Emerging South

I already wrote a lot on my motivation that campaigns like The Real Ray are completely insignificant, insignificant to the shareholders of Coca Cola that is.   Coca Cola's growth has to come from product diversififcation (cf. the acquisition of Fuze Teas and Glaceau in the US, where consumers switch from carbonated soft drinks to other options like bottled water and teas) and growth in emerging markets.  Actually, the growth in Emerging Markets is the only thing which can support the growth of Coca Cola and as a consequence it's stock price.

But even knowing that, the announcement that Coca Cola will invest 1,5 billion R$ (around 870 million US$) in Brazil in 2008 is quite stunning.   Coca Cola sees Latin America as a continent with 'stunning growth potential'.    They were smart enough to realise in 2001 that they needed to invest in real innovation, rather than in sensesless marketing campaigns in countries where growth is saturated.

Actually, one of the big competitors of Coca Cola in Brazil is Inbev.  Coca Cola (re)launched Kuatt to try take away the enormous market position of Inbev's Guarana Antartica.  That being said: Guarana Antartica is way better than Coca Cola's version.  Actually, the drink is beginning an export adventure.