Coca Cola in India Coca Term Paper

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Coca cola challenged this criticism and took assistance from the U.S. Embassy situated in India.

For regaining its position in India, Sanjiv Gupta, a coca cola representative, did research and then showed the results to public through websites and advertisement. Sanjiv Gupta showed a great example of regaining the position of a brand after severe criticism. Coca cola fought bravely in this attack and openly communicated with the public.

Future of coca cola

Coca cola is the leading brand of the world. Coca cola advertisement and other promotional activities are at its peak. In order to sustain its position in the market it is imperative that coca cola should keep on altering its strategies according to the changing tastes of customer. Besides this, it is also essential for the company to maintain the financial position so that it can develop a constant relation with the shareholders. The present position of coca cola in the whole world depicts that by constantly competing its competitors and maintaining its focus on the target customers, it can flourish in the market (Eldred, 2008, pg 345).

In India

As far as India is concerned, Coca cola has also maintained its position over there after a criticizing attack. People are now again addicted towards the different products of coca cola. At present, coca cola is generating great revenues from India. In the year 2005, large part of coca colas revenue from India was from the urban side but after that the company implemented strategies to attract the rural areas of India as well. India is such a country where managing inventory and distribution of the product is not at all an easy task. People of India have many diversifications in their taste. It is imperative for the coca cola to keep on fulfilling the requirements of its Indian customers so that it can sustain in the end. It seems that the future of coca cola Company in India is shinning, but this shinning position can only be achieved by competing well with the rivals.

Problems in International Trade and some other factors

Trade barriers vary from one country to another. On average, these trade barriers are not so much for the coca cola company. The company is mostly not allowed to sell its products in such places that United States has embargoed. These places include Iran and Cuba. In addition to this, government regulations are also considered in this. Coca cola also gives primary importance to the culture of a country. Coca cola is a sign of globalization as well as America. Due to this reason, those countries in which America is despised, coca cola is bound to implement the strategy of keeping itself at a distance from America but on the other hand in those countries where globalization is favored and America is considered as a friend, coca cola takes advantage of this and use the two symbols while doing promotion of its products. Apart from this, the company also focuses on the language, living standard and religion of the people being targeted. Since the living standard of the rural and urban areas of India is different, coca cola has to adopted different pricing strategies in both of the areas. Besides this, it plans its advertisement by keeping in view the religious occasions of the country (Gill & Gill, 2008, pg 986-989). Coca cola also has to consider different factors like corruption, political assistance, and rate of migration of the people etc. before selecting a region to market. It is because if political assistance is towards competitors, its products will never flourish in that region and if there is a high rate of migration then it will face difficulty in production due to change in labor.

In addition to this, coca cola has to face severe criticism in those areas where there is scarcity of water but coca cola is bound to use it because it is the main ingredient of its products.

An economic change in a country is also a challenge for the company if they are not positive. Especially in those countries where inflation exists, coca cola faces a high production cost. After water, sugar is the main ingredient of most of the coca colas product. Due to this, price of sugar directly affects the production cost of the product (Gill & Gill, 2008, pg 986-989).

References

Bell, L. (2003). The Story of Coca-Cola. London: Black Rabbit Books.

Company, D.P., & Allen., F. (1999). Secret Formula: How Brilliant Marketing and Relentless Salesmanship Made Coca-Cola the Best-Known Product in the World. Chicago: Diane Publishing Company.

Eldred, M.J. (2008). The Emperors of Coca Cola. Chicago: Lulu.com.

Gill, M., & Gill, C. (2008). Coke or Pepsi? London: Fine Print Publishing Company.

Pendergrast, M. (2004). For God, country and Coca-Cola: the definitive history of…[continue]

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