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The Case of Coca Cola Gaining a Stake in Innocent Drinks - Assignment Example

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Week 7 discussion Contents Contents 2 The Case of Coca Cola gaining a Stake in Innocent Drinks 3 Evaluation of the Selling Activity of Innocent’s Stake to Coca Cola 3 Selling of Innocent’s Stake to Coca Cola and Innocent’s Company Philosophy 5 References 7 The Case of Coca Cola gaining a Stake in Innocent Drinks Innocent a soft drink and smoothie manufacturer based in United Kingdom to gain potential for international expansion is found to sell around 10 to 20 percent of the company’s stake to the beverage giant Coca Cola…
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The management body of Innocent however confided that in terms of consumer responsibility they would remain the same in terms of generating natural and healthy products to the consumers while rendering valuable information as to the contents on the product packages and also working in terms of rendering charitable funds. They further mentioned that gaining of funds through the selling of a certain portion of the company’s stake would contribute in enhancing the potential of the concern to fulfill responsibilities related to the consumers and the society in general (Sweney, 2009).

Evaluation of the Selling Activity of Innocent’s Stake to Coca Cola The evaluation of the impact of the corporate sell out of Innocent’s Stake to Coca Cola on Innocent’s own image can be made based along certain views and ideologies related to marketing and consumer philosophy. Firstly it needs to be understood that the current age of consumption does not only relate to customer satisfaction at the subsistence level. Rather it tends to stream out from the level of subsistence to the level of maximization of consumer benefits and other parameters related to leisure, comfort and luxury.

This era of change in consumer’s demand patterns has greatly emerged owing to the abundance of resources not only relate to the physical and economic level but where such resources relate to the sociological and cultural triggers that in turn is governing the changes in consumption ideologies. This era of abundance in terms of psychological, sociological and physical resources has also led the consumers to gain a breakthrough from the traditional notions where a move to gain luxurious and comfortable products was taken on an erroneous note.

Changes in the economic and societal lifestyle of the consumers act as potential triggers in making them gain interest in new product categories that would help them gain new taste and rise along their social status (Lazer, 1969, p.8). The case of selling of Innocent’s Stake to Coca Cola relating to the above discussion holds a positive outlook for it would assist Innocent in enhancing its brand and product portfolio. Enhancement of the product portfolio of the juice and smoothie manufacturer would in turn assist the company in penetrating a larger consumer base in the existing markets.

Further in addition to gaining funds the above decision of Innocent would largely contribute in its market development activities in foreign markets relating to European regions. Consumers of Innocent through the above change would also gain the chance of earning a taste of other beverages from under the same brand umbrella. The management body of Innocent in the light of selling of a certain portion of the company’s stake to Coca Cola also worked largely in the dimension of public relation activities to help in enhancing and sustaining a positive relationship base with the consumer sphere.

Richard Reed, Co-Founder of Innocent through public relation activities tended to reassure the consumers that in spite of the sell-off of the company’s stake every other thing related to product attributes, packaging and

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