The Dark Side Of Coca-Cola Company| Billions Behind Selling just Sugar Water | Coca-Cola Business Case Study

The Dark Side Of Coca-Cola Company| Billions Behind Selling just Sugar Water | Coca-Cola Business Case Study thumbnail

Do you know the word used most after ok is “Coca-cola”? Two countries CUBA and South Korea, Rarely there is any country in the world, Where Cocacola is not sold. Well, honestly coke is nothing but sugar water. But the question is this, By just selling sugar water, How can a company build such a billion-dollar empire? Some say Cocaine is present in coke.

Some say coke is a toilet cleaner. And many people say that coke has a secret formula, Which is not known by anyone until today? And because of this trade secret No one has beaten them until now. So this story starts in the 1880s. When many doctors were busy selling their medical potions. These potions are nothing but dangerous substances, Which were sold in market under name of medical potions.

At that time popular medicine was Wine Mariani. Which was made of a mixture of wine & cocaine. And there was just one person who used it so much, That he became its addict. His name was John Pemberton. Because he was injured in war So to relieve the pain he regularly consumed morphine. But then one day he met Wine Mariani. And with time he became addicted to Mariani.

Because he was a chemist, So in 1884 to give competition to Mariani he made his drink. That was named “French Wine Coca”. And today this French Wine Coca is known as Cocacola. So French Wine Coca was made of these two things. The number one kola nut that contains caffeine. And number two Coca leaf that contains cocaine. French Wine Coca was a very big success. But there was one obstacle.

The government started ban of alcohol everywhere. To keep business running He replaced drink with carbonated water. But carbonated water is very tasteless. So to make it tasty he started adding sugar. In industries 1880, no one had a problem with cocaine. And now as Pemberton changed the drink, He wanted a new name for a drink. When he was searching name,.

A bookkeeper in his office suggested a name. And the name was “Coca-cola”. Pemberton changed the name as well as the product. But still, there were no sales. Because Pemberton was selling Coca-Cola as medical aspect. Coke was marketed as A wonderful brain tonic That removes headache and relief. But there was just one problem.

At tha time in the market, There were more than 100 drinks like this. Unfortunately in 1888, John Pemberton died. But before dying, He sold his company for $2300 to Asa Candler. After buying company Candler started acquiring company shares from other people. Because he wanted full control of the company. And now it was time to change the game.

Candler did not market coke as medicine But as a tasty relaxing drink. The money he earned from coke, He reinvested it in advertising. And at that time, there were coke banners everywhere. In the initial days, coke was sold in fountains. Because it was very cheap for candler. Give the syrup, mix it in carbonated water and sell it. That time two lawyers came to candler benjamin & joseph.

And said such thing which will change coke’s future. One thing bottle it. Candler was not interested in the idea of bottling. So both lawyers took bottling rights for $1 from candler. But you know what, interestingly their contract, Neither there was a time limit, Nor any clauses for the price change. Very less people know this, This one event had a big hand behind coke’s success.

And that event was “World war 2”. During World war 2 there was rationing on sugar. That means everyone will get sugar in limited quantities. At that time to run their business of coke, They asked for exemption from the government. By claiming coke as a “Wartime product” And the strange thing was government accepted it. After that coke’s president committed in front of all, Every uniform soldier will get coke only for 5 cents.

After which there was a big line outside coke of fighters. After that coke ran many advertising campaigns. Where they showed a connection with warfighters & patriotism. In fact, coke got funds from the US for international expansion. Very few people know this, US government has sponsored more than 64 plants worldwide. But this is just one side of Coca-Cola. In today’s time, coke is doing many such things, Which in upcoming time will help them reach a whole new level.

Coke is one of the biggest companies in the world, Which is now taking entry in ‘Metaverse’. Everyone knows that coke is an FMCG brand. So to take entry into the digital world, Coke’s NFT’s and digital wearables Launched on Decentraland on wear platform. By doing this coke will not be in the physical world, But will make its presence in the digital world. But the question is, “Why Metaverse?”.

Two reasons Number one is “Brand value”. The brand value of coke is so huge That hardly there will be anyone who doesn’t know coke. It makes it very easy for them to enter the Metaverse world. Number two collectables. Very less people know this but Coke is collectable brand. Coke miniatures, tags, badges And god knows what other things they collect.

When people so many things in the physical world, Then they will also collect in the digital world. So the question is, If a billion-dollar company like coke is exploring metaverse. Then why are we not doing it? I know many among you will say, We are not content creators. So how can we explore metaverse? So in any digital thing, there are 2 things involved.

Number one who uses the digital thing. Number two who build the digital thing. Now to build a digital thing you need many skills. Blockchain developer, Metaverse research scientist, NFT Strategist, Metaverse Data Scientist And there are many other career options in Metaverse. You can learn Data science from upgrad also. Because there University of Arizona, In fact, Top colleges like IIT Bombay’s top courses are there.

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But student mentorship, Alumni status of graduating from a top university. Leading faculties who teach you through relevant case studies. And along with that, you get placement support also. MBA, Data science and LAW. If you want to do it at a top university then Upgrad is your go-to place. The link for all is in the description. You can also check upgrad to fast forward your career growth.

But even after that, the one question remains, How did Coca-Cola become most recognized brand in world? Because it was not possible just by selling sugar water. Many of you must have heard this story, Coke has a secret formula, Which is kept hidden in a vault in high security. But do you know formula is not the secret? The formula of coke is available on Wikipedia also. The formula has no hands in the success of coke.

Take coke’s formula and make a clone product. But then too you won’t be able to compete with Coca-Cola. The question is why so? The answer is hidden in this one thing. The way they marketed. Coke says that to make someone their customer for life, Is to make sure they consume from the earliest age possible. The question is how does coke do all these things? Do you know.

In this world coke For more than 10000 Underfunded schools, Has provided funding. But this thing was not done for charity. In return, the school signed an exclusive contract with coke. All the wending machines in the school They will sell only coke. Because of which all the kids in those schools, Get the habit of coke since childhood.

Today also Santa Claus gives collective items of coke And free coke for kids. Coke all these things. But the question why were all these things done? So see, it is scientifically proven, The total amount of sugar consumed in life Depends on how much sugar exposure he got in his childhood? If in childhood he was exposed a lot, Then in a full lifetime, he will consume more sugar.

Coke spends billions of dollars on athletes’ advertisements. Just to convey one message. That ” Coke is a healthy way of life”. In the 1980s there was a leak of very negative data, Which told about the harmful effects of coke on the body. One study tells that, Just one extra sugary drink Increases 60% chances of you being overweighted. When all these studies came forward,.

Coke also made studies from different organizations. For which of course coke paid them. And their result was Coke has no harmful & negative effects on the body. In 1999, in Belgium, many children fell sick after drinking coke. Because of this coke was banned in Belgium. But coke did not care about it. In fact in India Coke also has charges of groundwater contamination.

Coke said that they had fixed this thing. But after some time, There was toxic sludge found at coke plants. And if this toxic sludge is not properly disposed of, Then land becomes barrel. And the life of local animals is in danger. And farmers’ jobs are lost. Delhi center of science and environment Found pesticides in coke and Pepsi samples.

Which if you regularly consume, Then it can cause cancer. Now just one question. Should we drink coke? Well, it is your choice. I leave it up to you. But the most important Which are those powerful important business lessons? By studying from this case study We can implement it in our business.

First lesson, Sell emotions and not products. We don’t buy products but the emotions behind them. Any person GUCCI, Armani, LV Their bags, shoes, watches they don’t buy them. They buy the luxury emotions behind it. Coca-cola is just sugar water. And interestingly everyone knows this fact. But then too we buy coke.

Why? Because we don’t buy but the emotions sold by the brand We buy out it. Second lesson, Good marketing is always an investment, not an expense. Many people count marketing as an expense in business. But you know what, If done right marketing is the most rewarding investment. And so coke every year 25-35% of revenue.

Spends only on marketing. And as coke is doing it for many years, So today there is no such person who doesn’t know Coca-Cola. Third lesson. Learn to take the stones thrown at you. There were many protests against coke. There were many defamations and many allegations. But despite all these things, Even today coke is one of the biggest companies in the world.

Coke is right or wrong? This I will leave it up to you. But in life, If you keep replying to every person who throws stones at you, Then you will never succeed in life. Learn to ignore and move forward. Things will keep on happening but you must grow. And to succeed in life there is no better thing than education. So don’t forget to check upgrad. So that you can also take world-class education.

And grow yourself. Do you know Royal Enfield was going to be bankrupt? But at that one 26 year old guy entered in the business. And today Royal Enfield, Is India’s profitable automobile company. The question is what did this 26 year old guy do? If you will the video on the right you will get to know.

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