovation with the introduction of Coca-Cola Zero Sugar. The company has been cautious in its promotion of the new version as to not create a blowback like the 1985 New Coke fiasco. Coca-Cola has reiterated that the new version will not be a major overhaul, rather an “optimization of flavors and existing ingredients”. Recipe and flavor variations of Coca-Cola Despite the complete failure of New Coke in 1985, The Coca-Cola Company introduced new flavors over time alongside the classic Coca-Cola. In 1982, the company released a diet version of their product for consumers who were concerned about consuming too much sugar. A caffeine-free version was also introduced a year later. The company has also tried different flavor combinations. The first was Coca-Cola Cherry in 1985 which was a huge success and remains popular today. Other flavors included lemon, lime, vanilla, orange, ginger, cinnamon, and coffee. 2.2. Taste localization Coca-Cola has achieved tremendous growth by adjusting its products to fit local tastes and preferences. As a result, the taste of Coca-Cola varies from country to country, depending on the culture, local cuisine, and individual preferences in that country. - United States: Coca-Cola in the U.S. typically has a sweet, balanced taste with a slight acidity. This is the classic Coca-Cola flavor that many people around the world are familiar with. - Japan: In Japan, there are unique versions of Coca-Cola, such as Coca-Cola Clear (transparent), Coca-Cola Plus (containing fiber), and Coca-Cola Coffee Plus (combining with coffee). The taste can be adjusted to match local preferences, for example, by adding more or less sugar depending on the specific market. - Mexico: This is the country with the highest Coca-Cola consumption in the world. Coca-Cola in Mexico is often made from cane sugar instead of the corn syrup commonly found in the U.S. This creates a distinctive and sweeter flavor compared to the version in the U.S. - China: In China, Coca-Cola has developed special products such as Coca-Cola peach and Coca-Cola lychee, catering to the local consumer taste preferences. - Europe: In some European countries, such as Italy and France, Coca-Cola may have a stronger and less sweet taste compared to the version in the U.S.