1.

Evaluate the feasibility of Coca Colas initiative to develop commercial solution for plastic bottles made entirely from plants ANS: More than 2.5 billion plastic bottlespartially made from plantsare already in use around the world in a bid to replace petroleum as the fundamental building block of everyday plastics. The so-called PlantBottle from the Coca-Cola Co. is made by converting sugars from sugarcane farmed in Brazil into the polyethylene terephthalate (PET) plastic commonly used in the ubiquitous clear bottles for various beverages. Fully recyclable, the bottles debuted at the 2009 U.N. Copenhagen Climate Conference and Vancouver Olympics, and are now on sale from Japan to Chile and across the U.S. Most importantly from Coke's point of view, none of the six other major varieties of plant-based plastic can keep the carbonation from leaking out. "It's not only to hold carbonation, it's just to hold water," explains chemist Shell Huang, Coca-Cola's director of packaging research. "You can lose moisture through the bottle wall" with some of the other available plant-based polymers. But can plants become more widely used as building blocks of ubiquitous plastics? In a sense it is back to the future with biopolymersthe very first plastics were produced by German chemists in the 19th century via a fermentation processes. Yet, earlier in October, Frito-Lay withdrew a high-profile example of plant-based plastic for the majority of its SunChips bags. It was unsafe or failed to compost as advertised but because the sound of the crinkling plastic was louder than customers liked. "Biopolymers will be the next generation of plastics."The PlantBottle might prove the fact that it is a different form of plastic from that which made up the failed SunChips bag. Making the PlantBottle has thus far saved roughly 70,000 barrels of oiland the plastic resin, indistinguishable from its petroleum-based analog, can be exported throughout the world. Making PET from a renewable resource so there's a lower carbon footprint, and we can take advantage of existing infrastructure to recycle it, Plus, "the carbon is captured in the [plastic of the] bottle and never goes back to the air." Of course, plant-based plastics run into the same problem as plant-based fuelsdirectly or indirectly they have an impact on food production. Whereas making ethanol from sugarcane is energy efficientmore energy is embedded in the ethanol than goes into growing and harvesting the plantsreplacing a significant fraction of the global demand for plastics, let alone fuels, would require converting large swaths into sugarcane fields.

"In the long run this could become an issue to farmland with creating pressures on the food system." Thus far, bio-based plastics have only replaced roughly 1 percent of the hundreds of billionskilogram global plastics market, according to Lux Research, although that percentage may grow in coming years. The majority of those plastics, like PLA, are not recyclable, but rather compostable using high heat (temperatures of roughly 60 degrees Celsius). "It takes 77 million years to make fossil fuels and 45 minutes to use as a coffee cup, noting that his industry can use the residue of government-mandated production of biofuels, such as ethanol from corn. "It makes no sense." Finding an alternative to plastic bottles is clearly a huge obstacle, however Coca-Cola is making positive steps in the right direction. Even though it is by no means perfect, PlantBottle will cut Coca-Cola's carbon emissions by 8-10 percent. Questions still remain over certain aspects of the production process, nevertheless the conscious effort shown by the beverage giant will not only improve its environmental footprint, but also benefit the industry as a whole. Regardless of the environmental logic, the plant-based plastics remain more expensive. "There is, right now, a bit of a price-up charge that we are absorbing, not passing it along to consumers," Lisa Manley, Coca-Cola's group director of sustainability communications, says of the PlantBottle. But "if you look at the volatility of pricing for petroleumin short order and over the long termthe price comparisons will be at parity, and perhaps better." That is why Coca-Cola, at least, can work toward a 100 percent plant-based plastic bottle and It is technically feasible to make a 100 percent plant bottle from the material.

Finally coca-cola should definitely take this environment friendly initiative in accordance to its vision and as a corporate responsibility. But it should: y y Work strategically to make it inexpensive by making economies of scale. Improve the process by continuous R&D support.( Virent, Gevo and Avantium)

2. The coke product offered by Coca Cola itself is injurious to human health. Should the company continue producing carbonated soft drinks or switch over to better health drinks? Support your comment citing health risks posed by carbonated soft drinks. [10]

Ans : The carbonated soft drink industry declined 2.1 percent in volume in 2009 to
9.4 billion cases, according to Beverage Digest. The Coca-Cola Company continued to hold the largest market share at 41.9 percent, followed by PepsiCo with 29.9 percent and Dr Pepper Snapple Group with 16.4 percent. Retail dollar value of the industry totaled $73.9 billion. Coke remained the most popular soft drink in the United States in 2009, with a 17 percent market share. Regular Pepsi and Diet Coke were tied for second at 9.9 percent each. Mountain Dew (6.7 percent market share) and Dr Pepper (6.1 percent market share) rounded out the top five

A Coca-cola advertisement released in early 90 s

TARGETING THE YOUNG

Huge increases in soft drink consumption have not happened by chance-they are due to intense marketing efforts by soft drink corporations. Coca Cola, for example, has set the goal of raising consumption of its products in the US by at least 25 percent per year. The adult market is stagnant so kids are the target. Huge increases in soft drink consumption have not happened by chance-they are due to intense marketing efforts by soft drink corporations. Coca Cola, for example, has set the goal of raising consumption of its products in the US by at least 25 percent per year. The adult market is stagnant so kids are the target. Soft drink companies spend billions on advertising. Much of these marketing efforts are aimed at children through playgrounds, toys, cartoons, movies, videos, charities and amusement parks; and through contests, sweepstakes, games and clubs via television, radio, magazines and the internet. Their efforts have paid off. Last year soft drink companies grossed over $57 billion in sales in the us alone, a colossal amount.

In 1998 the Center for Science in the Public Interest (CSPI) warned the public that soft drink companies were beginning to infiltrate our schools and kid clubs. For example, they reported that Coca-Cola paid the Boys & Girls Clubs of America $60 million to market its brand exclusively in over 2000 facilities. Fast food companies selling soft drinks now run ads on Channel One, the commercial television network with programming shown in classrooms almost every day to eight million middle, junior and high school students. In 1993, District 11 in Colorado Springs became the first public school district in the us to place ads for Burger King in its hallways and on the sides of its school buses. Later, the school district signed a 10-year deal with Coca-Cola, bringing in $11 million during the life of the contract. This arrangement was later imitated all over Colorado. The contracts specify annual sales quotas with the result that school administrators encourage students to drink sodas, even in the classrooms. One high school in Beltsville, Maryland, made nearly $100,000 last year on a deal with a soft drink company. While our children are exposed to unremitting publicity for soft drinks, evidence of their dangers accumulates. The consumption of soft drinks, like land-mine terrain, is riddled with hazards. We as practitioners and advocates of a healthy life-style recognize that consuming even as little as one or two sodas per day is undeniably connected to a myriad of pathologies. The most commonly associated health risks are obesity, diabetes and other blood sugar disorders, tooth decay, osteoporosis and bone fractures, nutritional deficiencies, heart disease, food addictions and eating disorders, neurotransmitter dysfunction from chemical sweeteners, and neurological and adrenal disorders from excessive caffeine

INGREDIENTS IN SOFT DRINKS-A WITCH'S BREW

High Fructose Corn Syrup, now used in preference to sugar, is associated with poor development of collagen in growing animals, especially in the context of copper deficiency. All fructose must be metabolized by the liver. Animals on high-fructose diets develop liver problems similar to those of alcoholics. Aspartame, used in diet sodas, is a potent neurotoxin and endocrine disrupter. Caffeine stimulates the adrenal gland without providing nourishment. In large amounts, caffeine can lead to adrenal exhaustion, especially in children. Phosphoric acid, added to give soft drinks "bite," is associated with calcium loss. Citric acid often contains traces of MSG, a neurotoxin. Artificial Flavors may also contain traces of MSG. Water may contain high amounts of fluoride and other contaminants.

Need for change

Coca-cola vision:
Coca-colas Road map starts with mission, which is enduring. It declares our purpose as a Company and serves as the standard against which we weigh our actions and decisions. y y y To refresh the world... To inspire moments of optimism and happiness... To create value and make a difference

Coca-cola being a Company has shaken up the Indian carbonated drinks market greatly, giving consumers the pleasure of world-class drinks to fill up their hydration, refreshment, and nutrition needs. Needs to change from hazardous carbonated soft drinks to healthy non-carbonated drinks to continue to be leader and in accordance to its vision and mission. The change is the rapid shift from colas to non-carbonated drinks. And to compete with brands in the non carb space of juices, water and niche drinks. It needed to have a faster go-to-market with new brands in the non carbs space. Consumption of carbonated soft drinks has been in steady decline over the past decade, in part because of the profusion of alternative beverages available in the market, from still water to sports drinks, and in part out of health concerns in a nation with an obesity problem. Accordingly In the last one year, Coca-Cola has launched energy drink Burn, Minute Maid Nimbu Fresh, Minute Maid Apple and Mixed Fruit juices, and milk-based mango drink Maaza Milky Delite that is being test-marketed . Coca-Cola India Launched The Globally Successful Minute Maid 100% Juice In The Country. Launch further strengthens its diversified product portfolio and will provide more choice to consumers So to be leader and a strong ethical organization coca cola has to make a more radical shift towards Non-carbonated healthy drinks.

Date: 09-01-2012

ASSIGMENT ON

Coca-Cola Plastic Bottles Made Entirely From Plants

Submitted by: NAME: VENKATESH Roll no: 026 CLASS: EX-PGDM, SIMS