Even Statelessness Goes Better With Coke. Or Does It?

In 2004, local investors – carefully chosen to represent the various clans of Somalia – opened a Coca-Cola bottling plant in the capital city of Mogadishu. Since then, Islamic militias have taken control of the government, and Somalia’s investment scene has changed substantially for those who want to sell an American brand of soda. The militias brought unprecedented levels of security, greatly decreasing the soda plant’s distribution costs. Increased stability allows people to work more hours and earn disposable income for buying soda. Because the US government funded opponents to the ruling Islamic Courts Union, however, some clerics have declared that no “proper [Muslim]” should drink product made by an American company. Other consumers like the taste, however and argue that business – especially one started by local entrepreneurs – should continue. One student’s advice: “Business must be free from political or religious affairs.” – YaleGlobal