Coca-Cola in the Indian Market

Do you know that over 11,000 cans of Coca Cola products will be consumed per second per day? It is more than 1 billion soda per day. This is a long period that the company was established in 1886, selling only 9 glasses on average a day. Yes, over a hundred years ago, it was sold at a price of 5 cents per cup and was poured out of the kettle. The Coca-Cola brand is currently an American idol of apple pie and baseball. The Coca-Cola bottling company is now a Fortune 500 company with net profit of $ 3,533 million.

The Coca-Cola Company established its first factory in India in 1950 and was on the market until the 1970's. Coca-Cola left the Indian market as the Indian government demanded to share the "secret" of coke. After about 16 years of absence, Coca-Cola re-entered the Indian market in the early 1990s when India achieved economic liberalization (CokeFacts, 2009). Today, Coca-Cola is India's largest multinational corporation and is regarded as one of the top international investors in the Indian economy. Through the acquisition of a domestic beverage company, Coca-Cola expanded its production capacity, and a large company investment helped to increase profitability and took a strong position in the Indian market. As a multinational corporation operating internationally, the Coca-Cola Company faces a series of allegations against its bottling factory. We insist that Coca-Cola is a company that is very responsible for society and the environment.

In May 1990, Coca-Cola re-entered India through a joint venture with local bottling. The main obstacle for Coca-Cola to enter the Indian market is its political / legal environment. The government refused the application. However, Coca-Cola returned to India through partnership with Britannia Industries India Ltd. The new joint venture is called "Britco Foods"

Coca - Cola dominated the Indian market until 1977 when the Janata party broke the general meeting of then Prime Minister Indira Gandhi. In order to punish Coca-Cola's main bottler, a firm and long-term Gandhi supporter of the Congress Party, the Janata government asked Coca-Cola to transfer its syrup prescription to a subsidiary in India (Chakravarty, p. 43). Coca-Cola Company withdrew from the country. India is a protected market except Coca-Cola and Pepsi, but India's two largest soft drink makers are rich and lazy controlling the market share of India's 80%. These domestic producers do not have the incentive to expand their own factories or to potentially develop huge markets (Chakravarty, p. 43). In order to obtain a license from India, Pepsi must export $ 5 per dollar of imports per dollar, and if the Indian government does not agree to help start the second agricultural revolution It will not.