The last few months has not been very favourable for the world’s foremost soft-drink giant, Coca-Cola.
From speculations of a high gaseous content that rather aims at deterring its millions of consumers especially in Africa from using the product to an over 10% drop in sales revenue during the first quarter of the year: it’s has been an outright battle to stay on top the soft-drinks market.
Many blame the poor market performance on a general decrease in soda volumes as well as a global currency volatility.
However, following the announcement of the company’s choice for CEO on the exit of its out-going chief, Muhtar Kent, Coca-Cola recorded a quarter earnings of 43 cents on each share against a projected 44 cents per share.
Age 52, Mr. James Quincey will from next week take over the reins of the Atlanta-based beverage giant after having served as the company’s President of the Europe Group which comprised of its operations in 38 countries including European Union member states, the European Free Trade Association countries as well as the Balkans.
Under his leadership, the Europe Group of Coca-Cola was named the most profitable operating group on two basis: strategically expanding its brand portfolio and improving its product execution across Europe. Â Â Â
Now in a proposed drastic move that is aimed at restructuring the company and making it more profitable in the long-run, the new Chief Executive and Chief Operating Officer promises to cut-down on operations.
The measures to achieve this goal includes an anticipated jobs cut of about 1200 for the beverage giant’s workers, on a whole cut cost by $800 million over the next one year, and the biggest change being the plan to scrap the company’s bottling operations.
However apart from the company’s new boss self-imposed goals, there is a general high expectations for the new leadership especially that of curtailing the effect of local beverage companies on Coca-Cola’s market in various countries.
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