Economic Growth of the Coca-Cola Company

1040 WordsFeb 5, 20184 Pages
The Coca-Cola Company experienced a 2.99% drop in growth from 2008 to 2009. The economic growth rate of the country was an 8.9% decline. Despite the drop, Coca-Cola fared better than the overall economy. From 2009 to 2010, sales rebounded with a growth rate of 13.32%. This was much higher than the economic growth rate in the U.S. of 3.8%. The year from 2010 to 2011 was exceptional with a 32.53% growth rate. The United States' economic growth rate was 2.3% by comparison. The growth can be largely attributed to the launch of new products in overseas markets. In Peru, Coca-Cola launched a successful line of juice nectar beverages called Frugos Sabores Caseros. ¹ In South America, the company introduced many new products including: Burn, Valle Limon, Nada, and Powerade ION4.¹ In the United States, 19 new beverages were released under the Coca-Cola Freestyle line of drinks.¹ Having an international presence helps Coca-Cola remain profitable even when the U.S. economy is weak. The Coca-Cola Company's main competitor is Pepsi Co, which is performing well financially. In February of 2012, Pepsi Co announced higher than expected fourth quarter 2011 revenues. They reported $20.16 billion in revenue for the quarter and earnings per share of $1.15.² On March 1, 2012, Pepsi Co. CEO John Compton shared his plan for continued growth. Pepsi Co. plans to focus on the snack food market. They plan to add Hispanic flavors to their Stax potato chips brand and introduce snacks made with
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