Honest Tea sells out to Coke
Honest Tea, an organic line of single serve, low calorie beverages now falls under the shadow of the Coca-Cola empire. As of Tuesday, the soft drink giant owns 40% of the company. With Coke's distribution power, expect to see Honest Tea in every grocery store rather than a select few.Not unlike Odwalla before it, Honest Tea will retain it's management and current employees. It's a winning situation for both Coke and the tea maker as Coke acquires a growing label with loyal consumers and Honest Tea stands to make a larger profit with Coca-Cola's marketing muscle. However, will the consumers win as well or will the quality of the drinks suffer?
Honest Tea prints little messages on the insides of their bottle caps. Interstingly enough, one of 2007's caps read, "Last year, Honest Tea sold 7,998,654 bottles of tea. This is the same amount of Coke sold in 9 minutes." What once sounded like a company proud of its limited production as a means of quality control now just sounds like jealousy.
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