Thursday, November 21, 2019
Case study for Coca Cola Marketing Analysis Example | Topics and Well Written Essays - 2000 words
For Coca Cola Marketing Analysis - Case Study Example Coca Cola is an example of such an establishment that has remained a proficient player in the beverage trade amidst the increasing competition in the industry. It was established in the nineteenth century and it is the market leader in producing, distributing and selling soft drinks in the international market. The company operates in nearly 200 nations and has invented over 400 brands since it was founded (The Coca Cola Company). Its leading brands include Coke, Sprite, and Stony among others. Their success has its major rivals at bay including Pepsi and Nestle. This case study gives an in depth analysis of the companyââ¬â¢s marketing strategy and the potential issues facing the company. COMPANYââ¬â¢S OVERVIEW As far as the global manufacturing, distribution and sale of soft drinks are concerned, the Coca Cola company in the lead. The company was founded in 1886 in Atlanta Georgia by John Pemberton who was a pharmacist by profession (The Coca Cola Company). His formula was lat er purchased by Asa Chandler in 1891 and this marked the advent of the companyââ¬â¢s business achievement. It sells approximately 400 brands making it the top company in terms of market capitalization. Additionally, the entity enjoys impressive customer loyalty and has licensed distributors in over 200 countries. This fact ensures that the entity is in a position to segment its customers hence the high profitably levels. In spite of the harsh economic conditions, the company has remained financially stable over the years. This is due to the companyââ¬â¢s ability to adapt to cotemporary marketing strategies such as the use of online marketing through social media such as Twitter, MySpace and Face book (The Coca Cola Company). The company has a history of having a strong corporate culture that propelled the companyââ¬â¢s success to date (The Coca Cola Company). For example, the company sponsored the FIFA 2010 World Cup and has constructed wildlife reserves. Potential Issues F acing the Company. Although the company has a huge part of the market share, it is clear that it faces stiff harsh competition from other key players in the industry. However, the company has been experiencing a constant increase in the stocks since 2008 as compared to its major rival Pepsi Co, Inc. Furthermore, the non ââ¬â alcoholic industry is increasingly competitive with numerous companies. There are competitive products in the market including carbonated drinks, energy drinks, packaged juices and fresh juices. Other significant competitors of the company include, Cadbury Schweppes plc, Nestle and Groupe Danone (Lopez 25). The competitive factors are with regard to pricing, product innovation, sales promotion, dispensing equipment, packaging, and production techniques. Moreover, the company competes in terms of brand name and trade mark protection. The company faces other issues in their operations that may have an impact on its future. In the recent past there have been fl uctuations in the value of the dollar against the common currencies. The larger percentage of the entityââ¬â¢s income is generated outside the United States and owing to the strong performance of the dollar the firmââ¬â¢s revenues from other parts of the world its profits may fall considerably (Lopez 38). The other issue facing Coca Cola is scarcity of water. The
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