Coca-Cola Changes Corporate Philosophy to Capture Overseas, Growth Markets
In order to capitalize on new markets overseas, Coca-Cola is taking huge risks and altering their corporate philosophy (Robert Frank, "Coca-Cola Is Shedding Its Once-Stodgy Image With Swift Expansion," Wall Street Journal, August 22, 1995, p. A1).
Because of the company's enormous size and the introduction of specialty teas, juices, bottled waters and sports drinks into the market in the early 1990s, Coca-Cola's share of the growth market dropped.
Executives decided to adopt a new philosophy to move fast and take risks. They are using new communication technology, shifting personnel, and changing the company's infrastructure as needed.
This year Coca-Cola earned 80% of the growth in the U.S. soft drink market, double the share earned last year, and opened new plants in Romania, Norway, Fiji, and India. Expansion into 10 more countries is now planned, and Coca-Cola will be the first company to enter into a joint venture with Vietnam.