PGBM 68: Coca-Cola CSR Strategies and Challenges Report

This report provides a comprehensive analysis of Coca-Cola's Corporate Social Responsibility (CSR) initiatives. It begins with an introduction to CSR and its importance, followed by an overview of Coca-Cola's background, market presence, and operational context in the USA and India. The report defines CSR, outlines key issues, and examines Coca-Cola's role in CSR, including its focus on sustainability, packaging and recycling, consumer health, supplier involvement, employee development, water stewardship, and energy and climate. It includes a stakeholder diagram to illustrate the company's engagement with various stakeholders. The report also analyses barriers and challenges faced by Coca-Cola in implementing CSR policies. It outlines objectives, proposes new CSR strategies, and includes a Gantt chart and budget for a proposed campaign. The report concludes with a discussion of strengths, weaknesses, recommendations, and references, providing a detailed assessment of Coca-Cola's CSR performance and potential improvements.

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Running Head: Developing Skill for Business Leadership
0
Developing Skill For Business leadership
7/31/2019
(Student Name)

Developing Skill for Business Leadership 1
Table of Contents
Introduction......................................................................................................................................2
Aims & Structure.........................................................................................................................2
Industry sector and Importance.......................................................................................................2
Background of Company.................................................................................................................3
Countries, Culture and Size.............................................................................................................3
Define CSR......................................................................................................................................4
CSR Issues.......................................................................................................................................4
Role of CSR in Coca Cola...............................................................................................................5
Stakeholder Diagram.......................................................................................................................5
Analyse Barriers..............................................................................................................................6
Objective......................................................................................................................................6
New Strategies of CSR that can adopted by Coca Cola..................................................................7
Gantt chart.......................................................................................................................................7
Budget..............................................................................................................................................8
Strengths and Weakness..................................................................................................................9
Conclusion and Recommendation...................................................................................................9
References......................................................................................................................................10

Developing Skill for Business Leadership 2
Assessment 1
Introduction
Corporate Social Responsibility has become the most debated topic and also the most
criticized in today’s world. CSR has almost been practiced by every company and it also been
found that CSR activity has various pros and cons. In order to earn maximum profit, the
companies exploiting the market and therefore the practice of CSR become necessary for the
companies. In this report, we will evaluate the CSR of Coca Cola and will also see the
challenges the company had faced. The Coca Cola Company has a huge market it have
started its company in 1886 which include beverages. The company became a large producer
and started to expand its business at the international level.
Aims & Structure
 The policies of Coca Cola company had adopted for the CSR policies there critical
review will be done
 The effective of the CSR adopted by Coca Cola Company will be evaluated.
 The requirement of Coca Cola company and in accordance with that campaign will be
prepared
 In the end, the recommendations will be provided to the company how they can
improve the programs of CSR (Angeles and M. Capriotti, 2009).
Industry sector and Importance
 The beverage business has been taken because there is a huge scope in the expansion
of the business. The focus of the company is not just the retailers but it has given
emphasis to all stages of the supply chain. Coca Cola CSR activities are different
from one country to the and therefore there is a different way of managing the CSR
activities in every country. The laws of the countries are different and there is a
different working culture and condition, in accordance with this the company has to
carry out their operations. There are various institutions such as media, government
and the lobby plays an important role in the enforcement of the policies that are
required in a recognized society (Castello, 2013).

Developing Skill for Business Leadership 3
Background of the Company
The Coca Cola is an America based company and the company retails, manufactures
and marketer of beverages. The company was invented in the year 1886 and rapidly it starts
capturing the market. The company has its agencies worldwide who has an exclusive contract
with the company through them the supplies of the product takes place. The company sold
products to more than 200 countries in the World. The company becomes public trading in
the year 1919 for $40. The company has many brands which have a large market share in the
global market. There is a huge demand for the products of Coca Cola. The company has
managed to have created loyal customers that have able to maintain their stake in the mark. In
today’s time, the company is among the top countries of the world (Colleoni, 2013).
Countries, Culture and Size
The population of the USA is around 32.7 Million and the country is counted among
the top developed country in the World. The per capita income of the people is very high and
therefore there is a huge scope for the companies. The culture in the USA is very flexible for
the businesses and the people of the USA are very good negotiators but at the same time, they
are good listeners too. The 70% of US economy is accounted for from the spending of US
buyers. The buying habits of the consumers of America are well documented. The people of
America are very generous. The consumption of beverages is very high in America they
spent a higher amount in consumption of the beverages. This creates a huge market for the
company like Coca Cola in America (Cowling and Lee, 2017).
India is the fastest-growing market in the World. The area of India is 3.287 million
km and the country’s population is 133.92 Billion. The population and size of the country
make a huge market for the companies. India is the country of culture, traditions and there are
a huge number of festivals. The labour in the country is very cheap but the companies faced
problem in the leadership qualities. The leadership quality of the people in India is weak as
the employee does not take initiative by itself until the boss does not ask him to take. The
culture of the country is very rigid and the transparency in the system is very less. The control
is mostly in the hands of the superior people. The people of India believe in intuition and do
work accordingly and therefore, the working in India is very informal (Cowling and Lee,
2017).

Developing Skill for Business Leadership 4
Define CSR
The CSR activities are the responsibility of the company that how it implements and
take a decision that is beneficial for the social and environment. It must be through ethical
ways and the activities of CSR must be transparent. The CSR includes:
 The expectation of the stakeholders
 Contribution to the Sustainable development that comes in the health and welfare of
society.
 The CSR activities shall have complied with all the legal formalities and it should also
have complied with all the norms of international (Cowling and Lee, 2017).
CSR Issues
To maximization of profit, companies often ignore Corporate Social Responsibility in
their business. The responsibility has often been ignored towards the environment and society
which creates a higher issue for their organization. This ignorance of their responsibilities
towards the environment and society creates a huge issue. The thinking of companies is that
the consumer will only be satisfied with the cheap price and the good quality and where they
meet to fulfil the necessary requirements of the Corporate Social Responsibility. The
company earns a huge profit through unethical ways that create a bigger issue. The other
issues are:-
 The governments relied on the rules and regulations and the laws for delivering the
social and environmental objectives in the sector of business.
 The government often lacks in taking the strict action against the companies who
ignore in the implementation of the CSR activities.
 Because of the lack of consensus, the local agencies have often been lacked and it
results in the duplication of activities.
 The interest of the local bodies and people is less in CSR activities.
 The pressure of the investor has also become an issue for the companies for the
implementation of CSR (Castello, 2011).

Developing Skill for Business Leadership 5
Role of CSR in Coca Cola
The main role of the Coca Cola in CSR is to bring sustainability. It has been
expressed through the actions of the company that is in the following areas that are:
 Packaging and recycling,
 consumer health,
 involvement of suppliers,
 employee development,
 water stewardship
 energy and climate
Stakeholder Diagram
Employees: The Company has further objectives for their employees. It is the belief
of the company that the employee is the foundation for the company’s success. The CSR
previous programs the company has created special programs for attracting, retaining and
developing the skills and ability of employees.
Consumers: The consumers are those who buy the product of the company and they
are the end buyer of the product. In relation to the health of the consumer, the company wants
to meet the requirements of the modern trends consumers.
Government: The government of the country should make sure that the company has
created sufficient jobs in the market. The government shall make for the companies
regulation in the market and what should the activities they must comply with.
Suppliers: The Company has an exclusive contract with various suppliers all over the
world who supplies their products to the vendors or the end consumers.
Investors: The Company has huge investors and the company policies and
implantation of policies have a huge impact on them. The company tries to give more and
more benefit to the investors of the company.
Local Communities: The local communities where the consumers of the Coca Cola
are located around the vendors of Coca Cola. The most profit the company is generates from
the general stores retailing (Becker-Olsen, 2006).

Developing Skill for Business Leadership 6
Analyse Barriers
Coca Cola had adopted various CSR policies that have benefitted the society and
environment. There are various steps had been taken by the company for the improvement of
CSR policies in the USA and India. Still, there are various challenges had been faced by the
company in adopting the CSR policies.
The company had faced a huge time barrier in the markets of India because of the
attacks by the NGO’s and CSE on Coca Cola which had impacted a huge on the brand image
of the company and it is been challenging for the company to come back and regain the trust
of Indian customers. In the report, if CSE it was mentioned that the bottles of Coca Cola is
extremely dangerous and therefore not only in India but also in America the company is
losing the reputation and it becomes the big issue for the company and for this the company
has adopted India Eco management system. It is the initiative taken by company ford
translating the environmental policy into their daily system. The company found that they
were wrongly accused and have attacked CSE for their finding and that has resulted in a huge
loss in the reputation of the company and the lab results were also are against them.
The companies after that had worked on various models that have helped the
company in improving the reputation of the company in the market and it is required that the
company must have adopted these policies to safeguard their reputation and to build trust
among the customers (Al-Khalifa, and Al-Eidan, 2011).
Objective
 To provide sustainability
 The products that are beneficial for the health of the consumers
 To maximize the charity
 To package the product in the way which can be recycled (Cowling and Lee, 2017)
 Location: The campaign is done that is near to shopping mall, colleges and schools
because mostly the drinkers of beverages are youth.
 Target Market: The targeted markets of the consumers are children, youth and elders
 Timing: The campaign timing will be 9:00 to 15:00
 Promotion Strategies: social media, newspaper, videos, advertisements on television
and website.

Developing Skill for Business Leadership 7
 Stakeholders: company’s stakeholders, local community, consumers and government
(Farache, Tetchner, & Kollat, 2018)
New Strategies of CSR that can be adopted by Coca Cola
 The company can take help of the NGO’s that work in the interest of the consumers
 The launching of different new and innovative CSR programs that can attract
consumers
 The company can involve the stakeholders and suppliers in CSR activities which will
create a strong bond between the stakeholders and suppliers.
 The company can raise private funds from that will remove the burden of investing
from that profits
 The company should provide training programs for its employees and provides the
knowledge of CSR (Deshmukh, and Mohan, 2017)
Gantt chart
Activities July
Augus
t
Septembe
r
Octobe
r
Novemb
er December
Training of employee
Social Activity business related
Employment Program
Resource Donation
Activities Related to
Employment Sustainability
Promotion of campaign related
to Employment
Training of Staff
CSR Regulation and Rules
setting
Engagement of Employees and
Motivation Program
Usage of Social Media
Create Scorecard
Third party Partnering
CSR Report Repurpose

Developing Skill for Business Leadership 8
Budget
Particular Amount
USA India
Rent Fees 9000 9000
Props and Tent 2000 2000
Worker 5000 5500
Employee 4000 4200
Other Charges 7000 5000
Digital Marketing 7000 7000
Speaker 6000 6000
Extension Board 1000 800
Tree and plants 10000 9000
Décor Expense 3000 3000
Props or Signs 3000 1100
Portable Washrooms 1000 1000

Developing Skill for Business Leadership 9
Dustbins and Disposable Service 600 500
Clean-up Labour 1000 1300
Other Promotion 4000 5000
Total 63600 60400
Strengths and Weakness
Strength
 The company has a huge market
 The Coca Cola was able to maintain their loyal customers
 The company has widespread in the global market
 The company has a huge number of investors which helps the company to make
expenditure in the promotional programs (Austin, & Gaither, 2016).
Weakness
 The company is failed to provide healthy products on which the company has highly
been criticized
 The CSR campaign of the company has less chance of being succeeded because
mostly the people ignored these campaigns and gives priorities to other works (Banks,
2016).
Conclusion and Recommendation
It has been recommended that the company instead of attacking the CSE has joined
hands with the CSE and has worked in resolving the problem that the company is facing and
so that the company should not lose the trust of the people. It has been analysed from the
report that the company has a huge market base and loyal customers. However, the company
has faced various criticisms due to their poor CSR activities and has also been faced huge

Developing Skill for Business Leadership 10
reputation loss after the attacks of CSE and NGO’s in India. The company thereafter has
started an Ecosystem in India. The company has various objectives in relation to the CSR
objectives that the company has to achieve.

Developing Skill for Business Leadership 11
Assessment 2
The chart has been made for the reflection of my work
1. Do you have goals that you wish to achieve next week/month/year?)
My goal is to enhance my business and marketing skills and to improve communication skills
as well.
2. Do you have an unambiguous view of the priorities?
Yes, I have some bigger dreams which are in the eyes of others near to impossible but I want
to achieve that because for me nothing is impossible.
3. Do you have specific objectives?
Yes the goals I have set to achieve that in the minimum time
4. Does your plan need adjustment or are you on course to achieve your stated goals?
I want to become the leader and that what is my goal because to achieve something you have