coke pesticide case study
Case Study: Coke and Pepsi in India
Question # 1: Identify the ongoing issues in this case with respect to issue management, crisis management, global business ethics, and stakeholder management. Rank these in terms of their priorities for Coca Cola and for PepsiCo.
Answer: In this case there are several management, ethical issues and crisis management issues are discussed in connection of Pepsi cola and Coca Cola multinational companies’ business practices in India. The most concerning issue which was found by the India’s Center for Science and Environment that the soft drinks test has shown high levels of pesticides residue in Coke and Pepsi. In India water shortage was experienced by the people around the Coke’s bottling plants. Violating the environmental ethics in India Coke and Pepsi founded in scared water as the UN stated that the country has worst water in the world. In 2006 it was founded that most of Indian grounded water is contaminated with pesticides residue. In Wall Street Journal it was admitted by the companies that they are unable to handle the problem as they have to. In 2011, it is concluded after a research that PepsiCo has severely underestimates the water use in India, they were unable to maintain water balance, most of their plants are established in water stressed area and there is low commitment to local water stewardship. Coca-Cola also found involved in activities of worsening the water condition.
Question # 5: How do companies protect themselves against the nonstop allegation of special interest groups that have made them a target? Is stakeholder management an answer?
To avoid the allegation from the local organizations and common people, there is need to improve stakeholder management and through this way, the soft drink companies should concern towards their social corporate responsibilities. Companies should ensure that their activities will left no harm for the local people. They should deal with the local population and environment by friendly approaches. Companies should not establish their plant in highly water stressed areas. There should be proper waste deposing system so that the ground water and the fertility of the land could not be harmed. Moreover, there is need to concern the health issues in the manufacturing of soft drinks.
Questions/Answers Of Case Study: Coke and Pepsi in India Submitted by Dated Case Study: Coke and Pepsi in India Question # 1:Identify the ongoing issues in this case with respect to issue management, crisis management, global business ethics, and stakeholder management. Rank these in terms of their priorities for Coca Cola and for PepsiCo. Answer: In this case there are several management, ethical issues and crisis management issues are discussed in connection of Pepsi cola and Coca Cola multinational companies’ business practices in India. The most concerning issue which was found by the India’s Center for Science and Environment that the soft drinks test has shown high levels of pesticides residue in Coke and Pepsi. In India water shortage was experienced by the people around the Coke’s bottling plants. Violating the environmental ethics in India Coke and Pepsi founded in scared water as the UN stated that the country has worst water in the world. In 2006 it was founded that most of Indian grounded water is contaminated with pesticides residue. In Wall Street Journal it was admitted by the companies that they are unable to handle the problem as they have to. In 2011, it is concluded after a research that PepsiCo has severely underestimates the water use in India, they were unable to maintain water balance, most of their plants are established in water stressed area and there is low commitment to local water stewardship. Coca-Cola also found involved in activities of worsening the water condition. Question # 5:How do companies protect themselves against the nonstop allegation of special interest groups that have made them a target? Is stakeholder management an answer? To avoid the allegation from the local organizations and common people, there is need to improve stakeholder management and through this way, the soft drink companies should concern towards their social corporate responsibilities. Companies should ensure that their activities will left no harm for the local people. They should deal with the local population and environment by friendly approaches. Companies should not establish their plant in highly water stressed areas. There should be proper waste deposing system so that the ground water and the fertility of the land could not be harmed. Moreover, there is need to concern the health issues in the manufacturing of soft drinks.
