Do you think Coca cola's social responsibility program will increase or decrease the company's profit in...

Do you think Coca cola's social responsibility program will increase or decrease the company's profit in the long-run? Why?

Expert Solution

Short Answer : INCREASE

Reason : one example is Coca Cola has been in the wrong news for depleting water bodies in many regions due to its high water usage in production plants for production of coke. This led to various boycotting issues and banning of its products, leading to lower sales.

Now , what they have been doing is , that they created various social plans, social awareness groups and various social initiatives, which is bringing up a new clean image for the company by showing it as an environmental friendly company. In some areas, the Coca Cola has been able to project itself as a Water neutral company, as they now save as much as water they use in the plants through various water preserving social initiative.

This clean image of an environmental friendly company, will help it to easily reach the masses as they now add an emotional connect to sell its products. Yes in Long run, this should add to more profits due to increased sales.

jeff jeffy answered 2 years ago

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