The Transnational Corporations Must Account For Much Wider Complexities From The Smaller And Locally Focused Companies

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Molleda (2009) stated that the truly transnational corporations must account for much wider complexities compared to the smaller and locally focused companies. Various aspects, such as mergers and acquisitions, new product introductions, technological changes, layoffs, and globalisations could create opportunities and challenges for these organisations while communicating with their key publics or stakeholders (Lattimore et al. 2009). Consequently, these truly transactional entities, maintaining a global reach and presence, are required to know the means of organising and operating their public relations (PR) programs on a truly global basis (Wakefield, 2011), where PR is viewed as a distinctive management function that establishes and…show more content…
As one of the world’s most valuable brand names, The Coca-Cola Company (Coca-Cola or ‘the company’) has normally outclassed as business over its long history (Ferrell et al. 2011). However, in recent decades Coca-Cola has had problems to meet its financial goals and has been related to a number of ethical crises like product safeties, pollutions, depletions of natural resources, intimidations of union workers, anti-competitiveness, distributor conflicts, channel stuffing, and racial discriminations (Ferrell et al. 2011). This case study analyses Coca-Cola’s crisis management in relation to PR activities.

2. Business background of Coca-Cola
Headquartered in Atlanta, Georgia, the USA, the Coca-Cola Company is the largest beverage company in the world, owning, manufacturing, distributing, and marketing of more than 500 non-alcoholic beverage brands, mainly sparkling beverages and more than 3,500 beverage products like waters, enhanced waters, energy and sports drinks, ready-to-drink teas and coffees, and juices and juice drinks (Coca-Cola, 2014). The company owns and markets 4 of the globe’s top 5 non-alcoholic sparkling beverage brands, such as Coca-Cola (or Coke), Diet Coke, Fanta, and Sprite. The company’s finished beverage products bearing its trademarks, sold in the USA since 1886, are now consumed in more than two hundred countries (Coca-Cola, 2014). According to Coca-Cola (2014), the company makes its branded beverage products available to its
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