Coca-Cola Company as a Multinational Company Operating in Australia

This article discusses the legislative regulatory framework and various treaties that have impacted Coca-Cola Company as a multinational company operating in Australia.

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Running head: MULTI NATIONAL COMPANY
Dealing with Management
Name
Institution
Author’s Note

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COCA-COLA COMPANY AS A MULTINATIONAL COMPANY OPERATING IN
AUSTRALIA
Executive Summary
Coca-Cola Company of the most reputable companies that has gained popularity in most
parts of Australia due to various types of products and services that it has been able to offer to
most of its clients who are known to be located in various locations within the boundaries of
Australia. Moreover, it has grown into one of the largest listed companies in Australia (Anderson
et al., 2016). On the other hand, it is an organization that fully operates in the beverage industry
where its main focus is fully concentrated in various types of beverages (Brudno, &
Kochenderfer, 2016). At the same time, Coca-Cola Company is one of the largest private
employers in Australia with an approximation of 14,000 employee staff who are located within
Australia. At the same time, the total number of staff attached to the company at the global level
is about 700,000 staff members. Finally, the location for global headquarters associated with the
company is located in Atlanta (Bartalena et al., 2016).

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Contents
COCA-COLA COMPANY AS A MULTINATIONAL COMPANY OPERATING IN
AUSTRALIA...................................................................................................................................2
Executive Summary.....................................................................................................................2
Legislative regulatory framework affecting Coca-Cola Company as a multinational company.4
Various treaties that have impacted on products and services Coca-Cola Company provides in
Australia.......................................................................................................................................6
References..................................................................................................................................10

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Legislative regulatory framework affecting Coca-Cola Company as a
multinational company
There is quite a number of legislative regulatory frame works within the market platform
that has been affecting the rate at which the entire company carries out various duties in order to
make sure that the needs of all the customers are attain within the stipulated time frame
(Chamberlain, Rhinehart, Shaefer & Neuman, 2016). Australia is known to have a variety of
legislative regulatory frameworks that are capable of controlling quite a number of operations
within the business sector thus ensuring that various operations are appropriately controlled
without any confusions being brought on board. In as much as these regulatory frameworks are
being brought on board, they also tend to have the capability of affecting various organizations in
terms of how they carry out their operations both at the local level and the international level.
Several multinational companies have been among the companies have been among the
companies that have encountered some of the effects associated with quite a number of
legislative regulatory frameworks being implemented to the Australian government (Clark et al.,
2016). Over the past years, most of these multinational companies have been able to come on
board to present their issues regarding the frameworks but unfortunately, their grievances have
not been attended to as far as their expectations are concerned. Coca-Cola Company is among
the major companies in Australia that has been greatly affected by a variety of legislative
regulatory frameworks. One of the major legislative regulatory frame work that is known to be
fully operating within the boundaries of Australia is the subjecting of all the local multinational
companies to a corporate tax of 30% most so the companies that are known to be operating
within the Australian boundaries. This legislative regulatory frame work was majorly brought on

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board to tax those companies that tend to operate both at the local and international boundaries
with an intention of reaching out to a wide range of customers who are located in various
locations but are still interested in the products are services being offered by the company
(Funder et al., 2016). The legislative framework affects the entire company in quite a number of
negative ways. Firstly, it makes it very difficult for the company to make the intended profit
within its stipulated time frame due to the high rate of tax that they have to pay in order to carry
out various operations within the market platform (Karlan, McConnell, Mullainathan & Zinman,
2016). This makes the whole company to lag behind in terms of scaling up to greater heights as a
result of the losses that they will be able to encounter. On the other hand, another effect of the
legislative regulatory frame work is the inability to offer a stiff competition with several other
companies that will be operating within the market platform (Van Cutsem et al., 2016). Coca-
Cola Company has not be able to come on board to offer a stiff competition since its financial
targets will be totally scaled down due to the high tax rate that they are being subjected to which
totally affects their financial goals thus making it very difficult to manage various types of
resources most so the ones that are quite essential in terms of taking the entire company to the
next level that is required.
On the other hand, there is the foreign investment framework that acts as the second
legislative regulatory framework known to be affecting this multinational company. It is a form
of regulatory framework that normally requires various companies who are interested in carrying
out a variety of foreign investment to carry out certain payments to the local government. This
regulatory framework has provided one of the most difficult operating environment for the entire
multinational company since at some point, the required amount associated with the foreign
investment tend to fluctuate due to the financial status of the entire economy thus making it

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difficult for the entire organization to be able to address a variety of its goals and objectives
within the stipulated time frame. At the same time, this has also made the entire company to
encounter some barriers during operations (Spain, Diem & Larkin, 2016).
On the other hand, we have the environmental policy frame work. It is normally a form of
legislative regulatory framework that requires each and every multinational company to comply
with each and every environmental policy in terms of their operations within the local boundaries
of Australia. The legislative regulatory framework has subjected the whole company to make
huge payments that are not necessary as far as their operations within the market platform are
concerned. This in turn makes it difficult to adequately highlight some of the environmental
concerns that they are paying for in order to avoid any further damage to the surrounding
environment. At some point, this form of legislative regulatory frame work appears not to be
constant in all the organizations but instead, it subjects a good number of multinational
companies to a huge payment compared to those companies that are not multinational thus
bringing on board some conditions of complains that have been able to arise from the company
itself.
Various treaties that have impacted on products and services Coca-Cola
Company provides in Australia
There are quite a number of treaties that have been able to impact on a wide range of products
and services that are known to be attached to the entire organization (Gossec et al., 2016). The
treaties have been majorly designed to bring on board one of the most significant changes in
terms of business operations thus acting as a stepping stone to most of the businesses by giving
them one of the most conducive environments where they can carry out their operations without
encountering quite a number of barrier related situations (Gharib et al., 2016). On the other hand,

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for a treaty to be implemented, each and every party involved must fully agree to what is taking
place and be able to conform to the rules and regulations without making any assumptions. A
good number of treaties have been able to address the condition of goods and services that West
Farmers Company has been able to bring within the market platform thus leading the emergence
of quite a number of impacts within its operating boundaries (Qaseem et al., 2016). Moreover, to
ensure that these treaties are adequately implemented, it has been the duty of the top
management officials to fully engage in each and every activity thus ensuring that all the rules
and regulations are followed to the latter. of One of the major treaties is peace treaties. The
senior management officials for the entire company have been able to sign various types of peace
treaties with several other companies that are found at the international level. AS a result of the
peace treaties, this has led to the emergence of one of the friendliest relationships with various
customers who are known to be originating from these countries thus creating one of the most
solid reputations aimed towards increasing the popularity of the entire company. At the same
time, all the products and services that the company provides in Australia have been fully
impacted on by this treaty since it has built a solid reputation for the products and services thus
capturing the attention of many customers across the board. On the other hand, there is the
Australian-Newzeland Closer Economic Relations Trade Agreements that appears to be one of
the most comprehensive and essential type of bilateral free trade agreement that is currently
existing (Rossaint et al., 2016). Moreover, it is known to have the capability of covering all types
of Trans-Tasman trade in goods which normally include several types of goods within the
Australian market platform. Since Coca-Cola is known to be dealing with a wide variety of
beverage products within Australia, this treaty has been able to impact on all the products and
services associated with the company in a variety of ways. Firstly, the treaty has been able to

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come on board with quite a number of measures that are capable of minimizing any conditions of
market distortions in trade in various goods and services, including through various aspects of
domestic industry assistance together with quite a number of export subsidies and several other
incentives. On the other hand, it has brought on board quite a number of mutual recognition of
various types of goods and services thereby eliminating various types of technical barriers to
trade together with several other impediments to the movement of quite a number of skilled
personnel between various types of jurisdictions without implementing the need for
harmonization that are linked to a variety of standards together with several other types of
professional qualifications.
On the other hand, the Thailand-Australia free trade agreement is another type of treaty
that the company known to be located in Australia is capable of using to trade with Thailand that
is found at the international market platform (Munns et al., 2016). Moreover, the reduction of
high tariffs barriers that were currently present within the Thailand’s market platform, has been
able to emerge as one of the most significant wins to most of the businesses within the
boundaries of Australia. This has therefore been able to open up quite a number of export
opportunities in the entire Southern Asia second largest economy (Lurbe et al., 2016). On the
other hand, the treaty has been able to improve the environment for the bilateral services trade
that is associated with the goods and services that West Farmers releases into the market
platform. On the other hand, it has been able to impact on the products and services by providing
one of the most adequate and reliable investment protection that has been able to guarantee a
wide range of rights to quite a number of direct investors of Australia who are situated in
Thailand (Garcia‐Tsao, Abraldes, Berzigotti & Bosch, 2017). On the other hand, it has been able
to adequately facilitate business that is conducted by the entire company by easing visa together

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with several other requirements that Coca-cola Company requires for temporary entry into the
Thailand market thus providing the whole organization with one of the best opportunities to sell
its products and services to a variety of individuals at the international market platform by
increasing the popularity of various types of Australian produced goods and services that are
known to be originating from the company (Pappas et al., 2015). At the same time, the treaty
fully impacts on the provision of goods and services by creating one of the most fundamental
trade channels that has enabled the entire organization to appropriately carry out various
operations in an adequate and reliable manner most so when it comes to the distribution of
various products and services to different clients who are known to be situated in different
locations within the entire market platform (Smolen et al., 2017). At the same time, the treaty
also impact on the provision of the products and services attached to the company by ensuring
that only quality products that are capable of meeting the needs of all the clients within the
market thus giving an easy time for the entire management team to be able to determine what is
required by their respective clients. The above mentioned treaties have been able to take the
entire organization to the next level thus making sure that all the future goals and objectives are
attained within the shortest time possible.

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