Douglas bowman reviewed1

RUNNING HEAD: MARKETING INNOVATION AND DESIGN

Marketing Innovation and Design

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Contents
Contents..................................................................................................................................2
Introduction............................................................................................................................4
Overview.................................................................................................................................5
SALES OVERVIEW................................................................................................................................5

MARKET SHARE.......................................................................................................................6
Market share by area:........................................................................................................................6

Environmental Analysis.........................................................................................................10
Competition......................................................................................................................................10
Customers........................................................................................................................................10
Market..............................................................................................................................................10
Environmental analysis.....................................................................................................................10

PEST analysis.........................................................................................................................10
Political factor..................................................................................................................................11
Economic factor................................................................................................................................11
Social factor......................................................................................................................................12

Value proposition .................................................................................................................12
MARKETING MIX:..................................................................................................................14
Product.............................................................................................................................................15
Branding...........................................................................................................................................15
Packaging..........................................................................................................................................16
Price.................................................................................................................................................16

Pricing Strategies And Tactics................................................................................................17
Pricing Methods................................................................................................................................17
Promotion........................................................................................................................................18
Place.................................................................................................................................................19
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Brand Image .........................................................................................................................21
It has exclusive structure, sign, representation, words, or a blend of these, working on
establishing an image for Coka Cola, which recognizes a product and makes it different from
other players in the beverage industry. However, while it was establishing a brand, Coka Cola
was able to set up its logo and its websites to attract its target market. It was also able to
create the feel of being refreshed after consumption of the Coke beverage. .........................21
Conclusions and Recommendations.......................................................................................22
Bibliography..........................................................................................................................24

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Introduction
In most cases, creativity and innovation are at the heart of an organization changing plans.
Therefore, creativity is most of the time not in existence on its own. It is the antecedent of
innovation (Martins and Martins, 2002). However, majority of organization must have it in mind
to be creative before they are tagged as innovative. Thus, creativity and innovation go hand in
hand, hence the existence of a relationship between them (Amabile, 1997). In addition, (Martins
and Martins, 2002) added that innovation is an attribute that makes an organization stand out.
Garcia (N.D.) also added that an innovative company is also a creative one as it makes
innovation and creativity its reason for its existence. Thus, as a definition, creativity is the
incorporation of these actions that make them creative while innovation has a longer time frame.
Nonetheless, innovation is what keeps an organization competitive in an industry (Amabile,
1997).
As it is known to be one of the most known brands in the world, Coka Cola happened to
have been one with a lot of creativity which has lead to a lot of innovational products.
Furthermore, we chose this brand because we are consumers of its products most especially its
refreshing beverages.

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Overview
For more than 115 years, Coka-Cola has created a special moment of pleasure for
hundreds of millions of people every day. Coka-Cola, the product that has given the world its
best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coka-Cola Company is the
world’s leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates
and syrups, used to produce nearly 400 beverage brands. It sells beverage concentrates and
syrups to bottling and canning operators, distributors, fountain retailers and fountain wholesalers.
SALES OVERVIEW

Source: http://simplefinanz.com/Coka Cola-financials-q3-2013
The above chart shows the income statement of Coka Cola over 3 years. However, with this
comparison, one is able to see the trends. As seen in the charts, operating expenses has been
fixed over the years since third quarter of 2011 till date. Cost of goods sold (COGS) is seen as
increasing a little over the years which has resulted in a little fall in sales figure. In addition, net
income has also remained the same since second quarter in 2013 unlike that of first quarter in
2013.

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MARKET SHARE
The carbonated soft drinks are the largest growth segment within the nonalcoholic ready-to-drink
beverage category measured by volume. In this industry, Coka Cola as a brand happen to have
about 42% world market share. This has reduced from the previous 50% in recent years because
of the reduction in the consumption of coke due to health concerns especially in northern
America. Coka Cola is still the best selling soda brand even with this reduction (Seeking Alpha,
2013).

Source:http://web.blogads.com/blog/2012/04/17/coke-crushes-pepsi-in-most-social-mediametrics/
The above chart is showing Coka Cola’s market share in 2012 and 2009 as compare to other
brands. As seen from the charts, Dr. Pepper has been gaining market share from its competitors
which indicates its experiencing increasing sales (Faber, 2012).

Market share by area:
Coka Cola is the world-renowned soft drink and the company is currently operating throughout
the world. The world wide total is about 17.8 billion.

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The operation review according to the segments is as follows.

Source: Euromonitor international(2012)

The illustration above shows that Coka Cola has the largest market shares in Asia, Australia,
Eastern Europe, Latin America, Middle East and Africa, and Western Europe. However, due to
the consciousness in health status of the North Americans, Coka Cola has a little of the total
market share in that region.

Strategy
Following are the main points covered by the business/marketing strategy of the Coka
Cola. Marketing means getting the accurate product to the accurate place, at the accurate time,
at the accurate price and with the most appropriate publicity activity. Coka Cola has always
been able to make the most suitable advertising mix. Since its inception, Coka Cola has made its
deals using a universal scheme and planning based on three great rules:

Acceptability
Through efficient advertising, making sure that Coka Cola brands are an essential part of
customer’s routine lives, making Coka Cola the most wanted soft drink all across.

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Affordability
Coka Cola makes sure that it offers the reasonable price for its products so that everyone
can afford it.

Availability
Ensuring that Coka Cola brands are obtainable anywhere people want entertainment, a
universal diffusion of the marketplace. Coka Cola has made a massive and well-managed world
distribution network which guarantees the rifeness of its goods. (Rifeness is the capability to be
available everywhere at same time.) Its approach is based on the trust that Coka Cola must try to
satisfy the taste of everyone in the world all 5.6 billion of them.
The Company manages a global franchise system providing syrups and keeps look to
over 1,200 bottling operations, (there are more than 350 franchises in the US only) which hence
contains local corporations and traders in the 200 nation states in which Coka Cola is being
provided. The company manages to have nice relationships with all its bottler distributers across
the world. The company has a huge bottler provider network which is one of the basic and
essential parts of the business and this need to be maintained.
The company makes sure that its bottle operation is being organized well and it provides
bottles all across the world so that everyone can enjoy the soft drink whenever they want. There
are almost more than 6 million people who are loyal customers of Coka Cola and the company’s
basic strategy is to keep them all engaged in the products of Coka Cola by their best marketing
and the quality of the product.

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The above illustration is known as the ANSOFF matrix used to identify the current
strategy of organizations be it product oriented or service oriented into four courses of action.
ANSOFF matrix has classified these products/services in the aspects of; market development,
market penetration, product development, and diversification.
However, Coka Cola as a brand as at present belongs to the product development aspect.
Moreover, according to the ANSOFF matrix, a product in the ‘product development’ grid is in
the stage where it is developing new products for existing markets. In addition, it does this by
investing in and revising its research and development processes and activities. Such instances
can be illustrated using examples from our experience as regular consumers. It has been noted
that over the years the Coka Cola brand has changed its bottle shape, size and colour as a way of
‘creating’ that refreshing feeling to its customers as a result of being ‘innovative’. Nevertheless,
we can see that the Coka Cola brand is indeed ‘innovative’ and ‘creative’ at the same time.
On the other hand, the ANSOFF matrix also illustrates that, if a company is creating new
businesses, making products for new markets or buying subsidiaries it can also be placed in the
‘diversification’ grid. However, we can say in addition that Coka Cola is also in the
diversification grid because it has manufactured water for those who do not consume its soda,
and also produces Pepsi, Fanta, and Sprite and so on for those who like to have a different taste
and feel of the Coka Cola brand. Furthermore, it has introduced its milk protein drink for
consumers who are conscious about their health.
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Environmental Analysis

Competition
Food and beverage industry is the most competitive industry in the world, according to a
statistics its value is increasing by 4.6 % per year and is expected to reach $ 1.347 Billion by
2017.It has one of the most valued brands in the world. Coka Cola, Pepsi, Starbucks, Nestle and
Sprite are the top 5 most valued brands in the world. Industry consumption volumes increased
with a CAGR of 2.4% between 2006 and 2010, to reach a total of 717,040.5 million liters in
2011.

Customers
Coka Cola has one of the most diversified customers in the world. Its target market
includes young generation, adults and middle aged people. It has some disadvantages, as it not
advisable for children to use them.

Market
Food and beverage industry is a matured and old industry, and Coka Cola is market
leader in this industry. Its outlook is changing day by day due to technological advancements in
the past and present. If we talk about Coka Cola, It is using the technology to great effect for its
financial and marketing benefits.

Environmental analysis
All businesses operate under two broad environments, namely the external environment where
entrepreneurs have no control over it, and the immediate industry and competitive environment.
Coka Cola's strategy and operation are greatly affected by these environmental factors.

PEST analysis
The external environmental forces exist in every part of Coka Cola's business, and exert
influence on Coka Cola's business strategy and operation. No one business is capable of being

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"immune" of such external forces. Having stated all these, these factors influencing the
environment in which Coka Cola operates in will be explained in the following paragraphs.

Political factor
Political factors such as change in legislative law by the where Coka Cola operates in authority
affects the creativity and innovation of Coka Cola and thus its strategy. More specifically, laws
regarding the production of non-alcoholic beverages which have to pass through thorough checks
before they can be allowed to be sold to consumers are also a political factor affecting the
strategy of Coka Cola. These processes usually take time which interrupts and slows down
processes that causes delays in the process of trying to be creative and innovative.
Furthermore, as a global brand, Coka Cola will experience hiccups while trying to revise its
strategies and processes. This is usually also as a result of rules regarding cross boarder trading
in the international markets. At times, there might be government change which automatically
means legislation change as a result. Also, the issue of relocating capital affects the company’s
way of strategizing. Some countries require foreign investors to leave a large percentage of their
profile in the same country and disburse only the capital this might be one of the political issues
faced by Coka Cola which.

Economic factor
As mentioned earlier in this text, the sales volume and market share of Coka Cola has reduced.
This is because, of the just experienced economic slowdown which made expenditure spending
low. Additionally, consumers started to cut down on unnecessary spending. Nonetheless, this
affects the strategic plans and actions of the company. Coka Cola will have to revise its strategies
to maintain its markets base.
Apart from the above mentioned, the changing and variation in weather in different parts of the
world where Coka Cola operates affects the way it plans its strategy. That is, for places that are
usually cold most time of a year, consumers tend to consume hot beverages to keep them warm
instead of the Coka Cola brand which is a problem. The company will in these places have to
produce such beverages if they want their consumers retained during this season which is so
much of a worry for the company.

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Social factor
Social factors such as changes in trends, purchasing power, life styles can affect the way in
which Coka Cola intends to operate. Nowadays, Majority of the people in the world are most
concerned about their health. As a result, they consume the diet coke or water by Coka Cola. The
reducing demand of its soda drink has reduced its sales.

Value proposition
Value proposition is the second name of the consumer’s choice and desires. The company
must be aware of all the needs and requirements of its consumer. The company provides
different offers to its customers to retain them. However, value proposition of Coka Cola can be
explained in details using Michael PORTER’S 5 forces model in the aspects of; buyer’s
bargaining power, supplier’s bargaining power, threats to new entrants, substitute products, and
rivalry amongst established companies.

Suppliers' Bargaining Power: Suppliers' bargaining power in this beverage
industry is strong. For example, the soft drink ingredient producer - NutraSweet who
specializes in producing concentrate sweeteners. Since there is a rising concern in health
and safety issues in the soft drink drinking within the consumer market, the healthier
sweetener, aspartame, that NutraSweet markets allowed it to have a high impact and
input on costs of each bottler's product costs. Since NutraSweet was the only marketer
that marketed the standard aspartame the costs of using NutraSweet's aspartame is
relatively high compare to other substitutes such as sugar.

Buyers' Bargaining Power: The Buyers of the soft drink industry are the
concentrate bottlers. Bottlers of the soft drink industry have a low bargaining power since
they form the largest base (the greatest number) of all the elements of Porter's five forces.
Most of the bottlers are Coka Cola owned before 1980, and almost all of them are under
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some sort of contractual agreement stating that bottlers must accommodate the programs
set up by the concentrate producers' for the products that they have franchised. High fees
are required of the bottlers are such as high start-up costs ranging from $100,000 to
several million dollars, paying for two-third of promotional costs, while costs were
typically split fifty/fifty for doing consumer promotion and trade. It is also hard for
bottlers to identify their own brand identity since their products are made of concentrates
and the names that they use are the names of the concentrate manufacturer. Coka Cola,
hence discouraging their own product differentiation.

Rivalry among Competing Sellers: There is a strong barrier setup by the
traditional concentrate producers. For new rivalry to enter into the market is extremely
difficult since the two soft drink giants such as Coka Cola and Pepsi-Cola have already
created a soft drink tradition and branding. Also since the soft drink giants have already
created their bottler network and also owned majority of them, it is even harder for new
entrants to be gain an absolute cost and competitive advantage. Governmental policies
also create obstacles to the new entrants in the Coka Cola industry since the word "Coke"
is strictly mean Coka Cola. Current rivalry within the soft drink industry is mainly
evolved around the two giants who are Coka Cola and PepsiCo. The two giants owned
most of the spacing for the vending machines, developed most the flavours for the
popular products within the market, and occupied most of the soft drink market shares
within the industry.

Substitute Products: Threats of substitutes are high since soft drink industry is a
highly unstable industry. Switching costs for the consumers are extremely low since the
pricing of soft drinks is cheap in some areas and consumer's taste is ever changing. There
is no trade off for the consumers to switch to other products so it is easy for consumers to
change their loyalties. One example would be the Pepsi Challenge rose by PepsiCo over
the states. The challenged had blinded people over the states tasted different brands of
soft drinks and found out that majority of them liked Pepsi over Coke, thus PepsiCo's
Pepsi-Cola was able to gain market share and attracted a larger market share.
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Potential New Entrants: The soft drink industry is an extremely difficult industry to
get into. The existing soft drink industry is already dominated by experienced dominant
players with over century-long experience; new entrants would have to be truly unique to
be able to gain an absolute competitive advantage within this industry. If their products
are unique, they would not have to worry about the fear of product substitution. Once the
new entrants have gained an absolute advantage within the industry, they would have to
deal with the suppliers who may have a strong bargaining power over pricing on the
ingredients they need. Apart from that, they would need buyers, which are bottlers in this
case. Once they have a base of bottlers with them, then only they have a chance of
success in this industry.
More so, as explained above, the supplier’s power appears to be HIGH. Their sole
supplier NutraSweet is Coka Cola’s main supplier of the main sweetener used in making
its coke drink. For this reason, NutraSweet can at any time decide to rise prices which
Coka Cola has to succumb to. Additionally, buyer’s bargaining power is HIGH as there
are varieties to choose from if they are not satisfied with Coka Cola and switching cost is
almost zero. Rivalry amongst competitive sellers in the same industry puts Coka Cola at
the forefront because it is the known most successful competitive brand in its industry
presently before PEPSI which means HIGHLY competitive brand. Furthermore, a lot of
substitute products are in existence which places Coka Cola in the low position. Finally,
the threat of new entrants is high because there are a lot to be considered before
competing in a HIGHLY competitive market like the Coka Cola brand. This places Coka
Cola brand in a high level. Hence, making the brand to be seen as a highly valuable
brand.

MARKETING MIX:
The marketing mix refers to the combination of the four factors that make up the core of a
business s marketing strategy.
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1. Product
2. Price
3. Promotion
4. Place
In this step of the marketing planning process, marketing mix must be designed to satisfy the
wants of target markets and achieve the marketing objectives. The most successful businesses
have continually monitored and changed their marketing mix due to respective internal and
external factors and have monitored the external business environment in order to maximise their
marketing mix components.

Product
Many Products are physical objects that you can own and take home. But the word
product means much more than just physical goods. In marketing, product also refers to services,
such as holidays or a movie, where you enjoy the benefits without owning the result of the
service. Businesses must think about products on three different levels, which are the core
product, the actual product and the augmented product. The core product is what the consumer is
actually buying and the benefits it gives.
Coka Cola customers are buying a wide range of soft drinks. The actual product is the parts and
features, which deliver the core product. Consumers will buy the coke product because of the
high standards and high quality of the Coka Cola products. The augmented product is the extra
consumer benefits and services provided to customers. Since soft drinks are a consumable good,
the augmented level is very limited. But Coka Cola do offer a help line and complaint phone
service for customers who are not satisfied with the product or wish to give feedback on the
products.

Branding
It is often hard to say exactly why we buy one company’s product over another. Over the
time Coka Cola has spent millions of dollars developing and promoting their brand name,
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resulting in worldwide recognition. 'Coka Cola' is the most recognised trademark, recognised by
94% of the world's population and is the most widely recognised word after "OK".
There are a number of branding strategies:
•

Generic brand strategy

•

Individual brand strategy

•

Family brand strategy

•

Manufacturer’s brand strategy

•

Private brand strategy

•

Hybrid brand strategy.

Coka Cola utilizes the individual brand strategy as Coka Cola’s major products are given their
own brand names e.g. Fanta, Sprite, Coka Cola etc although they may be presented as different
lines they operate under the name of Coka Cola.

Packaging
Packaging, which is not as highly perceived by businesses, is still an important factor to
examine in the marketing mix. Packaging protects the product during transportation, while it sits
in the shelf and during use by consumers; it promotes the product and distinguishes it from the
competition. Packaging can allow the business to design promotional schemes, which can
generate extra revenue and advertisements. Coka Cola has benefited from packaging the product
with incentives and endorsements on the labelling as a promotional strategy to increase its
volume of sales and revenue.

Price
Price is a very important part of the marketing mix as it can affect both the supply and
demand for Coka Cola. The price of Coka Cola’s products is one of the most important factors in
a customer’s decision to buy. Price will often be the difference that will push a customer to buy
our product over another, as long as most things are fairly similar. For this reason pricing
policies need to be designed with consumers and external influences in mind, in order to
effectively achieve a stable balance between sales and covering the production costs. Price
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strategies are important to Coka Cola because the price determines the amount of sales and profit
per unit sold. Businesses have to set a price that is attractive to their customers and provides the
business with a good level of profit.

Pricing Strategies And Tactics
The pricing strategy a business will use will have to focus on achieving the marketing plan’s
objectives and support the positioning of the product, and take external factors such as economic
conditions and competitors in to account. There are 5 strategies available to business:
1. Market skimming pricing
2. Penetration pricing
3. Loss leaders
4. Price Points
5. Discounts
Over the years Coka Cola has used Penetration Pricing as a way of grabbing a foothold in the
market and won a market share. Its product penetrated the marketplace. Once customer loyalty is
established as seen with Coka Cola it is then able to slowly raise the price of its product. There
has been a fierce pricing rivalry between Coka Cola and Pepsi products as each company
competes for customer recognition and satisfaction. Till now it appears as if Coke has come up
on top, although in order to gain long term profits Coke had to sacrifice short term profits where
in some cases it either went under of just broke even, but as seen it has been all for the best.

Pricing Methods
Good pricing decisions are based on an analysis of what target customers expect to pay, and
what they perceive as good quality. If the price is too high, consumers will spend their money on
other goods and services. If the price is too low, the firm can lose money and go out of business.
Pricing methods include:
1. Cost based Pricing
2. Market based pricing
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3. Competition based Pricing.
Over the years Coka Cola has lost ground here in its pricing but has regained its strength as it
employed the Competition-based pricing method which allowed it to compete more effectively
in the soft drink market. Leader follower pricing occurs when there is one quite powerful
business in the market which is thought to be the market leader. The business will tend to have a
larger market share, loyal customers and some technological edge, thus the case currently with
Coke; it was first the follower but through effective management has now become the leader of
the market and is working towards achieving the marketing objectives of the Coka Cola.

Promotion
In today’s competitive environment, having the right product at the right place in the
right place at the right time may still not be enough to be successful. Effective communication
with the target market is essential for the success of the product and business. Promotion is the p
of the marketing mix designed to inform the marketplace about who you are, how good your
product is and where they can buy it. Promotion is also used to persuade the customers to try a
new product, or buy more of an old product. The promotional mix is the combination of personal
selling, advertising, sales promotion and public relations that it uses in its marketing plan. Above
the line promotions refers to mainstream media: Advertising through common media such as
television, radio, transport, and billboards and in newspapers and magazines.
Because most of the target is most likely to be exposed to media such as television, radio and
magazines, Coka Cola has used this as the main form of promotion for extensive range of
products. Although advertising is usually very expensive, it is the most effective way of
reminding and exposing potential customers to Coka Cola Products. Coka Cola also utilizes
below the line promotions such as contests, coupons, and free samples. These activities are
effective ways of getting people to try your products.

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Place
The place P of the marketing mix refers to distribution of the product- the ways of getting the
product to the market. The distribution of products starts with the producer and ends with the
consumer. One key element of the Place/Distribution aspect is the respective distribution
channels that Coka Cola has elected to transport and sells its product. Selecting the most
appropriate distribution channel is important, as the choice will determine sales levels and costs.
The choice for a distribution channel for any business depends on numerous factors, these
include:
•

How far away the customers are;

•

The type of product being transported;

•

The lead times required;

•

The costs associated with transport;

There are four types of distribution strategies that Coka Cola could have chosen from, these are:
1. Intensive
2. Selective
3. Exclusive
4. Direct distribution.
It is apparent from the popularity of the Coka Cola’s product on the market that the business in
the past used the method of intensive distribution as the product is available at every possible
outlet. From supermarkets to service stations to your local corner shop, anywhere you go you
will find the Coka Cola products.

Physical Distribution Issues
Coka Cola needs to consider a number of issues relating to the physical distribution of its
soft drink products. The five components of physical distribution are, order processing,
warehousing, materials handling, inventory control, transportation. Coka Cola must further try to
balance their operations with more efficient distribution channels.

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Order Processing- Coka Cola cannot delay their processes for consumer deliveries (i.e. delivery
to selling canters), as this is inefficient business functioning and is portrays a flawed image of the
product and overall business. Warehousing and inventory control- warehousing of Coka Cola
products is necessary. Inventory control is another important aspect of distribution as inventory
makes up a large percentage of businesses assets. Materials handling- this deals with physically
handling the product and using machinery such as forklifts and conveyor belts. When holding
products, then Coka Cola has benefited from purchasing or renting respective machinery.
Transportation- transporting Coka Cola products is the one most important components of
physical distribution. Electing either to transport the sports drink by air, rail, road or water
depends on the market (i.e. global or domestic?) and depends on the associated costs. The most
beneficial transportation method for Coka Cola would be ROAD if the product were moved
around from storage to the cost canters.

Design, Process and Service product
Consumer's contentment starts with the service and design of a product. A consumer
makes decision about a product regarding its design and services. The several activities and
accountability regarding service and design of which Coka Cola is taking care is inclusive of
following things.
Coka Cola keeps an eye on all the desires and requirement of the consumers in to
product and services through proper marketing and operation.
It purifies all the products and services through marketing.
It keeps introducing new products and services for consumers and makes an appropriate
strategy.
It provides quality goods and services to attract more consumers.
Product and service design has naturally had strategic suggestions for the success
and wealth of a corporation. Moreover, it has an influence on foreseen activities. As a result,
verdicts in this sector are some of the most basics that managers must make. Corporations
become involved in product and service design or re-structuring for various reasons. The
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basic strength of the company is to maintain its network of bottlers, its brand name and other
strategies. The main powers that initiate structure or re-strutting are market benefits and
dangers.
The main concentration of product and service design is consumer’s contemplation
and happiness. However, it is necessary for designers to understand what the customer needs
and design with that in mind. This is one of the major strategies of Coka Cola Marketing is
the initial resource of this piece of information. It is necessary to notice that although profit is
usually the whole volume and measurement of design efficiency, because the time length
between the design period and profit understanding is often sustainable. These usually are
inclusive of advancement, time and price, and the consequence product or service quality.
Quality is high on the ranking of significances in product and service design, having high
quality is much more for a product or service to keep standing and worthy in market for Coka
Cola. Coka Cola is famous for its service and design amongst the entire business dealers and
big corporations in the world because it has a proper strategy plan.

Brand Image
It has exclusive structure, sign, representation, words, or a blend of these, working on
establishing an image for Coka Cola, which recognizes a product and makes it different from
other players in the beverage industry. However, while it was establishing a brand, Coka
Cola was able to set up its logo and its websites to attract its target market. It was also able to
create the feel of being refreshed after consumption of the Coke beverage.
Moreover, organization and management of a sphere of influence of name and
brand names provide the reorganization to the idea or image of a specific product or service,
which in turn allow the visitors easily innovate the new brand. Branding is also a way to
establish a vital and essential corporation profits and wealth, which is a good standing and
status. Whether a company has no standing and reputation, or a less than stellar standing and
status, standing and status can help vary that. Branding can build an anticipation and belief
about the corporation services or goods introduced, and can boost or embolden the
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corporation to keep that boost up, or goes beyond them, gathering one better goods and
services to the market place.

Thus brands help stressed customers in crowded and congested marketplace, by
standing for certain advantages and value. Legal name for a brand is a symbol and when it
recognizes or stands for a company, it is called a brand. When an opponent brand gives
statements to be superior by a very small margin, customers loyalty to a favourite brand
counter argue the superiority assertions and statement and tend to devaluate the opponent
brand by keeping a less positive and constructive behaviour toward it.

Conclusions and Recommendations
Conclusion 1: According to our Recommendations

1:

As

a

findings, Coka Cola’s market share recommendation, Coka Cola should be
has recently decreased. This is due to ‘creative’ such that no matter the needs of its
the changes in social factors. That is, target market, there will always be a Coka
most people are now concerned about Cola in every home.
their health.
Conclusion 2: The company makes Recommendations 2: The company should
proper decision when introducing a maintain its decision making that what to
new product. These decisions are not launch, when to launch or why to launch at
made on quick basis but they take this time. These all things are very necessary
very long time on their execution to keep an eye on because all the little things
because the company looks at all the are necessary to be under eye. The company
positive and negative aspects and then must take care of the taste of its consumers
launch’s a new product. They say that so that the attraction stays same always. The
the voice and interest of a consumer consumer’s choice should always be in the
is the heart of a company’s success top list of the company.
and strength. The company should
keep the taste and choice of the
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consumer in its priorities.
Conclusion 3: As mentioned in the Recommendations 3: lastly, Coka Cola in
text, Coka Cola after suing the the recent times is strong financially to
ANSOFF

matrix

is

in

between diversify its products and also venture in to

product development and market new products. Diversification here will mean
development. This usually happens Coka Cola leaving its comfort zone as this
when the company’s product has will help the company gain more market
reached the declining stage in the life share in its industry and at the same time
cycle.

stay competitive.

As a conclusion, the above explanation of its positioning indicates that the Coka Cola
brand is a leading industry in the beverage industry. Additionally, Coka Cola is always
innovative and coming up with new ideas which makes it creative. As a result, attracts
more consumers to its brand. The company is always revising its strategies to suit its
target from young to old. Even with the economic downturn and other factors that act as
obstacles, Coka Cola is still growing but at a slower rate.

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URL:http://simplefinanz.com/Coka Cola-financials-q3-201

Douglas Bowman, H. G. (2010). Market Response and Marketing Mix Models: Trends and
Research Opportunities. Now Publishers Inc.
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Vision. (Online)(Cited: 3rd December, 2013). Retrieved from:
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2013). Retrieved from:
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http://web.blogads.com/blog/2012/04/17/coke-crushes-pepsi-in-most-social-mediametrics/

Haberer, J. (2010). Disneyland International Marketing Mix: International Marketing Mix of
Disneyland Hong Kong. GRIN Verlag.
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Johnson, M. W. (2010). Seizing the White Space: Business Model Innovation for Growth and
Renewal. Harvard Business Press.
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SA Journal of Industrial Psychology, 2002, 28 (4), 58-65
Seeking Alpha (2013). Coka Cola growth in overseas market and diversifying its products.
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URL:http://seekingalpha.com/article/1811522-Coka

Cola-growth-is-in-overseas-markets-and-

diversifying-its-products

Porter, M. E. (2008). Competitive Strategy: Techniques for Analyzing Industries and
Competitors. Simon and Schuster.
Tallant, J. (2011). Downtown Dealership - An Effective Marketing Mix. GRIN Verlag.

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