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Business Analysis of Coca Cola International company - Research Paper Example

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Name: Title: Business Capstone Introduction: Coca Cola International is a United States company which started operating in 1833 and is a soft drink giant. Coca-Cola, most commonly known as Coke, is a carbonated soft drink which was invented by John S…
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Business Analysis of Coca Cola International company
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Download file to see previous pages By 1896, Coca-Cola successfully spread across the American border to Canada, Hawaii and Mexico. It is a multi-billion dollar company which is operating in more than 200 countries and offering more than 3,500 beverages. It is recognized as the world`s best known brand and has the world`s largest distribution network. Its products are the most widely known and most commonly used in the entire world. It has such a widespread network that the consumers enjoy Coca-Cola’s products at a rate of more than 300 million servings per day. It has subsidiaries and franchises in every country where it is operating. Coca-Cola is also the leading cola drink in the beverage industry throughout the world (Coca-Cola Company, n.d.). The mission of Coca-Cola is to create value for all the shareholders, customers and stakeholder by creating superior value and making profitable relations with the customers as well. Their mission is to “To refresh the inspire moments of optimism and happiness... and to create value and make a difference.” They try to refresh the world by using the advantage that they have as being the world’s largest beverage company. Coca-Cola develops high quality beverages, which itself creates value for the company and helps strengthen its image, contributing to its overall success. Their vision is to work on every aspect of their company in order to achieve sustainable growth. The primary stakeholders of Coca-Cola include employees, customers, partners, society, shareholders and the company itself. They believe that in order to be successful, they must look ahead and plan for the future, using the resources in the most efficient way. Its product, satisfied customers, excellent leadership and, most importantly, a strong brand name further contribute to the overall success of this company (“Mission, Vision & Values”, n.d.) Porter`s five forces are a set of forces formulated by Michael E. Porter who proposed that strategies of any company are formulated based on the threat of potential entrants and substitute products, the bargaining power of both buyers and sellers prevailing in the market, as well as the level of rivalry among competitors (Daft & Lane, 2009, p. 196). The amount of capital required by any soft drink company is really high, which acts as a barrier to entry for new entrants. Also, Coca-Cola has such a strong brand name with a huge amount spent on selling and promotion. In order to maintain its market share, Coca-Cola will have to spend a huge amount on advertising to ensure that its message is being carried forward to its customers all over the world. This is also one of the ways through which this company can compete with its rival companies, especially Pepsi. Coca-Cola and Pepsi dominate the soft drink industry and therefore, Coco-Cola will have to come up with new ideas in order to compete effectively and maintain its position in the market. The pricing done by this company will also depend on the type of market, whether it is customer oriented or seller oriented. SWOT Analysis: Strengths: The biggest strength that Coca-Cola has is its Coke itself. It has been able to maintain its original taste for years and this is the reason why its customers are always loyal. It has the strongest brand across the globe with a brand equity of over $50 billion. The quality and taste are the major strengths of Coca-Cola and one of the reasons for its overall success. In order to main ...Download file to see next pagesRead More
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