Hypothesis Identification Article Analysis

Essay by turner62University, Bachelor's March 2009

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Hypothesis Identification Article AnalysisResearching the on line University Library for information concerning health issues as it relates to obesity presented article in a Marketing Week June 12, 2007 release on the problem facing Coca-Cola Enterprises and Coca-Cola Co. While they have responded by trying to widen their respective product portfolios to include still drinks, juices and water, Coca-Cola is still keen to keep the fizz in colas. Growth in the cola sector has slowed considerably in developed markets, partly because of the maturity of the product and lately due to the rising health concerns over sugary drinks. According to Dave Wallwork, managing director of Feel Good Drinks and a former senior manager at Coca-Cola Enterprises, the cola companies are trying to expand consumer choice, something they have also been doing with flavors.

One insider also notes that diet variants are a lot cheaper to manufacture, because they use for less sugar, but the price the cola companies charge bottlers for the concentrate is the same as for regular cola.

The cola giant's profits are therefore significantly higher for low-calorie variants. The first article presented the question "will new variants stop cola getting canned?"This research continued with an interview form Douglas Daft, chairman and chief executive officer of Coca-Cola Co. regarding the performance of the company as of spring 2004.

Coca-Cola Co.'s stock is down 20% over five years, and the company announced a 197 million charge in February. The company earned a record $1.77 per share in 2003. Daft addressed the showing sales growth in North America, war in Iraq and the obesity pandemic.

The second article on obesity presented brief information related to the advertising industry. The Kaiser Family Foundation released a report on childhood obesity that lays some of the blame on advertising. According to this article...