Muhtar Kent to become “Mr Coke”
They like to recruit from among their finest. On 1 July 2008, Muhtar Kent, 56, will succeed Neville Isdell as Chief Executive Officer of the Coca-Cola Company, thus putting an end to speculations who will take Coca-Cola into the next decade.
Tell you something, it’s becoming terribly boring always to be proven right. Did we not tell you months ago that we placed our bets on Mr Kent becoming the next CEO of “The Company” as they like to call themselves over in Atlanta, when Neville Isdell retires? And, were we wrong? No. Which proves to show our great talent as Coca-Cola-watchers.
Admittedly, it was not hard to single out Mr Kent as the most likely candidate. He is a cosmopolit of Turkish origins who knows the company inside and out having spent most of his life working for Coca-Cola in one capacity or other.
Previously, he served as President of Coca-Cola International through most of 2006, responsible for the company’s operations outside of North America. Prior to this appointment, Mr. Kent was President and Chief Operating Officer of the company’s North Asia, Eurasia and Middle East Group from 2005 until early 2006, when he was responsible for the company’s operations across a broad and diverse geographic region that included China, Japan and Russia.
Mr. Kent joined The Coca-Cola Company in Atlanta in 1978. In 1985, he was appointed General Manager of Coca-Cola Turkey and Central Asia. From 1989 to 1995, he served as President of the company’s East Central Europe Division and Senior Vice President of Coca-Cola International, with responsibility for 23 countries.
Between 1995 and 1998, Mr. Kent served as Managing Director of Coca-Cola Amatil-Europe, covering bottling operations in 12 countries.
Unlike other Coca-Cola careerists, Mr Kent proved that he can do well in other industries too. From 1999 until his return to The Coca-Cola Company in May 2005, he served as President and CEO of the Efes Beverage Group, which controlled, among others, the Turkish brewer Efes.
Although he – reportedly - left Coca-Cola Amatil under a cloud – there was industry rumour of insider trading – all is forgotten now because his presidency of Efes proved highly successful. Developing an international strategy for Efes, he initiated the brewer’s expansion into the Balkans, Russia and Central Asia. He also took Efes Breweries International public on the London Stock Exchange. Under his leadership, Efes experienced extraordinary growth, with triple-digit revenue growth and a 250 percent increase in market capitalisation, the Coca-Cola Company reports with some pride.
Mr Kent has his work cut out for him. He has to come up with a vision for Coca-Cola that will take the company into the next decade. Alright, Coca-Cola has regained the crown from arch-rival Pepsi. It will be remembered that two years ago, PepsiCo’s market capitalisation was suddenly higher than Coca-Cola’s.
That issue has been sorted out since, thanks to Coca-Cola’s share price having risen steadily for the past year to about USD 60 per share now. However, that is still a far cry from 1998 when a share in the company was worth about USD 90. Shareholders who have had their fingers burnt tend to have a long memory.
