Dammit! And Coca-Cola has been, in the past, a pro-life company! (Especially when compared to the vile Pepsico.)
As a smart guy (who’s name I have forgotten) said on CNBC:
China has central planning by scientists, mathematicians, and engineers, and the US has central planning by lawyers. By definition we lose.
While this seems like bad news on the face of things it’s kind of a wash.
The carbonated soft drink market in the US has been at saturation points with less than single digit growth for decades. You see Coca Cola and the likes picking up any new beverage flavor/trend and few if any of them are carbonated. The last two products Coke introduced in the carbonated category were Coke Zero and its variants and Vanilla Coke.
Why would you invest billions more in a mature market for a category you already dominate?
I hope they’re not planning on bottling over there with that polluted water and send it back here
I don't eat anything from China!
Well....do they make chocolate?
Of course Coca Cola is investing in China rather than the US.
Why would the marketer of sugar water want to invest in a country with an already saturated market for sugary drinks, whose government 1) is actively campaigning against the consumption of sugar water, 2) has the highest corporate tax rate in the OECD, 3) has relatively high labor costs, 4) has extraordinarily burdensome regulations, and 5) threatens to impose new taxes on sugary drinks?
It makes much more sense to invest close to new markets, particularly if they have lower logistics costs, lower taxes, lower regulatory compliance costs, and lower labor costs.
Red China does NOT have recycling...
I’d like to teach the world to sing (Sing with me)
In perfect harmony (Perfect harmony)
I’d like to buy the world a Coke
And keep it company (That’s the real thing)
I’d like to teach the world to sing
(What the world wants today)
In perfect harmony (Perfect harmony)
And I’d like to buy the world a Coke
And keep it company (It’s the real thing)
I’d like to buy the world a coke
(Coke is what the world wants today)
And keep it company (Coca-Cola)
(It’s the real thing)
I’d like to buy the world a coke
(Coke is what the world wants today)
And keep it company (Coca-Cola)
it’s a bonus for dentists.
soft drinks have phosphoric acid which upsets the phosphoric/calcioum balance,
not to mention the sugar.
bingo! osteoporosis. teeth fall out later in life.
If Coca-Cola is investing 4 Billion they will recoup 10 Billion.
WTG AnointedIdiot and merry band of anti-capitalist radicals passing your idiot-ridden regulations, etc. When you all going to give Kent a jobs czar position....? =.=
Peru
Big Soda (Coke) pre-tax profit margin 36.2%.
Big Oil (Exxon) pre-tax profit margin 15.5%
Big Oil (BP) pre-tax profit margin 8.9%
(Current stats from forbes.com)
Wow, all the hand wringing about Coke deciding to tap into China’s market.. Who cares what they do. Coca Cola corp. has been slowly poisoning our country for years with the high fructose corn syrup they use as a sweetener. When I buy soda, I buy from the micro brew soda makers. I sat good riddance to Coca Cola.