Coca-Colas new challenges.docVIP

 PAGE \* MERGEFORMAT 9 Coca-Cola’s new challenges According to the China Food and Beverage Industry Association data show that January-October 2001 production of soft drinks: 14.6314 million tons; bottled water: 6.081 million tons; carbonated drinks: 4.7004 million tons; Others: 2.8492 million tons. Annual growth rate of 12.02% compared with 2000. One-year increase of 25.5% of bottled water, tea, beverages grew 62% year increase of 8.6% carbonated beverages, including carbonated soft drinks market, the slowest growing. Because most of the carbonated beverage market rests in the hands of Coca-Cola and PepsiCo, the two giants, this situation seriously affect the appearance of Coca-Cola and Pepsi-Cola in the Chinese market operations. But Pepsi’s product portfolio improved over Coca-Cola, Pepsi-Cola’s carbonated drinks can be a stable market share, strengthen its introduction of a small food products to expand its sales in the Chinese market by increasing corporate profits. Coca-Cola product line in order to compensate for the deficiencies, and Nestle to launch non-carbonated beverage products, and Procter amp;amp; Gamble to launch a small food products, and Disney launch children’s food. However, such cooperation to bear fruit in the Chinese market need a fairly long period of time, not to mention those collaborative efforts have not gone smoothly (Coca-Cola Company and Procter amp;amp; Gamble co-operation negotiations have been suspended). While waiting for such cooperation be effective at the same time, Coca-Cola also must pay close attention to two challenges: First, stable relations with partners being challenged; 2 is the ‘Coca-Cola’ brand dominance was challenged. Challenges of a stable relationship with partners U.S. Coca-Cola Company is to take the form of a joint venture to enter the Chinese market, to manage in Guangzhou in southern China Swire Coca-Cola as an example. Swire Coca-Cola Company in Guangzhou by the United States Coca-Cola, Swire Group a