Global Relationship Between Coca Cola and Green Mountains

544 Words Feb 20th, 2018 2 Pages
For use in the home beverage system. So to strength the long term relationship Coca-Cola have purchased the 10% of the shares from the Green Mountain company and that is equal to 16.7 million newly issued shares of the Green Mountain with total value of 1.2 Billion US$.
This global relationship syndicates The Coca-Cola Company’s unparalleled brand, supply and marketing strengths with Green Mountain’s innovative technology and beverage system expertise. So with the new partnership the Coca-Cola company can reach its 2020 vision by doubling the revenue in the year 2020 and more than that by serving 3 billion plus on every single day. It will also allow Coca-Cola to tap into the fast growing single serve , pod-based business of the cold beverage industry. For Green Mountains it will use the amount invested by Coca-Cola to return the cash to shareholders by share re-purchase system and expand their cold beverage system in the next several years. In this deal Green Mountain is more benefited than the Coca-Cola , but the beverage makers needs to find the ways to sell more carbonated soft drinks to American consumers , the brewing channel which already exists doesn’t change the more enough . Consumers may not be excited about paying, say, $140 for another brewer that makes beverages that are already available in cheap ready-to-drink forms. One specialist estimates that…
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