For-WizardKim

Running head: RESEARCH PROJECT-COCA COLA COMPANY 1

RESEARCH PROJECT- COCA COLA COMPANY 3

I don’t see anything on here about executive compensation and that was added when I took out the information about the IMA.

Research Project- Coca Cola Company

Latasha Civil

Keiser University

Dr. Gray

7/19/2020

Introduction Comment by Susan Ferrell: Don’t use the word Introduction

The publicly traded company for this project is Coca Cola, which was started in 1886, when the John Pemberton who was a pharmacist by at the time invented the first sample of soda (Brondoni, 2020). The company has been in operation for over century and has increased its volume of production. Coca Cola Company is the largest and the leading producer of non-alcoholic beverages and syrup. The headquarters of the company are is based in Atlanta, Georgia, United States. The leading brands for the company are Coca-Cola, dDiet Coke, Fanta, and Sprite. The company has other top brands, which include Minute Maid, Power Ade, and vitamin water. The company is ranked number ? producer of beverages globally, with a well-established market base spread to more than 200 countries, which means that the company’s products are well consumed in the market. According to the company’s sustainability report, at least 1.8 billion servings a day are dispensed to customers across the globe. The company has also started diversifying their products by considering healthier choices since the year 2011 by promoting healthy living lifestyles. The company launched over 100 low calorie products and brought in the market more than 800 low to no calorie products varieties for their consumers. The company has not been left behind when it comes to business ethics and corporate social responsibility and was among the four companies that established a Global Business Initiative on Human Rights, with the aim of promoting respect for human beings in business systems and across supply chains.

The company is driven by its commitment to expand and engageing in community services in markets where its products are sold. Coca Cola gets involved in various events, human rights acts, establishing various programs, which are building the name of the company by becoming more reputable in various regions of the world.

Investor’s Profile and Strategy

It is important for investors to calculate and compare various financial metrics in addition to assessing other qualitative metrics that are needed to make sound investment decisions (Brigham & Ehrhardt, 2014). Qualitative factors that need to be considered while making investment choices include assessing market reliance on the product, what the percentage of the business is located abroad and their political environment, differentiation strategies, underlying regulations, and prevailing competition. The product portfolio also needs to be diversified to ensure a reduction in risk for the investors. Although the company is a global leader in the soft drinks market, the company has not diversified its product portfolio as compared to its close competitor PepsiCo. However, the company had set in place strategic priorities focused on creation of a long-term sustainable growth and creation of value to its shareholders. The company is focused on becoming a global leader in the beverage market, enhanced innovation, engaging in balanced product portfolio, and spearheading company’s system top growth (U.S. Securities and Exchange Commission, 2018). To ensureing the priorities are met within the Coca Cola system, the company focuses on enhancing consumer marketing capabilities, promoting leadership in commercial engagements, and carrying bottling and distribution functions. People who are looking for a sound return on their investment should consider Coca Cola. The company is well financially sound given that the level of debt is lower than the level of assets. This means that in case of liquidation, the company can sell its assets and still have a positive value. The investors should consider investing in the company because it is a low risk investment, which should be considered as a diversifying diversified portfolio because they are assured their investment, will have considerable returns.

References:

Brigham, E. F., & Ehrhardt, M. C. (2014). Financial Management. Mason: Cengage Learning.

Brondoni, S. M. (2020). Shareowners, Stakeholders & the Global Oversize Economy. The Coca-Cola Company Case. Symphonya. Emerging Issues in Management, (1), 16-27.

Dwumfour, R. A., & Addy, N. A. (2019). Interest Rate and Exchange Rate Exposure of Portfolio