In What Ways does Coca-Cola Follow the Rules of the Prince as Illustrated by Machiavelli - Essay Example

In What Ways Does Coca-Cola Follow the Rules of the Prince as illustrated by Machiavelli? Coca-Cola is a beverages manufacturing corporation operating globally. The company began in the year 1886 and based in the US. The company enjoys a wide market share of its products globally. Dr. John S. Pemberton was a pharmacist based in Atlanta and out of his curiosity, he came up with a soft drink had a different and unique taste and could sell it at soda fountains. Afterwards, he made flavored syrup and introduced it to a pharmacy in his neighborhood and had it combined with carbonated water. All those people who sampled the mixture commented that it was excellent. That is how Coca-Cola beverages started. Since Coca-Cola started, it has been amongst the best companies making high amounts out of sales and profits. Legally, a corporation is a body on its own or human beings. Machiavelli’s book by the name “The Prince”, discusses individuals actions. However, the book is applicable to a corporation because a corporation is a body or human beings. For many years, Coca-Cola has had a very successful business performance. The company has a label as the leading beverage corporation globally. However, currently the company is facing several challenges relating to its products health safety to the consumers. There has been an allegation that the company produces very sugary beverages, which contributes to obesity and other health issues from the beverages consumption, by the people in the US. Most studies have analyzed that the beverages do not have any health benefit to the consumer. Just like Machiavelli’s life, his life had three stages. In his youth stage, he was great. The same case applies to Coca-Cola, in its youthful stage, Coca-Cola did very well in the market because there were few competitors in the US and globally. According to Machiavelli, all states and all powers that have had power over men are either principalities or republics. COCA-Cola is hereditary because the formula used by the founders of the corporation has transferred it to new managers all through. In this case, other competitors have not managed to know the formula used by the company during productions of its beverages. Machiavelli says that there is less difficulties during holding of the hereditary states. Coca-Cola has reined the market without much difficulty because it has kept its productions formulas a secret. Production of the beverages takes place at the company’s headquarters in the US. Machiavelli continues and says that the only challenge that the hereditary states has to deal with the circumstances as they arise prudently in order for a prince holding average powers to maintain himself in the reigning state. Same case, Coca-Cola critics are more in its home country, USA. The critics about the health safety of its products are more crucial in the US. Therefore, the company must deal with the critics more in its home country in order to maintain its reputation globally. In the book “The Prince”, it states that whenever people want to change their ruler, they do it in the hope to make themselves better. They go ahead and become enemies with the ruler and the ruler causes burden to the subordinates using hardships and solidarity. Coca-Cola has been the reigning beverages corporation. However, the upcoming competitors in the industry feel burdened by the corporation because they cannot achieve a higher market share. As a result, the companies start creating some avenues to have Coca-Cola an enemy to its customers. The corporation finds itself in a situation where it cannot keep its consumers who are the friends in a satisfied mood. Machiavelli states that, for one to enter a new province, one must have had a goodwill from the natives of his original province. Therefore, Coca-Cola has had a good support from the US and managed to enter into the international market successfully. However, it is difficult for the company to maintain its global market share currently because the US people are not in support of the health safety of the company’s beverages. Consequently, the company is likely to suffer reduced sales, revenue, and profits because of the negative campaigns going on in the US. The global headquarters of the company is the US and the people in the country are seriously criticizing the company’s products negatively. The book states that it is very true that when a prince encounters rebellious provinces, he works hard to clear out the suspects involved and works to strengthen himself in his weakest places. Nevertheless, if the ruler encounters losses in the first time and gives room to the whole world to turn against him, then he is likely to lose the second time completely. Coca-Cola is losing its markets share in the US. However, if the company does not strategize accordingly to outdo the allegations made about its products, then it global customers will turn against it and the corporation will lose completely to its competitors in the industry who will take over the lost market share of the corporation. In the early days, Coca-Cola had a challenge of losing its bottles to other beverage-manufacturing firms. In response, the company came up with a unique bottle design that was distinct enough to differentiate it from other bottles belonging to other firms. The unique bottles having a contoured shape and a label helped the company keep its bottles losses relatively very low. Machiavelli states that when acquiring of states in countries that differ in laws, customs and language, there are challenges, good fortune and vast energy required to continue holding them. The acquirer of the states should go and reside in those countries in order to continue holding the states acquired. Following the principle of acquiring and residing in the states acquired, Coca-Cola has managed to start branches in all the countries it operates. The company has put up plants in the foreign countries and has managed to maintain the customers in those countries by having plants in those countries. The company offers jobs to the local people of those countries and ensures that it participates in corporate social responsibility in the host countries. Therefore, Coca-Cola applies the principle of Machiavelli in maintaining its global market share by expanding its operations to the other countries. In fact, the company uses direct investment, mergers, and joint ventures in the foreign countries. Therefore, the company has a good understanding of what it requires to continue reigning in the global market. The principle of acquiring states and residing in them as a strategy of holing them makes the acquirer more secure and last there for a long period. For example, Turk in Greece did not consider all the measures he took when holding the state but his settlement in the state helped him keep it. Machiavelli continues to elaborate that a ruler settled in a particular state is able to spot any disorders as they begin and can quickly act and remedy them on time before they get worse. However, when one is not in the site or spot, it is easy to hear of the disorders once they get to the worst level and this makes it hard to re-correct them. Coca-Cola is in advantage because the disorders claimed about its products health safety occur in a country it operates in and the location of its headquarters. Therefore, Coca-Cola is in a position to correct the sugar and calories levels of its products and ensure that the quality is high as expected by the consumers who worry about their health and fitness. Machiavelli states that a prince who holds a different country containing different customs, language, and culture must ensure that he is the head and a defender of the neighbors who are less powerful, make the more powerful ones weaker, and ensure there is no foreigner who is stronger than he is. Coca-Cola ensures that whenever it enters into a joint venture with a foreign company, the joint venture becomes more successful than the powerful companies in that country do. In addition, the reputation and branding of the company uplifts the local company to the height of Coca-Cola itself and ensures that the regional competitors in the region are weaker than the joint venture. As a result, Coca-Cola manages to reign as he best beverage company in the entire country and region. It starts different branches in the region that outdo all the regional competitors in terms of the market share. Machiavelli states that a prince who acquires a foreign state must create friendship with the locals of that state in order to stand out. In addition, the prince should keep the state and give the members their freedom. Coca-Cola ensure that whenever it starts operations in foreign country, it befriends the natives of the country by offering job opportunities to the skilled, participating in scholarships or corporate social responsibility in order to create a good picture to the potential customers in that country. In addition, the company uses the local televisions and other mediums of advertising to attract more customers. Nevertheless, the company appreciates human diversity and shows the locals that it appreciates them despite the fact that it is a foreign company. The company offers good remuneration packages that help in uplifting the social and living standards of the employees and the society at large. Any new principalities acquired by an individual’s arms or ability, a wise person should ensure that he follows the paths trampled by great people. In the pursuit of intimidating the former superiors, the conqueror should imitate the former great personalities so that if the ability of the conqueror does not equal that of the former conquerors, the new conqueror will savor of it. Coca-Cola has been a reigning beverage producing and selling company worldwide. When it ventures a new country, it does not find a great former competitor to follow the footsteps or base its power. Therefore, the company establishes itself as a superior company in the new country and operates as a superior country. The company bases its strength with upcoming competitors who are far much inferior to the global firm. Therefore, Coca-Cola does not apply the principle outlined by Machiavelli about following the footsteps of a former conqueror. According to Machiavelli, new principalities acquired by either arms of others or good fortune do not have trouble in thriving to higher heights because they just fly but encounter problems when they reach the top. Coca-Cola managed to go up the performance ladder because the products were diverse and unique. There were no such products produced by other companies at the time the company started. The founder of the formula came up with the formula as a good fortune when conducting some tests. However, upon reaching the top as the best selling beverages company in the world, there are emerging competitors in the industry. It is at this time that people are criticizing the safety of the company’s products. The firm is facing stiff competition in the global market as well as the local market in the US. Therefore, the company fulfills the principle laid down by Machiavelli. Machiavelli states that a prince should not harm other aims or thoughts or select anything else for his study apart from war, its rules and discipline because that is the only art that belongs to the ruler. Coca-cola obeys this rule because it does not concentrate on the propagandas laid down but instead focuses on increasing its competitive advantage and uses the right measures to increase its market share. The company ensures that it does engage in unfair competition but instead uses correct strategies allowed in the global business to conquer the market. At no time does Coca-Cola fight back its competitors by spreading in-correct information about its competitors’ products. The firm engages in bulky marketing and expansion all through to reach out to its potential customers. In conclusion, Coca-Cola Company follows the rule of the prince in its global business and maintains a good reputation. The corporation focuses more on its reputation and measures required to rein the international business in the beverages industry. The company follows all the rules laid down by Machiavelli and thrives in its operations. Despite all the challenges the firm faces in the dynamic business environment, the firm uses unique and correct strategies to achieve its goals and objectives. Work Cited Machiavelli, Nicolo, and W K. Marriott. The Prince (illustrated). Cork: BookBaby, 1909. Internet resource. Read More