The Coca-Cola Company - Standardisation Adaptation

Abstract The Coca-Cola Company is the world’s leading beverage company, with markets in over 200 countries and over 1,100 brands under their portfolio. The company was founded in 1886 and is currently headquartered in Atlanta, Georgia, USA. This paper seeks to explain the impact of globalization on the standardization versus adaptation decision using examples from the Coca-Cola Company’s performance and strategies since their inception as a company. Introduction Globalisation can be defined as the movement toward economic, financial, trade, and communications integration by countries and their populations globally. It is a constant process and it has resulted in the intertwining and generalisation of the needs and wants of people†¦show more content†¦Thus it can be inferred that the company has kept its core concepts standardised while only adapting a regional touch on the peripheries, thus saving costs and reinforcing brand equity. Coca-Cola has been estimated to have saved $90 million in production costs over 20 years by producing worldwide commercials focused on similar themes (Onkvisit Shaw, 1990). Coca Cola’s international achievement can be attributed to numerous of things, but in order to think globally one must first think locally. This is the main message that Coca Cola Company place huge emphasis on whenever they are entering a country. (Miller) Coca Cola has formatted its approach strategically using a tactical method, this is done to provide the appropriate marketing activities and beverage to its customers. As part of Coca Cola vision to taste the same around the world, they have chosen to standardize its product and manufacturing process. In Trinidad and Tobago the local name for Coca Cola is â€Å"Coke†. From the perspective of consumers the key conceptual categories are not the flavours and colas that marketer hold in high regard, but what we refer to locally as the ‘black’ sweet drink. (Miller) Trinbagonian’s are particularly fond of sugar and sweet products this is linked to the days of the sugar cane field. Coke came into Tr inidad in 1939, while under the British Government. (Miller)Show MoreRelatedStandardisation Versus Adaptation in a Globalisation Context2468 Words   |  10 PagesStandardisation versus Adaptation in a Globalisation context Challenge This is the challenge facing primarily multinational firms whether to standardise their local offering or adapt/localise it for the market they are selling into. According to De Wit and Meyer (2010), the question facing managers is whether they should anticipate and encourage global convergence by emphasising global standardisation, centralisation and coordination or should managers acknowledge and exploit international diversityRead MoreThe International Marketer Of Overseas Markets1383 Words   |  6 Pagesoverseas markets. 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