Company He sold the product as a patent

Company OverviewCoca Cola was invented way back in 1886 by Dr. John Pemberton in Atlanta. This was produced as a result of an experiment conducted by him to produce a revitalising tonic. His partner had suggested that 2 ‘Cs’ would look good in advertising and hence the famous trademark – “Coca Cola”. By 1895, it was drunk in every state across the U.S. Gradually, it started selling in bottles as demand grew and by 1909, the stage was set for it to become a global brand by opening new bottling plants.  Today, Coca-cola is located all over the world. In Ireland, it holds 54% market share of the Carbonated Soft drinks business. Diet Coke is an example of a very successful brand extension as it became the third largest selling soft drink of any kind in the world within a few years after its launch. Organization Characteristics during the Life-CycleEntrepreneurial StageStructureThe company was established by John Pemberton and the structure was informal. He sold the product as a patent medicine in drug stores. In 1895, Coca Cola was visualized as a beverage product by Asa G. Candler. In 1900, Coca Cola Company sold their product for the first time as a beverage drink in Canada and Mexico.ProductIn 1886, John Pemberton made an alternative product for alcohol to be used as a medicine for relieving headache and gaining energy. The product, known as Coca Cola, was a mixture of Carbon Dioxide, sugar, caffeine, cocaine, phosphoric acid, caramel colour, natural flavourings and other components. The product was initially sold at Jacob’s Pharmacy, in Atlanta, Georgia.GoalJohn Pemberton, who was a soldier in American Civil and a morphine addict popularized the product claiming that it was a medicine to cure morphine addiction, indigestion, nerve disorders, headaches, and impotence. He developed the product for personal use and later commercialised it. Top Management StyleOrganisation management style was entrepreneurial in nature. It was highly organic without much formal procedures and a style which was very adaptive to changing requirements, if needed. The specialisation was “high” and “broad” with John handling manufacturing and distribution of product. InnovationJohn was trying to produce a revitalising tonic and he was experimenting on it. He found the product refreshing. He developed a non-alcoholic version when his previous version was prohibited by law. This product was sold as a patented medicine. Collectivity StageStructureA co-partnership was formed between John Pemberton and four businessmen in Atlanta without any formal document. Asa Candler was the sole proprietor of the Coca-cola company in 1888. He claimed full ownership of the company with an investment amounting to $2300. John declared that the name “Coca-Cola” belonged to his son, Charley, Hence, Charley was able to participate as a major shareholder. In 1919, the company was purchased by a group of investors for $25 million which, then, publicly offered 500,000 shares of the company at a clean price of $40 per share. The company started shifting from a one-person company to a slightly formal organisational structure. With multiple shareholders in place, the authority shifted form single person to a share-proportion ownership. ProductIn 1888, three different version of Coca-Cola were sold in the market by three separate businesses. This was primarily due to the control exercised by Candler and Pemberton in the company. While Candler tried to sell his recipe in various names – “Yum Yum” and “Koke”, Pemberton sold the product with the ‘secret’ formula. The product variants were not differentiated in terms of flavor or taste. Still, they were available in market in their current forms due to the two major shareholders trying to establish their dominance in the organisation by selling more of their product. In 1916, they started designing a famous bottle which is the “signature” design of Coca-cola bottle even today. GoalAsa Candler was responsible for the transformation of a invention to a full fledged business. The goal of the organization shifted from survival to growth. By 1895, production plants were set-up in Chicago, Dallas and Los Angeles. In 1900, apart from Canada, the product was sold in England and Mexico.Top Management StyleThe upper management started to give more directives to lower management that were initiated mostly by Asa Candler. The top management communicated its vigorous marketing agenda to the department managers for rapid penetration in the market. The employees were motivated to make faster sales as they started following the directions by Asa Candler who was an aggressive marketeer. InnovationAsa Candler found innovative ways to introduce people to Coca-cola. He gave away coupons and free Coke samples. This aggressive marketing strategy was successful and sales increased. Apart from this, the product was also introduced as a OTC dietary supplement for upset stomach.Formalization StageStructureThe structure of the organization moved towards more formalization. To decrease resource dependence, the company merged with bottling operators to form Coca-Cola Enterprises Inc. The international staffs operated separately in isolation to the head office. The company has been divided into 5 continental divisions:Eurasia & Africa GroupEurope GroupLatin America GroupNorth America GroupPacific GroupProductAs the organisation grew, it expanded its product portfolio to include Fanta (Orange flavoured carbonated drink), Minute-maid (nutritious fruit juice), Sprite (lemon lime flavoured soft drink) and many other products. The beverage was now marketed as an exhilarating drink and the company backed off from any claims on health benefits. GoalThe company grew rapidly into new regions whereas the internal structure of the company became more stable. In 1928, Coca-cola was introduced in the Olympics when it became the official beverage for the Team USA. It went on create a long association with sports with support from FIFA World Cup, Rugby World Cup and NBA. New beverages joined company’s line-up and it also expanded through acquisitions, including Limca, Maaza and Thums Up in India.Top Management StylesAs the size of the organization increased, delegation became important. Robert W. Woodruff, the President of the Coca Cola Company  told his subordinates that he wanted Coca-Cola be placed within ‘arm’s reach of desire’. He strictly emphasised the importance of leadership, collaboration, integrity, passion and quality.InnovationRobert Woodruff was responsible for development of the six-pack and various other innovations. In 1980s, when people were becoming more health conscious, the company introduced Diet Coke, which was a huge success.  Elaboration stageStructureThe coca-cola company presently adopts a streamline specialization organization structure. There is too much ‘red tape’ in delegations and bureaucracy has reached its limit. The organization is considering splitting into multiple entrepreneurial cells with respect to geographical regions in order to facilitate social control and self-discipline.Products or Services In response to the growing consumer interest in the healthcare, Coca-company introduced new non-carbonated beverage drinks in early 2000s. This brand portfolio expansion included ‘Minute Maid’ juices to go , ‘Powerade’ sports beverage, ‘Nestea’ flavoured tea and others. GoalTo reorganize management structure to align their operating units in accordance to their global bottler footprint. Through strategic actions for growth, the company aims to achieve speed, agility and inspirational leadership in order to be successful today as well as in the future.Top Management StylesThe company operates on an international streamline organizational structure. It comprises of functional cells spread over broad geographical regions. High bureaucracy is observed within the organization.InnovationIn 2004, coca-cola company launched a low carbohydrate dietary drink called C2 cola. It was a mixture of corn syrup, sugar and aspartame. In 2009, Coca-cola invested in Innocent drinks. In 2006, it introduced a ‘negative calorie’ green tea drink, ‘Enviga’In 2014, another brand, ‘Finley’ was introduced and a sparkly fruit-flavoured drink was offered under it. This drink was specifically targeted for adults, had low sugar and was offered in 4 different flavours. References1http://www.coca-colacompany.com/press-center/press-releases/the-coca-cola-company-announces-new-international-structure-promotes-key-leaders2 http://www.coca-colaindia.com/stories/history3 http://www.coca-colacompany.com/brands/product-description4 https://www.inc.com/30years/articles/asa-candler.html5 http://iml.jou.ufl.edu/projects/spring08/Cantwell/invention.html6 http://www.coca-colacompany.com/stories/the-chronicle-of-coca-cola-a-man-named-woodruffAction Items for SandeepPlease do a proof-read once for any spelling, grammatical etc errors etc etcFormat this document and prepare a .doc file  (please don’t upload in moodle now. We are checking in Turnitin for plagiarism. We have to upload before 1:30 pm tomorrow. So, we will do it in class tomorrow.  But, you take the printout of the report also after editing it.Format Sree’s PPT and take a printout with 6 slides per page.