Bianca Concepcion
Corporate Social Responsibility
Essay #1
The Coca-Cola Company
In a perfect world companies would have no negative effect on the environment, NGO’s
and companies would work together in harmony and everyone would be happy. Unfortunately,
we don’t live in a perfect world but the Coca-Cola Company (Coke) is working on making the
world better place; slowly but surely. Through new sustainability strategies, CSR projects and
NGO partnerships, the Coca-Cola Company has made a strong positive impact in the business
world and continues its efforts to helping the planet, one bottle at a time.
The Coca-Cola Company humbly began in 1886 in Atlanta, Georgia after a pharmacist by
the name of John S. Pemberton and sold Coca-Cola at Jacob’s Pharmacy for five cents a glass. At
the time, Pemberton was surprised at his sale of nine glasses a day. Today, the Coca-Cola
Company sells over 1.7 billion beverages. With so many drinks being sold around the world,
one can question how socially responsible they are being. But their efforts are transparent and
it’s clear to see they are making a positive difference.
One of the first things the Coca-Cola Company mentions in its sustainability reports is
its partnerships with reputable NGO’s, networks and government agencies. There has always
been a rough relationship between NGO’s and companies but Coca-Cola has been able to call
the World Wildlife Fund (WWF) and the international Federation of the Red Cross and Red
Crescent Societies (IFRC) their partners. WWF is the world’s leading conservation organization
and through their work with Coca-Cola they hope achieve goals such as measurably conserve
seven of the world’s most important fresh water basins, improve water efficiency and reduce
carbon emissions and energy use. WWF and Coke both have strong interest on sustainable
water handling and through this partnership hope to improve the usage and contamination.
Though they are working heavily on worldwide water conservations like the Rio Grande and
southeastern US Rivers they still do have a few issues with smaller US towns like Northampton,
MA. According to CSR website, Triplepundit.com, this small towns’ wastewater treatment
facility cannot handle the massive amount of beverages Coke produces which is causing
pollutions in the water. Though the town government did agree to let them expand, Coke
should have first made sure that the town was properly equipped to handle this expansion. In
order for the Coca-Cola to stay true to its mission with WWF, they must make sure they are not
only focusing on rest of the globe, but also in its native country.
In its own efforts, the Coca-Cola Company has made significant improvements in its
water stewardship. They have reduced their water usage 16% percent since 2004. Coke is also
progressing to improve wastewater recycling. About 39% of Coca-Cola’s production facilities
indicated that they reuse water before or after treatment or use collected rainwater which
significantly improve environmental impacts. They are also committed to providing safe
drinking waters in countries like Africa by beginning the Replenish Africa Initiative (RAIN) a
six-year, $30 million commitment. Along the lines of recycling, Coke has also created the
PlantBottle™. This initiative aims to have all plastic bottle partly created by plants and be 100%
recyclable.
In addition WWF and Coke have created the polar bear support fund in which they hope
to raise awareness and charitable donations to the declining polar bear population. In 1993,
the first coca-cola polar bear ad was released. Because of its popularity, the new concern global
warming and endangered animals Coke has earned almost 2$ million, for this fund, in this past
year alone.
Alongside with IFRC, Coca-Cola has proven to help disaster reliefs in over 50 countries
in 1917. After the earthquake and tsunami in Japan in 2011, Coca-Cola and IFRC took action
into finding ways for the community to give back. They pledged 33$ million to the relief and
recovery efforts in Japan. The 2011 tornados and floods that hit US states like Tennessee and
Georgia were devastating to the stability of each sates and Coke immediately took action by
sending relief efforts and even donating more than 8,000 Dasani water cases to affected areas.
“Our partnership with The Coca-Cola Company has the potential to become one of the world’s
leading business and civil-society collaborations.” Bekele Geleta, Secretary General,IFRC. The
relationship with Coke and NGO’s has only gotten stronger and more trustworthy. Coca-Cola is
a proud partner of PNB (an alliance of public-private partnerships designed to deepen
engagement between the United States and local communities abroad) and USAID (a federal
agency providing development and humanitarian assistance to over 100 countries around the
world).
Through support of companies like Coca-Cola, PNB has been able to establish chapters
in countries like Morocco, Turkey and Palestine. More than 70 projects focusing on education,
economic opportunity, exchange science and technology are currently in process. Together, in
2005, USAID and Coca-cola launched the Water and development alliance and were able to
address communities in which water was needed in developing countries. Since then, they have
provided clean drinking water to over 500,000 people, ensuring access to basic sanitation to
over 55,000, and protecting over 400,000 hectares of critical watersheds.
In their Global reporting initiative (GRI) report 2010, Coke states that they contributed
102$ million to charitable organizations, environmental donations being the most (26$ million)
and educational being the second highest (24$ million). Personally, I feel Coke has realized the
main priorities in today’s society. Not only do they contribute money, but have created
organizations in which people can donate and participate in. For example, the Tsunami relief
fund in Japan.
Unfortunately so, Coca-Cola has had a history with criticisms concerning nutrition and
health. They have listened to these criticisms and have taken action by initiating healthy, active
programs, like Copa Coca-Cola (a foundation beginning in Mexico which endorses soccer and
athletic tournaments), and supporting programs around the world, including the Olympics.
Many people question whether an event that hosts the world’s greatest athletes should be
supporting by an unhealthy beverage company. Arguing in favor, Coca-Cola has been the
longest Olympic sponsor and through this, Coke is able to advertise the Olympics which can
inspire children to become more active and healthy. Another factor that must be taken into
consideration is that the Coca-Cola Company does not only serve the Coca-Cola beverage. They
also serve Dasani™ water, Odwalla™ juices and other healthy, sustainable drinks. Coke is also a
proud sponsor of the Paralympic games aswell. This also helps inspire athletes of all disabilities
to pursue a dream and active lifestyle. By 2015, Coca-Cola hopes to sponsor at least one
physical activity program in every country they operate in.
Another ambitious 2020 goal set by the company was the 5 BY 20 initiative. Coca-Cola
hopes to economically empower 5 million women entrepreneurs in their global value chain by
2020. The company realizes that women not only play a crucial role in their communities but
also within the company. They also realize that this goal is not feasible but there selves so they
are working on partnering with NGO’s, governments, banks and other companies around the
world.
The goals Coca-Cola has set continue to seek to improve the world. Their efforts in the
environmental community set an example for competitors and rising companies. Communities
in developing countries are able to have clean drinking water and jobs to support their families.
Active lifestyles have been promoted through Coca-Cola along with healthy eating and
drinking. They have set the bar for standards in a company and informed the public of their
endeavors. Skeptics of the company are inevitable but everyday Coca-Cola and its partners
ensure the well-being of the consumers, sustainability of the planet, and responsible
production are top priorities.
Bibliography
Coca-Cola Company. Sustainability Report. Rep. N.p., 2010/2011. Web. Oct. 2012.
<http://www.thecocacolacompany.com/sustainabilityreport/TCCC_2010_2011_Sustainability_Report_Full.pdf>.
"Annual Financials for Coca-Cola Co." Marketwatch.com. FactSet Research Systems Inc,
2012. Web. <http://www.marketwatch.com/investing/stock/ko/financials>.
Coca-Cola Timeline. Rep. N.p.: n.p., n.d. Web. <http://heritage.coca-cola.com/timeline.swf>.
"Nutrition, Healthy Lifestyle & Physical Activity : The Coca-Cola
Company."Http://www.thecoca-colacompany.com. N.p., n.d. Web. 09 Oct. 2012.
<http://www.thecoca-colacompany.com/citizenship/move.html>.
"The Coca-Cola Company Beverage Institute for Health &
Wellness." Www.beverageinstitue.org. N.p., n.d. Web. 09 Oct. 2012.
<http://www.beverageinstitute.org/en_US/pages/>.
"Coca-Cola: Arctic Home." www.arctichome.com. N.p., n.d. Web. 09 Oct. 2012.
<https://www.arctichome.com/web/index.html>.