Coca Cola MNC Case Study Flashcards
1
Q
How many countries is it sold in?
A
200 countries
2
Q
How many employees worldwide
A
71,000
3
Q
How many countries were Coca Cola being bottled in?
A
44 - France / Belgium/ Mexico / Italy
4
Q
Why does Coca Cola go to lower developed countries like India
A
As they save on transports costs and cheaper labour due to the lack of labour laws
5
Q
Negative social impacts
A
- working conditions in some factories are harsh
6
Q
Positive economic effects
A
- creates jobs both directly and indirectly in host country
- All profit stays in host countries
*
7
Q
Advantages of Coca Cola in India
A
- employees 150,000 - positive multiplier
- 10 million spent on community programmes ( water and sustainable energy projects )
- installed hand pumps to help locals get fresh waters
- brought technology
- developed roads
8
Q
Disadvantages of Coca Cola in INDIA
A
- workers wage low
- push local brands out of businesss
- accused of avoiding paying taxes to local govt.
*80% of labour temporary and not protected by labour laws - 12 hr shifts for 60 cents
9
Q
Environmental issues
A
- higher levels of pollution
- accused of draining local aquifers
- leaves subsidence farmers with no source of water
- contaminating local drinking water
