Unethical Practises

1. UNETHICAL PRACTISE OF COCA-COLA
Roll No : 29 MMS
College : AIMSR

2. Company Background
The Coca-Cola Company re-entered India through its wholly owned
subsidiary, Coca-Cola India Private Limited and re-launched Coca-Cola in
1993 after the opening up of the Indian economy to foreign investments in
1991.
Since then its operations have grown rapidly through a model that supports
bottling operations, both company owned as well as locally owned and
includes over 7,000 Indian distributors and more than 2.2 million retailers.
Today, our brands are the leading brands in most beverage segments. The
Coca-Cola Company's brands in India include Coca-Cola, Fanta Orange,
Limca, Sprite, Thums Up, Burn, Kinley, Maaza, Minute Maid Pulpy Orange,
Minute Maid Nimbu Fresh and the Georgia Gold range of teas and coffees
and Vitingo (a beverage fortified with micro-nutrients).
In India, the Coca-Cola system comprises of a wholly owned subsidiary of
The Coca-Cola Company namely Coca-Cola India Pvt Ltd which
manufactures and sells concentrate and beverage bases and powdered
beverage mixes, a Company-owned bottling entity, namely, Hindustan
Coca-Cola Beverages Pvt Ltd, thirteen licensed bottling partners of The
Coca-Cola Company, who are authorized to prepare, package, sell and
distribute beverages under certain specified trademarks of The Coca-Cola
Company and an extensive distribution system comprising of our customers,
distributors and retailers.
Coca-Cola India Private Limited sells concentrate and beverage bases to
authorized bottlers who are authorized to use these to produce our portfolio
of beverages. These authorized bottlers independently develop local markets
and distribute beverages to grocers, small retailers, supermarkets, restaurants
and numerous other businesses. In turn, these customers make our beverages
available to consumers across India.

3. Unethical Practice
The Company Coca-Cola entered India in the year 1993
But , before this the Company was forced by the Indian Government to
leave the Country in 1977 due to its Unethical practices that it followed
being in the Country
Each bottling plants extracts up to 1.5m liters of water everyday from the
ground.
It takes nine liters of clean water to manufacture a liter of Coke.
In 2000 Coca-Cola opened a plant at Plachimada, a village in Kerala to
produce 1.2m liters of coke every day.
The conditional license granted by the local Panchayat authorized the use
of motorized pumps
But the company drilled more than six wells & illegally installed high-
powered electric pumps to extract millions of liters of pure water.
The level of the water table fell from 45 to 150 meters below the surface
The company started dumping waste outside causing a serious health
hazard.
The court gave Coca-Cola a notice to cease water extraction
The theft of water was not only limited to Kerala
Overexploitation of groundwater soon started in Kaladera
Kala Dera - Thirsting from Coca-Cola
 Kala Dera is a large village outside the city of Jaipur.
 Agriculture is the primary source of livelihood.
 Coca-Cola started its bottling operations in Kala Dera in 2004, and within a
year, the community started to notice a rapid decline in groundwater
levels.

4. Unusable Well in Kala Dera Showing Depleted Water Level
Community Response
The community in Kala Dera organized itself to challenge the Coca-Cola
company for the worsening water conditions - through extraction and
pollution - and demanded the closure of the Coca-Cola bottling plant.
Coca-Cola’s Response
 Coca-cola took seven month to respond
 Coca-cola not respond to the concern raised
 Unethical and dishonest campaign
 Chosen to continue the operation
 Continued in misery of thousand people
But , Later on
Coca- cola recharged more water than the use from the groundwater
resource
Rain water Harvesting was done .