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i need help with this question. 1-31:What factors are important in understanding this decision situation?

a (24) Joyner Lucas . x \< The Business Scho x \<u Aska Question >< \<u hi i need help witl x D michaelirgsolomt x Xv Home | Course Ear >< \<V Notice: Undefined x KG Marketing in Actic X \D W — 6 C‘ O ‘G file:///C:/Users/rukhs/Downloads/michael_r._so|omon_greg_w._marshal|_e|nora_w._stuart_»_marketing_real_peop|e_rea|_choices_2017_pearson%20(2).pdf michael_r._solomon_greg_w._marshall_e|nora_w._stuart;4marketing_reaLpeop|e_rea|_choices‘20‘l 7_pear... 56 / 597 orkeiing in Action Case Real Choices of Coca-Cola What do you do when your customer starts to shrink, both lit<erally and figuratively? The sale of soft drinks in the U5. is notwhat it used to be. The $98 billion soft-drink industry is beingchalenged by changes in consumers' attitudes toward bothsugar—sweetened and diet drinks. Historically. soft drinks have been a significant portion of the American diet and sales havegrown year after year. In the U.S. the rates of obesity, diabetes, and other weight—related health Issues are on the roe. in 20”, the Centers forDisexe Control and Prevention fomd that 35 percent of US. CHAPTER 1‘ adults were obese. And the problem is not limited to adults;wrth distressing regularity children are being diagnosed asobese. Although obesity and its related in»: are complicatedand have many different causes, soft drink manufacturers,like Coca-Cola. hare been forced to bear a large share of theblame. This combined with the current consumer trend towarda healthier lifestyle has dealt a blow to the beverage induqry.Since the 19905. the sales of soft drinks have fallen by morethan 25 percent J. Alexander M. Douglas it, president of Coca-Cola NorthAmerica, stated that the public's change toward better healthand wellness is transforming the long—term competitive en-vironment. As many consumers have changed their attitudestoward sweetened soft drinks, they have also begun to ques—tion the safety of artificial sweeteners used in diet soft drinks.According to Barry M. Poplrin, a profeSor of nutrition at theUniversity of North Carolina, this has led to consumers chang-ing from regular to diet soft drinks and finally to other bever—ages. The decision for many consumers has ultimately been tochoose water. Ironically, health and wellnas were a key componentof the beginning of the Coca—Cola story. In 1886, Dr JohnS. Pemberton, a pharmacist, created a flavored syrup thatwas mixed with carbonated water and sold to customers.The motivation was to create a nonalcoholic alternative tothe Frendi Wine Coca, a concoction Dr. Pemberton used tocure his addiction to morphine. Dr. Pemberton promoted hisnew product as havrng a variety of health benefits, claimingthat rt was a cure for headaches, it relieved exhaustion, and itcalmed nerves. This mixture, which would eventually evolve into Coca»Cola, was primarily sold In pharmacies. However, instead ofpromoting it as a medicine, Dr. Pemberton decided to sell it asa fountain drink. Theassodationofobes‘tyandsoftdrinkshasbecomesomuch of a problem that in some cities, politician are proposing ‘soda taxes” to reduce the amount of sugar consumed.For now the soft-drink manufacturers are winning the politicalbattles but are in jeopardy of losing overall. One of the consequences of these policy fights rs that (prisoners are beingreminded that soft drinks may not be the healthiest choice. Coca{ola has documented in a recent annual reportthat 'Obesity concerns may reduce demand for some of ourproducts.‘ It has also stated that obesity and its correspondinghealth concerns are important risk considerations for Coca—Colas businefi growth and sustained profitability. How will this ongoing concern by public health officialseffect how Americans feel about soft drinks in the long run?Will soft drinks ever attain the negative status of tobaccoproducts, which many consumers have abandoned? WillCoca—Cola be able to reclaim its former position as marketleader or must Coke change its focus to something else? You Make the Call 1-30. what is the decision facing Coca—Cola? 1-31. What factors are Important in understanding the deci—sion Situation? 1-32. What are the alternatives? 1-33. What decisionfs) do you recommend? 1-34. What are some ways to Implement your recommen-dauon? _-———‘_unn_-—._a———-~i—u—.--m.-m_~———_x-wm—ucuu—au—unnn—n—n—n I—n-t-n-c—ulnn-mnltmm MyMarketingLab'"