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GGU MBA Context of Business Project SatyamNeelmani

The document provides an ethical and sustainability assessment of The Coca-Cola Company, highlighting its extensive global operations and commitment to environmental stewardship, stakeholder engagement, and corporate social responsibility. It outlines a scoring framework for evaluating performance based on environmental impact, stakeholder relations, financial stability, CSR effectiveness, and ethics. Recommendations for improvement include investing in sustainable materials, enhancing supply chain transparency, and improving local feedback mechanisms.

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Satyam Neelmani
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151 views5 pages

GGU MBA Context of Business Project SatyamNeelmani

The document provides an ethical and sustainability assessment of The Coca-Cola Company, highlighting its extensive global operations and commitment to environmental stewardship, stakeholder engagement, and corporate social responsibility. It outlines a scoring framework for evaluating performance based on environmental impact, stakeholder relations, financial stability, CSR effectiveness, and ethics. Recommendations for improvement include investing in sustainable materials, enhancing supply chain transparency, and improving local feedback mechanisms.

Uploaded by

Satyam Neelmani
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Group Project

Team Members: Satyam Neelmani

Golden Gate University, San Francisco

Context of Business Resubmission


Ethical and Sustainability Assessment of The Coca-Cola Company

Company Overview

The Coca-Cola Company, based in Atlanta, Georgia, is a renowned publicly traded

multinational corporation within the non-alcoholic beverage sector. Established in 1886 and

traded on the New York Stock Exchange under the ticker symbol KO, it operates across more

than 200 countries and distributes approximately 1.9 billion servings each day. Coca-Cola

owns an extensive brand portfolio that includes Coca-Cola, Sprite, Fanta, Dasani, and Minute

Maid, among others. Its operations rely heavily on a global bottling system and a vast

distribution network. Over time, it has aligned its business strategy with key pillars such as

environmental stewardship, ethical sourcing, inclusive growth, and long-term profitability.

Scoring Framework: Metrics and Evaluation Criteria

To critically assess Coca-Cola’s ability to harmonize economic goals with environmental

and social responsibilities, the following five weighted performance metrics are proposed:

 Environmental Impact (25%): This includes progress in reducing carbon emissions,

improving water efficiency, and waste minimization.

 Stakeholder Relations (20%): Assessed through engagement mechanisms and

responsiveness to key groups such as employees, communities, and partners.

 Financial Stability (20%): Metrics include consistent revenue growth, profit

margins, and long-term shareholder returns.

 CSR Outreach and Effectiveness (20%): Based on CSR budget allocation and

measurable outcomes such as community upliftment and access to resources.


1. Ethics and Corporate Governance (15%): Evaluated on the presence of anti-

corruption frameworks, governance structures, and ethical sourcing.

Each parameter is evaluated on a 10-point scale and weighted accordingly to produce an

aggregate performance index.

Organizational Performance Review

a. Engagement with Stakeholders

Coca-Cola has adopted a comprehensive stakeholder engagement model that includes

direct collaboration with customers, bottling partners, civil society, and governmental

agencies.

 Societal Integration: The organization contributes to economic development through

employment, tax contributions, and infrastructure support.

 Social Value Creation: Coca-Cola invests in youth education, women-led

entrepreneurship (notably the 5by20 program), and clean water access.

 Interaction Strategies: Stakeholder forums, ESG disclosures, and regular reporting

mechanisms are used to foster two-way communication.

 Emerging Issues: Challenges have included criticisms regarding water use in India,

waste generation, and labor concerns in select geographies. These are being addressed

through sustainability initiatives.

 Business Partnerships: Coca-Cola coordinates with over 700 bottlers worldwide and

requires adherence to its Supplier Guiding Principles for fair labor and sustainability

compliance.
b. CSR Commitments and Performance

Coca-Cola’s global CSR agenda is structured yet adaptive to regional challenges.

 Primary Focus Areas: The company prioritizes water stewardship, sustainable

packaging, and resilience building in vulnerable communities.

 Tracking and Metrics: Indicators such as replenished water volumes, reduction in

virgin plastic usage, and outreach numbers in development programs are routinely

published.

 Oversight: CSR operations are guided by the ESG and Public Policy Committee at

the board level, ensuring accountability and strategic alignment.

Key Initiatives:

 World Without Waste: Aiming to recover and recycle one container for each sold by

2030.

 Water Projects: In 2021, Coca-Cola claimed to replenish 160% of the water used in

its finished beverages.

 Local Empowerment: Implementation of educational and skill-building projects in

Africa, South Asia, and Latin America.

c. Ethical Conduct and Governance

Coca-Cola has formalized a set of ethical norms and monitoring tools to guide both

internal practices and external collaborations.

 Responsible Sourcing: Audits are used to ensure compliance with labor laws and

environmental standards in supply chains. Collaborations with entities like Sedex

support transparency.
 Technology Ethics: While leveraging machine learning and automation in logistics

and marketing, the firm adheres to data privacy and consent standards.

 Market Competition: Although subject to antitrust evaluations in some regions,

Coca-Cola has avoided major unresolved ethical breaches in recent years.

Summary and Forward-Looking Suggestions

Summary Assessment:

Coca-Cola exemplifies an advanced integration of profit orientation and sustainable

development. Its initiatives in water management, waste reduction, and societal investment

reflect a commitment beyond mere compliance. While financial metrics remain strong, areas

like supply chain labour oversight and single-use plastic dependency continue to pose

reputational and operational challenges.

Strategic Recommendations:

 Innovation in Sustainable Materials: Invest in biodegradable and circular packaging

to reduce plastic dependency and anticipate regulatory shifts.

 Advanced Supply Chain Transparency: Deploy blockchain and AI for monitoring

ethical compliance and risk mitigation in sourcing networks.

 Enhanced Local Feedback Channels: Facilitate structured dialogue with community

groups in high-impact zones to ensure social license to operate and localized

accountability.

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