Coca-Cola is a reputable company that has been a recognizable brand in the United States since it’s creation in the late 1800s. Rapidly expanding in the international market, Coca-Cola has proven to their competitors they are innovative, forward-thinking, and here to stay. After the untimely death of CEO, Roberto Goizueta, Coca-Cola has experienced various ethical dilemmas. These ethical dilemmas have had a direct impact on Coca-Cola’s business relations, stakeholders, corporate culture, and financial advancements. By thoroughly examining ethical issues of the past, resolving legal grievances, and consulting third party organizations Coca-Cola is striving to regain the trust of consumers and business partners worldwide.
Background
Stakeholders are various parties who are directly or indirectly affected by the decisions and/or actions of a company. Throughout Coca-Cola’s history their business endeavors have had both positive and negative impacts on members of society. The primary stakeholders such as; employees, customers, investors, government agencies, community organizations, and shareholders are essential for a business to survive. However, the direct impact a company may experience from the influence of secondary stakeholders such as; media, trade organizations, and special-interest groups may also contribute to a company’s downfall. The constant changes in top level management from 1999 to 2004 left Coca-Cola in a vulnerable state. The inconsistencies in leadership directly impacted primary stakeholders.
In 2004 Neville Isdell became CEO of Coca-Cola. Tasked to restore Coca-Cola’s reputation Isdell had to create new programs to overcome the ethical and legal issues left by his predecessors. Internationally, consumers experienced negative consequences as a result of Coca-Cola’s manufacturing practices. In Belgian and France patrons became ill...