Final answer:
Coca-Cola's internal structure involves shipping concentrated syrup to franchised bottling plants globally, where local water and sweeteners are added to produce the bottled beverage, a strategy that reduces transportation costs and caters to local tastes.
Step-by-step explanation:
The internal structure of Coca-Cola refers to the company's strategy in producing and distributing its products. Instead of manufacturing its final beverage in one location and then transporting it worldwide, Coca-Cola opts to ship the concentrated syrup to thousands of franchised bottling plants globally. These local plants add water, sweeteners, and carbonation to the syrup to produce the final product, which is then distributed within a specific geographic area. This method is advantageous as water, the main ingredient, is readily available everywhere, making the process of shipping large amounts of finished product unnecessary and cost-inefficient.The company headquarters, where the "secret recipe" is securely stored, is located in Atlanta, Georgia. From here, concentrated syrup is sent to bottling plants across the world. At these franchised bottling facilities, local resources are used to complete the manufacturing process, which involves mixing the syrup with local water and other ingredients before bottling or canning. This strategy is reflective of the company's market orientation and the bulk gaining nature of the product, as it becomes heavier and more expensive to transport once water is added. Moreover, the variation in sweeteners, such as cane sugar in places outside the US, can lead to subtle differences in taste between regions.Conclusion The production and distribution strategy employed by Coca-Cola illustrates a practical approach in handling a bulk gaining product to reduce transportation costs and leverage local resources effectively. This approach is not only economically rational but also allows for regional variation in the final product's taste, contributing to Coca-Cola's global presence and recognition.