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Strategic Leadership At Coca-Cola The Case Study

In other words then, Robert Goizueta is understood as a visionary leader, who had the courage to assume risks and to implement his vision of the Coca Cola Company. The managers that followed were more of strategic leaders, who focused on the implementation of the vision through strategic efforts and the consolidation of the gains attained by Goizueta. 3. Problem statement

After numerous leaders had occupied the position of chief executive officer at the Coca Cola Company, it was the time for Muhtar Kent to embrace this new role. But the future CEO was concerned over the direction his leadership style should embrace.

"Muhtar Kent had just been promoted to the CEO position in Coca-Cola. He was reflecting upon the past leadership of the company, in particular the success that Coca-Cola enjoyed during Robert Goizueta's leadership. The CEOs that had followed Goizueta were not able to have as positive an impact on the stock value" (Rowe and Riaz, 2008).

4. Alternative solutions to the identified problem

The future CEO of the Coca Cola Company, Muhtar Kent, is at a loss regarding the future direction of his leadership style. He is uncertain whether he should implement an aggressive style of change, as had Goizueta, or whether he should be more prudential and conservative, as the managers that had followed Goizueta. Based on this dilemma, Kent is faced with three alternative solutions:

Maintaining the status quo and focusing on strategic consolidation

Implementing radical change processes, and third

Preserving the same general direction, but adding smaller changes.

Each of these alternative solutions is characterized by its own shortages and benefits, revealed throughout the following lines:

a) Maintaining the current status quo

Pros:

No additional...

Proposed solution
Based on the analysis of the alternatives, it is now recommended for Muhtar Kent to follow the strategic direction which has already been implemented by his predecessors. It is true that the world evolves and that the company has to change with it, or otherwise risk the demise of its competitive position. But the organization still enjoys loyalty and brand strength and does not require dramatic change processes. These are also not recommended given the current state of the economy, in which prudential efforts are advised instead of risky investments. In such a context then, it is recommended for Kent to focus on consolidating the current strategies, on ensuring that they retrieve benefits and on further creating internal strength and stability. However, at the level of internal and external processes which could be improved with limited investments and without restructuring the firm, Kent should take all actions to improve the company's position.

Sources used in this document:
References:

Rowe, W.G., Riaz, S., 2008, Strategic leadership at the Coca Cola Company: the real thing, Harvard Business Review
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