Economics Today and Tomorrow

Chapter 21: The Global Economy

Student Web Activity

"I'd Like to Buy the World a Coke"

Introduction
With operations in nearly 200 countries and hundreds of thousands of employees in their worldwide bottling system, the Coca-Cola Company is a prime example of a multinational company. Its Web site is full of information on how it manages operations in nations experiencing political instabilities, wars, and declining markets.

Destination Title: Coca-Cola Company Web site

Note: Clicking on the link above will launch a new browser window.
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Directions
Start at the Coca-Cola Company Web site.

  • Point to the "Investors" topic, highlight "Financial Information," and click on "Annual & Other Reports" topic.
  • Click on the link for the latest annual report.
  • Browse through the site, taking notes as you go.

Read through the information, and then answer the following questions.

1
Into what operating groups is the Coca-Cola Company divided?
2
What condition or problem is cited in the review for a particular operating region? impact on sales?
3
How has Coca-Cola invested to help alleviate those problems?
4
In what ways has the presence of the company had a positive impact on the economy of developing countries?
5
Coca-Cola has grown to become a multinational corporation that has enhanced the lives of many around the world. But investments in physical and human capital entail opportunity costs and economic risks as well. Use your findings on recent Coca-Cola expenditures in developing nations to create a chart listing the benefits, opportunity costs, and economic risks of those investments.
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