Working with bottling franchisees around the world
A Coca-Cola Great Britain case study

Page 1: Introduction

The Coca-Cola Company is the world's largest beverage company and is the leading producer and marketer of soft drinks. Today, Coca-Cola is consumed throughout the world at the rate of more than 600 million times per day and this figure is continuing to rise. However, Coca-Cola is not the sort of company to live on its past glories; instead it looks to the future as a challenge and constantly seeks...
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Page 2: Benefiting from a franchise arrangement

Franchising is one of the most important ways of running modern business organisations. The franchisor grants to a franchisee the right to conduct business using their name in a particular area. For example, in Great Britain Coca-Cola and Schweppes Beverages Ltd is the company that holds the GB franchise with six bottling/canning plants. The franchisee will have the exclusive right to bottle and...
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Page 3: Division of responsibility

The company ships syrup or concentrate to the bottling plants where the franchisees mix it with sugar and treated local water and carbonate it. The water is purified to the highest standards using equipment specified by Coca-Cola. Samples are taken regularly for chemical analysis and Coca-Cola staff make frequent spot checks to ensure that plants are maintaining the company's standards of...
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Page 4: Thinking global, acting local

Bottling plants for Coca-Cola are, with few exceptions, owned and operated as separate businesses independent of The Coca-Cola Company. In some cases the company will have an ownership, but not a controlling interest in a bottler. By contract with The Coca-Cola Company or its local subsidiaries, the bottler is authorised to bottle and sell Coca-Cola and other soft drinks within certain territorial...
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Page 5: Coca-Cola bottling franchises in Great Britain

Coca-Cola first came to Great Britain in 1900 when Charles Candler, son of the company's founder, Asa Candler, brought a jug of the syrup with him on a holiday visit and introduced the drink to a soda fountain owner in London. However, it was not until the 1920s that sales began to be significant. The Coca-Cola Company began bottling in a small plant in Brighton in 1932. By 1939, there were...
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Page 6: Coca-Cola Enterprises

Coca-Cola Enterprises is a publicly quoted company (on the New York Stock Exchange) and is the largest franchisee of Coca-Cola products. In addition to its operations in the United States, CCE holds the franchise for Belgium, The Netherlands, Great Britain and 90of France. Early in 1997, it acquired full ownership of Coca-Cola & Schweppes Beverages Ltd. It is therefore the largest of what...
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Page 7: Coca-Cola Amatil

Coca-Cola Amatil is the second largest of The Coca-Cola Company's international bottling partners which today operates in 18 countries throughout Australasia, South-East Asia, Central and Eastern Europe. It serves a market of over 450 million people and is No. 1 in every market in which it operates. Some of these markets are relatively mature in terms of opportunities for future sales expansion...
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Page 8: Conclusion

he Coca-Cola Company is continually expanding, working to meet consumers' needs for refreshing drinks. The strength of the Company is based on quality products, the power of the Company brand image and on the relationships that Coca-Cola has built with its franchisees and customers. Consumers want to associate with brand names they know and especially with ones which have built high reputations...
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