Why are people so mad at Coca-Cola?

Angry people emptying out Coca-Cola bottles on the streets, pouring it on the Israeli flag or down the toilet, and chanting 'Free Palestine' as they carry out their systematic boycott of the popular carbonated beverage — scenes like these have become quite frequent in Bangladesh after 7 October 2023.

And just as the boycott campaign seemed to have cooled down, the brand itself inadvertently rekindled the protests with renewed zeal a few days ago, after it aired the latest Coca-Cola OVC. 

Coca-Cola has been a well-known brand in Bangladesh, and it had a positive perception even last year. Prior to 7 October 2023, the majority of their social media posts received positive responses. But afterwards, it changed dramatically. 

Not only are people criticising the brands, but they are also taking aim at the retailers who sell Coca-Cola. There are even talks of boycotting retailers that sell Coca-Cola. 

Coca-Cola's longstanding association with Israel 

Coca-Cola has been a staunch supporter of Israel since 1966.

For instance, the Coca-Cola factory, of which the OVC was clearly so proud, was established on occupied Palestinian land from 1967–1991, leading to an official boycott of Coca-Cola by the Arab League during that period. Even in 2020, the company was blacklisted by the UN for operating on occupied land.

The depth of their ties can also be inferred from the Economic Mission of the Government of Israel's honouring of the brand in 1997 for its nearly 30 years of economic support. 

The company also sponsors the American-Israeli Chamber of Commerce Awards, which recognise businesses contributing to the Israeli economy. 

Additionally, in 2009, Coca-Cola sponsored an award for lobbying by AIPAC, which rejected UN calls for a ceasefire and authorised continued military strikes on Gaza.

Coca-Cola controversially hosted a special reception for Ben-Eliezer in 2009, the man accused of executing over 300 Egyptian prisoners during the Six-Day War. This reception sparked widespread controversy. 

And the question of the brand's ties to Israel remains relevant not only in the minds of Bangladeshis, but many others in the world as well.

Even at the World Economic Forum's annual meeting in Davos, Switzerland, on 18 January 2024, Coca-Cola CEO James Quincey was asked by Bloomberg about the allegations of it being a "pro-Israeli" company. 

The way he dodged the question was a masterclass on how to evade uncomfortable questions. 

"Look, let me give you a simple example. We have an Israeli bottler and a bottler in Gaza. And so we're in the business of very much every country," he replied.

The controversial Coca-Cola ad in Bangladesh even got international attention. Various international media outlets like Al-Jazeera, Middle East Eye and The Independent (UK) covered the news as well.

Coca-Cola's outrage is also selective, it seems, as it halted operations in Russia in March 2022, but in Israel, it is business as usual. 
 
Major shareholders of the Coca-Cola Company are indeed, pro-Israeli

In the Coca-Cola Company, three companies have voting powers exceeding 5%. They are Berkshire Hathaway Inc (9%), Vanguard Group Inc (9%), and BlackRock Inc (7%).  

Warren Buffett's Berkshire Hathaway has a track record of using its financial influence to significantly support Israel. It purchased 80% of the Israeli company Iscar for $4 billion in 2006 and acquired the remaining 20% for $2 billion in 2013. Buffett is also a strong promoter of Israeli bonds and holds large investments in Israeli companies such as Teva Pharmaceuticals. Recently, he donated $400 million to Ben-Gurion University.  

He is also an unapologetic Zionist. He said, "I'm delighted to own Israel bonds."

He also said about Israel, "I've lived through Israel's entire 70-year history, and I believe it is one of the most remarkable countries in the world. The US and Israel will always be linked. It is a good thing for Israel that there is an America, and it is a good thing for America that there is an Israel." 

BlackRock's CEO Larry Fink has said he supports the condemnation of pro-Palestinian students on US campuses. 

When the Biden administration deployed a nuclear-powered aircraft carrier to the region in 2023 to threaten war against Iran, Fink called it "a spectacular statement by the United States".

Activists had occupied BlackRock's headquarters lobby in New York on 10 November 2023. The protesters said that BlackRock has substantial investments in Israel and in companies such as Lockheed Martin, RTX, Northrop Grumman, Boeing, and General Dynamics, which are involved in the production of weapons used in the Israeli-Palestinian conflict.

The same goes for Vanguard, which has major shares in arms companies that sell weapons used in Israel's genocide.
 
Why is Coca-Cola the focal point of the growing boycott campaign?

The main argument against the boycott campaigners is that there are other prominent brands that are also, in some way or another, connected to Israel. 

McDonald's and Starbucks have seen mass boycotts worldwide. But since they are not operational in Bangladesh, the only major brand that is feeling the heat is Coca-Cola. Even PepsiCo, the owner of SodaStream and 50% of Sabra, has profited from the Israeli occupation of

Palestine. Nestle, with its controlling stake in Osem, an Israeli food manufacturer operating in occupied Palestine, is another example.

Perhaps the reason behind particular discontent against Coca-Cola is its brand recognition. Consumers perceive a company as having successful brand recognition when they can identify it solely through visual or auditory cues, even without hearing the company's name. And

Coca-Cola is so successful in that aspect that the name is synonymous with all sodas in our country. 

When someone wants to drink soda, they just say "coke khabo" (I want a coke), and the request applies to Pepsi, Mojo, or other sodas as well. In Bangladesh, Coca-Cola is a well-known brand. 

Coca-Cola enjoys widespread consumption and holds the top position in the country's soda industry. Therefore, the impact of the Coca-Cola boycott is evident and felt worldwide. The message is hitting home, and the enthusiasm is noteworthy. 

Moreover, Coca-Cola is iconically American, as it has carefully polished its identity around that bigger American dream. Thus, inadvertently, at a time when the US is under significant criticism for its blatant support of Israel, Coca-Cola, a symbol of America, is also under a negative light in the popular psyche. 

And most importantly, Coca-Cola has a strong, close substitute in the market — Mojo. Mojo has been a vocal supporter of the Palestinian cause, so much so that they have 'We Support Palestine' with the Palestinian flag printed on their pet bottle. Akij Group, a major business conglomerate in the country, owns Mojo.

Therefore, consumers have a simple alternative to Coca-Cola. This is the reason for the intense boycott of Coca-Cola, but not of Fiverr, an Israeli outsourcing company that plays a crucial role in the livelihoods of many Bangladeshis.

Support from around the world also inspires the people. The Turkish Parliament removed Coca-Cola from its cafeteria last year and Turkish Airlines followed suit. Thus, the people have a strong notion that they are not alone, doubling down on the boycott. 
According to market research, Coca-Cola sales have significantly declined since the latest Israel-Palestine conflict began, losing at least 23% of its market share. Prior to this, the company held a dominant position with a 42% share of the cola market in Bangladesh.