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PRICE OF HONESTY
CSR
HISTORY
MISSION STATEMENT
WHY STAKE SALE TO COCA-COLA?
   Constant struggle in reaching out to New Markets
   Insignificant presence in Supermarkets and
    convenience stores
   No presence in overseas markets
   Less than 20% of population were reached.
   Focus on core business and not to spend time on
    establishing and setting up distribution infrastructure
   National presence
   To create impact in the society by taking the brand
    forward more aggressively
   To democratize organics
   Promote sustainable farming / fair trade practices to
    help organic farmers
STAKE SALE OUTCOME –
HONEST TEA’S EXPECTATION
 No intervention in management / business
  operations
 No Change in its mission

 Create larger reach using Coke’s widely available
  distribution network
 Provide socially responsible products to more
  consumers
 To change the landscape of agriculture in tea fields
  (2.5 mt versus 25mt)
CUSTOMER REACTIONS
 Signed a deal with devil
 Honesty is sold to a company sells and promotes
  unhealthy drinks / known for environmental and
  labor abuses
CUSTOMER REACTIONS
 Why no unique solution to distribution when there is
  for other areas such as bottling
  plants, ingredients, etc.
 Concern on ability to remain on their sustainable
  practices
 Concern on all the green initiatives
OTHER SIMILAR TAKEOVERS
 Ben & Jerrys (Unilever)
 Tom’s of Maine (Colgate)



   Burt’s Bees (Clorox)
Thank You

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Price of Honest(ea)

  • 2. CSR
  • 5.
  • 6.
  • 7.
  • 8.
  • 9.
  • 10.
  • 11. WHY STAKE SALE TO COCA-COLA?  Constant struggle in reaching out to New Markets  Insignificant presence in Supermarkets and convenience stores  No presence in overseas markets  Less than 20% of population were reached.  Focus on core business and not to spend time on establishing and setting up distribution infrastructure  National presence  To create impact in the society by taking the brand forward more aggressively  To democratize organics  Promote sustainable farming / fair trade practices to help organic farmers
  • 12. STAKE SALE OUTCOME – HONEST TEA’S EXPECTATION  No intervention in management / business operations  No Change in its mission  Create larger reach using Coke’s widely available distribution network  Provide socially responsible products to more consumers  To change the landscape of agriculture in tea fields (2.5 mt versus 25mt)
  • 13. CUSTOMER REACTIONS  Signed a deal with devil  Honesty is sold to a company sells and promotes unhealthy drinks / known for environmental and labor abuses
  • 14.
  • 15. CUSTOMER REACTIONS  Why no unique solution to distribution when there is for other areas such as bottling plants, ingredients, etc.  Concern on ability to remain on their sustainable practices  Concern on all the green initiatives
  • 16.
  • 17. OTHER SIMILAR TAKEOVERS  Ben & Jerrys (Unilever)  Tom’s of Maine (Colgate)  Burt’s Bees (Clorox)
  • 18.