Coca Cola Company: Market Value and Sustainability

coca plant locoweed Company Market Value and Sustain faculty excogitationIn this project I will do a detail study of coca weed Company, I will study about the trade value of coca plant unhopeful-down and how sustainable the coca plant cola Company is for the deal. I will ut to the highest degreelight the issues which ar faced by coca the skinny and describe the business cycle of the beau monde. I will mention all the strength and capabilities of coca plant sens in coming years.Brief history of the coca Cola CompanyMay 8th 1886 coca plant Cola was created by John S. and served at Jacobs Pharmacy. At expire the caller-out had a rough start and it was named Coca Cola by clubs accountant Frank. In 1887 the promotion method was coupons, and John S. registered Coca Cola Syrup and Extract to US patent byice. In 1915 the Coca Cola Company design a bottle by Alexander Samuelson which became standard bottle for Coca Cola. In 2008 Coca Cola sponsored the tumid games and Coca Cola facebook page which is made by two fans has oer twenty two million fans worldwide. In 2009 Coca Cola became a meg dollar brand, and in 2010 Coca Cola Company obtain the whole North Ameri sack up bottling business. By 2011 Coca Cola Company celebrates its 125 years. point of reference coca cola websiteCoca Cola is largest company in the world which sells beverages. Coca Cola has large mathematical product brands which are more than five hundred. Its products hold popular names such(prenominal) as Coca Cola Classic, Fanta, Sprite, and Minute Maid. Coca Cola besides world number one company is the about valued company in the world. Coca Cola has a long history of being sustainable company in profit and also for defend communities and their environment (The Coca-Cola Company, 2010).Vision, mission, and objectives of Coca ColaMission of Coca ColaIn the mission statement of Coca Cola its purpose as a company is to serve in standard terms. It also takes good account about each and e truly action and decision made by Coca Cola. The read of mission is to make the world refresh, inspire mickle, bring happiness, and to make difference by value of its products.Vision of Coca ColaCoca Cola day-dream is the framework roadmap for every aspect of Coca Colas business. Coca Colas vision is to achieve sustainable growing by applying the principle described belowPeople sour inspiration into peoples life while work in Coca Cola.Partners Creating a winning network of suppliers and customers.Portfolio Bring portfolio of quality into the world.Productivity Making Coca Cola solventive company.Profit Make profit while heedful of responsibilities.Planet Becoming responsible citizen and supporting sustainable communities.Objective of Coca ColaObjectives are drive from vision and mission of the company and it serve as action of Coca Cola how to be confirm in the world.Headship Having courage for better future.Group labor Believe in collative genius.Integrity Be genuine .Passion Having hard time mind committed.Accountability To be accountable to the people.Diversity Broad as Coca Colas brand.Quality Produce best products.SWOT Coca ColaCoca Colas strengthsCoca Cola is widely known to the world, and its popularity is its strength. Coca Cola is known to people by its colour, logos, and marketing. Coca Cola has status in beverage diligence which is not challenged by any other company. People who drink Coca Cola are loyal to Coca Cola for example 80% of revenue of Coca Cola come from its 20% loyal consumers. Coca Cola has ability to sell and make products around the world which is unique to Coca Cola.Coca Colas weaknessCoca Cola Company has few weaknesses. at that place is no effect from Coca Cola to answer the question people pose about harms of Coca Colas drinks. People think that Coca Colas products are not good for health.Coca Colas opportunitiesCoca Cola has many opportunities which it can take favor of for its success. Coca Cola can actively ma rket its products which are less popular. Coca Cola is know to 90% population of the world and it can bring this to 100%. Coca Cola can increase the gap in the midst of itself and its competitors.Coca Colas remote ThreatsCoca Cola has been very successful company but yet to deal with some threats. Coca Cola need to settle its lawsuits. It also unavoidably to change peoples negative view about Coca Cola Company.StrengthsRecognizedReputationA lot of fundingLoyal consumersTrade globallyWeaknessesIssues wellnessUnpopularity of some of the brands of Coca ColaWhistle blowingImaginary advertisingOpportunitiesPursuing successful brandMarketing less popular productTakeover contestationRecognition of more brandThreatsLawful issuesPepsi main competitorHealth authorityShifting health consciousness thoughtsChallenges faced by Coca ColaCoca Cola worldwide market dish outs in flavored carbonated and soft drinks are forty seven percent. In USA Coca Cola has this share to forty two percent and globally fifty percent. Coca Cola is world largest manufactures, distributer and marketer of beverage industry which brings many challenges for Coca Cola. Canning and bottling is do in many countries, in 1995 change in organization of Coca Cola lead to five regional group headed by group chair and it also resulted in spinning of canning and bottling operations into independent companies.The other challenges are faced by coca cola are related to different things. There is frequent change of Chief Executive Officer and there was also fiscal crisis in Russia which hit Coca Cola. Coca Cola is also liner the problem of weak global economy. Coca Cola has to deal with price due to local competitions, and there is also problem of contradictory exchange which leads to low profit due to fragile currency. There was also challenge for expanding Coca Cola which resulted failure of purchase of Cadbury. Coca Cola also has challenge of being poor quality.Challenges which are ahead of Coca Cola are related to many spectrums. Coca Cola lacks creativity in marketing and advertising. It has poor kin with some bottlers. There are some issues related to management of Coca Cola by over controlling board of directors. There is unwillingness in Coca Cola to change according to industry demands. Pepsi diversification into snacks and non beverage industry is challenge for Coca Cola.Opportunities in getn challenges for Coca Cola discolouration recognition is very important factor affecting Coca Colas competitive coiffe. Coca Colas brand name is known to ninety percent of the world. The primary trend over the past few years is to get this brand name to even better known. Packaging changes affect Coca Colas sales and industry position but in general the people are tending not to be effective by new product.Coca Cola bottling system provide it to take advantage of never-ending growth opportunities around the world. This strategy of Coca Cola gives opportunity to serve in large and different geographic areas.Levels of strategies of Coca ColaStep 7 What strategies are adopted in the company over the years. Distinctly discuss separately all the levels of strategies. And identify the DOMINANT strategy. twist Competitive Advantage Though Business-Level StrategyIn a business model which is successful we need to have business level strategy which give a company competitive advantage over its rivals. They must decide 1) customer needs and how they are agreeable 2) customer groups and how they need to be satisfied 3) distinctive competencies of how customers needs to be satisfied.Business-Level Strategy and the Industry EnvironmentIn bitty industries composed of large number of small and medium size companies in the principle exploit of competitive strategy are chaining, horizontal merger, franchising, and using internet. In growth industries the strategies is determined by market demand. Companies need to identify from growth to maturity by choosing investment stra tegy that helps or supports there business model. There are four main strategies which a company can have if the demand is fallingLeadershipNicheHarvestDivestmentStrategy in High-Technology IndustriesTechnical values are very important in many high tech industries, and they guarantee compatibility, reduce confusion in consumers, allow mass production by lower past and reduce risk with supply complementary products. A technological model shift occur when new applied science come and revolutionize the structure of industry, dramatically change nature of competition, and require for the company to adapt to new strategies for surviving.Strategy in the Global EnvironmentFor some companies international expansions means a way to earn greater returns by transferring skills and products offer derived from their distinctive competencies to market where indigenous competitor lacks these skills. Companies also purse localization strategy customaries their product offering, business strategy to country check off and marketing strategy. The most attractive foreign tend to be found in politically stable and develop countries. There are five ways to enter into foreign marketExportingLicensingJoint ventureFranchisingWholly owned subsidiaryPg 284 ch 8Corporate-Level Strategy horizontal Integration, Vertical Integration, and Strategic OutsourcingCorporate strategy should modify a company or its unit to perform in one or more value creation function at lower greet in a way which allows for differentiation or premium price.Horizontal Integration can be understood as a way of increase the profitability of the company byReduce costDifferentiationReplication of business modelManaging the rivalry within the industryIncrease bargaining over buyer and supplierHorizontal integration has two drawbacks 1) numerous pitfalls related to merger and acquisition 2) and the fact that the strategy can bring company in conflict with antitrust authorities.Vertical Integration can enable a comp any to accomplish competitive advantage by building barrier to entry, facilitating investment, product quality protection, and helping improve schedule between adjacent stage in value chain. The drawback is bureaucratic cost for the company and lack of flexibility when the technology is changing fast.Strategic Outsourcing of noncore value creation activities may allow a company to lower its cost, differentiate its product, respond to rapid changing of market condition and to make better views of scarce resources.Corporate-Level Strategy Formulating and Implementing Related and Unrelated DiversificationDiversification is considered by managers when a company is generating free cash flows which are financial resources in excess to need for maintaining competitive advantage in companys original business. Diversify company can create value byTransferring competencies within businesses supplement competencies for new businessesSharing resource for economic scopeProduct bundlingUsing dive rsification to manage rivalryExploit organizational competencies to increase exerciseRelated diversification is strategy of establishing a business unit into new industry related to companys existing business unit by some form of linkage or commonality between one or more compound of each business unit value chain.Unrelated diversifications aim is to heighten profit by embedment general organization competencies in new business units and perhaps to capture benefit of multipoint competition.The Coca Cola strategy is to make Coca Cola more than a soft drink. It position itself to contribute to make life better, fun times, little lighter and more enjoyable. The corporate strategy of Coca Cola is based upon opportunities. Coca Cola knows that they are in beverage industry and they sell one billion cokes a day and they know that people drink forty eight billion serving of beverages each day around the globe. So in term of global opportunity Coca Cola has to have only two share of bever age industry so they need to design business system or strategy to take advantage of this opportunity. Coca Cola is at keystone of its strategy because it is instance recognized and allows Coca Cola to build critical mass by day one. Coca Cola should capitalize on its brand as the brand make certain compacts, such as promise quality, promise value, promise propriety, promise jobs, promise retail margin, promise make living by selling Coca Cola. Procter essay is a very triumphant company but nobody knows what Gamble Procter is but in case of Coca Cola we know instantly. Coca Cola use Corporate-Level Strategy in its business model to be very successful.Changes in global environmentStrategic decision of the company which is operating in global marketing place is becoming increasingly complex. In such company manager cant know global operations as set of independent decisions. Hence they are faced by trade off decision in which different products, environments, resource sourcing, an d strategic options must be considered. In such companies two important things also play important social function one is stockholder activism which is demand place on global company by the stock holders in the environments in which it operates. Second thing is multi-domestic industry which is an industry in which competition is segmented from country to country. A global environment brings many challenges for the companies which are mention belowIt increase global management deputeIt increase globalization of the companyInformation outburstIncrease in global competitionSpeedy development of technologyStrategic management intend raise managerial confidencePage 137 Book Competitive strategyIn my opinion there are many things which a company can do to survive in challenging environment of global environment. A company should be having a strategic planning for each and every company for develop very successfully. A company should adapt to changes which occur in global environment. A company like Coca Cola works in country to country basis because of its bottling department which operates in many countries hence giving Coca Cola a advantage in global environment. propose new strategyCoca Colas strategy should be aggressive in term of marketing and advertisement. Coca Cola should also improve the relationship between Coca Cola and bottle manufactures. Coca Cola needs to change itself according to beverage industry demand worldwide. The Coca Cola should conduct socially interactions.ConclusionIn conclusion Coca Cola should implement work place safety, inclusive workplace, replenishing of water and reforestation. Coca Cola should collaborate with bottling companies partners to be safer for working environment prevent injuries or illness and to have safe behavior. Coca Cola should also careful use water because it is used by Coca Cola in many drinks and scarce of water can be a big problem in future.