THE COLA CONUNDRUM

Case Study 2

INTRODUCTION

Invented by a Pharmacist named John Pemberton. Introduced as a health tonic in the region of Atlanta, Georgia in 1885. An instant hit, with health benefits and was served to soldiers in Second World War. They made Claim for Ethical Business and few Supplier guiding Principles. Won World Environment Foundation Award in 2005. Made sure they met with Quality, Laws and Regulations, Environmental Practises and their Promise : -

THE COCA-COLA COMPANY EXISTS TO BENEFIT AND REFRESH ANYONE IT TOUCHES. . .

UNETHICAL PRACTISES KILLED ITS BRAND!!!

Lack of Transparency, Accountability, Ethics in Marketing and Unhealthy nature of Colas. Foreign particles found in bottles, Excess water usage, Problems all over the world including Indian states like Kerala, Uttar Pradesh, Tamil Nadu, Rajasthan and Maharashtra. Very low compensation paid to use of Resources and Practices Inimical to Stakeholders interests. Challenges to Human Rights Abuses.

CONTROVERSY 2003
Been in the news for all the wrong reasons; the latest being the

report of the Centre for Science and Environment(CSE), New Delhi.

A CSE test found 12 soft-drink brands of Coke and its global rival Pepsi contained pesticides and insecticides in excess of the European Economic Commissions limits. Six months ago, CSE tests had found pesticides in leading packaged water brands, including those produced by Coke and Pepsi. Study revealed that the Indian produced Pepsis soft drink products had 36 times the level of pesticide residues permitted under European Union(EU) regulations; Coca-Colas 30 times. Also the same study done in United States had no such results!

CONTROVERSY - 2006

Continued to sell soft drinks in India even three years after the government of India confirmed that these products were dangerous. CSE found pesticide residues in all samples. The study concluded a cocktail of between three to five different pesticides in all samples. The pesticide residues were 24 times higher than European standards and those proposed by the BIS. The Centre said, the companies say milk and vegetables have more pesticides than colas. But milk and vegetables also have nutrition. They give us something in this poisonnutrition trade-off. We get nothing with colas.

IMMEDIATE OUTCOMES

Denied allegations that their products manufactured in India contained toxin levels far above the norms permitted in the developed world. Launched a virulent campaign against the study decrying it as unscientific and biased. The political storm kicked up and Parliament not only banned such bottled drinks from being served in its canteens, but also instituted a Joint Parliamentary Committee(JPC) to look into the charges.

It called for a total review and revamp of regulations for fixing standards for safe levels of pesticide residue for the various ingredients used in the making of soft drinks including water, its major constituent.

CRITICS

ISDMA (The Indian Soft Drinks Manufacturers Association) reiterated that soft drinks that soft drinks being manufactured in the country, strictly maintained all applicable national norms.
In a statement, the ISDMA said, The soft drinks manufactured in India comply with stringent international norms. It added that over the past three years, the soft drink industry has been cooperating with the Union Ministry of Health, BIS, to establish stringent science-based norms. Only after CSE exposed this lacuna in its first study, did the Health Ministry move to evolve an MRL standard for packaged water. There are apprehensions that a decision to ban the sale of Coke and Pepsi might send wrong signals to industry.

OUR TAKE

MADE BY :-

SHAONI ROY CHOWDHURY RICHA SINGHANIA AAKANKSHA JOSHI TANIA ANN KOSHI PRIYANKA SINGH