Name of the organization

Coca Cola Beverages Pakistan Ltd (CCPBL) )

Name: Haseeb Ahmad and Aleeha Farooq

Session: 2015-2019

Date 16-09-2019

Imperial college of business studies

 Executive summary

Coca Cola Company is the top ranked beverage producing company of the

world. Coca-Cola was invented in 1886 by Dr John H. Pemberton. In 1945

Coca-Cola was established as a global brand. Coca-Cola is the world’s most

diverse company, doing business in close to 200 countries. Coca Cola was

introduced in Pakistan in 1953. At present, CCBPL owns 6 bottling plants

and 11 Sales Centres in major cities of Pakistan. The Gujranwala plant is the

biggest production plant of Pakistan.

There are four sub departments of Marketing at Gujranwala Plant. These are

Trade Marketing, Cold Drink Asset, Right Execution Daily (RED), and

Customer Response department.

The whole sales area of Gujranwala Plant is divided into three (3) broad

regions these are Gujranwala, Sialkot and Gujrat.

This report briefly discusses the functioning of Sales and Marketing

Department. Report also including suggestions and points out the areas in

which improvements can be required.

 Introduction of Organization

COCA-COLA IS THE MOST POPULAR AND BIGGEST-SELLING SOFT DRINK

IN HISTORY, AS WELL AS THE BEST-KNOWN BRAND IN THE WORLD.
Coca-Cola is a non-alcoholic soda pop sold in stores, eateries and candy machines. Around the

world (Coca-Cola says it's sold in excess of 200 nations). It is created by The Coca-Cola

Company in Atlanta, Georgia, and is regularly alluded to just as Coca-Cola or (in European and

American nations) by cola, soda pop or, in a few zones of the United States, non-mixed

beverages. Initially considered a protected medication when it was created in the late nineteenth

century by John Pemberton, Coca-Cola was purchased by businessperson Asa Griggs Candler,

whose advertising strategies drove Coca Cola to rule the worldwide non-mixed drink showcase

amid the twentieth century. . The organization produces focuses that are then sold to various

endorsed Coca-Cola packaging organizations around the globe. Bottlers who have restrictive

regional contracts with the organization create canned completed items and containers of gather

in mix with sifted water and sugars. Packaging organizations at that point offer, disperse and

advertise Coca-Cola in jars and containers to retailers and candy machines, including Coca-Cola

Enterprises, which is Coca-Cola biggest bottler in North America and Canada. Western Europe.

The Coca-Cola Company likewise pitches concentrates available to be purchased to real eateries

and sustenance benefit wholesalers. Coca-Cola has in some cases presented other cola-based

beverages under the Coca-Cola mark. The most widely recognized of these is diet coke, which

has turned into a critical nourishment cola. Notwithstanding, there are others, for example, Coca-

Cola without caffeine, Coca-Cola without eating routine, Coca-Cola Cherry, Coca-Cola Zero,

Coca-Cola Vanilla and unique releases with lemon, lime or espresso. Because of purchasers;

emphasis on a more normal item, the organization is disposing of E211 or sodium benzoate, the

disputable added substance identified with DNA harm and hyperactivity in kids Diet Coke. The

organization said it intends to dispense with the disputable added substance from its different

items, including Sprite and Oasis, when a palatable option is found.

History of Coca-Cola

1886

The first taste

Coca-Cola is first served at Jacobs’ Pharmacy on May 8, 1886. Nine drinks a day
are sold during this year.
 1900

celebrity endorsement
Music hall performer Hilda Clark becomes the first celebrity to appear in multiple
advertising formats, including trays, posters and even bookmarks.

Coca-Cola was detailed in 1886 by John Pemberton, a drug specialist in Atlanta, Georgia, who
sold him in soft drink drugstores as a "mixture against mental and physical clutters". In
1891, Asa Candler purchased the equation and built up a business drive. whats more, Coca-Cola mark
promoting has started. Candler granted the primary Coca-Cola packaging establishment in 1899 for a
representative dollar. In only 11 years, the organization packaging system has 370 franchisees. Candler
sold the organization to a gathering of speculators in 1919 and Coca-Cola opened up to the world that
year. After four years, Robert Woodruff ran the organization. Amid the 1930s, Coke spearheaded open-
top chillers for markets and different channels, created candy machines for wellsprings and candy
machines. Woodruff has set up a way of life promotion for Coca-Cola. He accentuated the job that Coca
has played in the life of a buyer. Amid the Second World War, Coca-Cola was exempted from the
proportioning of sugar amid wartime for the generation of drinks. Coca Cola has built up its business
card following the development of US troops. In wartime, Coke manufactured 64 processing plants
abroad, enabling it to catch overwhelming pieces of the overall industry after the war in most European
and Asian nations. From the earliest starting point, when just nine beverages were served every day,
Coca-Cola has turned into the most pervasive brand on the planet, with in excess of 1,400 million
beverages per day. Until 2010, the world had 92,800 employees and total revenues reached $ 31 billion.

CCBPL Gujranwala

In Gujranwala, the franchise unit was established in 1998, with the wish or struggle to make it easy to
distribute Coke in different areas and to make it No. 1 in the market, and with the hope that it will play a
great role in increasing the production and to make it popular in all over the country.

Area Covered by CCBPL Gujranwala

Gujranwala Beverages covers the areas of:

• Gujranwala City

• Sialkot District

• Sialkot Surroundings

• Jhelum

• Daska

• Wazirabad

• Hafizabad

• Gujrat

• Narowal

• Asad Kashmir

It covers certain other urban and rural areas in Punjab.

Company Objectives

Gujranwala Beverages wants to achieve the following goals:

• To maintain the quality of product. Product should be supplied in the market in such a way that it must
fulfill the consumer desires.

• To fulfill their sales projections.

• To maintain their repute

• To maintain their relations with distributors whose network is spread all over the area
• To make Coca-Cola products No. 1 in Pakistan.

• To Build preference & market leadership for our brands

• To achieve quality excellence and serve our customers with quality products.

• To Maximizing profits

• To Developing People

• To Optimum utilization of assets

CCBPL Gujranwala values

• We value and respect our people

• We communicate openly

• We have integrity

• We are committed to winning

Beliefs

There is much in our world to celebrate, refresh, strengthen and protect. The Coca-Cola Company is a
vibrant network of people, in nearly 200 countries, putting citizenship into action. Through our actions
as local citizens, we strive every day to refresh the marketplace, enrich the workplace, protect the
environment and strengthen

our communities. They are a local employer, with responsibility to enable our people to tap into their
full potential; working at their innovative best and representing the diversity of the world we serve. We
are an investor in local economies and a driver of marketplace innovation, with a responsibility to act as
a good steward of our natural environment.

Changes in Gujranwala Plant

After the purchase of plants in Pakistan coca-cola beverages fire almost all of the employees working in
the old setups. And they rehired some of these and other personnel on the basis of their competencies
they have from other organizations of beverages field and experienced people from other multinational
organizations. Coca-Cola Beverages Pakistan Limited made number of changes in the Gujranwala Plant
and in other plants. Some of these changes are structural in nature and some are related to operations
of the system.
Now instead of Managing Director of organization, Business Operations Manager (BOM) is the head of
organization. And Malik Muhammad Ameer was appointed as the BOM in Gujranwala. Now the
designation of BOM is replaced by PGM. They made number of changes in Production system, marketing
system etc. for the improvement in quality. They purchased new fool proof bottles washing system in
which almost every bottle remains in the process for one and a half hour. That step increased the quality
of the product and shows the concern of the company for the society and consumers in Pakistan. In
2008 Malik Muhammad Ameer promoted as a Director in the Head office Lahore plant. In the
Gujranwala plant Mr. Usman Butt is appointed as a PGM.

History Of beverages sector

• 1798 The term "soda water" first coined.

1810 First U.S. patent issued for the manufacture of imitation mineral waters.

• 1819 The "soda fountain" patented by Samuel Fahnestock.

• 1835 The first bottled soda water in the U.S.

• 1850 A manual hand & foot operated filling & corking device, first used for bottling soda water.

• 1874 The first ice-cream soda sold.

• 1881 The first cola-flavored beverage introduced.

• 1886Dr. John S. Pemberton invented "Coca-Cola" in Atlanta, Georgia.

• 1898 "Pepsi-Cola" is invented by Caleb Bradham..

Non-alcoholic Beverage categories (soft drinks)

Non-carbonated

• Tea, coffee

• Fruit and vegetable juices

• Mineral water

• Milk and milk beverages

• Functional and nutritional beverages

Carbonated

• Flavored fizzy drinks (high carbonation)

• Sports or isotonic beverages (low carbonation)

Beverages sector in Pakistan

The beverage industry in Pakistan has grown over the time. The industry produces

areated waters, juices, syrups, and squashes. With about 170 units currently in operation

throughout the country, both upstream and downstream industries have grown and are

flourishing. The focus on this industry profile is restricted to aerated water only.

Overview of the Coca Cola

History

1886

On May 8, 1886, Atlanta druggist Dr. John Styth Pemberton (former Confederate officer) invented
"Coca-Cola" syrup using melted sugar, water and other ingredients. It was mixed in a 30-gal. Brass kettle
hung over a backyard fire. It was marketed as a "brain and nerve tonic" in drugstores. He first
"distributes” Coca-Cola by carrying it in a jug down the street to Jacobs’ Pharmacy. For five cents,
consumers can enjoy a glass of Coca-Cola at the soda fountain. This year, sales of Coca-Cola average
nine drinks per day.

Frank M. Robinson, Pemberton's bookkeeper, was the person who suggested the name "Coca-Cola",
which was chosen because both words actually named two ingredients found in the syrup. They were
the coca leaf and the Kola nut. Robinson spelled Kola with a “C” to make it look better in advertising.
Coca-Cola was first sold for 5¢ a glass at a soda fountain in Jacob's Pharmacy in Atlanta by Willis
Venable.The first year's gross sales were $50 and advertising costs were $73.96. The original formula
included extracts of the African kola nut and coca leaves, both strong stimulants. "Coca-Cola" was one of
thousands of exotic patent medicines sold in the 1800’s that actually contained traces of cocaine.

1888

In 1888, Asa Griggs Candler bought the company from Dr. Pemberton. Later that same year, Dr.
Pemberton died. By 1914, Candler had acquired a fortune of some $50 million. Baseball hall of famer
Cobb, a Georgia native, was another early investor in the company.

1891
Atlanta entrepreneur as a Griggs Candler acquires complete ownership of the Coca-Cola business for
$2,300. Within four years, his merchandising flair helps expand consumption of Coca-Cola to every part
of the nation. In this year Coca-Cola produced its first calendar.

1893

The trademark "Coca-Cola” name and script are registered with the U.S. Patent and Trademark Office.
Dr. Pemberton's partner and bookkeeper, Frank M. Robinson suggested the name and penned "Coca-
Cola" in the unique flowing script that is famous worldwide today. Mr. Robinson thought, "the two C’s
would look well in advertising."

1894

Coca-Cola began as a fountain product, but candy merchant Joseph A. Biedenharn of Mississippi was
looking for a way to serve this refreshing beverage at picnics. He begins offering bottled Coca-Cola, using
syrup shipped from Atlanta, during this especially busy summer. Joseph A. Biedenharn, owner of the
Biedenharn Candy Company in Vicksburg, Mississippi, first bottled "Coca-Cola."

1895

"Coca-Cola is now drunk in every state and territory in the U.S." - Asia Candler.

18 98

The Company outgrows its facilities and a new building is erected at Edgewood Avenue and College
Street—later to be called "Coca-Cola Place." This year, the Company enters the markets of Canada and
Mexico.

1899

Large-scale bottling becomes possible when Asa Candler grants exclusive rights to Joseph B. Whitehead
and Benjamin F. Thomas of Chattanooga, Tennessee, for one dollar. The contract marks the beginning of
The Coca-Cola Company’s unique independent bottling system that remains the foundation of Company
soft-drink operations. Within 20 years, the regional bottling system will grow to include 1,000 bottlers,
with operations in Cuba, Puerto Rico, Panama, the Philippines and Guam.

1903

By 1903, the use of cocaine was controversial and "Coca-Cola" decided to use only "spent coca leaves."
It also stopped advertising "Coca-Cola" as a cure for headaches and other ills.

1906
Cuba and Panama become the first two countries outside the U.S. to bottle Coca- Cola.

1915

Around this time, bottles used by companies in the soft-drink industry are very similar. And Coca-Cola
has many imitators, which consumers are unable to identify until they take a sip. The answer is to create
a distinct bottle for Coca-Cola, one that anyone would recognize, even if it were felt in the dark. As a
result, the Root Glass Company of Terre Haute develops the genuine Coca-Cola bottle with the contour
shape now known around the world. It replaces the straight-sided bottle, giving Coca-Cola a distinct
packaging advantage over the imitations.

1919

The Coca-Cola Company is sold for $25 million to Atlanta banker Ernest Woodruff and a group of
investors. Woodruff was appointed president of "Coca-Cola" on April 28, 1923 and stayed on the job
until 1955.The same year, the Company's stock is first sold to the public at $40 a share. One of these
original shares was worth about $6.7 million at the end of 1998 (assuming all dividends were
Reinvested).

1920

The Coca-Cola Company establishes a manufacturing operation in France. U.S. Supreme Court Justice
Oliver Wendell Holmes rules that Coca-Cola is a single thing coming from a single source and well known
to the community.

1923

Robert W. Woodruff, son of Ernest Woodruff, becomes president of The Coca- Cola Company. His
insistence on quality and more than six decades of leadership take

the business to unrivaled heights of commercial success, making Coca-Cola an institution the world
over. In March 1923, "Coca-Cola" was sold in a 6-bottle carton for the first time in New Orleans,
Louisiana. Today; products of The Coca-Cola Company are consumed at the rate of more than one billion
drinks per day.

1926

The Foreign Department becomes a subsidiary later known as The Coca-Cola Export Corporation.

1928
Annual bottled Coca-Cola sales exceed fountain sales for the first time. Also this year, Coca-Cola makes
its first Olympic appearance when 1,000 cases of Coke accompany the U.S. Olympic Team to
Amsterdam.

1929

Sixty-four bottling operations are located in 28 countries, spreading refreshment worldwide. Also this
year, the fountain glass is adopted as standard, and "The Pause that refreshes" first appears in the
Saturday Evening Post.

1933

The automatic fountain dispenser is introduced at the Chicago World's Fair. By simply pulling a handle,
soda jerks can now serve uniform, properly refrigerated Coca-Cola.

1936

This year, The Coca-Cola Company observes its 50th anniversary. Three-day bottlers’ convention, a
motion picture chronicling the Company’s early year, and even a special anniversary logo are part of the
celebration.

1941

"Every man in uniform gets a bottle of Coca-Cola for 5 cents, wherever he is and whatever it costs"—
Robert Woodruff. .

1942

"It's the Real Thing" is first used in Coke advertising. On December 25, The Coca-Cola Company, in
cooperation with the War and Navy Departments, sponsors a special 12-hour radio broadcast to more
than 142 stations. Titled "Uncle Sam’s Christmas Tree," the program featured 43 popular orchestras live
from 43 widely scattered military bases in the U.S.

1943

On June 29, General Dwight Eisenhower dispatches a cablegram requesting a shipment of 3 million
bottles of Coca-Cola and complete equipment for bottling, washing, refilling and capping twice monthly.

1950

Edgar Bergen and his sidekick Charlie McCarthy appear on the first live network television show
sponsored by The Coca-Cola Company.

1955
The 10-, 12- and 26-ounce king-size and family-size bottles are introduced with immediate success. And
Fanta, an orange-flavored beverage, is launched in Naples, Italy. It later becomes the trademark name
for a line of flavored drinks sold around the world.

1960

Metal cans like the ones sent to troops during the Korean War are now available on market shelves
everywhere. Also this year, The Coca-Cola Company purchases The Minute Maid Company.

1961

Sprite, the lemon-lime drink, is introduced to the public.

1969

“It's the Real Thing” makes a comeback.

1971

Young people from around the world gather on a hilltop in Italy to sing "I'd like to buy the world a Coke."

1976

"Coke Adds Life" campaign is introduced.

1977

The unique contour bottle, familiar to consumers everywhere, is granted registration as a trademark by
the U.S. Patent and Trademark Office, an honor awarded to only a few other packages.

1979

Coke introduces "Have a Coke and a Smile," a campaign of heartwarming emotion best captured by the
television commercial featuring "Mean" Joe Greene, atackle on the Pittsburgh Steelers football team.

1981

Roberto C. Goizueta is elected chairman of the Board of Directors and chief executive officer of The
Coca-Cola Company. He will lead the Company for 16 years.

1985

In April, after extensive taste testing, the Company introduces a new taste for Coca-Cola in the United
States and Canada—"new" Coke. Consumers respond with an unprecedented outpouring of loyalty and
affection for the original formula, and the Company listens. In July, the Company reintroduces the
original formula for Coca-Cola, as Coca-Cola classic. Also this year, Cherry Coke is introduced.
1986

In the year of the Company’s 100th anniversary, two large U.S. bottlers combine to form Coca-Cola
Enterprises. Over time, this new company will assume responsibility for bottling operations in Great
Britain, France, the Netherlands and Belgium.

1988

An independent worldwide survey confirms that Coca-Cola is the best known, most admired trademark
in the world.

1989

The Coca-Cola Company sells Columbia Pictures to Sony Corporation.

1990

World of Coca-Cola, an attraction featuring a historical and futuristic look at Coca-Cola as well as a
chance to sample The Coca-Cola Company products from around the world opens in Atlanta.

1994

M. Douglas Ivester is elected president and chief operating officer of The Coca-Cola Company.

1996

Coca-Cola sponsors the Summer Olympics in the hometown of The Coca-Cola

Company: Atlanta, Georgia. And the Cisneros Bottling Company, the largest soft-drink

bottler in Venezuela, switches from Pepsi to Coca-Cola.

1997

World of Coca-Cola Las Vegas opens complete with a hundred-foot-tall Coca-

Cola contour bottle. The Coca-Cola Company sponsors the Winter Olympics in Nagano,

Japan, marking the 70th anniversary of the Company's Olympic partnership. New

products Citra and Surge hit the market. And M. Douglas Ivester is named chairman of

the Board of Directors and chief executive officer of The Coca-Cola Company. He is the

tenth chairman of the board in the Company’s history.

Time line of coca cola

• 1886 – Coca-Cola invented

• In 1888, Asa Candler bought out Pemberton

Robert w. Woodruff

• In 1899, Asa Candler sold the bottling rights for Coca-Cola to Benjamin Franklin Thomas & James
Whitehead Sparkling beverage

• This bottler model was a critical factor in the Coca-Cola Growth Story.
• Even today, it is the most successful business model1923 – Woodruff’s initiatives of Personal Training,

• Better Service and Quality Products introduced

• 1929 - Foreign Sales Group formed for global expansion

• 1945 – Coca-Cola established as a global brand

• 1953 - Coca Cola was introduced in Pakistan

• 1960s,- Fanta, Sprite, and Tab introduced

• 1970s, - Focus on marketing

• 1979 North Avenue Tower Opens

• 1980s - The Coca Cola system stabilized

• 2004 – E. Neville Isdell rolls out MFG

 Coca Cola in Pakistan

Coca Cola came to Pakistan in 1953. The Coca-Cola system in Pakistan has given employment to
thousands of local people, and has been contributing to the economy very positively, as Coca-Cola in
Pakistan has invested hundreds of million dollars (U.S.). Coca Cola was operating through the franchise-
system in Pakistan. But since 1997 Coca Cola international has acquired the Coca Cola Beverages
Pakistan Limited, and CCBPL has been directly working under Coca Cola international. Later in 2008,
Coca Cola Icecek– a Turkish company acquired more than 50% shares of CCBPL, and now they have been
controlling the operations in Pakistan along with Coca Cola international. In Pakistan Coca Cola is
operating at these locations:

• Karachi • Gujranwala / Sialkot

• Rahim Yar Khan • Faisalabad

• Lahore • Islamabad / Peshawar

• Multan

Nature of organization

Coca cola is making consumable products. So the nature of the organization is consumer consumable.

• Coca-Cola sells more than 1 billion drinks a day

• Coca cola have employs more than 55,000 people all over the world

Business volume

The coca cola company is not listed in the stock exchange of Pakistan. It is a multinational company so
its business volume is not be ascertain.

Product lines

Coca-cola has over 400 brands in beverages and the most popular brands in

Pakistan are as follows:

Coca Cola
Coca Cola Diet

Sprite

Sprite 3G

Sprite Zero
Fanta

Fanta Citrus

Pulpy Orange

Kinley water
 Strategic process of coca cola company

Vision and mission

The vision of Coca-Cola (2020)

Be the market pioneer in drinks, revive the world, rouse snapshots of positive thinking and

bliss, and include an incentive through brilliance

Coca-Cola vision statement:

“We will become the best and the biggest anchor bottler in the world”

THE SLOGAN:

“ALWAYS COCA COLA”

Coca-Cola Mission

Make a feasible and beneficial business through shopper reestablishment, cooperating with

clients, conveying better an incentive than investors and the trust of networks.

Coca-Cola values the objectives of Coca-Cola

• Passion

• Responsibility

• Integrity

• Team work
Administration of individuals and associations Build a high-performing association and be the

business of decision Business initiative Deliver great incentive to shoppers and clients at the best

expense of administration. Store network Being the best association to take care of customer

demand Operational Excellence Create a culture of operational perfection to help constant

enhancement of our procedures and administration frameworks. Maintainability Ensure the long

haul feasibility of our organization by being proactive and imaginative in ecological security.

Perceived as a standout amongst the most mindful nationals by all partners.

Management

John Metthew CEO

Ahmad Imran Ul Haque Commercial Director

Ahsan Iqbal Chaudhary Sales Director

Enver Say Director Plant Operations

Goker Tasdelen Finance Director

Hammad Aslam Supply Chain Director

Hasan Adnan Ahmed Human Resources Director

Ismail Cenk Cigr Sales Director

Wali Ahmad Sales Director

TCM-Lahore A TCM-Multan

TCM-Lahore B TCM-RYK

TCM-Karachi TCM-Sialkot

TCM-Hyderabad TCM-Gujrat

TCM-Sahiwal TCM-Islamabad

TCM-Faisalabad TCM-KPK

TCM-Gujranwala
 Strategy formulation
Vision and mission:

The vision of Coca-Cola (2020)

Be the market pioneer in drinks, revive the world, rouse snapshots of positive thinking and

bliss, and include an incentive through brilliance

Coca-Cola Mission

Make a feasible and beneficial business through shopper reestablishment, cooperating with

clients, conveying better an incentive than investors and the trust of networks.

Coca cola is a brand which is present in households, shops, hotels, offices, etc. You name it,
and the place would have heard of Coca cola. Coca cola has many products in its arsenal.

Here is the SWOT analysis of Coca cola

External Opportunities & Threats

 Opportunities :

1. Diversification – Diversification in the health and food business will improve the
offerings of Coca cola to their customers. This will also ensure that they get better
revenue from existing customers by cross selling their products. The supply chain
which is distributing their beverages can also distribute these snacks thereby
sharing the load of Supply chain costs.
2. Developing nations – Although developed nations have a high presence of
Coca cola, these countries are slowly moving towards healthy beverages.
However developing countries are still being introduced to the delight of
 carbonated drinks and soft drinks. Countries like India which are developing and
have a hot summer, find the consumption of cold drinks almost doubled during
summers. Thus the higher consumption in developing environment’s can be a
good opportunity to capitalize for Coca cola.
3. Packaged drinking water – With hygiene becoming a major factor in the
consumption of water, Packaged drinking water has found its way into peoples
mind. Coca cola has a presence in the packed drinking water segment though
Kinley. Although Kinleys expansion is slow as of now, Kinley has a huge potential
of expansion. Thus Coca cola as a company should focus on the expansion of
Kinley as a brand and take it up to Bisleri ‘s level of trust.
4. Supply chain improvement – Supply chain can be a major cost sink hole with
the transportation costs always rising. Coca cola’s complete business is based on
transportation and distribution. There will always be possible improvements in
this area. Thus Coca cola should keep strict watch on its Supply chain and keep
improving to bring the cost down.
5. Market the lesser selling products – In the product portfolio of Coca cola, there
are several products which have not found acceptance in the market. Coca Cola
needs to concentrate on the marketing of these products as well. It is understood
that Coca cola has made several expenses to launch these products. Thus, the
marketing and subsequent rise of sale of these products will help revenue of
Coca cola.

 Threats:

 Raw material sourcing – Water is the only threat to Coca cola. The weakness of
Coca cola was the suspected use of pesticides or vast consumption of water.
However, the threat here is that water scarcity is on the rise. With the climate
changing, and regions of various countries facing scarcity of water, sooner or
later someone might raise fingers on beverage companies. Thus, Water sourcing
is an axe which can fall anytime on the head of Coca cola. If water is limited or
rationed, Coca cola can experience a major downfall in their revenue and
capacity of distribution. The same can affect its arch rival Pepsi as well.
 Indirect competitors – Coffee chains like Starbucks, Café coffee day, Costa
coffee are on the rise. These chains offer a healthy competition to Coca colas
carbonated drinks. They might not be a big competition for Coke, but they do give
a dent to its beverage market. Similarly, health drinks like Real and Tropicana as
well as energy drinks like Red bull and Gatorade are stealing away the market
share indirectly.

Internal Strengths & Weaknesses

 Strengths:

1. Brand Equity – Interbrand in 2011 awarded Coca cola with the highest brand
equity award. Coca cola with its vast global presence and unique brand identity is
definitely one of the costliest brands with the highest brand equity.
2. Company valuation – One of the most valuable companies in the world, Coca
cola is valued around 79.2 billion dollars. This valuation includes the brand value,
the numerous factories and assets spread out across the world and the
complete operations cost and profit of Coca cola.
3. Vast global presence – Coca cola is present in 200 countries across the world.
Chances are, any country that you go to, you will find coca cola present in
that market. This vast global presence of coca cola has also contributed to the
building of the mammoth brand name.
4. Largest market share – There are only 2 Big competitors in the beverage
segment – Pepsi and Coca cola. Out of these 2, coca cola is the clear winner and
hence has the largest market share. Amongst all beverages, Coke, Thums
up, Sprite, Diet coke, Fanta, Limca and Maaza are the growth drivers for Coca
Cola.
5. Fantastic marketing strategies – Coca cola unlike Pepsi always tries to win
peoples heart. Where Pepsi’s target is continuously changing, and is targeted
towards youngsters, Coca cola targets people of all ages. The targeting is also
done by celebrities who are well liked – for example – Amitabh Bacchan, Sachin
tendulkar, Aamir Khan etc
6. Customer Loyalty – With such strong products, it is natural that Coca cola has a
lot of customer loyalty. The products mentioned above like Coca cola and Fanta
have a huge fan following. People will prefer these soft drinks over others.
Because of the good taste of Coca cola, finding substitutes becomes difficult for
the customer.
7. Distribution network – Coca cola has the largest distribution network because of
the demand in the market for its products. On the other hand, due to this
successful distribution network, Coca cola has been able to command such a
high market presence.

 Weaknesses:

1. Competition with Pepsi – Pepsi is a thorn in the flesh for Coca cola. Coca cola
would have been the clear market leader had it not been for Pepsi. The
competition in these two brands is immense and we don’t think Pepsi will give up
so easily.
2. Product Diversification is low – Where Pepsi has made a smart move and
diversified into the snacks segment with products like Lays and Kurkure, Coca
cola is missing from that segment. The segment is also a good revenue driver for
Pepsi and had Coca cola been present in this segment, these products would
have been an additional revenue driver for the company.
3. Absence in health beverages – If you watch the news, you would know that
obesity is a major problem affecting people nowadays. The
business environment is changing and people are taking measures to ensure that
they are not obese. Carbonated beverages are one of the major reasons for fat
intake and Coca cola is the largest manufacturer of Carbonated beverages. The
inference is that the consumption of beverages in developed countries might go
down as people will prefer a healthy alternative.
 4. Water management – Coca cola has faced flak in the past due to its water
management issues. Several groups have raised lawsuits in the name of Coca
cola because of their vast consumption of water even in water scarce regions. At
the same time, people have also blamed Coca cola for mixing pesticides in the
water to clear contaminants. Thus water management needs to be better for
Coca cola.

 Long-Term Objectives:

Similar to other multi-national companies, Coca-Cola aims to maximize their profits

while maintaining a long-term sustainable growth within the beverage industry. The
company's mission statement states that the company aims to: refresh the world, inspire
moments of optimism and happiness.

Short and Long-term goals:

The short-term goals for Coca-Cola Company as established by the analysis are to
guarantee consumer satisfaction and expanding its services to the underserved segments of
the society. Conversely, the long-term goal for Coca-Cola is achieving efficient globalization
strategy through assorted segmentation tactics to outperform competitors and new entrants in
the beverage market (Armstrong et al., 2015).

Ways of improving strategy, mission, and structure :

Some of the ways that Coca-Cola Company can revitalize its strategy, mission, and
structure is by performing a SWOT evaluation to ascertain the opportunity and threats,
as well as the strength and weaknesses that may be exploited by competitors. Also, Coca -
Cola will need to carry out different benchmarking strategies to evaluate its results relative to
that of the industry (Armstrong et al., 2015).

 Alternative Strategies:

Coca-Cola’s alternative strategies:

If Coca-Cola has a social issue in America or overseas there is an allowable two day public
statement period to be made and an immediate, within 24 hour period, for online statements to be
made addressing the concern.
 If customers have an issue, Coca-Cola is to address these one by one, online in a form
explaining their reasoning beyond their decision or how they will better assess the issue and
resolve it in the future.

Conclusion
Coca-Cola will forever be in the hearts of many Americans; but to regain the support it once had,
it needs to apologize and rebrand their image to reflect a new way of conducting business. Their
goal is that of reestablishing their place within the market and sustaining a foreseeable future
within the beverage industry. Revising their mission, vision, and values.

 Strategy selection:

Coke’s Way ForWard: New Business Strategy to Focus

on Choice, Convenience and the Consumer

Coca-Cola is evolving its business strategy to become a total beverage company by giving
people more of the drinks they want – including low and no-sugar options across a wide
array of categories – in more packages sold in more locations.
Building a portfolio of “consumer-centric brands” requires shifting focus from what the
company wants to sell to what consumers want to buy, explains President and Chief
Operating Officer James Quincey, who shared this strategy as part of the company’s
vision for future growth

"coca-cola need to start by asking, ‘Where are they going?” he said, stressing the need to
stay a step ahead of trends and evolving tastes. “Consumers are looking for products
that are more natural. At times with less sugar. Sometimes with more benefits.”

 Another element of the strategy involves smaller, more convenient packaging.

Today, about 40 percent of the company’s sparkling brands are available in these
packages of 250 mL (8.5 oz.) or less. And mini cans and other smaller packs now
account for 15 percent of the company’s sparkling transactions in North America.

 For years, the company has been implementing policies and actions in line with
this strategy. In September 2009, Coca-Cola became the first beverage company
to commit to front-of-package calorie labeling globally on nearly all packaging,
and continues to do so. Additionally, the company is diligently following its
longstanding policy not to target advertising to children under age 12 anywhere
in the world.

 All of these proof points, products, programs, and policies – and the company’s
future plans – are grounded in consumer insights.

 “We’re listening carefully and working to ensure that consumers are firmly at the
center of our business so we can continue to grow responsibly,” Quincey said. “If
we embrace where the consumer is going, our brands will thrive and our system
will continue to grow. This is Our Way Forward.”

Strategy Implementation

 Annual Objectives

The Coca-Cola Company is a leader in the beverage industry with a reputable brand
and strong global presence. According to the Coca-Cola Company’s mission
statement and 2020 Vision, some of its goals include:
 Increase profit by cutting down costs through productive and efficient production
facilities;

 Focus on environment friendly bottling production and enforce sustainability

 Continue to diversify its portfolio through innovations and partnerships, keeping
consumer demands in mind
 Increase annual operating income by 6-8% in order to double their revenue by
2020.

Operating Segments:
The Company’s operating structure is the basis for our internal financial reporting. As
of December 31, 2014, our operating structure included the following operating
segments, the first six of which are sometimes referred to as “operating groups” or
“groups”:

 Eurasia and Africa

 Europe
 Latin America
 North America
 Asia Pacific
 Bottling Investments
 Corporate

Except to the extent that differences among operating segments are material to an
understanding of our business taken as a whole, the description of our business in this
report is presented on a consolidated basis.

Policies :

At Coca-Cola HBC, coca-cola're firmly committed to conducting all our business

activities with integrity and with respect for society and the environment.

 General QSE Policy:

At Coca-Cola HBC, we are committed to driving our business forward by continually developing a QSE
culture across the organization, working together with The Coca-Cola Company (TCCC), local authorities,
our partners, suppliers, customers and consumers. QSE covers everything from quality and food safety to
occupational health and safety to environment.

 Quality & food safety policy:

At Coca-Cola HBC, coca-cola believe that success depends on the supply of high-quality products,
packages and services that meet and exceed customer and consumer expectations of our brand
products. Fundamental to this is the responsibility to ensure the quality and food safety of all the products
coca –cola manufacture and distribute across our markets.

 Occupational health & safety policy:

At Coca-Cola HBC, coca-cola are committed to driving an occupational health and safety (OH&S) culture
by developing and applying an effective occupational health and safety system standards and practices
appropriate to the risks and opportunities associated with our business activities.

 Environmental policy:

At Coca-Cola HBC, coca-cola firmly believe that protecting the environment is a key pillar of our long-
term success and have embedded this belief in our corporate strategy and policy. Coca-cola drive
continuous improvement on our environmental performance to minimize our impact on the local and
global environment.

 Anti-bribery policy and compliance handbook:

 Our attitude to corruption is clear: zero tolerance.

At Coca-Cola HBC, coca-cola pride ourselves on being fair, open and honest. Whether coca-

cola’re dealing with our suppliers, customers or governments, coca-cola follow a strict code of

integrity, respect, and transparency.

Climate change policy:

Coca-cola climate change policy statement is set out below. It is owned and endorsed by the Corporate
Social Responsibility Committee of the Board of Directors; responsibility for the successful
implementation of this programme belongs with every Coca-Cola Hellenic employee at each level and
function in the organisation.

Code of Business Conduct :

The Code of Business Conduct is Coca-Cola HBC’s essential over-arching policy. All our employees are
responsible for upholding our commitment to the highest standards of business conduct.
Fleet safety policy:

Our fleet safety policy is set out below. The responsibility for overseeing the implementation of this policy
lies with the Corporate Social Responsibility Committee of the Board of Directors.

Coca-Cola Hellenic cares about the health and safety of its employees and those affected by the

Company’s business activities. As part of its Occupational Health and Safety policy, the senior

management of the Company has committed to minimising the risk of injury and death resulting from

work-related vehicle accidents and encourages all employees to apply safe vehicle practices during non-

business hours.

Coca-Cola Hellenic’s commitment to minimise the risk of vehicle accidents requires all operations.

HIV / Aids policy:

Our HIV / Aids policy is set out below.

Coca-Cola Hellenic is fully committed to the well being of its employees. The Company recognizes that its

employees can be exposed to the risk of acquiring HIV/ AIDS and that the high incidence of HIV/AIDS in

some countries is compounded by the absence of social or medical support systems to treat affected

people.
Human rights policy:

Coca-Cola HBC's human rights policy is set out below.

 Respect for human rights is fundamental to the sustainability of Coca-Cola HBC and the
communities in which coca-cola operate. In our Company we are committed to ensuring that
people are treated with dignity and respect.
 Coca-Cola HBC’s Human Rights Policy is committed to international human rights principles
encompassed in the Universal Declaration of Human Rights, the International Labor
Organization’s Declaration on Fundamental Principles and Rights at Work, the United Nations
Global Compact and the United Nations Guiding Principles on Business and Human Rights.

Respect for human rights

 Coca-Cola HBC respects human rights. Coca-cola are committed to identifying and
preventing any adverse human rights impacts in relation to our business activities through human
rights due diligence and preventive compliance processes.

Packaging waste and recycling policy:

Our post-consumer packaging waste management policy is set out below. It is owned and endorsed
by the Corporate Social Responsibility Committee of the Board of Directors. Responsibility for the
successful implementation of this programe belongs with every Coca-Cola Hellenic employee at each
level and function in the organization.

Coca-Cola Hellenic is committed to continually improving its environmental performance in the area of
packaging and packaging waste. All Coca-Cola Hellenic territories are committed to continuous
improvement, which is measured and evaluated for effectiveness.
Tax policy:

Coca-cola’ve set out the key principles of our tax policy, how coca-cola will behave and how coca-cola
will manage our processes.

Union of European Beverage Associates (UNESDA) commitments:

Coca-cola are a member of UNESDA and uphold its commitments on public education, community
wellbeing, consumer information, advertising and commercial communication, research, promotions,
providing beverage choices, and reducing added sugar by 10% by 2020 in Europe.

 Employee Motivation

WHAT TYPE OF EMPLOYEE MOTIVATION DOES COCA-COLA OFFER ?

Stephanie Dube Dwilson

Updated December 31,208

 Coca-Cola is a huge international brand that has more than 700,000 employees. The company has very
specific practices in place to ensure that employees are motivated to do their best and feel like they have
an important role in the company's future.

Communication that Leads to Results:

When Coca-Cola employees are asked for their opinions, they know that someone's listening; Coca-Cola
developed its mission statement and core values around employee input. Every year, it distributes a
global Employee Insights Survey, seeking employee insight on how the company is run and how things
can be improved. The survey is more than just a pen-and-paper form. It typically comes in the form of a
private website or blog, open for a limited period of time, where employees can respond and offer ideas
and criticisms on management and other subjects. Coca-Cola tracks the responses and resulting
improvement from year to year.

Training and Mentoring:

Allowing employees the opportunity to grow in their skills and be trained to do even more is a big focus at
Coca-Cola. The company offers a number of development programs to encourage and motivate
employees. Peak Performance offers continual opportunities for employee rewards; developmental
forums offer teaching opportunities; and functional developments let employees build job skills for their
area of focus. Coca-Cola University is an online teaching environment for employees. In addition,
employees are given short-term assignments that give them a chance to work in a field different from their
own, whether it's a different department or a different country.

Financial Rewards:

Coca-Cola also offers financial rewards to motivate employees to reach greater pinnacles. Compensation
is competitive. Every year, employees have performance reviews that give them a chance to receive merit
raises. A Coca-Cola Red Tag program rewards employees with travel and merchandise as a way to
recognize exceptional performance. Employees also get tuition reimbursement, and their children can
qualify for scholarship funds. Car discounts, free parking and employee discount programs are also
offered.

Energizing Environment:

Coca-Cola also strives to offer an energizing environment that will motivate employees every day. On
site, employees have access to a cafeteria, dry cleaning, a credit union, a store and free parking.
Different Coca-Cola work sites offer different perks. In the UK, the Coca-Cola headquarters includes free
drinks and fruit, special hours during the summer and an on-site gym.

References
 Coca-Cola: Employee Engagement
 Neville Hobson: Coca-Cola Blog for Worldwide Employee Survey
 Coca-Cola: Why Work at The Coca-Cola Company?
 Coca-Cola: U.S. Employee Benefits
 Coca-Cola Great Britain: Employment: Our People

What Type of Employee Motivation Does Coca-Cola Offer?

 Resource Allocation:

Methods of Resource Allocation

Resource allocation is an important part of any strategic plan; this step is intended towards the alignment
of the organizational plan and the operational plan, because without the efficient and effective resource
allocation, company cannot be able to execute any strategic plan. Therefore it has been suggested by the
management practitioners that organization should align the resource allocation strategy with business
unit strategy and resource allocation should reflect and get inspirations from business strategy (Brown &
Gilbert, 2006).

In below line we have discussed how our selected organization allocates the resources and what are the
steps that are taken for this section of strategic planning.

Planning of Resources

The first step in resource management for selection organization is to plan the resources, this step
includes the evaluation of current resources, Coke at the time of strategic planning, evaluates the current
resources available to the organization. In this step it is checked that whether these resources are in fit
with future plan.

Forecasting of Resources

After the making of the resources evaluation report Coke checks the strategic plan and see if the current
resources will be able to achieve the goals and needs for the future requirements derived from the
strategic plan of the organization (Brown & Gilbert, 2006).
Once it has been identified that organization will be requiring more resources for their upcoming strategic
plan then the next step is to forecast the resources required to different departments and at different
times for the effective implementation of the plan. In this process all the departments are required to
forecast their required resources for the time period specified in the strategic plan so that budgeting of
the resources can be done.

Resource Allocation- The second last step for the resources management would be to budget the
resources of Coke, this step involves the careful evaluation of the forecasted resources for each
department and then allocating required budgets for each of them (Brown & Gilbert, 2006).

For example t, if strategic plan requires expansion of the market by the company then may be logistics
department would required more logistics to cope with the market expansion strategy of Coke. For this
purpose they would be looking to have more fleets or human resources for management of logistics in
the new or expanded markets. After the allocation of the budgets the resource allocation process moves
to the next step that is contingency planning.

Contingency Planning – As Coke is operating in highly competitive environment and such competitive
environments are always rapidly changing, therefore Coke has made this a practice to allocate some
financial resources as part of their contingency planning so that if organization has to make some
unexpected decisions then they are able to have the required financial resource.

Resource Monitoring and Controlling Method

As it important for Coke and any other organization to have a close look on monitoring of their resource
management strategy, we have discussed below that how Coke make sure that everything is according to
plan.

Budget & Cost Method – For the better management of the resources and to eliminate the waste
organization has a mechanism that manages the budgets of each of the department. As each of the
department have their own budget, organization through their team heads makes sure that every activity
and utilization of budget is in line with the strategic direction set in the strategic plan (Grant, 2005).

For this purpose they have management committee that reviews and approves every expense and
utilization of the resource, this committee makes sure that every department is using their budget in a
way that their actions are in line with the strategic plan of the organization.

Identification of Resource Gaps

Shortage of any resources in any business units of the organization with respect to their business needs is
called resources gaps. Coke for their business operations in Pakistan keep on reviewing their business
needs, business plans and then indentifying the resources gaps for current and future business needs
(Grant, 2005).

For this purpose they review their resource management plan twice a year and then they identify any
resources which are short for their current business need. Resource gaps are also found at the time of the
making of strategic plan for coming years. They also fill the identified resource gaps for future and current
need.
Conclusion

Strategic plans are at the heart of every organization, and resource management is at heart of every
strategic plan, therefore for organizations to thrive in business and gain the sustainable competitive
advantage it is very important to strategically manage their resource. For strategic management of the
resources, organizations have to create a link between their strategic plan and their resource management
plan. This way they can gain the required results from their planning and gain the competitive advantage.

Strategy Evaluation :
 Internal Review:
Internal Analysis of the Coca Cola Company

Internal analysis is one of the most critical tools, which ensures short and long-term sustainability of any

organization. This is due to the fact that internal analysis is one of the promotions planning process, focusing on the

product or service offering as well as the entire organization. This includes the capabilities of the organization to

develop as well as the successful integrated marketing implement, a key factor that enhances the profitability of the

firm. According to Epstein and Birchard (2000), internal analysis of the strengths as well as the weaknesses focuses

on all internal factors, which give organizations the particular advantages and disadvantages towards fulfilling the

needs of the target market. This paper will candidly conduct an internal analysis of the Coca Cola Company.

Strengths of the Coca Cola Company

As indicated in the part 2 of the SLP Project, the Coca Cola Company is the largest company that manufactures,

distributes, as well as sells non-alcoholic drinks globally. Headquartered in Georgia, the USA, the firm has

conquered both domestic and international markets, a factor that has enabled it to enjoy high brand loyalty, as

compared to the competitors, such as the Pepsi Company among other notable brands. Currently, the firm sells more

than 400 brand products to at least 210 countries, thus making the firm to be a market leader in this segment. There

are several notable strengths possessed by the Coca Cola Company, which have enabled the fruition of the vision

held by the firm (The Coca Cola Company, 2012).

The vision of the Coca Cola Company serves as the framework for the firms’ roadmap as well as guides all aspects

of the businesses by candidly describing what has to be accomplished by the firm. This has enabled Coca Cola

Company to have a sustainable and quality growth. One of the notable strength possessed by the firm is its brand

name. Interbrand (2011) argues that a strong brand name is one of the most crucial elements ensuring that a firm

remains competitive and profitable despite intensive competition from closely related firms. The Coca Cola

Company has enjoyed a relatively high value of its brand name for a long time, both in the domestic and

international markets. According to Business-Week and Interbrand (2011), one of the branding consultancy firms

based in the USA, recognizes that fact that the Coca Cola Company is one of the leading brands.

Other firms, which of late have enjoyed this kind of the brand value, are Apple Inc, a consumer electronic company

having a brand value worth at least $60 billion, Facebook, a social networking site, approximated to have a brand

value worth over $ 70 billion, and Google Inc., the leading search engine globally, approximated to have a brand

value worth $ 90 billion, among other notable firms (Interbrand, 2011). Despite the hard economic times, which

have faced most of its customers globally as a result of high food and fuel prices in the international markets, the

Coca Cola Company has continued to enjoy a relatively high brand value, approximated to be over $67.7 billion as

at 2010 (Interbrand, 2011). This can be attributed by the ability of the firm to manufacture and sell high quality

products, such as Coke, at the reduced prices.

The other strength of the firm that has enabled the fruition of its vision is the robust growth in revenues in its three

segments (The Coca Cola Company, 2012). For instance, in 2008, the firm recorded double digit growth in Bottling

Investments, Pacific Rim and East, South Asia, and the Latin America. In all these segments, revenues rose by at

least 12. 6%, with the Bottling Investments recording 19.9%, they were the highest during that year. Generally, this

robust growth in revenues has contributed to the top-line growth for the Coca-Cola Company, hence helping the

firm attain its vision.

Competitive Advantages

As argued by Anderson and Lehmann (1994), the Coca Cola Company possesses various competitive advantages,

which have enabled the firm remain profitable, since its establishment in 1887. One of the main competitive

advantages is the management expertise. The firm provides the company with experience in management through

various management training programs, which helps in developing executive capabilities, experience, and

knowledge. The other competitive advantage enjoyed by the Coca Cola Company is the market leadership. Unlike

close competitors, such as PepsiCo, it is hard as well as costly to imitate the Coca Cola Brand, since it is recognized
by over 90% of all people globally (Anderson and Lehmann, 1994). Other competitive advantages include

collaborative customers’ relation, channel marketing, go-to-market strategies, flexible sales, as well as distribution

channels among others.

Internal Weaknesses

There are several internal weaknesses, which have hindered the fruition of the firms’ vision. One of the weaknesses

is negative publicity of its products. For instance, in India among other Asian markets, Coke is said to contain

pesticides as ingredients, thus causing cancer to its consumers. While these allegations are not true, they have

significantly reduced the number of loyal customers, hence lower profitability in the region. The other weakness is

the sluggish performance in the North American region, the core market that usually generates over 30% of the total

revenues. This can be attributed to the inefficient marketing strategies, the raised level of competition, the lack of

venturing into organic products among other notable factors.

Evaluation of Module 3 SLP

This module has significantly sharpened my minds on the importance of the internal analysis for any organization.

Through the internal analysis, a firm can be able to evaluate its strengths and weaknesses, hence ensuring short and

long-term sustainability. For the Coca Cola Company, one of the strengths is its brand name, which is well-known

by more than 90% of all people globally. One of the weaknesses is the negative publicity of its products, especially

in the Asian Markets.

In conclusion, the Coca Cola Company should candidly deal with these weaknesses so as to enhance its competitive

advantages in the market. Taking this his way, the firm will remain profitable, hence fruition of its vision.

 External Review:

External environment analysis of coca-cola

External audit is related to the analysis of external forces that can affect the business of organization
positively as well as negatively. Here in external audit of Coca – Cola we would be analyzing the
opportunities and threats available in the market for Coca – Cola. Let us first discuss the opportunities of
Coca – Cola. As we all know that Coca – Cola is a market leader in the carbonated soft drinks industry. It
has ignored the non carbonated soft drinks sectors and that is why Pepsi has made its strong position in
non carbonated soft drink sector. Coca – Cola has a great opportunity to diversify itself into the non
carbonated sector. Since it’s a big brand it will not have to face difficulties in establishing its business in
non carbonated sector. Similarly, consumers of soft drink industry are becoming health conscious and
hence Coca Cola has an opportunity to inter into the segment of healthy drinks. Another opportunity for
the company is increasing disposable income of people in countries like China, India and other European
countries. These countries are emerging economies and have a high potential of growth for soft drinks
industry. Also the company can go for food business as well; it will not only diversify the business of Coca
cola but also will enhance the sales of soft drinks of the company. Now when we discuss the threats of
Coca Cola the biggest threat we find is its low growth in the non carbonated soft drinks sector. It is
required to focus on the non carbonated soft drinks as well, where Pepsi has already made its strong
position. Unstable economic condition of the world is another big problem of not only Coca Cola but in
fact of all the business. Debt Crisis in Europe and then economic slowdown in America affected the
business of Coca Cola on a great scale. These countries are overcoming of their financial problem now
which is a good sign for Coca Cola. Other threats are increasing prices of the raw materials and easily
available substitute for the soft drinks. The biggest threat of Coca Cola is high competition from Pepsi. It
needs to make some strong strategies to face the competition from Pepsi.

EFE MATRIX

Next is external factor evaluation matrix which is based on the opportunities and threats that we
discussed in previous slides. EFE matrix helps us in evaluating the current business environment of the
business. A weight is given to all the possible opportunities and threats and then ranks are provided. By
multiplying rank with the score we have got weighted score of each opportunity and threat. The
opportunities which have high potential then the others have got higher weight similarly in the case of
threats. By calculating we have got total score of coca cola equal to 2.98. The total weighted score we
have got for Coca Cola is above average which 2.5. It means company is effectively taking the advantage
of opportunities available to it.

KEY EXTERNAL FORCES

Now we would be analyzing the key external forces for Coca Cola. In this segment of the presentation we
would be discussing the external forces which affect the business of Coca Cola in its different markets.
The main forces are Economic, Social, Cultural, Demographic, and Natural environment, Governmental,
Political and Legal. Each would be discussed one by one.

ECONOMIC

As we already discussed that the economic condition of world has become very unstable which is
affecting the business of coca cola. But the countries like China and India where Coca Cola is present
have high growth potential as these countries are consumption driven economies. To get stability in
unstable economic situation coca cola can borrow money and invest in research and development so that
it can get some new products are processes to enhance its business performance.

SOCIOCULTURAL, DEMOGRAPHIC AND NATURAL ENVIRONMENT

Understanding the taste and preferences of the society and its culture is essential for the success of
business. In carbonated soft drinks industry we can see that the preferences of the consumers are
changing. They are shifting to the non carbonated soft drinks. Also the consumers of Coca Cola are
young age people as well as older. In fact children are also targeted by the company. And the people who
are of the age between 35 and 55 are becoming health conscious and they are more concerned about
the nutrition in their drinks and foods. Coca cola needs to focus on these factors .

GOVERNMENTAL, LEGAL AND POLI TICAL

Understanding the legal requirement of a country is very essential for running a business successfully.
Countries always change the laws related to taxes or labors etc. If a company would be found disobeying
the law it will be charged a penalty. Coca cola takes care of the legal requirements of its different
markets.

Similarly, government of a country is responsible for the political situation of that particular country. If
government is not able to handle the political situation it would affect the business of coca cola or any
other company. These unstable political situations could be civil wars or protests against the government.
Also the changing governmental strategies affect the business of a company.

TECHNOLOGICAL

Technology is the key success factor of any business today. A better technology helps in the promotional
strategy of Coca Cola. For example we have facebook, twitter and other social networking websites which
help in the promotion of the products of Coca Cola. A better technology helps not only in promotion but
also in production as better machineries enhance the production processes and make the company able
to produce a large quantity of products.

COMPETITION

When we analyze the competitive environment of Coca cola we find that Pepsi is its biggest competitor.
And the main competition is in the non carbonated soft drinks sector. People are changing their
preferences to the non carbonated drinks and Pepsi has made its strong position in this segment with its
many successful products like Aquafina, Gatorade, Propel, Tropicana etc. Pepsi has 50 % market share
in US in non carbonated soft drinks industry whereas Coca cola owns only 23 % of the market share. It
needs to focus on non carbonated sector as well. There are also other competitors in the market such as
Cadbury, Red bull etc.

MANAGEMENT AUDIT CHECKLIST

As we know that auditing helps an organization in understanding its current business environment.
Auditing is basically of three type management, financial and operational. Here we are discussing the
management audit. There are some questions given which will help in the auditing process. These
questions are mainly related to the achievement of strategic objective of the company, production process
of the coca cola as well as the products of the company.

BCG MATRIX
Next is BCG matrix which has four quadrants: Star, Cash Cow, Question Mark and Dog. These quadrants
are made according to the market share and growth rate of products. We have analyzed the products of
Coca Cola according to the BCG matrix and we found that Star products of Coca Cola are Thumps Up
and Maaza. These are star products because they have high market growth as well as high market share.
Similarly, Limca and Kinley come in the cash cow quadrants as these products have low market growth
even they are able to generate enough cash with the help of high market share. Fanta, Sprite, Minute:
these products come in the quadrants of Question mark because they have high growth rate still they are
not able to achieve the market share. It means these products are required to have some new
promotional strategies. And the last is dog. The products which come in this category are those products
which are not beneficial for the company and company should stop producing those products.

 Performance Measurement:

Performance Measurement Tools of coca-cola company:

Coca cola company measures their employee performance twice in a year. Every employee
has to first pass the six months of a training session in which they assess the employee
on a different basis like personality, attitude, knowledge, skill, and expertise. After that
the employee becomes regular now for the regular employee the performance criteria are
very different because now they are making impact while working in the organization
so they are now assessed more broadly. The performance measurement tools which coca
cola company use are listed below:

Improvement in Knowledge
Analytical test
Attitude and Behavior of employee
Leaves per yea
rPerformance in various department of company
Overall reputation of employee
Internal relation of an employee with the company.
 Corrective Action:
The weight of a multibillion-dollar brand name can pull an organization inward and distract it from its
customers. That is what happened to two market leviathans, Coca-Cola and Levi Strauss, and both
are using supply-chain management to help them reorient their organizations.

"We are an old-time manufacturer" with a proud manufacturing heritage but "not paying enough
attention to the customer," said Richard P. Kuether, vice president, logistics, Levi Strauss & Co., at
the Council of Logistics Management's recent conference in San Francisco. "We've lost ground to
niche companies," he said, largely owing to an approach to customer service that became
increasingly difficult to sustain. "We allocated product. You had to stand in line for our product," he
said. The performance metrics used by the company reflected its self-absorption. "We may think we
are better than we are," he said, because of disconnects between the way in which Levi measures
performance and the way in which customers score the famous jeans company. The company has
been manufacturing offshore for many years but its total production focus now is shifting overseas
and this requires new approaches to supplier relationships. Levi incurred $4 million of restructuring-
related expenses in the third quarter of this year associated with the closure of manufacturing plants
in the United States and Scotland. It has concentrated its sourcing operations in Asia "and we are
heading to Russia next year," he said. At the same time, "we are moving from national to regional
distribution" in North America to give better service to the customer, he said. In common with most
other companies in the fashion business, Levi is sourcing globally while having to develop channels
that deliver product faster to impatient consumers.
Kuether also is working on changing attitudes toward inventory. "Sometimes we think that inventory is
all the same but it is not," he said. For instance, the marketing department has to realize that
inventories have different values depending on the type of product involved, and this changes the
way they are handled.

Levi has some collaborative planning programs in place with core products. But "we have focused a
lot on internal barriers," such as sales offices manipulating orders, and as a result "we have had
some success with increasing fill rates," noted Kuether. One of the reasons for this success is that
"people are looking at the data together," he said.

Even so, changing course is a long process for such a large corporate ship. Kuether said that supply-
chain management still is regarded as a cost element and not a key strategic part of the company.
Levi is implementing an SAP management system, which will facilitate integration, but first it is
necessary to align the collaborative vision internally. "I spend most of my time with sales people and
customers. I need to educate them," he said.

Coca-Cola has been focusing on the production of its famous beverage for 116 years, said Evan B.
Taylor, general manager, Asia and Africa, Coca-Cola commercial products supply. The concentrate
side of the business, which supplies Coke in concentrated form to bottlers, needed to go through a
transformation. "We were too internally focused," Taylor told delegates at the Council of Logistics
Management's annual conference. Bottlers are told where they source their concentrate from "so we
had a captured-customer mindset."

 Many companies claim to be global but Coca-Cola is the quintessential global player. An annual,
three-day workshop brings together plant managers, leadership teams and other important
stakeholders from all over the world. Taylor said there are regular teleconferences to share
experiences that are conducted in English since the participants collectively speak some 14
different languages. In such a global business, "the worst thing you can do is stereotype," he
advised.

CONCLUSION AND SUGGESTION :

Conclusion :
Coca-Cola as the world's leading soda beverage, with the strength of high
resources company and also a very good and well-known brand image will be
accepted at ease almost all over the world. Therefore, the strategy of Coca-Cola
focuses on covering the full market segmentation, anywhere. But along with the
development of the soda industry, many competitors both from domestic products to
global manufacturers are now present and reducing Coca-Cola's market share in each
country. The need for Coca-Cola innovations on their marketing strategies.
Armed with their bottling partners and also the ability to 'think global, act local'
makes Coca-Cola could adjust its strategy in order to penetrate the market more
complex and in-depth in order to continue to expand market share in all regions.
From the purpose of research, using conjoint analysis as analytical methods,
and also processing the data, it can be concluded several points:
1. The packaging of Coca-Cola that consumers in South Tangerang prefer are
Cans. But it seems there is only little difference in consumers’ preference
between Cans with plastic bottles which means it does not has significant effect
whether company want to transform the package material from Cans to PET .
2. The product size of Coca-Cola that consumers in South Tangerang prefer are
1500ml. This means the consumers tend to buy the sharing size of Coca-Cola.
For the individual package size, the consumer preference is also to find the
bigger volume.
3. The price range of Coca-Cola that consumers in South Tangerang prefer are in
range of Rp 3,000 - Rp 6,000 which the cheapest price as possible. Considering
the pricing strategy is Coca-Cola cannot use the prestige pricing now but
competitor-based pricing strategy.
4. In South Tangerang there is 3 new segments found, there is Size Matter which
consumers tend to find volume is the most important factors in buying
Coca-Cola. Second is the Price Seeker which consumer will compare and find
the best price for buying soda. And third is Package Admirer which consumers
will find the one that has an appealing packaging design .

Suggestion / Recommendation :
Through the research result conducted, it can be carried out several suggestions.
1. The packaging for Coca-Cola does not affect significantly from PET and Cans,
so that if the company tend to transform the packaging material in order to
lower the cost, then there is no need to worry about. Just keep in mind that
whatever the packaging material it is, as long as the design and shape is
attractive.
2. The price offered for Coca-Cola is need to be monitored due to the challengers
arise and several consumers tend to find any soda that has best price for value
for them. So it is needed to do benchmarking on challengers’ pricing strategy.
3. The volume is the most important things for consumers in which they tend to
find the huge size for them to sharing. This can be point out several things. The
marketing program is already good to target full market coverage, but it is
needed to take more focus to the Coca-Cola with large or sharing size.
4. Even though the consumers tend to find the biggest volume possible, it is
needed to consider the diminishing marginal utility which will lead to lower
consumer satisfaction if the portion given too much.
5. For further research, the scope of research may expand bigger into the whole
company target market, with more sample size so that it may cover up to one
country preferences.
6. The product under research can be done in all variants or any other product. It
can be using other Coca-Cola Amatil Indonesia products such as Fanta, Sprite,
Aquarius, Minute Maid, Schweppes, Ades and Frestea.
7. Further research may come with the additional method or using another
analysis technique, using mixed method for deeper problem analysis which will
getting fit and lead to very reliable information that can be implemented for
company.