Coca-Cola Case Study :: Business Management Marketing

Coca-Cola Case Study1. SWOT ANALYSIS Strengths Coca-Cola has been an heterogeneous part of American culture for over a century. The products image is laden with sentimentality, and this is an image many heap have taken deeply to heart. The Coca-Cola image is displayed on T-shirts, hats, and collectible memorabilia. This extremely recognizable stigmatization is matchless of Coca-Colas greatest strengths. Enjoyed more than 685 million times a day around the world Coca-Cola stands as a simple, yet sizable symbol of quality and enjoyment (Allen, 1995).Additionally, according to Bettman, et. al, (1998) Coca-Colas bottling system is one of their greatest strengths. It allows them to conduct business on a global shield while at the same time maintain a local approach. The bottling companies ar locally owned and operated by independent business people who are authorized to sell products of the Coca-Cola Company. Because Coke does not have unqualified ownership of its bottling netwo rk, its main source of revenue is the sale of concentrate to its bottlers (Bettman, et. al, 1998).Weaknesses Although home(prenominal) business as well as many international markets are thriving (volumes in Latin America were up 12%), Coca-Cola has recently reported some declines in unit case volumes in Indonesia and Thailand collectable to reduced consumer purchasing power. According to an article in Fortune magazine, In Japan, unit case sales fell 3% in the bet on quarter of 1998...scary because while Japan generates around 5% of worldwide volume, it contri stilles iii times as much to profits. Latin America, Southeast Asia, and Japan deem for about 35% of Cokes volume and none of these markets are performing to hope (Mclean, 1998).Opportunities Brand recognition is the significant factor affecting Cokes competitive position. Coca-Colas brand name is known well passim 90% of the world today. The primary concern over the past a couple of(prenominal) years has been to get t his name brand to be even punter known. Packaging changes have also affected sales and industry positioning, entirely in general, the public has tended not to be affected by current products (Allen, 1995).Coca-Colas bottling system also allows the company to take advantage of space growth opportunities around the world. This strategy gives Coke the opportunity to service a large geographic, diverse, area (Bettman, et. al, 1998).Threats Currently, the threat of new viable competitors in the carbonate soft drink industry is not very substantial. The threat of substitutes, however, is a very real threat. The soft drink industry is very strong, but consumers are not necessarily married to it.