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Pocari Sweat Case Study: Company's Report - Essay Example

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The beverage sector has been expanding rapidly across the world. This is especially with regards to the number of carbonated and non-carbonated drinks in the market which is constantly on the rise…
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Pocari Sweat Case Study: Companys Report
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Download file to see previous pages Launched in the year, 1980, the drink has successfully established itself across Southeast and East Asia and in the Middle East. Possessing some of the unique attributes like body fluid replenishing capacity lost through perspiration, the drink is especially recommended for physical activities like exercises and sports. The most notable thing about the product is its contents or components. Apart from water, Pocari Sweat contains electrolyte minerals like Sodium, Potassium, Calcium and Magnesium. Containing the right amount of the minerals the beverage acts as a mild replenishment of the same lost through sweat caused due to excessive physical activities (Pocari Sweat, n.d.). The project aims to bring forth the macro-environmental analysis of the beverage industry which is done by conducting a PEST analysis. This is followed by making a competitive analysis of Pocari Sweat using the five forces model presented by Porter. This gives the attractiveness of the industry in which the company exists. In-depth analysis of the company’s resources and capabilities are discussed to bring forth its strengths and weaknesses. The competitive position of the company is analysed using the generic strategy model presented by Porter. ...
nt analysis- PEST Analysis Political- In Japan there has been a switch over of the dominance of the State on the management of the economy to decentralization of power to the local governments and the private sector. The role of the Government has minimised considerably over the last few years. This has been particularly favourable for the Japanese companies as they can operate in an environment free of restrictions. In fact the State led model is considered to be major obstruction towards development and considers that companies must be free to develop and express their capabilities (Imai, 2002). Economic- For about three decades the region has shown strong growth potential, growing at a rate of more than 10%; however, it has slowed down fairly since the 1990s mainly due to the asset price bubble and inefficient investments. The global recession has also taken its toll on the region. The unfavourable news for the private investors is that in 2002 and 2003, the real economic growth was -0.6% and it is expected to continue in the coming years. This downturn in business conditions has been responded to by the Government by expansionary fiscal policies and investments. The rates of inflation remain low, at -0.7% in 2010 and the unemployment rates also remains low at 5% in 2010. This is fairly advantageous for the private investors as they would face no dearth of human capital and product prices would also remain low (Central Intelligence Agency, 2011). Socio-Cultural- There has been alarming scientific, sociological and industrial in the population of Japan since last 100 years. Together with entry of Buddhism, it is highly under the influence of the Chinese culture. Characterized by a highly urban society, only 4% of its total workforce is engaged in agricultural ...Download file to see next pagesRead More
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