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The Coca-Cola Company Message Board

  • soystar1 soystar1 Oct 24, 2013 6:15 PM Flag

    Tea yep, Tea

    It is not surprising that the growth of the soda industry is slowing down. With the first warning shot by Mr. Bloomberg, it should have resounded in the hearts of KO's executives that it must begin to strategize that the future might not be sodas any longer. In fact, Mexico's proposed tax in the sugary drinks should be blarring sign that KO need to redirect this stalwart defensive and consistently paying dividend company into another category marked: other than sodas. It is my opinion that if Mexico gives in,others will follow in the South American sector. What we are talking about here is KO's growth model. Sure China and India are new areas of interest but I hate to think of what will happen to KO when they are heavily invested in sugary drinks and do not equally pursue something like water or TEA. The game is ripe to move into this sector aggressively.For example, Starbucks has begun to open their tea portfolio, and I have no doubt that somewhere in ATL: KO executives are smirking. KO should take a large bite out of this by either acquiring or developing areas of growth. KO has the distribution channels. Let's not get KO, TKO'd. Pun intended.

    Mr. Buffet was right that we should ask the question, "how did we fail?" I hope for KO's sake that this answer does not come too late. Fuse, KO's small tea market segment should be broadly developed and be given the marketing campaign as their other leading brands.

    I am long on KO and enjoy my KO zero as well as my Fuse tea weekly.

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