I feel like if Pepsi and Coke would have gotten involved from the beginning many of these allegations and issues never would have risen because they would have known a lot more about the people, culture, and community.
When they were being accused the first time, they completely denied in and ran their own test to try and prove their innocents. I guarantee that if they were in the United States and water was a huge significance here, they would change their ways much faster than they did in India.
All companies, no matter where they are located, should have a crisis management plan ready at all times because you never know when a crisis may happen but you must always be prepared. The Center for Science and the Environment announced in August that drinks manufactured by Coca-Cola and PepsiCo in India contained on average more than 24 times the safe limits of pesticides, which could come from sugar, water and other ingredients.
That is why it is so important for businesses to have cultural knowledge about the countries they enter because something that is not important to us may be the most important thing to another country.
What should the company now do as it moves forward? Every country and culture is different across the World and not all products can be sold the same way in the United States as they are in India. They clearly were putting pesticides in their soft drinks that were over the legal amount in India.
The final responsibility in the CSR model is philanthropic. It made both companies look horrible and like they did not care about anyone but themselves. Pepsi is actually gathering rainwater from lakes, ponds, and on rooftops to cut back on usage.
Like discussed early, water is a very sacred resource to Indians and by these two companies using it excessively while polluting the water and soil it just showed they had little respect for their culture.
This also shows that at first they were not trying to do anything to improve their company. The second time around inthe companies were much better prepared for these allegations and in turn responded better.
More essays like this: This is not the correct way to go about the crisis, Coca-Cola and PepsiCo. This build a better relationship with their customers and their sales have actually increased in India.
The IRC also accused these two companies of over consuming scarce water as well as polluting the groundwater and soil. If any business wants to be successful they need to put their customers first and their company second.
The second responsibility that is required by society from a business is legal issues.
What kinds of actions now will allow the Indian public to trust them in the future? The economic responsibilities of a company are one of the two things that are required by society from a business.
Indians lost a lot of trust in these two companies. This is basically the social responsibilities companies should abide by.
See also this version of the story, from ABC News: Neither Coke nor Pepsi were worried about their social responsibilities when they enter India. When having a company, no matter what the problem is your customers are always right.
Both Coca-Cola and PepsiCo dealt with this crisis very poorly this first time. I think the main lesson that this case presents for MNCs doing business in the global marketplace is that companies NEED to do research about the country they are entering before just opening up a business.
Neither of the two business were doing anything at all with this responsibility. The main point is to be a good corporate citizen and give back to the community. They were continuously being bashed by CSE for selling these soft drink beverages that had dangerously high levels of pesticide residue in them that were 24 times higher than the maximum allowed by the Indian government.
If you cannot please your customers then you cannot have a business. Over 4, customers did just that and took a tour of the company.Unlike most editing & proofreading services, we edit for everything: grammar, spelling, punctuation, idea flow, sentence structure, & more.
Get started now! Coke and Pepsi - Case Study in the Indian Business Environment 1. BUSINESS PROJECT Yashaswini Agarwal 2. CONTENTS 1 Acknowledgement and Preface 2 Introduction 3 CoCa-Cola and Pepsi Co. 4 Entry and Exit of Coca Cola in India 5 Campa Cola and Thumps Up come in existence 6 Entry of Pepsi 7 Re entry of Coca-Cola 8.
belgians_crisis_management. Business Strategy Analysis of Walmart. Coca Cola Case. Coke Case Study. Coke India Case Study. Infosys Case Study. What It Means to Be a Soldier of Christ (Sermon) Documents Similar To Case Study Coke Ethical Issues.
Coca-Cola India Case Study. Uploaded by. Anna Sandgren. Employee Retention.
Coke & Pepsi in India Q1) Identify the issues that are going on in this case with respect to issues management, crisis management, global business ethics, and stakeholder management. Rank these in terms of their order of priorities for Coca-Cola and PepsiCo.
coke pepsi case study. Coke and Pepsi in India: Issues, Ethics and Crisis Management Assignment 2 Dharshviny a/p Sasidharan SCM/5(1). Case Study Coke and Pepsi 1. Identify the ongoing issues in this case with respect to issues management, crisis management, global business ethics, and stakeholder management.
Rank order these in terms of their priorities for Coca-Cola and for PepsiCo. Number 1 Priority: The major global business ethics I found in this case study was the .Download