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LOVELYPROFESI

ONALUNI
VERSI
TY
MI
TTALSCHOOLOFBUSI
NESS(
MSOB)
ASSI
GNMENT-st
rat
egyofCocoCol
ainAr
gent
ina
COURSECODE-
NAMEOFTHEFACULTYMEMBER–At
anuBhat
ter
char
ya
COURSETI
TLE–I
nter
nat
ional
Busi
ness
CLASS-MBA TERM-1 BATCH-2021
DATEOFALLOTMENT
DATEOFSUBMI
SSI
ON–22.
09.
21
STUDENTROLLNO.-
STUDENTREG.NO.–12103241
EVALUATI
ONPARAMETRE
LEARNI
NGOUTCOMES

DECLARATI
ON
Ideclar
ethatthi
sassignmenti smyindiv
idualwork.Ihavenotcopiedi
t
fr
om anyoftheot herstudent
’sworkorfrom anyothersourcesexcept
wheredueacknowl edgementismadeexpl i
cit
lyinthetext
,norhasany
partbeenwrit
tenformebyanyot herper
son.
STUDENT’
SSI
GNATURE
Ev
aluat
or’
scomment
s(FORI
NSTRUCTOR’
sUSEONLY)
GENRAL SUGGESTI
ONFOR BESTPARTOFTHE
OBSERVATI
ON I
MPROVEMENT ASSI
GNMENT

Ev
aluat
or’
ssi
gnat
ureandDat
e
Mar
ksobt
ained………….
Max.mar
ks…….
.
I
ntr
oduct
ion
Thecococol acompanywasf ir
stdiscov eredbyanAl t
anaphar macistJohnJ.Pember donat
hischemical factor
y.Thisi
sanAmer icancor porat
ionfoundedin1892.CocoCol aisthe
l
argestbev eragemanuf act
uredanddi stributedintheworld.CocoCol ai st
heonl ycompany
whosepr oduct saremanufacture,di
stributedandsuppl i
edinmor ethan200count ri
es.The
bestpartofthecompanyi sitneversitsononef or
mula,thereisalway schangei n
programmi ng, desi
gni
ng,adverti
singandaddi ngnewflavoursinthelist.Thiscompanywas
establi
shedabout135y ear
sago.Butt heyst i
llmanagedtobet helargestbev eragecompany
i
nt hewor l
d.Theheadquar terofCocoCol aisi nAt
lant
a,Georgia.CocoCol aalwaysex pends
hugeamountont hepromot i
onandadv erti
sementoft heproduct.
Aftert
hesecondwor ldwar ,f
irstti
met heyadv erti
sedtheirdr i
nkas“ coke”inthemarket.
th
CocoCol acreatedmor ethanhundr edofbev eragesduringt he20 cent ury,andtookmany
patentr
ightsondi ff
erentbev eragesfrom dif
ferentcountries.Thecompanyhasspeci fi
c
product
sf oreverycount r
ysuchasBar q’srootBeerf orUS, IncaKolaf orPeru,Maaza,
ThumbsupandLi mcaf orIndiaandspeci al
lyforlargestmar ket,
ASI A.
CocoCol ahasal sofacedsomecrit
icism andal
legati
onforsoilandwaterpoll
uti
on.Some
organizati
onclai
mst hatthedef
endant shadopenlyengagedin“Death-
square”toint
imat
e
torcherandkidnapping.Thi
scontr
ov ersygai
nedworld-wi
deattenti
onandleadt omany
Amer icanuni
versit
iestobanCocaCol a.
Inrecentti
meswhi l
etherenownedfootbal
lst
arCrist
ianoRonaldowashavi
ngani nt
erv
iew
hesawsomecocacol abot
tl
esandjustsimpl
yremov editf
rom hist
abl
edepict
ingnotto
dri
nkbev eragesastheheal
thfr
eakprotest
sagainstt
hesemanyofhi sf
oll
owersjustdi
dthe
samet hingandthecompanyhadashar plossofamountwi t
hinthemoment.
Aft
erhavi
nglossofthousandsofcroresthecompanyisstil
lataposi
ti
onandst
ableto
market
,ear
4ningprofi
tssati
sfy
ingtheirconsumersandencourageot
hert
obuythei
rproduct
.
Thi
sisagreatstr
ategyandaper f
ectmar keti
ng.
COCACOLAI
NAr
gent
ina

COMPETI
TIONANALYSI
S

Organizat
ionhast
encreat
ionpl
ant
sandfourpackagi
ngor
gani
zati
ons.Accor
dingt
o
t
her eport
sin2019,CocoCol
awasthemaindri
nkbrandi
nArgent
ina.

Cokecov
erspr
act
ical
ly50%ofAr genti
na'sdri
nkmar ket
.Thesigni
fi
cantcont
enderof
CocoCol
aareRedBull
,Pepsi
-co,Gatorade,Drpepper,t
or i
valt
hesebrandscoke
di
spat
chedsomet
hingalmostidenti
calwithther
eitemslikePepsi
.

1.Pepsiismostgroundedcontenderofcol
ainAr gent
inaaswel lasalloverhewor
ld.
Li
kecokePepsi isl
ikewiseext
remelyStr
ongintheirappropri
ati
onandhav e
excepti
onal
lyexemplarypromoti
nganddealsstrategy.Thegreatestport
ionoft
he
overal
li
ndustr
yofther efr
eshmentinover
all
isofCocaCol a.

TomanagePepsi
,Cokedi
spat
chpr
act
ical
l
y80%l
i
kePepsi
items,
forexampl
e,coke
l
ight
,

2.RedBulli
sn'talotofoldorgani
zati
onwhencont r
astedwithcokeyetmostar
isi
ng
ri
vali
nrefr
eshmentwor ld.RedBullsel
lthei
ritem notassoda, t
heypromotet
here
i
tem ascaff
einateddri
nk.Theexceptional
lyfamousj i
ngleofRedBulli
s"RedBull
gi
vesyouWi ngs."TheRedBul li
sreall
yanAust r
ali
anCompany .

TomanageRedBullcokebegant
hei
rit
em asani
nvigorat
ingbeverageandthey
l
ikewi
sebegansuppor
ti
ngmanygamescompetit
ionforcaff
einat
eddr i
nk.
3.Theoneoft hegreatestr
ivalasf
araswellbei
ngisGator
adeinwel l
beingr
elat
ed
organizati
onwhi chgiv
esodapopsorcaf f
einateddri
nkint
othemar ketasThewor l
d
popularrefreshmentdrinkcococol
aisinArgenti
naforqui
tesomet ime.Thecall
ing
thereitem asnutri
ti
ousbev er
age.I
ndi
vi
dualswhoknoworcogni zantitems.

Tomanagethi
scokedispat
chedtheirver
yfi
rst"
GreenCoke"whi
chsay
sthatt
hey
hav
elesscal
ori
es,
lesssugari
ntheirit
em.

4.Drpepperi soneoft hemostcher i


shedbr andsi nUS.Drpepperi sver ywellknown
i
nNor t
hspaceofAr gentina.Theapparatuswhi cht heyut
il
izedforadv ancingthe
brandisAdv ert
isementandSl oganWr it
ing.Theirji
nglehit
sbeforet heitem i
nany
start
ingcountry.Thethemsel vescl
assifi
cati
onst heiri
tem ascaffei
nat eddrinkwhich
i
sr egular
lyuti
li
zedbynumer ousfootbal
lersinthecount r
y.

Tomanageriv
alrycokeli
kewi
sebeganpr
oduci
ngmorecaf
fei
nat
eddr
inkas
remember
ingthati
ndivi
dual
saremorewell
bei
ngf
reak.

EXPANSI
ONPLAN
Forexpansi
ont
hecompanyhasmadeslightchangesi
nthei
rst
rat
egi
eswhi
chwoul
d
hel
pthecompanyfort
hei
rbusi
nessexpansion.
1. CokeAr
gent
inal
aunchesCocaCol
ali
feTM
2. CocaCol
atot
ri
plepur
chaseofci
tr
usi
nAr
gent
ina.
3. CocaColat
oexpendsof
tdr
inkpr
oduct
ioni
nAr
gent
inaof$14.
72Bi
l
li
on
thousand.
4. Cokel
aunches“
GreenCoke”f
orv
eryf
ir
stt
ime.

COKEARGENTI FETM
NALAUNCHESCOCACOLALI
CocaCol alifeistheprimarylesscalorieandnoaddi ti
onal sugardri
nk.Int
hepresent
si
t uat
ionCocaCol ali
fecanbeef fectiv
elybef oundal lt
hrought heArgenti
na.I
n
Argentinaindivi
dualsareattachedt ofootball
,indi
vidualsgiveadditi
onal
considerat
iont othebodyphy sicalmake- upthatisther easoncokedi spat
chedcoca
colali
feinteresti
nglyasnewi tem.Pr esentlycokecent r
emor earoundgetti
ngready
l
esscal ori
eitem, forexample,"ColaLife""ColaZero"and" greencoke."These
dispatcheswer edonet oaddal otmor epur chaserwhor emainsawayasf aras
sugarandcal oriesissue.

CocaCol
atot
ri
plepur
chaseofci
tr
usi
nAr
gent
ina
Cokedecl aredt hatt heywi l
lbuyci tr
usf rom t hewhol enat i
ont oaccompl i
shthere
posit
ivef i
gureofei ghteenthousandt onsofci trus.Forget t
ingr eadydiff
erentit
ems
l
ike"Squeezedor ange"innextni ney ears.Fort hisventurecokei scontr
ibuti
ng
$635,000t hroughoutt hefoll
owi ngsi xy ears.Rightnowt heybuy6, 000t onsand
after
war deight eent housandt onsby2025.Asi ndi
catedbyaf inancialr
eportCoca
ColaAr genti
nasecur esalit
tlelesst hanhal fofcount r
y'screationofconcent rat
ed
squeezedor ange.Thepr imaryci tr
uswhi char einrundownofpr ocurementar e
LemonandGr apeor ganicproduct .Thi sv entureprojectisn'
tjustusef ulforCola
organizati
on, yetinaddi ti
onusef ul forAr gentina'seconomy .Thisv ent
uretaskwi l
l
create20,000newposi t
ionsfori ndividuals.

CocaCol
atoexpendsof
tdr
inkpr
oduct
ioni
nAr
gent
inaof
$14.
72Bi
ll
iont
housand
Inlat emadebyt heCEOofCocaCol aArgentinat hatorganizati
onwi l
lv erybefore
l
ongput$1. 2bil
li
oni nArgenti
naf rom 2019-2021.Ther earet wentybrandsofcol a
whi char eparti
cularl
yfamousi nt hecount r
y.Thi sexhaustsCocaCol apackagi ngand
cir
cul ationincountrythr
ought hedev el
opmentofnewpackagi ngplanti nnorthern
Argent inaandt wonewdi sper
sioncommuni ty .Thisventurewi l
lcreatepr et
tymuch
fi
fteent housandposi ti
onsst r
aightforwardl
yorbyi mplicati
on, andfurthermoreadd
newshopper stoshowcase.Cokei soneoft hebi ggestcit
izensi nArgent i
na.This
vent urewasdecl aredthroughPr esidentMaur icioMacr iColanear l
ycov er40%of
dri
nkmar keti
nAr genti
na.
Cokel
aunches“
GreenCoke”f
orv
eryf
ir
stt
ime
Thegr eencokewasf i
rstinact i
vitywithacceptsomet hingbet tertoser vetothe
cli
ent.Thisisaspeci alblendofwel lbeingandt asteinsideasi mi l
arsodapop.Gr een
cokef urni
shesr ewar dt oindivi
dual swi thnoaddi t
ionalsugarandcal ori
es.Theysay
theiri
tem cont ainsnor mal sugarandr egularcaffei
ne.Accor dingt ot hecokegr oup
thi
si scompl etelyhundr edper centnor mal it
em.TheGr eenCokei nit
ial
lycamei n
mar ketint5hey ear2012andi next remel ybri
eftimeframei thitsal laroundthewor l
d.
Thisdr awsinmor egrown- upy outh,wel l
nessf r
eakindividual s.Af tereffect
ive
endeav ourtoinitiall
yGr eencol a,cokedi spatchesmul ti
plei temssi mpl yinan
extendedper iodoff irstGreenCokeser ies,f
orexampl e, GreenOr ange, GreenLemon
Lime, Greenshar pcher ry.Greencol ai soneoft hequi ckestdev elopingandmost
enhanci ngrefreshmentor ganizationont heplanet.
CocaColacompanyi soneoft heleadi
ngbev er
agecor porati
oncompanyintheworld.
I
tseasytof i
ndColaallovertheworldexceptNorthKoreaandCuba.Aspert hestudy
outofthousand800peopl erecogni
zetheproducticonandi nanotherst
udyoutof
1000,900+peoplerecognizedcokebytheiraut
hentictaste.Cokei
soneoft hemost
i
conicbrandofallt
imes.Cokei sthesecondwor l
d‘slargestbever
ageproductaf
ter
Pepsi
-co.

STRENGTH
OnBr
andI
dent
it
ies
Asindi
cat edbyrepor
tcokebrandesteem $84bil
li
on.Incasewearegoi
nginany
ar
eaoft heplanetnoquesti
oneverybodycanrecogni
zetheredwhit
elogoofcoke.
Cokeisn'tsi
mplymarkingpromoti
ngy eti
nadditi
ontakestar
tinmaki
ngnumerousD.

1.Leadi
ngMar
ketShar
einNor
thAmer
ica
Cocacol aistheseatmarkindust r
y.Theor gani
zationhasmor et hanonehundred
thir
tyyearsormor eyearexperi
encei nthisdri
nkmar ket.Howev er,t
heorgani
zati
on
stayinpositi
onofholdingcli
ents.Thel egi
ti
macyofi tem isbestinwholecontender
s.
Inmar ketnownumer ouswellbeingdrinksaccessiblewhicharel i
kewisenoti
mpede
i
nt hecokecont est
.Cocacolaor ders35%ofNor t
hAmer i
cansodapopmar ket.

2.MostRecogni
zabl
eBr
and
Cocacol
aist
hemostrecogni
zedbrandandpercei
vedqual
it
yandr
einf
orcet
he
i
mageofCocoCol
abrand.Cokeremainedi
nitsposit
ionf
ormoret
han135year
s.To
achi
evethismuchbr andingcokehasexpendmor ethan$280mi l
l
iononadver
ti
sing
ever
yyear.Thepackagingidenti
tycorporat
eident
it
yhavechangedmorethanf
our
ti
mesbutt hebr
andingr emainsexcepti
onall
ystr
ong.

3.Pr
oductav
ail
abi
l
ityi
nmor
ethan200count
ri
es
Becauseofsomepol i
ti
cal explanati
oncokecan' tenterinNorthKoreaandCuba, wi
th
thi
sspeci al
casecokecoul dbef oundinfrom onesi deoftheplanettotheother.
Accordingtoreportsper using,CocaCol aserve1. 9bi l
li
onservi
ngeachdayi n200
nati
onsal lt
hroughoutt hepl anet.Wecoulddi scov ercokenotjustinmet r
oPol i
ti
an
cit
yorci t
ybrimmingwi thsur geyetinadditi
oni nexcept i
onal
lyfaroffregionsi
n
manyr egionofthepl anet,thisisallonthegroundst hatther
eremar kable
conveyanceinnovationandl imit
edt echni
quef orci r
culat
ion.

4.Lar
geSi
ze
Ascokehasenor mousno.ofpur chasers,
cokeat t
empt stodispatchanotheri
tem
eff
ectiv
elynear l
ytootherpeople.Theadvantageofhav i
ngubiquity,
cokeacquire
si
mpl eopennesst oanyofi t
sit
em.Fort heabsolutefi
rstti
mecokegoi ntoTeaand
Coffeemar ketbydispatchi
ngtherefir
stespressoCostaCof f
eet omanage
backhandedcont enders.Thi
sshowshowmuchmar ketobtai
ningcokehav e.Coke
usetheresecur i
nginteaandespr essoport
ionsaswel lasinfil
ter
edwat er,
jui
ceand
caff
einateddrink.

5.Wi
deMar
ketPenet
rat
ion
Accordingtoreport
scokehasmor ethan900packagi ngplantsacrossthewor l
d.
Theoneoft hemostcoor di
natedandmostpr oduct
ivemar ketconveyancewhichis
verymu7chf amousont heplanet
.Organi
zati
ondependsmor eonnear byaccompl i
ce.
Thisistheoutcomewhyonecoul ddiscovercokeinmostdi stantr
egionsacrossthe
wor l
d.Theneighborhoodaccompli
cehelpstheorganizat
ioninlesseningcostsin
disseminat
ionchain

WEAKNESSES
1.Faceal
otofCompet
it
ion
Theoneoft hemostaggr essi
vemarketisdrinkmarket,whereeverythi
ngisunsure.
Thereisregul
ardispatchofnewitem andfurther
moreatsomepoi ntnewbrand.
Cokef acetworiv
alry
,onewhoar ecoordinat
edf r
om thecarbonatedsodabusiness
otheroneisroundaboutri
valsasjui
ce,di
etarybever
age.Thegr eatestopponentof
cokeisPepsi-co,t
heoneoft hebi
ggestinsti
tuti
onal
cont ender
.

2.Hi
ghdi
str
ibut
ioncost
Cokebusinessi
sfr
om onesi
deoft
heplanett
otheother.Themyster
iousequat
ion
theut
il
izat
ionwi
ththecar
bonat
edwat
erisgiv
enbyinit
ial
lyfr
om t
hecentral
commandwhi chisfrom Atl
antaUSt oal
laroundt hepackagi
ngplantswherethe
bl
endthetwoanswerf orstr
ucturethebeverage.Thistakesahighconveyancecost
,
col
aoffer
s35t housanddist
inctdri
nkalt
ernativ
etoi nexcessof200nationsatan
equi
val
entti
me.

3.Fai
l
stodemonst
rat
esust
ainabl
epr
act
ise
Theoneoft heseri
ousissuewhi chcokefacesis,
thecokedependsmor eonsingle
useplasti
cs.Astheyarethebiggestorgani
zati
onont heplanetastheoutcomet hey
producehugemeasur eofplasti
cwast etogl
obewhichi sunsafeforcl
i
mat e.
Present
lycokeismorecenteredar oundeconomicalcreat
ionandthiswil
lhel
pt he
organi
zati
onwithoutquesti
on

4.Lackofnut
ri
ti
onv
alue
Accordingt
oreportsoneor dinar
ycokeof600ml contai
ns16t easpoonofsugar
whichisn'
tusefulf
orwellbeing.Thi
st endscoketobemostunf ort
unateitem,
toend
suchissuecokeattemptstodi spatchnewsolidit
emswi t
hlesssugarornosugar
i
temsl i
keGreenCoke, cokel i
ghtinwhi cht
heysupplanttheordinarysugarwi
th
stevi
aandcaffeineissupplantedbynor malcaf
feinei
nt herei
tem.

5.Wat
eraskeyi
nput
Wat ershort
agei soneoftheseriousissuebeforeglobe,f
orsome, nat
ionswat eri
sa
publicassetandhav eextr
aordi
nar ysi
gnifi
canceamongt hem, yethereforthi
s
sit
uationofcolai ti
stot
all
yfoundedonwat ertodel
iver100li
treofcoket hereisa
needof91l it
reofwat er
.Thiseffectdir
ectonnatureofearth.Thecococol a
organizat
ionutil
izes295bi
ll
ionli
treofwat eri
nactiv
iti
eseachy ear.Cokeis
profoundlydependedonwat erforitscreati
on,wi
thoutwateritwoul dbeunthinkabl
e
forcoketopr oceed.

6.Notdi
ver
sif
iedi
ntoot
hermar
ket
Dissimil
artootheressenti
alcontenderli
kePepsi-cothecococolahashadat tempts
toendeav ouri
ndiff
erentbusinesssectorsotherthandri
nk,yetnevergotalotofhel
p
asPepsi -
cohave.Pepsi-cogoesintosnackswor ldandareadmi ni
ster
ingthere
mor eover
.Cococolahav einexcessof500r ef
reshmentbranchwor l
dwideyetit
doesn'thelpasmuchi nprocurementofot heri
tem toacquir
emar ketbenefi
t.

OPPORTUNI
TY
1.
Focusonemer
gingmar
ket
Thebusinesssectorswhicharearisenasef fectivehavinganextremecontest,
i
nsteadofarisi
nguniverses.Suchnat i
onswher eeconomyi sri
singgradual
l
yt o
contendtheworld,t
hereisusefulforextension.Ther ei
sconsistent
lyopport
unityto
procuremoreasanor ganizati
oninlightofthef actthatther
eisnoi nt
enseri
valr
y .
Cokeisextendi
ngt
herebusinessmoreinEuropeandAfr
icanmar ketwhi
chi
s
bri
mmi ngwithapr
omisi
ngci r
cumstance.Theincomef
rom thesenati
onsar
ever
y
ful
fi
ll
i
ngwhi chi
s16.8%oftheallouti
ncome.

2.
Int
roduci
ngnonbev
eragei
tems
Cokei sf
amousf orthei rextraordinarytrialofcarbonatedwaterwi t
htheirmy ster
ious
syrup.However,
cokef acedchal l
enget odi spat
chnumer ousitemsr el
iablyassound
i
tem.Thiswast roublesomey etcokeuseashappenst anceinrespectsoft heir
preval
enceandthest rat egyoft heirdispersionchainforgoi
ngi ntonewmar ketwith
bunchesofnewi tem.Accor dingt orepor tscokeconsumesl esssum ingoi nginto
othernewbusinessf rom t hesolaceones.Di spatchingnonrefreshmentitem assists
thecokewithgettingsomeaddi ti
onal kindness.

3.Recy
clepl
ast
ic
Cokei soneoft hesignif
icantgiv erinplast
icwast econt aminati
onont hepl
anet.
Singl
eut il
i
zeplasticwast heirsignifi
cantaspectoft heirresponsibi
li
ti
esandinmany
spotitisev enpresentl
y.Yet,cokechangedt heact ualpictur
ebyf ocusi
ngon
decreasingsingleuti
li
zepl asti
cint heiri
tem yetinadditioninlesseni
ngplast
ic
together.Cokefocusesont hattill
2030t heireverysinglepackagingorgani
zati
onwi
ll
be100%pl asti
cfree.60%ofcol aut ili
zedplasti
car erecy cl
abl
eatt hi
spoint
.

Focusmor
4. eonheal
thypr
oduct
s
Itwasev endiffi
cultt oenvisiont hatcokecouldatanypoi ntdispatchsomeot her
i
t em thantheremostador abl ecarbonat edwater.Inthisdayandageev erybodyis
cognizantwi t
hregar dst otheirwel lbei
ngandconf rontingwellbei
ngr el
atedissuelike
diabetes,hypert
ensi on.Thesewor ri
espushingsugarawayf rom therefr
eshment
dr i
nk.Intheseday swor ldwider efreshmentdrinkstransformingintowellbeingdrink
businesses.Accor dingt oreportssoundbev er
agei ndustryhasassessedf or$478
mi l
li
on.Socokel ikewi sedispatchesapor ti
onoft heitem whichar eworriedassol i
d
l
ikegr eencoke,col alight,
cost aespr esso.

5.Newi
nnov
ati
oni
ncol
asuppl
ychai
n
Itwasev endiffi
cultt oenvisiont hatcokecouldatanypoi ntdispatchsomeot her
i
t em thantheremostador abl ecarbonat edwater.Inthisdayandageev erybodyis
cognizantwi t
hregar dst otheirwel lbei
ngandconf rontingwellbei
ngr el
atedissuelike
diabetes,hypert
ensi on.Thesewor ri
espushingsugarawayf rom therefr
eshment
dr i
nk.Intheseday swor ldwider efreshmentdrinkstransformingintowellbeingdrink
businesses.Accor dingt oreportssoundbev er
agei ndustryhasassessedf or$478
mi l
li
on.Socokel ikewi sedispatchesapor ti
onoft heitem whichar eworriedassol i
d
l
ikegr eencoke,col alight,
cost aespr esso.

6.Costcut
ti
ngmeasur
es
Ascol
aisworki
nginexcessof200nati
ons,
itsconspi
cuoustohavesubstant
ial
l
y
morepr
oduct
ionnetworkcosti
nri
val
rytoot
herpeople.Pr
esent
lyorgani
zati
onhas
understoodthissigni
fi
canti
ssue,toconquerthisi
nventor
ynetworkcost
organizat
ionbegant oremovethatloadofit
emswhi chcan'tmakeincomef ort
he
organizat
ion.Before2010cokenevergav eest
abli
shmentofpackagingplant
howev erpresent
lytheyoutscanoutsider
sforthepackagi
ngorganizati
ons.

THREATS
1.I
tmaybeunabl
etogr
owi
tscust
omerbaseov
ert
hel
ongt
erm.
TheCoca- Col
aCompany ’smarketingef fortshavebeensosuccessf uli
nthe
mar ket
sthatithasconcent
rat
edon, alev elofmarketsatur
ationhasbeen
reached,whereithasbecomedifficultt
oat t
ractnewcustomer stoit
slegacy
offeri
ngs.Thi
sphenomenonpr esent sitselfnotonlytoTheCoca- Col
a
Company ,butalsotoi
tscompetitor,ThePepsi -
Co.
TheCoca- ColaCompanynetoperatingr evenuedecr easedbyat hir
dbetween
2012and2018.( Stati
sta)

2.ManyofTheCoca-
Col
aCompany
’spr
oduct
sar
eout
dat
edand
notv
erypr
ofi
tabl
e.
Thev astmaj ori
tyofTheCoca- Col
aCompany ’
spr oductl
inescontri
butetoa
verysmal lpercentageofthecompany’ssal
es.Thisexposesthecompanyt o
signif
icantmar ket
-rel
atedri
sks,whi
chmayaf f
ecti t
sfewv ol
ume- based
brands.
HalfofTheCoca- ColaCompany ’
sbrandscontr
ibuteonly2%oft heov er
all
sales.(Nasdaq)

3.Cust
omersofTheCoca-Col
aCompanyareincr
easi
ngl
yseeki
ng
morenutr
it
iouschoi
cesi
nthei
rbev
erageconsumpti
on.
Withoutt hefur
therdev el
opmentofi t
sownheal th-
focusedbr ands,orfur
ther
acquisiti
onsofest abli
shedbr andsthatofferahealthi
eralt
ernat i
veto
carbonatedsugar ydr i
nks, TheCoca- ColaCompanywi llexperienceadecrease
i
nsal esofi t
score, volume- basedproductlines.
Thecar bonatedsof tdr i
nkconsumpt i
onoft heaverageNor t
hAmer i
canhas
experienceda19%y ear-on-yeardrop.(M3USACor por at
ion)

4.Wateri
sbecominganincr
easi
ngl
ymoreval
uabl
eresour
ce,
and
wateri
sabiginputofTheCoca-
Col
aCompany.
Aswor l
dwidef r
eshwat
erresourcesbecomei ncreasingl
ythreatened, The
Coca-Col
aCompanywi l
lexper
ienceani ncreasedcostofi tsmai npr oducti
on
i
nput:water.Thecompanywi l
lneedt orefi
nei tsproducti
onpr ocessi norder
tocutdownont heamountofwat errequi
redi nit
soper at
ionsinor derto
remainprofi
tabl
eandinoperati
on.
TheCoca-ColaCompanyuses91l ii
terofwat ertoproduce100l i
tersof
product
.(TheCoca-ColaCompany )

Thebev
eragei
ndust
ryi
soneoft
hemostcompet
it
ivei
ndust
ri
esi
n
t
heworl
d.
TheCoca-ColaCompanyhasf
acedsomeofthef
ier
cestcompet
it
ioni
nit
s
exi
stence.Theso-
cal
l
edColaWarsbet
weenTheCoca-Col
aCompanyand
Pepsi-
Cohasl edtotheestabli
shmentoftwobehemot
hsinthebeverage
space.Thismutuall
yident
ifi
edcompetit
ionensur
esastr
ategyofconti
nuous
i
nnovationtoensuresurvi
vabil
it
y.
PESTLEAnalysisofCocaColaexami nati
onsthebr andonitsbusinessstr
ategi
es.
CocaColaPESTLEAnal ysisi
nspectsthedif
ferentoutervari
ablesli
kepoli
ti
cal,
monetary
,social
,i
nnovativ
e(PEST)whi chimpactsi t
sbusinessalongsi
delegit
imat
e
andnatur
alel
ement s.ThePESTLEAnal ysi
sfeaturest hedi
sti
nctiv
eoutward
si
tuat
ionswhichswayt hematterofthebrand.

PESTLEi nvest
igat
ionisastructur
ewhi chisbasicforor
ganizat
ionsli
keCocaCol
a,
asitassist
swithunderstandingbusinesssectorel
ementsandf urt
herdev
elopi
ts
businessconstant
ly.PESTLEexami nati
onisadditi
onall
yal
ludedtoasPESTEL
i
nvestigati
on.

Al
l
owust
obegi
ntheCocaCol
aPESTLEAnal
ysi
s:

Pol
i
tical
Fact
ors:

Thepol
i
tical
element
sint
heCocaCol
aPESTLEAnal
ysi
scanbecl
ari
fi
edasf
oll
ows:

CocaCol acanhaveani mmedi ateef fectbyt helawsandgui del


ineoft hepublic
authori
tyonthefooditems.Thesel awsmi ghtshiftfr
om onecountryt oanother.
Priorbecauseofsomei nt
ernational r
estri
ct i
onsofUSandBur ma, t
heof f
erofCoca
Colawaspr ohi
bit
edinBur ma.Af teralmostsi xt
yy ear
sthedealwasbeguni nthe
year2012whent heassentwassuspended.Ther eareasyettwonat i
onsCubaand
Nor t
hKor eawher
eCocaCol acan' tbepur chasedorsol dbecauseoft hepolit
ical
stateofthesenati
ons.Thenewal tercati
onamongUSandChi nabringingaboutan
exchangewarsignifi
cantl
yaffectst hecost soft heCocaColacannedi tems.The
or
ganizat
ioni
sconf
ront
ingcostst
rai
nbecauseofascendi
nthel
evi
esonst
eel
and
al
uminum.

Economi
cFact
or
Bel
owareCocaColadominat
est
hemar
ketwi
thal
most50%mar
ketshar
eint
he
car
bonat
edbever
agemarket.
et
heeconomi
cfact
orsi
nthePESTLEAnal
ysi
sofCocaCol
a:
CocaColadominatest
hemar
ketwi
thal
most50%mar
ketshar
eint
hecar
bonat
ed
bever
agemarket.

CocaColadominatest
hemar
ketwi
thal
most50%mar
ketshar
eint
hecar
bonat
ed
bever
agemarket.
Notwithst
andingal lt
heincr ementincostbecauseoft hedut ies,ithasdet ail
ed8%
developmentintheneti ncomei nquart
er3oft hemonet aryy ear2019.Howev erthe
edgewasomi nouslyaffect edbyprocurementofor ganizationlikeChi Ltd.inNi geri
a.
Theneweconomi caccordbet weenUS, MexicoandCanadai suphel dbyt he
organizat
ionfreeofchar geandr easonableexchangebet weent hecount ries.The
i
nterestofpurchasershasmov edfrom sweetbever agestol owcal ori
edrinks.The
CocaCol aorganizati
onhasr eveal
ed8%expansi oni nretailwor thofi t
sitemsl ike
DietCokeandZer oSugar .Thechiefoftheorganizat i
onsaidt hatCokeZer oSugar
hashadi t
sgr eatestyearin2018andbecamet hequi ckest.Thei nterestforthese
i
temsi sreli
edupont oascendi nthefutur
etooasi ndi vi
dualsar et urni
ngoutt obe
mor ecognizantwithregar dstothei
rwayofl i
fe.
1.I
nArgenti
nacococolafaceahugelossofamountj
ustin2minuteswherethe
gr
eatfootbal
l
erCri
sti
anoRonal
domov edthecokebott
lebysay
ingheonly
dr
inkwaterwhichi
sgoodforheal
th.Thi
scausedalossof$4bil
li
ontocola
2.Duetothi
scol
agothugel
ossintheshar
enotonl
yinAr
gent
inabutgl
obal
l
y.
Thepri
ceshar
eofcol
adroppeddown.

Soci
alFact
ors:
Followingar et hesoci al component saffecti
ngCocaCol aPESTLEAnal ysis:Coca
Colahasconsi stentlyaccompani edsomef ri
endl
ymi ssi onst ointerfacewi t
hits
purchaser s.In2014i thaddi spatchedawhi chwasmegaf ruit
ful.Indivi
dualswere
urgedt odi scov erbot tl
eswi t
ht henamet heyfeelassoci atedwi thandaf terward
offerittot hei
rf ami l
yorcompani onsandof fersomet hingsi milaront heweb- based
medi ast agewi tht hehasht agshar eacoke.Theweb- basedCocaCol astoreli
kewise
l
ett heclientst weakt heirnameont hejugs.Thebr andassoci atedwi t
htheshopper
ont heindiv i
dual level.Theor ganiz
at i
onpat chedupt heent i
retyofi tsonli
nemedi a
handleswi ththemi ssionoft ur
ningoutt obemor ehopef ulbrandv i
aweb- based
medi a.Itwasdoneont hewor l
dbenev olenceday .I
tpost edallofi tssubstancewi t
h
ref
reshthefeel.SuchCocaCol acrusadesint
erf
acemoretother
ecentcoll
egegrads
astheyeffect
ivelypart
akeinthesethroughweb-basedmedi
aandpersonal
izat
ion
hasturnedint
ot heirmethodofli
vi
ng.
1.Cococol
awi
shest
ohav
ewoment
orun50%ofi
tsmar
ket
.
2.CocaColaawarepeopl
etot
akev
acci
nei
nAr
gent
inat
hrought
hei
r
adver
ti
sements

Techni
cal
Fact
ors:
Thetechnical
component
sint
hePESTELAnal
ysi
sofCocaCol
aref
erenced
underneat
h
TheCocaCol aor ganizationhasconsi stentlybeent esti
nginitsproductof f
ering.Iti
s
accompany ingv eryf i
rstpreparedtodr inkfrozenr efreshmentinJapan.The
organizati
onhasadev elopmentdr i
vencul ture.Itwel comesbuy er
stomessar ound
ont hewebandpar tnerwi t
htheCocaCol ai t
ems.I tuti
li
zeslongr angeinterpersonal
communi cationinnov ationtoremai ny outhful,
newandcur rent.Theorganization
givesfree-form gadgetwhi chper mit
sshopper st omakei tsownr efr
eshmenti n
diff
erentblendst hroughPCl i
keinterf
ace.I tadditionallysavesinformationfor
stati
sticalsurv ey
ingwhi chwill
beaddi tionallyuti
li
zedbyt heorganizati
ont o
compr ehendt hetast eandi ncl
inati
onoft hepur chaser s.
I
tut
il
izesi
nter
netpubl
i
cizi
ngt
ocausey
out
ofeel
li
key
ouneedt
hei
tem.
1.CocaColaAr
gent
inausesAWSt
ospeedupondev
elopmentandpr
oduct
del
iv
ery
.
2.Duetothi
ssy
stem anypr
oducti
nent
ir
eAr
gent
inai
sdel
i
ver
edunder15
minut
es.
3.Thi
shelpscoket
omaxi
mizet
her
epr
oductdi
str
ibut
ionef
fi
cient
lyandal
sof
or
adv
ert
ising

Legal
Fact
ors:
Fol
l
owi
ngar
ethel
awf
ulv
ari
abl
esi
ntheCocaCol
aPESTLEAnal
ysi
s:
CocaCol ahasconf r
ontedi nconveniencebecauseofamountofcaf f
einei nitsit
ems
i
nv ari
ousnat ionsprevi
ousl y.Theor ganizati
onwasl ikewisebl amedf orpay inglow
wagesandi mpr oper
lytreatingthei
rwor kerswhi chpulledi ndiff
erentfightsfrom
tr
adegui lds.Ithascl ai
medsui tsagainstracialseparationt oit
swor kers.
Mislabelli
ngofonei tsi
temsasapomegr anateandbl ueber ryj
uicedisregarding
appleandgr apej ui
cehasdr iv
enittoagenui neconcer n.Issueswi t
hr espectt o
bundling,wat eruseandai rcontami nat
ionhasbeenasubj ectofwor r
yf orthe
organization.Itoughttosi gnifi
cantl
yz eroinoni tscorporat emor al
s.Theyar eof
essent i
alwor rytotheCocaCol aorganizaton.
i

Envi
ronment
alFact
ors:
IntheCocaColaPESTLEAnal
ysi
s,t
henat
ural
component
sinf
luenci
ngi
tsbusi
ness
ar
easunderneath:
CocaColahasconfrontedenormousmeasur eofreact
ionf
ortheexpl
anat
ionof
depl
eti
ngofft
hegr oundwat eri
nIndia.Ithasbeenaccount
edforasthegreatest
cust
omeroffreshwateront hepl
anet.Ithasfoundawayway stowipeoutthese
i
ssuesanddecreaseitscarbonimpressionstoapproachzer
o.
I
thasut il
i
zedwat ersavvycul
ti
v atingst rategiesli
keRAI NandCAREwhi chuti
lizesas
l
esswat erascouldreallybeexpect ed.CocaCol aorgani
zationar eaddit
ional
lygoing
tosunpower edenergyt omaket hei rrefreshment sinFij
i.I
nt heirmanageabil
ity
report2018,
theysaidt heywi
llber unningaf terawor l
dwi t
houtwast eandputout
diff
erentobj
ecti
vesf or2020li
kel ev elofpr ogressinwateref fecti
venessby25%
whichisatpresent18%.

Tofini
shup,t
heaboveCocaColaPESTLEAnal ysisf
eaturest
hediff
erent
componentswhi
chswayitsbusinessexecut
ion.Thi
sagreementassist
swit
h
assessi
ngthecr
it
ical
i
tyofout
sidebusinessfact
orsforanybrand.
1.Thecococolai
sworki
ngonreduci
ngplast
icwasteandalsowor
kingonthei
r
pl
asti
crecy
cleupto100%t
il
l2030,col
aisalsol
ookingf
orsubst
it
utefor
si
ngl
euseplasti
c.
2.Theyar
efocusi
ngmoreonexcesstocleanwat
erandsanit
ati
on,hy
giene.
Theyar
ereduci
nggr
eenhouseemissi
onandtargett
ozeroby2030.
3.Theyar
epr
act
isi
ngsubst
ant
ial
pract
iseacr
ossagr
icul
tur
alsuppl
y.

Ref
erence
1.“
Greencoke”“
BobMondel
l
o”,
“thesal
t”atNPRFOOD15.
7.2013
2.SWOTanal
ysi
s–Ov
idi
j
usJur
evi
cius|
Januar
y102010
3.CokeTechnol
ogy–Ri
teshPat
hak|
Oct
ober242020
4.Cokepol
l
uti
on–Robi
nFl
ahar
ty|
20Apr
il2021(
GREENPEACE)
5.Cokest
rat
egy–Si
monGwy
mm|
Mar
ch282019(
CAMPAI
GN)
6.Cokest
ock-War
renBuf
fet
’s1989CocaCol
ainv
est
ment(
THECOMPUND)

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