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Type: Soft Drink (Cola)
Manufacturer: The Coca- Cola Company
Founder (s): John S. Pemberton
Country of Origin: United States
(Atlanta, Georgia)
Introduced: 1886
Area Served: Over 200 countries
Company Overview
is an
American multinational
beverage corporation
and manufacturer,
retailer and marketer of
non-alcoholic beverage
concentrates
and syrups
• Coca-Cola recipe was formulated at the Eagle Drug and Chemical
Company, a drugstore in Columbus, Georgia
• It was inspired from European coca wine which was in France.
• It was initially sold as a patent medicine for five cents.
• Coca-Cola was first sold to the public in Atlanta at Jacob’s Pharmacy
• Only 9 servings of the soft drink were sold each day
• Sales for the first year were only $50
History
The Coca-Cola formula and brand was
bought in 1889 by Asa Candler who
incorporated The Coca-Cola
Company in 1892.
Company`s Profile (Mission, Vision ,Values)
• Vision:
- People: Be a great place to work where people are inspired to be the
best they can be.
- Portfolio: Bring to the world a portfolio of quality beverage brands that
anticipate and satisfy people's desires and needs.
- Profit: Maximize long-term return to shareowners while being mindful of
our overall responsibilities
• Mission:
- To refresh the world in body, mind and spirit
- To inspire moments of optimism through our brands and our actions
- To create value and make a difference everywhere we engage.
• Values:
Leadership: The courage to shape a better future
Collaboration: Leverage collective genius
Products Aquarius
Cheery Coke
Coca-Cola Zero
Fanta
Sprite
PowerAde
Minute- Maid
Monster
Coke Lemon
Vanilla Coke
Years 2011 2010 2009 2008 2007
Revenue 46.54B 35.12B 30.99B 31.94B 28.86B
Gross profit 28.33B 22.43B 19.90B 20.57B 18.54B
Operating income 10.15B 8.499B 8.231B 8.446B 7.252B
Net income 8.572B 11.81B 6.824B 5.807B 5.981B
Ansoff Matrix
New
Market
Existing
Marketing
Existing
Product
New
Product
Market
Development
• Coca-Cola
Share Size
1.25 liter Bottle
Product
Development
• Coca-Cola
Vanilla
• Fanta Lemon
Market Penetration
• Diet Coke
Diversification
• Winnie the pooh
Roo Juice
• PowerAde
Generic Strategies
Cost Leadership
• Coca-Cola`s
positioning is
archived through
economies of scale
in research,
development, and
promotion.
• It is also achieved
through
effective/efficient
distribution
networks and
manufacturing
systems
Differentiation
• For Coca-Cola it`s
achieved through
superior quality
product.
• High Brand image
and recognition
• Promotion and
packaging
• ex: Coca-Cola
bottle (A symbol)
Focus
• Coca-Cola have
230 brand globally
some of these
products were
targeted for specific
people who were
for differentiation.
• Ex: Diet coke,
Coke-zero
Main
Competition
limited to small
number of big
players. (Pepsi)
Threat of
new
Entrants
Fashionable
new drinks,
milk, coffee,
beer
Bargaining
power of
Suppliers
Threat of
Substitute
products
Bargaining
power of
Suppliers
Low buyer
bargaining,
Prices and
availability
Low supplier
bargaining
power due to
scale of
Coca-Cola.
No consumer
switching cost
zero capital
requirement
Porters Five
Forces
Entry barriers are relatively low.
Medium to High pressure
Lowpressure
Lowpressure
SWOT
Analysis
STRENGTHS WEAKNESSES
OPPORTUNITIES
THREATS
- Strong brand image
- Financially stable
-Strong distribution channel
-Heavy promotional activities
-70% revenue-outside USA
- Health care issues.
-Product offering restricted to
beverages
-Inability to launch new product.
- Large domestic market
- Export potential
- Alliances and Merges
- Changing consumers preference
-legal issues
-competition (Pepsi)
-Large number of substitutes
- Increased prices of raw materials
• Differentiated Marketing
• Customer satisfaction
• Endorsement of celebrities
• Reasonably priced
• Consumer connecting
advertisements
• Availability in every local market
Strategies of
Coca-Cola
Competitive Advantages:
• Market Leadership: A huge Trademark.
• Strong Brand Portfolio: offers powerful and wide portfolio of
beverages to it`s customers. Always exploring new categories.
• Channel Marketing: To classify the markets and develop targeted
efforts for each consumer segment.
Competitors Analysis
- Pepsi is a very tough company to
go against because they have
almost similar investments,
advertisements, Strategies and
Products.
- PepsiCo also has a snack product
line including Lays, Cheetos and
Quaker OAT’s
- PepsiCo provide carbonated
drinks, Fruit Drinks and Packaged
Drinking Water
60%
35%
5%
coca cola pepsi.co others
Market Share of
Carbonated Drinks
Comparison
Companies Coca-Cola Pepsi
Founded Atlanta, Georgia
USA 1892
North Carolina
USA
1965
Company
Ownership
Public Public
Sector Beverages Beverages
Statistics Number of
Employees:
146,200
Revenue: 48.01
billion
Number of
Employees:
297,000
Revenue: US$
66.504 billion
Comparison of financial highlights
COMPANY NAME Coca cola Pepsi.co
Profit Margin
33.768046 10.958194
Asset Turnover
0.577 1.071
Return on Assets
19.506218 11.736928
Earning Per Share
5.12 3.97
Financial Objectives
- Investing to drive additional growth in key developing markets across the world
in both Snacks and Beverages.
- Increase our investments in R&D, with particular focus on long-term bets and
innovation to sustain our long-term growth.
Pepsi SWOT Analysis
Strengths
- Broad Product line
- Great reputation for their products
- Increasing market share
3 different sectors to improve efficiency
US food
US drinks
food and drinks abroad
#1 company in snacks
- Doritos
- Lays Chips
- Quaker Oat
Weaknesses
- Lack brand awareness with all
products
- PepsiCo doesn't have all the products
under one brand
Threats
- Weakened economy
- Pepsi blamed for pesticide residues in
their product.
- Lawsuits
- Several competitors due to broad
product line
Opportunity
- Invest in healthier products
- Devote more focus to non
carbonated healthy drinks
- Focus on international presence and
recognition
- Invest in going green
 Coca-Cola and Pepsi-Cola focused particularly on pop
stars; notable soft drink promoters to advertise there
products.
 Pepsi ads often focused on celebrities choosing Pepsi
over Coke, supporting Pepsi's positing as "The Choice of a
New Generation.“
 Pepsi generation was created focusing on the user of the
drink, never the drink. Coke always focused on the drink.
 Coca-Cola advertising is often characterized as "family-
friendly", and often relies on "cute" characters (e.g. the
Coca-Cola polar bear mascot and Santa
Claus around Christmas).
Similar& Different
Strategies Used
Conclusion
 Coca-Cola currently offers more than 500
brands in over 200 countries or territories and
serves over 1.7 billion servings each day.
 Future Plans
2020 Vision & Commitment
• Energy conservation/climate
change: reduce the overall carbon
footprint of our business operations
by 15% by 2020
• Sustainable
packaging/recycling : reduce the
impact of our packaging; maximize
our use of renewable, reusable, and
recyclable resources
• Product portfolio/wellbeing: provide
refreshing beverages for every
lifestyle and occasion

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Coca Cola-Competitve Anaylsis-Ihab Itani

  • 1.
  • 2. Type: Soft Drink (Cola) Manufacturer: The Coca- Cola Company Founder (s): John S. Pemberton Country of Origin: United States (Atlanta, Georgia) Introduced: 1886 Area Served: Over 200 countries Company Overview is an American multinational beverage corporation and manufacturer, retailer and marketer of non-alcoholic beverage concentrates and syrups
  • 3. • Coca-Cola recipe was formulated at the Eagle Drug and Chemical Company, a drugstore in Columbus, Georgia • It was inspired from European coca wine which was in France. • It was initially sold as a patent medicine for five cents. • Coca-Cola was first sold to the public in Atlanta at Jacob’s Pharmacy • Only 9 servings of the soft drink were sold each day • Sales for the first year were only $50 History The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892.
  • 4. Company`s Profile (Mission, Vision ,Values) • Vision: - People: Be a great place to work where people are inspired to be the best they can be. - Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs. - Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities • Mission: - To refresh the world in body, mind and spirit - To inspire moments of optimism through our brands and our actions - To create value and make a difference everywhere we engage. • Values: Leadership: The courage to shape a better future Collaboration: Leverage collective genius
  • 5. Products Aquarius Cheery Coke Coca-Cola Zero Fanta Sprite PowerAde Minute- Maid Monster Coke Lemon Vanilla Coke
  • 6. Years 2011 2010 2009 2008 2007 Revenue 46.54B 35.12B 30.99B 31.94B 28.86B Gross profit 28.33B 22.43B 19.90B 20.57B 18.54B Operating income 10.15B 8.499B 8.231B 8.446B 7.252B Net income 8.572B 11.81B 6.824B 5.807B 5.981B
  • 7. Ansoff Matrix New Market Existing Marketing Existing Product New Product Market Development • Coca-Cola Share Size 1.25 liter Bottle Product Development • Coca-Cola Vanilla • Fanta Lemon Market Penetration • Diet Coke Diversification • Winnie the pooh Roo Juice • PowerAde
  • 8. Generic Strategies Cost Leadership • Coca-Cola`s positioning is archived through economies of scale in research, development, and promotion. • It is also achieved through effective/efficient distribution networks and manufacturing systems Differentiation • For Coca-Cola it`s achieved through superior quality product. • High Brand image and recognition • Promotion and packaging • ex: Coca-Cola bottle (A symbol) Focus • Coca-Cola have 230 brand globally some of these products were targeted for specific people who were for differentiation. • Ex: Diet coke, Coke-zero
  • 9. Main Competition limited to small number of big players. (Pepsi) Threat of new Entrants Fashionable new drinks, milk, coffee, beer Bargaining power of Suppliers Threat of Substitute products Bargaining power of Suppliers Low buyer bargaining, Prices and availability Low supplier bargaining power due to scale of Coca-Cola. No consumer switching cost zero capital requirement Porters Five Forces Entry barriers are relatively low. Medium to High pressure Lowpressure Lowpressure
  • 10. SWOT Analysis STRENGTHS WEAKNESSES OPPORTUNITIES THREATS - Strong brand image - Financially stable -Strong distribution channel -Heavy promotional activities -70% revenue-outside USA - Health care issues. -Product offering restricted to beverages -Inability to launch new product. - Large domestic market - Export potential - Alliances and Merges - Changing consumers preference -legal issues -competition (Pepsi) -Large number of substitutes - Increased prices of raw materials
  • 11. • Differentiated Marketing • Customer satisfaction • Endorsement of celebrities • Reasonably priced • Consumer connecting advertisements • Availability in every local market Strategies of Coca-Cola Competitive Advantages: • Market Leadership: A huge Trademark. • Strong Brand Portfolio: offers powerful and wide portfolio of beverages to it`s customers. Always exploring new categories. • Channel Marketing: To classify the markets and develop targeted efforts for each consumer segment.
  • 12. Competitors Analysis - Pepsi is a very tough company to go against because they have almost similar investments, advertisements, Strategies and Products. - PepsiCo also has a snack product line including Lays, Cheetos and Quaker OAT’s - PepsiCo provide carbonated drinks, Fruit Drinks and Packaged Drinking Water 60% 35% 5% coca cola pepsi.co others Market Share of Carbonated Drinks
  • 13. Comparison Companies Coca-Cola Pepsi Founded Atlanta, Georgia USA 1892 North Carolina USA 1965 Company Ownership Public Public Sector Beverages Beverages Statistics Number of Employees: 146,200 Revenue: 48.01 billion Number of Employees: 297,000 Revenue: US$ 66.504 billion
  • 14. Comparison of financial highlights COMPANY NAME Coca cola Pepsi.co Profit Margin 33.768046 10.958194 Asset Turnover 0.577 1.071 Return on Assets 19.506218 11.736928 Earning Per Share 5.12 3.97 Financial Objectives - Investing to drive additional growth in key developing markets across the world in both Snacks and Beverages. - Increase our investments in R&D, with particular focus on long-term bets and innovation to sustain our long-term growth.
  • 15. Pepsi SWOT Analysis Strengths - Broad Product line - Great reputation for their products - Increasing market share 3 different sectors to improve efficiency US food US drinks food and drinks abroad #1 company in snacks - Doritos - Lays Chips - Quaker Oat Weaknesses - Lack brand awareness with all products - PepsiCo doesn't have all the products under one brand Threats - Weakened economy - Pepsi blamed for pesticide residues in their product. - Lawsuits - Several competitors due to broad product line Opportunity - Invest in healthier products - Devote more focus to non carbonated healthy drinks - Focus on international presence and recognition - Invest in going green
  • 16.  Coca-Cola and Pepsi-Cola focused particularly on pop stars; notable soft drink promoters to advertise there products.  Pepsi ads often focused on celebrities choosing Pepsi over Coke, supporting Pepsi's positing as "The Choice of a New Generation.“  Pepsi generation was created focusing on the user of the drink, never the drink. Coke always focused on the drink.  Coca-Cola advertising is often characterized as "family- friendly", and often relies on "cute" characters (e.g. the Coca-Cola polar bear mascot and Santa Claus around Christmas). Similar& Different Strategies Used
  • 17. Conclusion  Coca-Cola currently offers more than 500 brands in over 200 countries or territories and serves over 1.7 billion servings each day.  Future Plans 2020 Vision & Commitment • Energy conservation/climate change: reduce the overall carbon footprint of our business operations by 15% by 2020 • Sustainable packaging/recycling : reduce the impact of our packaging; maximize our use of renewable, reusable, and recyclable resources • Product portfolio/wellbeing: provide refreshing beverages for every lifestyle and occasion