Invasion of the MNC's!

MNCs are multinational companies. This means that they are a business organization that operates in multiple nations.

Holding Companies are businesses that own controlling interest in other diverse companies.

They are alike because they both are companies that control various markets, but they are different because the holding company owns other companies, while the MNC owns different offices in many different countries. That means that while one deals with other companies, another expands it's company into different countries to grow as a company rather than as an empire.

Coca Cola has had a precarious path. The company was created by Dr. John Pemberton, who invented the syrup as a pharmacist. Then it was combined with carbonated water and made into a drink. After marketing the product as Coca Cola, it slowly progressed to popular drink, although never became truly famous until after Dr. Pemberton died. After giving the remaining shares to Asa Candler, he managed to boost sales ten fold and improve the company's publicity. As the empire continued to grow, it set up shop in nearly every state of America. Bottling coca cola was a new idea that helped increase sales. In 1919, Coca Cola was bought by Ernest Woodruff. He boosted the idea of a 'quality drink' to consumers. Huge amounts of marketing went underway as well. Several containers and devices were produced by the company in order to increase sales, such as drink coolers. The revolution of publicity was when Coca Cola was sold to spectators at the Olympic Games in 1928. Even during the wars, Coca Cola used the propaganda to publicize it's products. This made Coca Cola become more popular world wide. Through the years, several advertising campaigns and slogans were created to keep Coca Cola with the times. Over all this time, Coca Cola was able to expand into the global empire it is today due to hard work, perseverance and lots of luck.

Coca Cola's core business is selling soft drinks across the world, in a variety of flavors, types and packaging.

They have not quite diversified, they stayed within their own market, but their products have changed quite a lot and that helped their business by adapting to world tastes, and advertisements while keeping the true nature and original values of their business intact. Their products may be slightly different from the original formula but they keep the idea of a soft drink that is similar to the original alive. All of this will help lower the risks taken to make the product successful and continuous.

This gives them more customer loyalty, as their product has become so much a part of a culture, especially America's, that it really is difficult to compete with it. Not only that but the amount of economies of scale is enormous and the company functions with so many customers and outputs so much products, that it requires an empire of factories and production units.

They are listed on the New York Stock Exchange (NYSE).

There are 14 members on the Board of Directors, headed by the Chairman, Muhtar Kent.

AMR is the parent company of both American Airlines, Inc. and American Eagle Airlines, Inc., and has a number of businesses and key facilities within its corporate structure. The company is also a founding member of the global oneworld Alliance. All aspects of the airline’s worldwide activities are overseen from AMR’s Corporate Headquarters campus in Fort Worth, Texas.

It can influence the actions of nearly all the airline's worldwide activities.

Asset strippers are a form of corporate raiders that focus on a target company. They aim to control the company over time and will sell of parts of the company after gaining ownership in order to make a profit. They seem to be aiming for management rather than becoming an asset stripper.

MNC and Holding companies are the leaders of their markets and therefore control the rest of the companies. They have the ability to dominate and get ownership of their competitors and have an edge over those companies which are not MNCs or Holding companies.

Coca Cola has not had any problems expanding to a global market, the change simply let the company grow and it was apparent from the research done, that the company was able to transition into an MNC smoothly, in fact, it seemed like it was not the intention to go multinational in the beginning but became that way after getting consumers from other countries, due to the war.

The term conglomerate (in relation to companies) means combination of two or more companies engaged in entirely different businesses together into one overarching company.

Some of the conglomerates are: General Motors, General Electric, Sony, Apple, Microsoft etc. As they often have to combine with other companies in order to improve their products and reach a harder market.

Some advantages of being in a conglomerate are that you can get skills and training from a market other than your own and therefore combine the knowledge to access that other market, not to mention, you also can make a lot of money by sharing the risks with another company and combining your power as a company.

Some disadvantages are that you can sometimes lose control if the other company you are attached to is more successful than you and therefore will attempt to use you, not to mention, if the company is less successful than you and is in a deficit or the market is failing, then you will lose money because the companies are bound together.



More information is available at : http://www.thecoca-colacompany.com/heritage/ourheritage.html