Will Coke’s New Distribution Rely on Local Bottlers?

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On its recent first quarter earnings call, Coca-Cola revealed plans to return some of its US distribution network to independent bottlers. This move comes in stark contrast to Coke’s 2010 strategy, in which it bought several of its own bottling companies in North America to cut down on supply chain costs. Jonas Feliciano, Beverages Industry Analyst at Euromonitor, says Coke’s strategic change represents a desire to have a larger hand in manufacturing while leaving distribution to bottlers with local expertise.
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