Coca-Cola is a global business that operates on a local scale in every

community they do business. Coca-Cola sells more than 1.8 billion

servings of their products each day. Coca Colas global strategy is huge
and the company is considered an international phenomenon. CocaCola does business in over 200 countries. Ninety-four percent of the
worlds population recognizes the brand. Coca-Cola produces more than
500 brands sold in over 20 million outlets worldwide. Coke was one of
the four founding companies that established the Global Business
Initiative on Human Rights back in 2009. They helped found this initiative
as a way of ramping up respect for human rights across their business
model as well as showing respect to their entire global supply chain.
Coca Colas global strategy is obvious when you visit their web site.
They have information describing their global strategy all over their site.
Coca-Cola has adopted a transnational approach to their global strategy.
The company operates hundreds if not thousands of global operations
throughout the world. Coca Colas main headquarters is located in the
United States and it is where they produce their syrup concentrates.
Coke then sells their syrup concentrate to independent bottlers
worldwide. The bottlers produce the final drinks by mixing the syrup with
filtered water and sweeteners, carbonating them, and then putting them
in cans and bottles. The bottlers are the ones that customize the drinks
sweetness to appeal to the regions cultural tastes. Lastly, the bottlers
sell and distribute their finished products to retail stores, vending
machines, restaurants, and food service distributors. This is why I feel
Coca-Cola distinguishes itself more as a transnational operation and not
global, international, or multi-domestic operation.
Coca Colas global strategy has evolved immensely since they started
building their network in 1900. Mr. Earnest Woodward was the man
responsible back then for visualizing Coca-Cola as an international
brand. He established the global momentum that carried Coca-Cola to
every corner of the world. Cokes global strategy started back then when
Mr. Woodward carried jugs of Coca Colas syrup on his vacation to
England. The same year Mr. Woodward traveled to Cuba and Puerto
Rico with his product. It was not long after Mr. Woodward took these
trips before the international distribution of Cokes syrup began. Soon
bottling partners began operating in the same countries Woodward
visited and in many others. In 1926, Mr. Woodruff established the
Foreign Department to organize Coca Colas international expansion.
In 1930, it became a subsidiary known as The Coca-Cola Export

Corporation. At this same time, the number of Coca-Cola bottlers had

almost quadrupled and Coke had already initiated a partnership with the
Olympic Games. Cokes partnership with the games really helped them
transcend many cultural boundaries.
Today Coca-Cola is still implementing and refining Mr. Woodruffs global
vision. This year Coke is splitting its business into three separate
divisions; Coca-Cola International, which will consist of the companys
Europe, Pacific, Eurasia and Africa operations; Coca-Cola Americas,
which will include Cokes North America and Latin America businesses;
and Bottling Investments Group (BIG), which will oversee the companys
bottling operations outside of North America. Coca-Cola is hoping that
their new company structure will give them more flexibility to strategically
fine-tune their business operations within these two main geographical
regions. Coca-Cola also has six main global vision goals they hope to
reach by the year 2020. They are:
1.) People. Coke wants to become an even better place to work and
globally wants to attract great talent.
2.) Partners. Coke wants to become the most preferred and trusted
beverage partner.
3.) Profit. Coke wants to more than double system revenues while
increasing their system margins.
4.) Portfolio. Coke wants to more than double their servings to over 3
billion a day and to be #1 in the NARTD beverage business in every
market and every category that is of value to them.
5.) Planet. Coke wants to be a global leader in sustainable water use,
packaging, energy, and climate protection.
6.) Productivity. Coke wants to manage people, time, and money for
greatest effectiveness.
The Coca-Cola Company itself is not a franchise per se but their bottling
partners are Coca-Cola franchises. As I wrote earlier, Coke creates their
products main ingredient here in the United States. Then they sell it to
their franchise partners. Cokes bottlers are independent companies and
Coke only owns a small share of each bottling operation. Coke and their

bottling partners work closely together to supply each individual

geographic market with the products those particular customers want.
78% of Coca Colas business is done globally. 29% of Cokes business
is done in Latin America, 18% in the Pacific, 16% in Eurasia and Africa,
and 15% in Europe. Coca Cola does 22% of its business here in North
America.
Coca Colas workplace strategy includes programs to attract, retain, and
develop diverse talent. Coke also provides support systems for groups
with diverse backgrounds and they educate their associates so that they
all master the skills to achieve sustainable growth. Cokes diversity
workplace strategy includes programs to attract, retain, and develop
diverse talent and Coke provides support systems for groups with
diverse backgrounds. They also educate all of their associates about the
importance of diversity in the company.
The way that Coca Cola addresses and works through any cultural or
ethical issues is first by formally garnering feedback from their employee,
partners, and suppliers. Secondly, Coca Cola informally addresses any
issues by their use of business resource groups and various diversity
education programs the company offers. As of 2011, over 5,200
employees were members of their business resource groups. Cokes
associates can work to resolve any issues they may have with the
company through the groups and programs provided. Coca Cola sees
diversity as more than just policies and practices. They feel diversity as
an integral part of who they are as a company, how they operate, and
how they see their future. Coca-Cola has over 139,600 associates
around the world that live and work in the markets the company serves -50 percent of them are outside the U.S. Coca-Cola associates learn from
each different market they serve and they share what they learn which
makes their company culture even more collaborative. From beverage
concepts and development to merchandising, Cokes associates are
sharing ideas across departments and markets in many new ways.