Coca cola international strategy analysis. A Report on Strategic Analysis and Recommendations of Coca 2022-11-15
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A Report on Strategic Analysis and Recommendations of Coca
To increase its bargaining power with the buyers, it has continued to produce high products with qualities that make it easy for the customers to appreciate their high prices. An oligopoly is where two firms dominate, and it would be hard for new non-alcoholic beverage manufacturer to break into the global market Levitt, 1983. The company has a few water products but can expand this portfolio to also include other forms of larger water storage options. Ethics for International Business: Decision-Making in a Global Political Economy. Coca Cola also receives the same drill. The division of the departments into their respective brands allows for a better management of the substantive portfolio. Legal factors One key legal consideration is intellectual property law.
As explained earlier, Coca Cola uses plastic bottles as its primary packaging. Opinion: Seeing that currently Coke is trading at a much higher price than our internal valuation we would be sceptical to purchase this security at this time. All of this resulted in declining consumer spending and less sales for international brands. According to the Threats for Coca Cola in SWOT Analysis Just like the external environment can bring you opportunities, they are can quite negative as well. Opportunities: — Marketing opportunities: Marketing opportunities have grown in the 21st century with the arrival of new technologies including digital and AI.
As mentioned previously, water is the main ingredient of all Coca Cola products Clarke, 2017. The same has been incorporated in the other competitors such as Pepsi as well in order to manage the competition. According to Panagariya 8 , Coca Cola Company has exploited vacuum that existed in many countries in the world, especially in the developing countries. Coca-Cola Company sees itself not as a global organization, but as a multi-local enterprise Svensson, 2001. A second characteristic of the selected target population in Nigeria is that they are mainly women.
Secondly, the right price can also ensure a brand not only attracts but also retains consumers. It may also give coca cola brand loyalty which means customers will stay loyal to them no matter what happens. Customers should be made to feel that there are changes happening within the firm, which are geared towards ensuring that the customers are satisfied. Renowned Brand: In a ranking published by The brand awareness of Coca Cola is immensely high. Coca-Cola Company reduced its rate for the rural market by providing 200ml bottle so that those customers and consumers whose wages are not so high can also have it.
The decision will be informed by both the Covid-19 pandemic and the desire of the target market to be healthier. During the previous decade, the U. The paper puts the Coca Cola brand in context through the suggestion of better market penetration in Nigeria. Towards this end, the selected location is Lagos, in Nigeria, Africa. The original Coca-Cola product was, therefore, placed in drug stores and pharmaceutical shops as a medicinal beverage. Further, the brand can ensure market share through properly consumer engagement.
The downward trend affected all market players, and it mostly hit the companies who earned more from the carbonated drinks portfolio, with the revenues up to 80%, like Coca-Cola and PepsiCo. For example, Coca-Cola is a well established brand and is recognized in all part of the world. Apart from these things, the brand is also investing in sustainability and healthier products as well as superior HR management for better long term results. Retrieved from The Associated Press. The World Health Organization has announced on several occasions that the corona virus is fatal for people who have underlying conditions such as diabetes and high blood pressure Khare, 2017. The item does not have any sugar or artificial sweeteners, thus, is also described as having zero calories. This then leads to lifestyle conditions such as high blood pressure and diabetes, which are made worse by obesity.
The franchise model was subjected to revision in the North America in 2010, when Coca-Cola acquired its largest bottling partner, The Coca-Cola Refreshments, to cover 90% of the distribution network and gain greater control over the distribution. Therefore, it will take years for a company like this to fall. It is prudent, therefore, to note that the assignment will take into consideration this impact in developing the sales forecast. Coca-Cola to launch Fuze range of tea to widen its healthy beverages portfolio food. Technological: The technological factors have now grown central to doing businesses profitably. Alternatively, it could also mean that the market is not well penetrated by other competitors.
COCA COLA International Strategic Management Project Report
Coca Cola is a global brand operating at a local scale in every community where it operates. Notably, the two taste significantly different, with the latter tasting like a whole new product while the former tastes like the original Coke. . This put negative effect on the brand image, because of cola plant water level in the area decreases which makes the resident life miserable. PepsiCo — A super battleground for the cola wars? In 2017, the bottled water category saw the highest growth of all beverages apart from soft drinks including energy drinks.