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COCA-COLA

CHAPTER-1
History
The Coca-Cola Company is an American multinational beverage corporation, and
manufacturer, retailer, and marketer of nonalcoholic beverage concentrates and syrups. The
company is best known for its flagship productCoca-Cola, invented in 1886 by pharmacist John
Stith Pemberton in Atlanta, Georgia.[3] The Coca-Cola formula and brand were bought in 1889
by Asa Griggs Candler (December 30, 1851 – March 12, 1929), who incorporated The Coca-
Cola Company in 1892. The company—headquartered in Atlanta, Georgia, but incorporated in
Wilmington, Delaware[4]—has operated afranchised distribution system since 1889: the
Company only produces syrup concentrate, which is then sold to various bottlers throughout the
world who hold exclusive territories. The company owns its anchor bottler in North
America, Coca-Cola Refreshments.
The company's stock is listed on the NYSE and is part of DJIA, the S&P 500index, the Russell
1000 Index, and the Russell 1000 Growth Stock Index. Muhtar Kent serves as chairman of the
company with James Quincey as president and chief executive officer.

VISION AND MISSION


VISION
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 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
BOARD OF DIRECTORS

Herbert A. Allen
President, Chief Executive Officer and Director, Allen & Company Incorporated

Ronald W. Allen
Former Chairman of the Board, President and Chief Executive Officer, Aaron’s Inc. and Delta
Air Lines, Inc.

Marc Bolland
Head of European Portfolio Operations, The Blackstone Group L.P.

Ana Botín

Executive Chairman, Banco Santander, S.A.

Richard M. Daley
Executive Chairman, Tur Partners LLC; Of Counsel, Katten Muchin Rosenman LLP

Chris Davis
Chairman, Davis Advisors

Barry Diller
Chairman of the Board and Senior Executive, IAC/InterActiveCorp and Expedia, Inc.

Helene D. Gayle
Chief Executive Officer, The Chicago Community Trust

Alexis M. Herman
Chair and Chief Executive Officer, New Ventures LLC
ORGANISATIONAL STRUCTURE
The Coca-Cola Company has a Separate International Division Structure because its
international staffs operate separately and in isolation from head office. It has various divisions
in all continents around the world with presidents that control each continental division. Coca-
Cola has 5 continental divisions.
 Eurasia & Africa Group
 Europe Group
 Latin America Group
 North America Group
 Pacific Group
Each Continental division has vice presidents that control sub-divisions based on regions or
countries. This structure is efficient for Coca-Cola since it is a very large company.
LOCATIONS AND BRANCHES
About us

 Our brands
 A great place to work

Locations

Coca-Cola European Partners provides products and services that meet the beverage and
business needs in Andorra, Belgium, France, Germany, Great Britain, Iceland, Luxemburg, the
Netherlands, Norway, Portugal, Spain and Sweden.
CHAPTER-2
ACHIEVEMENTS

Human Rights Campaign Best Place to Work for LGBT Equality (November 2014)
For nine consecutive years, we have received a top rating of 100 percent from the Human Rights
Campaign for our performance regarding workplace policies for lesbian, gay, bisexual and
transgender associates. The HRC's Corporate Equality Index measures the extent to which
employers promote workplace fairness for their LGBT employees, measuring factors like non-
discrimination policies, diversity training and benefits.

AWARDS
 2014 U.N. Women’s Empowerment Principles Leadership Award
 2014 Award for Corporate Excellence (Secretary of State)
 2014 Industry Champion of the Year Award (Sustainable Bio Award)
 2014 Best Global Initiative for Women’s Economic Empowerment (5by20 program)

Rewards
 National Winner– INR 2 lakhs + PPI for 2nd year students
 National Runner-up – INR 1 lakhs + PPI for 2nd year students
 Campus Winners – Entry into Grand Finale + Pre-Placement Interview for 1st year
students for summer internship
SUBSIDIES AND REGULATIONS

However, global corporations are also eligible to the pool of money and are taking advantage of
the EU's desire to retain its competitive edge, according to the FT and Bureau of Investigative
Journalism's study.
"There is a global contest," EU commissioner Johannes Hahn told the paper. "If we don't
participate in this contest all the production sites will go out of Europe, so we have to find ways
to keep them."
The paper found that IBM was granted 20 million euros for a ..
Read more at:
//economictimes.indiatimes.com/articleshow/7027996.cms?utm_source=contentofinterest&utm_
medium=text&utm_campaign=cppst

COMPANIES POLICIES
At The Coca-Cola Company, it is every employee’s responsibility to maintain a work
environment that reflects respect for human rights and is free from all discrimination and
harassment, aligned with our Human Rights Policy. (Please view a video message to all
Company employees from our CEO, James Quincey.) If any employee believes that someone is
violating the Human Rights Policy and/or the law, they are asked to report it immediately to their
manager, Human Resources, Company legal counsel or EthicsLine. We also audit against the
Human Rights Policy to ensure compliance. Our goal is to reach the target of 98 percent
compliance by 2020
COMPETITORS

The Coca-Cola Pepsico Dr Pepper Snapple Monster Beverage Fevertree


Company Corporation Drinks
PepsiCo is a Dr Pepper Snapple
The Coca-Cola Company global food and Group is an integrated Monster Beverage If 3/4 of
is a beverage company beverage leader brand owner, Corporation is an your
which manufactures and with a product manufacturer and American beverage Drink is
distributes various portfolio distributor of non- company that the Mixer,
nonalcoholic beverages including 22 alcoholic beverages. manufactures energy make
worldwide. brands. drinks, natural soft drinks, sure
and fruit drinks.
EMPLOYMENT
More than 700,000 associates create the Coca-Cola system.
Each associate brings his or her unique talents and ideas to work every day to help the Coca-
Cola system achieve the goals outlined in our 2020 Vision. Associates also represent Coca-
Cola in their communities and are ambassadors of our brands to the world. Ensuring our
associates are happy, healthy and treated fairly and with respect is at the core of our business
philosophy and success. We strive to create open work environments as diverse as the markets
we serve, where people are inspired to create superior results. We also aim to create
environments where people are fully engaged and where the Company is viewed both internally
and externally as an employer of choice.

Encouraging Open Communication:

To encourage a work environment of open communication and to effectively solicit and leverage
innovative ideas, we engage in frequent dialogue with our associates around the world. Such
dialogue provides us with valuable information, increases awareness, promotes business
strategies, shares successes and opportunities, and solicits employee opinions. For example,
global associates and bottling partners have contributed ideas to major initiatives, such as our
2008 Beijing Summer Olympic Games activation. And, employee input was a key ingredient to
our Company'sMission, Vision & Values. Another example of our regular dialogue with our
associates is our global Employee Insights Survey. In 2010, the results of our global Employee
Insights Survey showed improvement across almost all survey categories, including an 84%
associate engagement score -- a 2 point increase over 2008.
MAINTENANCE FACILITIES
Maintenance
It's an exciting time to work in The Coca-Cola Company's flagship market. We're accelerating
our momentum as the fastest-growing large consumer goods company in North America by
putting people at the heart of our business and everything we do - whether we're innovating to
give consumers the drinks and packaging sizes they want, or building our eCommerce
capabilities. People are our focus when we're collaborating with our diverse network of locally-
connected bottling partners, and when we're returning every drop of water we use to
communities and nature. And people - with the different backgrounds, skills and perspectives
they bring to our workplace - are helping transform our business, one big idea at a time. We
empower our employees to challenge the status quo, make bold recommendations, experiment
and adapt, so we can grow together and make a great business even better.
TRADE UNIONS
On the night of March 3, after 14 months of difficult negotiations and a suspension of nearly five
months of negotiations, the Union of Workers of Embotelladora Central SA (STECSA) and Coca
Cola FEMSA reached an agreement and signed the new collective bargaining agreement that
will be valid for two years.
On March 2, the two negotiating committees signed an agreement that actually gave way to the
completion of this difficult negotiation.
“Solving the conflict and finalizing the negotiation were the most important targets for the new
Board of STECSA” Carlos Luch, the General Secretary of STECSA told the IUF Latin America
region.
The agreement allowed us to ensure a retroactive wage increase of 4 percent from 1 March 2015
and provided a wage increase of 4 percent from 1 March 2016.
This percentage applies to all items that have economic impact, in that case also with retroactive
effect from 1 March 2015.
“While we are not entirely satisfied with the salary adjustment reached, we believe that the
agreement consolidates job stability in Central Bottling Company S.A. (Coca Cola FEMSA) and
maintains the structure of our collective agreement unchanged guaranteeing the acquired rights”
Luch added.
STECSA General Secretary thanked the members for their unconditional support given
throughout the duration of the negotiations, and called on them “to continue with that
commitment and conviction of struggle.”
He also urged all members to remain alerted “to defend the gains that were achieved through the
struggle”.
SHARE HOLDERS
Name Equities %
Berkshire Hathaway, Inc. (Investment Management) 400,000,000 9.38%
The Vanguard Group, Inc. 277,901,284 6.52%
BlackRock Fund Advisors 176,831,680 4.15%
SSgA Funds Management, Inc. 169,621,629 3.98%
Capital Research & Management Co. (World Investors) 142,688,091 3.35%
Capital Research & Management Co. (Global Investors) 54,922,709 1.29%
Northern Trust Investments, Inc. 52,036,190 1.22%
Fidelity Management & Research Co. 51,483,651 1.21%
Wellington Management Co. LLP 38,849,686 0.91%
Geode Capital Management LLC 38,150,109 0.89%
CORPRATE SOCIAL RESPONSIBILITIES
In terms of the attached CSR Policy adopted by the Board of Directors of the company
(hereinafter referred to as “CCIPL”) at their meeting held on June 27, 2016 the CSR Committee
of the Board has identified the following CSR Projects/ Activities / Programmes for
implementation by the Company during the financial year 2016-17:

CCIPL’s contribution in ensuring Environmental Sustainability: Coca-Cola India Foundation:


Water Sustainability and Solar Energy Projects to be undertaken by the wholly owned
subsidiary, Coca-Cola India Foundation (“the Foundation”);

Employment and livelihood enhancing vocation skills for differently abled people: The ‘VEER’
campaign being undertaken by CCIPL in partnership with CNN IBN and the “Being Human
Foundation” along with American India Foundation (“AIF”), aimed at reaching out to the
differently abled people across India and giving them a voice and an opportunity to fulfill their
own ambition and for enhancement of their livelihood;

Employment enhancing vocation skills: ‘Parivartan’ training program for retailers: ‘Parivartan’
training program conducted by CCIPL for retailers (including women retailers), aimed at and
focused on enhancing vocation skills.
MANYFACTURING PROCESS

We monitor our production processes with sophisticated control


equipment and testing programmes in order to meet and exceed
our customers' and consumers' expectations.
Our quality standards
Our commitment to producing and bottling high-quality drinks is underpinned by the
international standard ISO 9001 and ISO 22000, as well as by our own Quality and Food Safety
policy and the global standards of The Coca-Cola Company.

We have installed electronic bottle inspection equipment on all refillable bottling production
lines to identify and reject even the tiniest irregularity in our beverages.

The process
.
TYPES OF PRODUCTS
Product Description

 Coca-Cola. Coca-Cola is the most popular and biggest-selling soft drink in history, as well as
one of the most recognizable brands in the world. ...
 Sprite. Introduced in 1961, Sprite is the world's leading lemon-lime flavored soft drink. ...
 Fanta. ...
 Diet Coke. ...
 Coca-Cola zero. ...
 Coca-Cola Life. ...
 DASANI. ...
 Minute Maid.
MARKETING STRATEGY
Coca cola marketing strategy
Coca Cola is world’s leading soft drink maker and operates in more than 200 countries around
the world. It sells a variety of sparkling and still beverages. It generates 60% of its revenue and
about 80% of its operating profit from outside the United States. It has strong brand recognition
across the globe. According to business insider, approximately 94% of the world population is
aware of the red & white logo of Coca Cola.

Segmentation, targeting, positioning of Coca Cola

Segmentation helps the brand to define the appropriate products for specific customer group;
Coca Cola doesn’t target a specific segment but adapts its marketing strategyby developing new
products.

Similarly it uses mix of undifferentiated & mass marketing strategies as well as niche marketing
for certain products in order to drive sales in the competitive market. Its Cola is popular
worldwide & is liked by people of all age group while the diet coketargets niche segment for
people who are more health conscious.

Coca Cola uses competitive positioning strategy to be way ahead of its competitors in the Non-
alcoholic beverages market.

SEGMENTATION
Coca Cola Company is the world’s leading manufacturer, marketer, and distributor of soft
beverages. Coca Cola uses "Multisegment" targeting strategy which means that the company has
more than single, well- defined, market segment. It develops a marketing mix for each of the
segments. Coca Cola has more than 400 different products line, total of 3,500 product mix.

Geographic segmentation
Coca Cola has drinks that targets different age groups, ethnic groups, sexes, lifestyles, etc.
Examples:
- Oasis- Juice made for the younger working adults, between the ages of 20-30.
The product is available in different flavors (berry, lemon, and orange tangerine). It’s mostly
popular in Britain and Ireland.

- Coca Cola- the most popular soft drink so far that being sold in most countries in the world.
The large demand for its taste and the trend toward healthier lifestyle influenced Coca Cola to
produce healthier products such as Coca Cola Zero, Diet Coca Cola, and etc.
- Coca Cola Zero- targets teens that don't want calories but want the taste.
- Diet Coca Cola- targets adults, between 30-50 who are health conscious but want the taste.
- Powerade- sport drink, targets athletes between 13-27 ages.
PRICING STRATEGY OF COCA COLA
The amount of money charged for a product or service, or sum of the values that Consumers
exchange for the benefits of having or using the product or services. As price gives us the profit
so this P is very important for business price of product should be that which gives maximum
benefit to the company and which gives maximum satisfaction to the customer.

Following factors Coca Cola kept in mind while determining the pricing strategy.

➢Price should be set according to the product demand of public.

➢Price should be that which gives the company maximum revenue.

➢Price should not be too low or too high than the price competitor is charging from

Their customers otherwise nobody will buy your product.

➢Price must be keeping the view of your target market.

The price of Coca Cola, despite being market leader is the same as that of its competitor

Sometimes, Pepsi places its customers into some psychological pricing strategies by reducing a
high priced bottle and consumers think that they save a lot of money from this.
PRICES OF DIFFERENT BOTTLES:

Size of Coca Cola Price of Coca Cola (RS.)

Regular bottle 13

Non returnable or disposable bottle 30

1.5 liter bottle 70

2.25 liter bottle 90

Coca Cola can 40

PRICING STRATEGIES:

Coca Cola has intense competition with Pepsi so its pricing can’t exceed too much nor decrease
too much as compared to the price of Pepsi Cola. If price of the Coca Cola exceed too much
from the Pepsi then people will shift to the Pepsi Cola and on the other hand if the price of Coca
Cola decreases people might get the impression that its quality is also low

TARGET CUSTOMERS
Coca Segmentation enables Brands to define the appropriate products for different kind of
customers. Coca Cola doesn’t target a specific segment but adapt its marketing strategy by
developing new products.

Age: Generally, Coke does not have a specific target and is addressed to everyone.
But the main consumers are 12-30 years old people; even if there is no specific product or
communication for less than 12 or more than 30, the brand succeed in reaching them, through
partnerships for example (restaurants, fast foods such as McDonald’s…), or thanks to its value
among consumers. So, the core target audience of Coca Cola is youngster or youth. Their
targeting is not based on gender but the results show that both genders like this product and use it
(almost 50/50).
Finally, Coca Cola consider each customer as a target and a potential consumer. All age groups
are being targeted but the most potential is the age group from 18-25 that covers around 40% of
total age segments.
Life style: no life style targeted but more and more busy life style and mobile generation (youth)
are considered to be the most important part of Coke’s consumers.
Occupation: no occupation targeted but consumers are mainly students and family oriented
people
Nature: fun, joy, entertainment loving…
Customer’s Media Habits
There are some habits which are given as follow:
· The young target audience of the brand loves media exposure
· Mobile generation & social media is part of daily life
· Connected people; they like innovations, they like being surprised.

FUNDING SOURCES
Our funding sources comprise bonds, commercial paper and a revolving credit facility.

Debt maturity profile


This chart sets out the maturity profile of Coca-Cola HBC’s long-term debt as of 31 December
2016.

€800m

June 2020

€500m

June 2020*
€600m

Nov 2024

* RCF (EURO). In June 2016 the banks approved the extension of the Revolving credit facility’s
maturity for 1 more year, until June 2021. RCF is not utilized.

SOURCE SOOSSOSOOOF FUNDS

C.

KO

$43.21

0.10

0.23%

*Delayed - data as of Apr. 30, 2018 - Find a broker to begin trading KO now

Exchange:NYSE
Industry: Consumer Non-Durables
Community Rating: Bullish
View: KO Pre-Market

 KO

 Balance Sheet
 Cash Flow
 Financial Ratios

Annual Income Statement (values in 000's)Get Quarterly Data


Period Trend 12/31/2017 12/31/2016 12/31/2015 12/31/2014
Ending:

Current Assets

Cash and $6,006,000 $8,555,000 $7,309,000 $8,958,000


Cash
Equivalents

Short-Term $14,669,000 $13,646,000 $12,591,000 $12,717,000


Investments

Net $3,667,000 $3,856,000 $3,941,000 $4,466,000


Receivables

Inventory $2,655,000 $2,675,000 $2,902,000 $3,100,000

Other $9,548,000 $5,278,000 $6,652,000 $3,745,000


Current
Assets

Total $36,545,000 $34,010,000 $33,395,000 $32,986,000


Current
Assets

Long-Term Assets

Long-Term $21,952,000 $17,249,000 $15,788,000 $13,625,000


Investments

Fixed $8,203,000 $10,635,000 $12,571,000 $14,633,000


Period Trend 12/31/2017 12/31/2016 12/31/2015 12/31/2014
Ending:

Assets

Goodwill $9,401,000 $10,629,000 $11,289,000 $12,100,000

Intangible $7,235,000 $10,499,000 $12,843,000 $14,272,000


Assets

Other $4,560,000 $4,248,000 $4,110,000 $4,407,000


Assets

Deferred $0 $0 $0 $0
Asset
Charges

Total $87,896,000 $87,270,000 $89,996,000 $92,023,000


Assets

Current Liabilities

Accounts $9,158,000 $9,797,000 $9,991,000 $9,634,000


Payable

Short-Term $16,503,000 $16,025,000 $15,805,000 $22,682,000


Debt /
Current
Portion of
Long-Term
Debt

Other $1,533,000 $710,000 $1,133,000 $58,000


Current
Liabilities

Total $27,194,000 $26,532,000 $26,929,000 $32,374,000


Period Trend 12/31/2017 12/31/2016 12/31/2015 12/31/2014
Ending:

Current
Liabilities

Long-Term $31,182,000 $29,684,000 $28,311,000 $19,063,000


Debt

Other $8,021,000 $4,081,000 $4,301,000 $4,389,000


Liabilities

Deferred $2,522,000 $3,753,000 $4,691,000 $5,636,000


Liability
Charges

Misc. $0 $0 $0 $0
Stocks

Minority $1,905,000 $158,000 $210,000 $241,000


Interest

Total $70,824,000 $64,208,000 $64,442,000 $61,703,000


Liabilities

Stock Holders Equity

Common $1,760,000 $1,760,000 $1,760,000 $1,760,000


Stocks

Capital $15,864,000 $14,993,000 $14,016,000 $13,154,000


Surplus

Retained $60,430,000 $65,502,000 $65,018,000 $63,408,000


Earnings
Period Trend 12/31/2017 12/31/2016 12/31/2015 12/31/2014
Ending:

Treasury ($50,677,000) ($47,988,000) ($45,066,000) ($42,225,000)


Stock

Other ($10,305,000) ($11,205,000) ($10,174,000) ($5,777,000)


Equity

Total $17,072,000 $23,062,000 $25,554,000 $30,320,000


Equity

Total $87,896,000 $87,270,000 $89,996,000 $92,023,000


Liabilities
& Equity

MERGERS AND ACQUISITIONS


A little history: The Coca-Cola Company (KO) spun off Coca-Cola Enterprises (CCE) in
1986. PepsiCo.(PEP) followed the same course of action when Pepsi Bottling Group (PBG)
was formed in 1997. Both bottling groups became “equity investees” because the respective
parent companies retained between 20% to 50% ownership of the bottlers. The spinoffs made
sense at that time because the bottlers met heightened demand, and expanded into international
markets, while PepsiCo. and Coca-Cola focused on innovation and marketing. In addition, the
bottling side of the business was more capital intensive and the bottlers were more vulnerable to
volatile commodity price swings.
However, of late, both beverage behemoths have decided to buy their largest bottlers, or in the
case of Coca-Cola, the biggest segment of its largest bottler, Coca-Cola Enterprises. PepsiCo
finalized the purchases of PepsiAmericas (PAS) and Pepsi Bottling Group in a $7.8 billion deal
in early 2010. The pending Coca-Cola Company purchase will cost around $15 billion. The near-
term impact of these moves may not be too pleasing to investors, as operating margins may well
shrink, as integration actions proceed. Also, once the acquisitions are consummated (PepsiCo
already has), The Coca-Cola Company and PepsiCo will have to face challenges they previously
had not encountered. For instance, the bottlers’ operations are more capital intensive and during
the manufacturing process they are more vulnerable to volatile commodity prices. However, both
Coca-Cola and PepsiCo. have hedges on the majority of these ingredients. In addition, they are
more prone to weak demand and declining volumes due to external factors, such as the recently
concluded recession. Coca-Cola and PepsiCo will also inherit the existing debt on the bottlers’
balance sheets.
The beverage landscape has changed. The popularity of carbonated drinks has waned steadily
since 2005. The market is saturated and consumer tastes have been gradually shifting toward
healthier choices. Therefore, the business has to adapt as well
Consolidation activities will have vast consequences in the beverage industry. Apart from the
aforementioned near-term negatives, there will be positive outcomes too. Both The Coca-Cola
Company and PepsiCo will have a dominant position over the distribution channels and the
companies will be able to streamline their respective businesses. The actions will eliminate
manufacturing redundancies and create a more formidable supply-chain and distribution system.
In short, operating expenses will likely be lowered a great deal. The companies will also be able
to focus on the growth of non carbonated beverages. At present, bottlers are less inclined to focus
on noncarbonated drinks because they carry smaller profit margins in comparison to their bubbly
counterparts. Consolidation alleviates conflicts on decision making on such issues.
NEWS ARTICLES
In its 132-year history, Coca-Cola has produced a panoply of drinks alongside its
signature soda, including bottled water, juices, sports beverages and an Indian
refreshment described as “spicy,” “mature” and “masculine.”

This year, the company is mixing in booze.

In Japan, a fiercely competitive market where Coca-Cola says it introduces 100 new
products each year, the company plans to test a flavored, bubbly drink spiked with
alcohol.

Coca-Cola has never before ventured into the so-called alcopop sector. But fizzy drinks
made with alcohol, fruit juice and sparkling water or soda, a category known as chu-hi in
Japan, are popular across the country.

The new drink is the latest idea from a beverage maker that has expanded to new markets
with an array of products as the sugary-soda industry, battered by concerns about its
health effects, continues itsmulti-decade decline. In 2016, Coca-Cola said it unveiled the
equivalent of nearly two new products globally every day.

Jorge Garduño, who has led the company’s Japanese division since July, said in an
interview on the Coca-Cola website that the chu-hi gambit was “a modest experiment for
a specific slice of our market.”

PepsiCo Dips Its Toes Into the Sparkling Water Market FEB. 8, 2018
STATISTICAL REPORTS

Coca-Cola Company - Statistics & Facts


Everyone has heard of Coca-Cola, and you would be hard pressed to find somebody who was
unable to recognize the iconic white lettering against the bright red background of this global
brand. Various sources cite Coca-Cola as a billion dollar brand and that is not surprising, when
one considers it was rated by Interbrand as one of the most valuable brands in 2017, based on a
brand value amounting to 69.73 billion U.S. dollars.

The Coca-Cola Company is a global key player in the beverage industry. The firm comprises the
corporate division, headquartered in Atlanta, GA, and about 300 bottling partners worldwide.
According to its most recent annual report from 2016, Coca-Cola's net operating revenue
amounted to 41.86 billion U.S. dollars. The North American segment brought in about 15.4
percent of the global revenue in that year.

The Coca-Cola Company’s four leading carbonated soft drinks brands in the U.S. were Coca-
Cola, Diet Coke, Sprite, and Fanta. The Coca-Cola Classic brand itself held a market value of
over 66 billion dollars in the United States in 2017. In spring 2017, about 56 million consumers
in the United States reported consuming Coca-Cola Classic in the last seven days .
JOURNELS
FinancialsCoca-Cola Co.
 QUARTERLY
 ANNUAL
Net Income
02B

0-2B-4B

Mar2017Jun2017Sep2017Dec2017Mar2018

Mar 5-quarter
2018 trend

Net Income Growth +9.56%

Sales or Revenue 7.63 B

Sales or Revenue -
Growth 15.49%

EBITDA +2.08 B
SWOT ANALYSIS
Strengths
Brand Awareness: The Coca-Cola Company is one of the most widely recognized brands across
the globe. Its signature logo, classic red & white colors, and world-famous jingle resonate with
consumers of all ages. There are two key players in this sector of the beverage business, one
being Coca-Cola, while the other remains PepsiCo, Inc. (PEP). That said, Coca-Cola maintains
its position in the top post as the clear-cut winner. Although both businesses constantly jockey
for increased market share, Coca-Cola has the edge here. The beverage producer also garners a
core following customers, as many consumers that deem themselves fans of its products tend not
to shift toward other brands. Going forward, the company’s vast financial resources ought to fuel
its sizable marketing efforts and increased product innovation, which should propel market-share
gains over the long haul.
Robust Distribution Network: Coca-Cola makes its products available to individuals in more than
200 countries through the world’s largest distribution network. Its ability to utilize company-
owned/-controlled distributors, as well as independent bottlers, wholesalers, and retailers has no
parallel. This system enables KO to closely manage costs, rapidly introduce new items into the
marketplace, and saturate various geographic locations. Moreover, its meaningful network
allows for an enhanced level of quality control and safety for its goods. The stable distribution
platform has been a boon for expansion in recent years, as the company has sought to reach new
customers in remote locations. These diverse operations have aided market presence, volumes,
deliveries, and product introductions during a crucial span.
Weaknesses
Water Management: Water is a main ingredient in substantially all of the company’s products. It
is vital to the production of the agricultural ingredients on which the business relies and is
needed in KO’s core manufacturing processes. Also, this resource is critical to the prosperity of
the communities Coca-Cola serves. Water is a limited resource in many parts of the world,
facing unprecedented challenges from overexploitation, as well as rising demand for food and
other consumer and industrial products whose manufacturing processes require water. These
events increase the risk of pollution, poor management, and effects stemming from climate
change. As the demand for water continues to climb around the world, and water becomes
scarcer, the overall quality of available water sources may very well deteriorate markedly,
leaving the Coca-Cola system to incur higher costs or face capacity constraints that could
adversely affect its profitability or net operating revenues in the long run.
Foreign Currency Fluctuation: The company earns revenues, pays expenses, owns assets, and
incurs liabilities in countries using currencies other than the U.S. dollar, including the euro, the
Japanese yen, the Brazilian real, and the Mexican peso. In 2014, it used 70 functional currencies
in addition to the U.S. dollar and derived $26.2 billion of net operating revenues from operations
outside the United States. Because its consolidated financial statements are presented in U.S.
dollars, Coca-Cola must translate revenues, income and expenses, as well as assets and
liabilities, into U.S. dollars at exchange rates in effect during or at the end of each reporting
period. Therefore, increases or decreases in the value of the U.S. dollar against other major
currencies affect its net operating revenues, operating income, and the value of balance sheet
items denominated in foreign currencies. In addition, unexpected and dramatic devaluations of
currencies in developing or emerging markets could negatively affect the value of the beverage
provider’s earnings from, and of the assets located in, those markets. Weaknesses in some
currencies might be offset by strengths in others over time due to the geographic diversity of the
company’s operations. Moreover, KO also employs derivative financial instruments to further
reduce its net exposure to foreign currency exchange rate fluctuations. However, it cannot fully
hedge the impact from fluctuations in foreign currency exchange rates, particularly the
strengthening of the U.S. dollar against major currencies or the currencies of large developing
countries.
Opportunities
Diversification: The company has been hard at work utilizing its ample war chest to build a
presence in rapidly-growing beverage categories. Currently, it owns 16% of Keurig Green
Mountain and is developing a fresh Keurig Kold device that is set to debut this fall. Keurig,
famous for pod-based, hot drinks intends to feature Coke-branded products for its upcoming
platform. In addition, Coca-Cola recently finalized its purchase of a 17% stake in Monster
Beverage. The deal provides the company with access to a
popular energy drink growth segment. All told, we anticipate these transactions will bolster the
top and bottom lines immediately. These joint ventures also deliver Coca-Cola with established
inroads to a younger customer base. Looking ahead, KO will probably aim to forge increased
relationships with coffee, energy, and health drink businesses.
Extended Reach: The population continues to increase at a steady clip. In order to capitalize on
this fact and consumers’ shift toward healthier living Coca-Cola has focused on bolstering a
variety of its business lines. Areas such as India and China have ramped up demand for the
company’s latest juice and coffee offerings. Too, developing countries face hefty clean water
shortages, which ought to result in surging demand for the company’s bottled water goods. These
business segments have increased at double-digit rates in the past year, highlighting an elevated
need for beverages other than Coca-Cola’s traditional drinks. We believe Coca-Cola remains
dedicated to differentiating its portfolio and delivering emerging markets with various beverage
staples over the long term.
Threats
Nutritious Selections: It’s been no secret that soft drink providers have suffered some of late. A
cultural shift toward natural and organic products has led many to opt for nutritional waters,
smoothies, and various healthy beverage options. Thus, core soda offerings that include high
amounts of sugar, or diet items with artificial sweeteners, have fallen out of favor with buyers.
What’s more, this trend does not seem likely to abate, as consumers continue to boost their
knowledge of proper dietary requirements and exercise programs. Further, many health
professionals have called for the elimination of foods and beverages containing lofty amounts of
sugar, since these products place individuals at an elevated risk of becoming obese, developing
diabetes, and suffering from heart disease. Also, a negative perception of these beverages has
surged due to federal regulators’ desire to place excess taxes on sodas and sugary soft drinks.
FINDINGS
Based on the team project that we had done, we have found many similar characteristics to
theories or concepts that we had learnt during class. From chapter 1, we had learnt that the Coca-
Cola Company is in fact a goods-producing business to seek profit by providing goods to satisfy
a customer’s needs which is a captive intensive business. Coca-Cola has brought many
advantages to society such as offering goods, providing employment, and paying taxes. But Cola
has also brought disadvantages to society such as generating pollution, creating waste and also
creatinghealth and safety risk. Currently, we know that Coca-Cola are doing business under
multiple environment such as market environment, legal and regulatory environment and also
social environment. The market environment help Coca-Cola improve their sales because
everyone in the world knows about Cola through the advertising done by the company. The legal
and regulatory environment helps the Cola Company by banding their competitors for copyright
and winning lawsuits in damages from patent infringement. The social environment boost the
Coca-Cola sales due to crave of the society towards the drink “Coke”From what we have learnt
from chapter 2, the similarities of Chapter 2 to our team project are Coca-Cola define their
mission which is a brief statement of why the company exist and what it aims to accomplish,
vision on the other hand is a brief and inspirational expression of what a company aspires to be
and values is a brief
SUGGESTIONS
The slogans include the early years when Coke should have already dumped ALEC (Jim) Crow-
and the Latest Coke Slogans.
Coke slogans - and here are my recommendation for new Coke slogans.
1986 – “Catch the Wave” – Other Corporations and Follow Coke by Dropping ALEC Laws and
Beliefs
1989 – “Can't Beat the Feeling” – of Dropping ALEC Ideals
1991 – “Can't Beat the Real Thing – of Becoming Human by Giving ALEC the Boot
1993 – “Always Coca-Cola” – But NEVER ALEC
2000 – “Enjoy” – The feeling of Telling ALEC You ARE Evil.
2001 – “Life Tastes Good” – ALEC Tastes are EVIL
2003 – “Real” – Really – What Took You Soooo Long Coke?
2005 – “Make It Real” – No More ALEC Deals
2006 – “The Coke Side of Life” – ALEC Crow Takes Lives
2007 – “Live on the Coke Side of Life” – Live on the Human Side of Life and Kick ALEC
Crow to the Curb
2008 – “Love it Light” – Now Embrace Love Turn Off the ALEC Light
2009 – “Open Happiness” – Close ALEC
2010 – “Twist The Cap To Refreshment” – Send ALEC Twisting in the Wind
2011 – “Life Begins Here” – Life Begins When You Leave ALEC
Coke sent ALEC packing because the evil organization helped craft a Florida law that is now
under scrutiny because of a shooting - some say murder.
It's too bad it took the fatal shooting of unarmed Florida teen Trayvon Martin - by a
neighborhood commando hiding under the ALEC-crafted "Stand Your Ground" laws - for Coke
to finally stand their ground.
Now it is time for the other ALEC-supporting corporations and lawmakers (including here in
Georgia Coke's home) to follow Coke's example - and send a "sugary sweet" goodbye to ALEC
and its ideals.
P.S. Links to some other stuff I have written about Evil ALEC Crow - and other stuff

CONCLUSION
To produce the world's best known product, The Coca-Cola Company has to employ the highest
quality processes and establish standards which guarantee the production of a standardised
product which meets consumers' high expectations each and every time they drink a bottle or can
of Coca-Cola.

In order to guarantee these standards the Company has had to develop a close relationship with
its franchisees based on a mutual concern for quality. Total Quality Management lies at the heart
of this process involving a continuous emphasis on getting quality standards right every time and
on continually seeking new ways to improve performance.

Coca-Cola Great Britain | Making the world's best known product


BIBLOGRAPHY

https://www.worldofcoca-cola.com/about-us/coca-cola-history/

https://www.coca-colacompany.com/our-company/mission-
vision-values

https://www.coca-colaindia.com/about-us/awards

https://www.coca-colacompany.com/brands/product-description

https://coca-colahellenic.com/en/investors/debt-
investors/funding-sources/