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A Buisness Report.

Group Members:
Hashir Jalali
Rafael Chandna
Ramsha Rafique
Table of Contents
History of Coca-Cola
Birth of Coca-Cola
Expansion
Reason behind Success
Time line
Objectives
Mission Statement
Bibliography
In May 1886, Coca-Cola was invented by a pharmacist from Atlanta named John Pemberton, otherwise
known as "Doc." He fought in the Civil War, and at the end of the war he decided he wanted to invent
something that would bring him commercial success.

Usually, everything he made failed in pharmacies. He invented many drugs, but none of them ever made
any money. So, after a move to Atlanta, Pemberton decided to try his hand in the beverage market.

In his time, the soda fountain was rising in popularity as a social gathering spot. Temperance was keeping
patrons out of bars, so making a soda-fountain drink just made sense.

John Pemberton concocted the Coca Cola formula in a three legged brass kettle in his backyard.
However, Pemberton had no idea how to advertise. This is where Frank Robinson came in. The name was a
suggestion given by John Pemberton's bookkeeper Frank Robinson.

And this was when Coca-Cola was born.


BIRTH OF COCA COLA

Being a bookkeeper, Frank Robinson also had excellent penmanship. It was he who first
scripted "Coca Cola" into the flowing letters which have become the famous logo of today.
He also wrote the slogan, "The Pause That Refreshes."

The soft drink was first sold to the public at the soda fountain in Jacob's Pharmacy in
Atlanta on May 8, 1886.

Did you know? The first servings of Coca Cola were sold for 5 cents per glass. During the
first year, sales averaged a modest nine servings per day in Atlanta. Sales for that first
year added up to a total of about $50. The funny thing was that it cost John Pemberton
over $70 in expenses, so the first year of sales was a loss. Today, daily servings of Coca
Cola beverages are estimated at 1.9 billion globally.
Coke did not do so well in its first year. And to make matters worse, Doc Pemberton died
in August 1888, meaning he would never see the commercial success he had been seeking.

After Pemberton's death, a man named Asa Griggs Candler rescued the business. In 1891,
he became the sole owner of Coca-Cola.
EVOLUTION OF THE COCA-COLA BOTTLE
Under Mr. Candlers leadership, distribution of Coca Cola expanded to soda
fountains beyond Atlanta. In 1894, impressed by the growing demand for Coca Cola
and the desire to make the beverage portable, Joseph Biedenharn installed
bottling machinery in the rear of his Mississippi soda fountain, becoming the first
to put Coca Cola in bottles. Large scale bottling was made possible just five years
later, when in 1899, three enterprising businessmen in Chattanooga, Tennessee
secured exclusive rights to bottle and sell Coca Cola. The three entrepreneurs
purchased the bottling rights from Asa Candler for just $1. Benjamin Thomas,
Joseph Whitehead and John Lupton developed what became the Coca Cola
worldwide bottling system.

Among the biggest challenges for early bottlers, were imitations of the beverage
by competitors coupled with a lack of packaging consistency among the 1,000
bottling plants at the time. The bottlers agreed that a distinctive beverage needed
a standard and distinctive bottle, and in 1916, the bottlers approved the unique
contour bottle. The new Coca Cola bottle was so distinctive it could be recognized
in the dark and it effectively set the brand apart from competition. The contoured
Coca Cola bottle was trademarked in 1977. Over the years, the Coca Cola bottle
has been inspiration for artists across the globe a sampling of which can be
viewed at World of Coca Cola in Atlanta.
Early Marketing Strategies

The first marketing efforts in Coca Cola history were executed through
coupons promoting free samples of the beverage. Considered an innovative
tactic back in 1887, couponing was followed by newspaper advertising and the
distribution of promotional items bearing the Coca Cola script to participating
pharmacies.

Fast forward to the 1970s when Coca Colas advertising started to reflect a
brand connected with fun, friends and good times. Many fondly remember the
1971 Hilltop Singers performing Id Like to Buy the World a Coke, or the
1979 Have a Coke and a Smile commercial featuring a young fan giving
Pittsburgh Steeler, Mean Joe Greene, a refreshing bottle of Coca Cola. You
can enjoy these and many more advertising campaigns from around the world
in the Perfect Pauses Theater at World of Coca Cola.
Early Marketing (Continued)

It was when Candler took over that one of the most innovative marketing
techniques was invented. He hired traveling salesmen to pass out coupons for
a free Coke. His goal was for people to try the drink, like it, and buy it later
on,
In addition to the coupons, Candler also decided to spread the word of Coca-
Cola by plastering logos on calendars, posters, notebooks and bookmarks to
reach customers on a large stage. It was one step in making Coca-Cola a
national brand, rather than just a regional brand.
In 1898, however, Congress passed a tax in the wake of the Spanish-American
war. The tax was on all medicines, so Coca-Cola wanted to be sold only as a
beverage. After a court battle, Coca-Cola was no longer sold as a drug.
So the early growth was impressive, but it was only when a strong bottling
system developed that Coca-Cola became the world-famous brand it is today.
In 2009, the Open Happiness campaign was unveiled globally. The central
message of Open Happiness is an invitation to billions around the world to
pause, refresh with a Coca Cola, and continue to enjoy one of lifes simple
pleasures. The Open Happiness message was seen in stores, on billboards,
in TV spots and printed advertising along with digital and music components.
Experts have long believed in the connection between happiness and
wellness, and Coca Cola is proud to have played a part in happy occasions
around the globe.
Expansion

Today, Coca-Cola is one of the most well-known brands in the world. This company has
continued to gain momentum and growth, capitalizing on the rapidly expanding beverage
industry and ranking as the largest beverage company in the world. With its push for global
market share, Coca-Cola now operates in over 200 countries with over 84,000 suppliers.
Currently, over 70% of Coca Colas business income is generated from non-US sources (Coca-
Cola Company, 2012). In over a century, Coca-Cola has grown the company into a multi-million
dollar business.

However, the road to success has not always been easy for Coca-Cola. Many countries have
banned the use of Coca-Cola products, claiming that these products are threatening public
health and encouraging obesity. Many labor practice suits have been filed against the mega
beverage company with accusations of child labor sweatshops and discrimination in
providing health care benefits to workers. In addition, the beverage industry has been flooded
with competitors introducing new soft drink products, such as Pepsi, along with soft drink
alternatives, such as Gatorade, bottled water, fruit juice, and energy drinks.

Coca-Cola has faced the challenge by introducing new beverage brands including Sprite, Fanta,
Minute Maid, Simply Orange, Fresca, Vitamin Water, Smart Water, Odwalla, and Powerade. In
light of the obstacles Coca-Cola has overcome, the company has remained true to its
commitment to provide quality, refreshing, and satisfying products to consumers. In order to
ensure each product tastes the same across the globe, Coca-Cola continues to keep the
beverage recipes secret with tightly controlled manufacturing facilities. Coca Cola has never
lost sight of its goal to be the best beverage company in the world.
Globalization

Now, let us take a closer look at Coca Colas journey to globalization.


While the global marketplace has presented numerous opportunities for Coca Cola,
the company has also encountered global attacks on the nutritional value of its
products, along with unfair labor practice accusations. Founded in 1880, Coca-Cola
began its journey toward becoming the worlds best and largest beverage
company. Coca-Colas American iconic logo, brand recognition, convenient
packaging, and consistent product manufacturing became the foundation for the
companys plan to expand globally. A pioneer in globalization, Coca-Cola began
expanding bottling and manufacturing facilities back in the early 1900s,
establishing key foreign partnerships. Coca-Colas marketing strategies, including
memorable advertising slogans, catchy jingles, and sporting event sponsor ships,
played a significant role in winning the hearts and minds of consumers globally.
Product differentiation, such as offering different beverages in flexible packaging
options, allowed Coca-Cola to customize the product for different market
segments. Technology advances, including product transportation,
telecommunication, and computerization, became the driving force behind Coca-
Colas ability to capitalize on the rapidly expanding marketplace across the globe.
How COCA-COLA BECAME SUCCESSFUL
It started with a unique, market-tested formula.
Its logo uses a timeless font.
It was distributed in a proprietary bottle.
It held retailers responsible for maintaining its high standard.
It kept its consumer price fixed for 70 years.
It guided word-of-mouth advertising and developed a voice.
It adopted a franchise model.

The REAL value of the Coke brand lies in these two facts:
1.) As Dan Stifter states, they have 1 million delivery trucks world-wide. Coke
is truly available for purchase EVERYWHERE.
2.) They share the entire world market with Pepsi. This duopoly controls the
market and, as any economist will tell you, they don't really have to compete.
5 Strategic Actions

Focused on driving revenue and profit growth


Invested in their brands and business
Became more efficient
Simplified their company
Refocused on their core business model
COCA-COLA IS THE MOST POPULAR AND
BIGGEST-SELLING SOFT DRINK IN HISTORY, AS
WELL AS THE BEST-KNOWN BRAND IN THE
WORLD.
The Coca-Cola story is a good one from 1886 to the present day, even if we do
say so ourselves. Weve broken it down into the twenty-three chapters below,
so you can follow us through the years

1886: the first taste,

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