Coca Cola

Mission, Vision & Values

The world is changing all around us. To continue to thrive as a business over the next ten years and beyond, we must look ahead, understand the trends and forces that will shape our business in the future and move swiftly to prepare for what's to come. We must get ready for tomorrow today. That's what our 2020 Vision is all about. It creates a long-term destination for our business and provides us with a "Roadmap" for winning together with our bottler partners.

Our Mission
Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and serves as the standard against which we weigh our actions and decisions. * To refresh the world... * To inspire moments of optimism and happiness... * To create value and make a difference.

Our Vision
Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable, quality growth. * People: Be a great place to work where people are inspired to be the best they can be. * Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs. * Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value. * Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities. * Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities. * Productivity: Be a highly effective, lean and fast-moving organization.

Our Winning Culture

Our Winning Culture defines the attitudes and behaviors that will be required of us to make our 2020 Vision a reality.

Live Our Values

Our values serve as a compass for our actions and describe how we behave in the world. * Leadership: The courage to shape a better future * Collaboration: Leverage collective genius * Integrity: Be real * Accountability: If it is to be, it's up to me * Passion: Committed in heart and mind * Diversity: As inclusive as our brands * Quality: What we do, we do well

Focus on the Market

* Focus on needs of our consumers, customers and franchise partners * Get out into the market and listen, observe and learn * Possess a world view * Focus on execution in the marketplace every day * Be insatiably curious

Work Smart
* Act with urgency * Remain responsive to change * Have the courage to change course when needed * Remain constructively discontent * Work efficiently

Act like Owners

* Be accountable for our actions and inactions

* Steward system assets and focus on building value * Reward our people for taking risks and finding better ways to solve problems * Learn from our outcomes -- what worked and what didnt

Be the Brand
* Inspire creativity, passion, optimism and fun

Our Strategy
What will drive our success in the future? Not just growth, but sustainable growth -meeting our short-term commitments while investing to meet our long-term goals. And we have a vision and clear goals to guide our journey to achieve long-term growth -- the kind of long-term growth that allows careers to flourish. We are building on our fundamental strengths in marketing and innovation, driving increased efficiency and effectiveness in interactions with our system and generating new energy through core brands that focus on health and wellness. We are poised to capture the opportunity in so many ways. Here are just a few: * With the world's most recognized family of brands, we deliver more than 3,000 beverages to 200 countries around the world -- not just soft drinks, but juice and juice drinks, sports drinks, water, even coffee and milk. And every day we explore new ways to create and share beverages to energize, relax, nourish, hydrate and enjoy. * As the world's largest distributor of non-alcoholic beverages, we maintain a trusted local presence in every community we serve. We are constantly looking ahead to anticipate what our communities may need and gathering resources to support them. * We've increased our annual marketing budget substantially, launched many new products, and developed a model to help our retail customers maximize their sales while we continue to plan for the next one, five and ten years in business. We need highly skilled, ambitious, experienced entrepreneurially and thrive on teamwork. professionals who think

SWOT Analysis of Coca-Cola:

SWOT stands for Strengths Weakness Opportunities Threats. SWOT analysis is a technique much used in much general management as well as marketing scenarios. SWOT consists of examining the current activities of the organization- its Strengths and Weakness- and then using this and external research data to set out the Opportunities and Threats that exist.

Strengths:
1. Beverage Experience 2. Personnel Relations 3. Knowledge Regarding Competitor 4. Hardworking Staff & Distributor 5. More Market Share in Textile Sector 6. People Reliance on Quality of our Product and Brand 7. Merchandising and Global Score Rating (Gives Strength to educate market about improving sales) 8. Coca-Cola has been a complex part of world culture for a very long time. 9. The product's image is loaded with over-romanticizing, and this is an image many people have taken deeply to heart. The Coca-Cola image is displayed on T-shirts, hats, and collectible memorabilia. 10. This extremely recognizable branding is one of Coca-Cola's greatest strengths. "Enjoyed more than 685 million times a day around the world Coca-Cola stands as a simple, yet powerful symbol of quality and enjoyment" (Allen, 1995). Additionally, Coca-Cola's bottling system is one of their greatest strengths. It allows them to conduct business on a global scale while at the same time maintain a local approach. The bottling companies are locally owned and operated by independent business people who are authorized to sell products of the Coca-Cola Company. Because Coke does not have outright ownership of its bottling network, its main source of revenue is the sale of concentrate to its bottlers. Lower cost of production Demonstrably superior service Presented a very complex product Extensive advertising, good promotions or marketing programs..don't stop here, keep studying your competitors

Weaknesses:
Weaknesses for any business need to be both minimized and monitored in order to effectively achieve productivity and efficiency in their business's activities, Coke is no exception. 1. Although domestic business as well as many international markets are thriving (volumes in Latin America were up 12%), Coca-Cola has recently reported some "declines in unit case volumes in Indonesia and Thailand due to reduced consumer purchasing power." 2. According to an article in Fortune magazine, "In Japan, unit case sales fell 3% in the second quarter [of 1998]...scary because while Japan generates around 5% of worldwide volume, it contributes three times as much to profits. 3. Latin America, Southeast Asia, and Japan account for about 35% of Coke's volume and none of these markets are performing to expectation. 4. Coca-Cola on the other side has effects on the teeth which is an issue for health care. It also has got sugar by which continuous drinking of Coca-Cola may cause health problems. Being addicted to Coca-Cola also is a health problem, because drinking of Coca-Cola daily has an effect on your body after few years.

Local Weaknesses:
a) Finance Problem (Partnership Desolation) b) Less Empty on Floor c) Vehicles Are Less d) Minor Signage in the Area e) Large Number of PCI Empty Stock. f) Empty Lifting As we cannot lift empties on our competitor lifts) g) More Seasonal demand h) Poor service i) High prices

Opportunities:
1. Brand recognition is the significant factor affecting Coke's competitive position. 2. Coca-Cola's brand name is known well throughout 94% of the world today.

3. The primary concern over the past few years has been to get this name brand to be even better known. Packaging changes have also affected sales and industry positioning, but in general, the public has tended not to be affected by new products. 4. Coca-Cola's bottling system also allows the company to take advantage of infinite growth opportunities around the world. This strategy gives Coke the opportunity to service a large geographic, diverse area.

Threats:
Currently, the threat of new viable competitors in the carbonated soft drink industry is not very substantial. 1. The threat of substitutes, however, is a very real threat. The soft drink industry is very strong, but consumers are not necessarily married to it. Possible substitutes that continuously put pressure on both Pepsi and Coke include tea, coffee, juices, milk, and hot chocolate. 2. Even though Coca-Cola and Pepsi control nearly 40% of the entire beverage market, the changing health-consciousness of the market could have a serious affect. 3. Of course, both Coke and Pepsi have already diversified into these markets, allowing them to have further significant market shares and offset any losses incurred due to fluctuations in the market. 4. Consumer buying power also represents a key threat in the industry. The rivalry between Pepsi and Coke has produce a very slow moving industry in which management must continuously respond to the changing attitudes and demands of their consumers or face losing market share to the competition. Furthermore, consumers can easily switch to other beverages with little cost or consequence.

Coca Cola Key Success Factor

The Coca-Cola Company is one of the largest, most successful and most widely recognized corporations in existence. Coca-Cola is a dominating force in the beverage industry and sets a very high standard of competition. Research shows that its trademark is recognized by over 94% of the worlds population. There are many factors contributing to Coca-Colas success, however, we believe that their key success factors are Marketing, Innovation, and Globalization.

Marketing:

Coca-Cola is seen as one of the founding fathers of the modern day marketing model. They were among the pioneers of advertising techniques and styles used to capture an audience. They were also one of the first companies to offer a gimmick with their product, this being a mini yo-yo. It was around 1900 when Coca-Cola began presenting their signature drink as a delicious and refreshing formula. This slogan has been repeated for over the last 100 years selling Coke all over the world. Through its intense marketing campaigns, Coke has developed an image that is reflected in what we think of when we buy Coke and what we associate with drinking Coke. This image has been subconsciously installed in our brain by the advertising campaigns that show Coca-Cola associated with good times.

Innovation:
Coca-Cola has been able to survive and grow in an ever-changing market because of its ability to systematically innovate and deliver new products. In the late 90s the company, typically showing earnings growth of 15-20% per year, turned in three straight years of falling profits. It was apparent that the market was changing and in order to keep up with these changes, Coca-Cola had to move from a single core product to a total beverage company. This was a major change because their past success was base on having one successful core product. Coca-Cola began to employ a strategy referred to as play to win innovation. The company began operating in a decentralized environment that was unfeasible in previous years. Now Coca-Cola offers nearly 400 different products in and is still dominating the beverage industry. This is made possible by the companys ability to innovate and adapt to changing markets,

Globalization:
Todays big business takes place on a global scale, and Coca-Cola is no exception. Technology is continually changing business, and these constant changes have been making it more feasible and profitable for businesses to expand their operations globally in order to serve all different types of diverse markets around the world. This global view is reflected in Cokes recent Id like to teach the world to sing commercial. Coca-Cola is taking advantage of the large revenue opportunities made possible by participating in a global market and now offers products in 200 countries around the world. Despite the major international success of the Coca-Cola Company, they also possess some weakness factors that can be detrimental to the success of the organization. We believe that the three weakness factors that affect the company the most are poor communication, lack of continuity of the workforce, and negative publicity.

Negative Publicity:

Despite Cokes reputation of continuing innovation and recent product line expansion, the company is still best represented by its flagship product, Coca-Cola Classic. This product, know to contain high levels of sugar and caffeine is causing a recent uproar on our increasingly health-conscience world. One of Coca-Colas major concerns is the very real possibility that obesity concerns may reduce demand for some of their products. In addition, lawyers are threatening to go to court over alleged deceptive practices involving contracts to sell soft drinks in schools. This puts the pressure on Coke to provide healthier alternatives to their carbonated drinks if they want to keep selling in schools.

Poor Communication:
Coca-Cola is an extremely large company with thousands of people working on many different levels in the organization. One of the most important tools essential to this type of organization is good communication between all levels, and some Coke employees are saying that it could and should be better. Some workers describe the communication as disorganized, saying how difficult it is to exchange information with superiors and convey ideas about fixing problems that may occur on the street level of day to day operations.

Continuity of Workforce:
Another major asset to a company of this size and clout is maintaining continuity among the workforce. This is essential to keep the company rolling smoothly in a positive direction, accomplishing common goals and constantly setting new goals. Constant firing and re-hiring tends to disrupt this forward motion and this is exactly what seems to be going on in certain levels of the company. According to five year employee Kyle Hughes, Coke has a frustratingly high turnover rate, leading to loss of momentum and lost time due to retraining.

Assignment No. 2

Coca Cola
Name: Jawad Ahmed Qureshi Reg. No: 2895 Class ID: 8525 Course: Marketing Management Submitted To: Sir Shakeel