Muhtar Kent, Warren Buffett Discuss Global Economy on CNBC

Muhtar Kent, Chairman and Chief Executive Officer, The Coca-Cola Company
Warren Buffett, Chairman and Chief Executive Officer, Berkshire Hathaway
CNBC's "Squawk Box"
July 7, 2011

While the overall picture is better than it was 18 months ago, the global economic recovery is still mixed, Muhtar Kent said today during a joint appearance with Berkshire Hathaway Chairman and CEO Warren Buffett on CNBC's "Squawk Box."

Businesses must invest both in the Western world and developing markets to spur job growth overall. Closer collaboration between government, business and civil society is imperative, too, Kent said.

He also said state governments can help create jobs by encouraging small and medium-sized enterprises to compete internationally. Two out of three U.S. jobs have been created by small companies that have only been around a few years. Meanwhile, every job Coca-Cola creates usually creates about 10 jobs down the supply chain. "So we need to make sure that multiplier effect is much stronger than it is," he added.

Both Kent and Buffett were optimistic when asked about the U.S. economy. "The United States should not be discounted as a growth environment," Kent said, citing favorable demographics such as a young, diverse and enterprising population.

Buffett, whose company is the largest shareholder of Coca-Cola stock, added: "When has it made sense to bet against America? The average American lives six times better than when I was born... it's unbelievable what this country delivers. And we haven't lost the magic potion at all; if anything, we've got more opportunity now than we've ever had."

"In this mixed environment, it is incumbent on business leaders to find the code for growth through new ways of doing business, new networks, new ways of engaging with stakeholders, innovation and reinvention," Kent insisted.