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Assignment of Business Environment

Submitted To
Mr.Tejas Joshi

Submitted By
Roshani Patel Class: B Roll No: 102

Mission

The world is changing all around us. To continue to thrive as a business over the next ten years and beyond, we must look ahead, understand the trends and forces that will shape our business in the future and move swiftly to prepare for what's to come. We must get ready for tomorrow today. That's what our 2020 Vision is all about. It creates a long-term destination for our business and provides us with a "Roadmap" for winning together with our bottling partners. Our Mission Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and serves as the standard against which we weigh our actions and decisions.

To refresh the world... To inspire moments of optimism and happiness... To create value and make a difference.

Vision
Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable, quality growth.

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. Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value. Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities. Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities. Productivity: Be a highly effective, lean and fast-moving organization.

Values
Our Winning Culture Our Winning Culture defines the attitudes and behaviors that will be required of us to make our 2020 Vision a reality. Live Our Values Our values serve as a compass for our actions and describe how we behave in the world.

Leadership: The courage to shape a better future Collaboration: Leverage collective genius Integrity: Be real Accountability: If it is to be, it's up to me Passion: Committed in heart and mind Diversity: As inclusive as our brands Quality: What we do, we do well

Focus on the Market 1. 2. 3. 4. 5. Focus on needs of our consumers, customers and franchise partners Get out into the market and listen, observe and learn Possess a world view Focus on execution in the marketplace every day Be insatiably curious

Work Smart 1. 2. 3. 4. 5. Act with urgency Remain responsive to change Have the courage to change course when needed Remain constructively discontent Work efficiently

Act Like Owners Be accountable for our actions and inactions Steward system assets and focus on building value Reward our people for taking risks and finding better ways to solve problems Learn from our outcomes -- what worked and what didnt

1. 2. 3. 4.

Be the Brand

Inspire creativity, passion, optimism and fun

History
Coca-Cola Company is a beverage retailer, manufacturer and marketer of nonalcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola, invented by pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake Coca-Cola beverage, Coca-Cola currently offers more than 500 brands in over 200 countries or territories and serves 1.6 billion servings each day.[5] The company operates a franchised distribution system dating from 1889 where The Coca-Cola Company only produces syrup concentrate which is then sold to various bottlers throughout the world who hold an exclusive territory. The CocaCola Company owns its anchor bottler in North America, Coca-Cola Refreshments. The Coca-Cola Company is headquartered in Atlanta, Georgia. Its stock is listed on the NYSE and is part of DJIA, S&P 500 Index, theRussell 1000 Index and the Russell 1000 Growth Stock Index. Its current chairman and CEO is Muhtar Kent. The Coca-Cola Company was originally established in 1892 as the J. S. Pemberton Medicine Company, a co-partnership between Dr. John Stith Pemberton and Ed Holland. The company was formed to sell three main products: Pemberton's French Wine Cola (later known as Coca-Cola), Pemberton's Indian Queen Hair Dye, and Pemberton's Globe Flower Cough Syrup. In 1894, the company became a stock company and the name was changed to Pemberton Chemical Company. The new president was D. D. Doe while Ed Holland became the new Vice-President. Pemberton stayed on as the superintendent. The company's factory was located at No. 107, Marietta St. Three years later, the company was again changed to Pemberton Medicine Company, another co-partnership, this time between Pemberton, A. O. Murphy, E. H. Blood worth, and J. C. Mayfield.

PEST Analysis
The PEST analysis takes a look at the external environment that the organization is in. It quite simply asks us to consider the political, economic, social and technical influences on an organization. This is sometimes called STEP and can even including environmental and legal considerations. Political change government agendas for performance, targets and funding Political Analysis for Coca-Cola Non-alcoholic beverages fall within the food category under the FDA. The government plays a role within the operation of manufacturing these products in terms of regulations. There are potential fines set by the government on companies if they do not meet a standard of laws. The following are some of the factors that could cause Coca-Cola company's actual results to differ materially from the expected results described in their underlying company's forward statement: Changes in laws and regulations, including changes in accounting standards, taxation requirements, (including tax rate changes, new tax laws and revised tax law interpretations) and environmental laws in domestic or foreign jurisdictions. Changes in the non-alcoholic business environment. These include, without limitation, competitive product and pricing pressures and their ability to gain or maintain share of sales in the global market as a result of action by competitors. Political conditions, especially in international markets, including civil unrest, government changes and restrictions on the ability to transfer capital across borders. Their ability to penetrate developing and emerging markets, which also depends on economic and political conditions, and how well they are able to acquire or form strategic business alliances with local bottlers and make necessary infrastructure enhancements to production facilities, distribution networks, sales equipment and technology.

Economic change changes in employment, increased regional competition, independent training providers Economic Analysis for Coca-Cola Last year the U.S. economy was strong and nearly every part of it was growing and doing well. However, things changed. Most economists loosely define a recession as two consecutive quarters of contraction, or negative GDP growth. On Monday 26, the government officially declared that the U.S. has been in recession since March. However, because of aggressive action by the Federal Reserve and Congress it will be short and mild. The economy will return to sustained, positive growth in the first half of 2002. Future Outlooks The Federal Reserve is doing all that it can help the economy recover. They have cut the interest rate ten times this year. The rate now lies at a 40-year low of 2%. Lowering the interest rates will ultimately excite consumer demand in the economy. Companies will expand and increase use of debt as a result of the low borrowing rates. Coca-Cola can borrow money for investing in other products as the interest rates are low. It can use the borrowing on research of new products or technology. As researching for new products would cost less the Coca-Cola Company will sell its products for less and the people will spend as they would get cheap products from Coca-cola. Before the attacks on September 11, 2001, the United States was starting tot see the economy recover slightly and it is only just recently that they achieved the economic levels. Consumers are now resuming their normal habits, going to the malls, car shopping, and eating out at restaurants. However, many are still handling their money cautiously. They believe that with lower inflation still to come, consumers will recover their confidence over the next year. The non-alcoholic beverage industry has high sales in countries outside the U.S. According to the Standard and Poor's Industry surveys, "For major soft drink companies, there has been economic improvement in many major international markets, such as Japan, Brazil, and Germany." These markets will continue to play a major role in the success and stable growth for a majority of the non-alcoholic beverage industry.

Social change changing aspirations of students, life-long learning, shorter careers Social Analysis for Coca-Cola Many U.S. citizens are practicing healthier lifestyles. This has affected the non-alcoholic beverage industry in that many are switching to bottled water and diet colas instead of beer and other alcoholic beverages. Also, time management has increased and is at approximately 43% of all households. The need for bottled water and other more convenient and healthy products are in important in the average day-to-day life. Consumers from the ages of 37 to 55 are also increasingly concerned with nutrition. There is a large population of the age range known as the baby boomers. Since many are reaching an older age in life they are becoming more concerned with increasing their longevity. This will continue to affect the non-alcoholic beverage industry by increasing the demand overall and in the healthier beverages.

Technological change computers, internet, e-learning learn anywhere.

Technological Analysis for Coca-Cola Some factors that cause company's actual results to differ materially from the expected results are as follows: The effectiveness of company's advertising, marketing and promotional programs. The new technology of internet and television which use special effects for advertising through media. They make some products look attractive. This helps in selling of the products. This advertising makes the product attractive. This technology is being used in media to sell their products. Introduction of cans and plastic bottles have increased sales for Coca-Cola as these are easier to carry and you can bind them once they are used. As the technology is getting advanced there has been introduction of new machineries all the time. Due to introduction of this machineries the production of the Coca-Cola company has increased tremendously then it was few years ago CCE has six factories in Britain which use the most stat-of the-art drinks technology to ensure top product quality and speedy delivery. Europe's largest soft drinks factory was opened by CCE in Wakefield, Yorkshire in 1990. The Wakefield factory has the technology to produce cans of CocaCola faster than bullets from a machine gun.

SWOT Analysis
SWOT stands for Strengths Weakness Opportunities Threats. I have here SWOT analysis of Coca Cola, which would be highly beneficial for you to know about one of the Leading Beverage Manufacturer in World.... SWOT assay is a address abundant acclimated in abounding accepted administration as able-bodied as business scenarios. SWOT consists of analytical the accepted activities of the organization- its Strengths and Weakness- and again application this and alien assay abstracts to set out the Opportunities and Threats that exist. Strengths

Cooler Experience Personnel Relations Knowledge Regarding Adversary Accomplished Staff & Benefactor Added Bazaar Allotment in Textile Sector Humans Assurance on Above of our Artifact and Cast Merchandising and All-around Score Rating (Gives Backbone to brainwash bazaar about convalescent sales) Coca-Cola has been a circuitous allotment of apple ability for a actual continued time.

The product's angel is loaded with over-romanticizing, and this is an angel abounding humans accept taken acutely to heart. The Coca-Cola angel is displayed on T-shirts, hats, and collectible memorabilia. This acutely apparent branding is one of Coca-Cola's greatest strengths. "Enjoyed added than 685 actor times a day about the apple Coca-Cola stands as a simple, yet able attribute of above and enjoyment" (Allen, 1995). Additionally, Coca-Cola's bottling arrangement is one of their greatest strengths. It allows them to conduct business on a all-around calibration while at the aforementioned time advance a bounded approach. The bottling companies are locally endemic and operated by absolute business humans who are accustomed to advertise articles of the Coca-Cola Company. Because Coke does not accept absolute affairs of its bottling network, its basic antecedent of acquirement is the auction of apply to its bottlers. Lower amount of assembly Demonstrably above annual Presented a actual circuitous artefact Extensive advertising, acceptable promotions or business programs..don't stop here, accumulate belief your competitors Ask: why do I like spending my money added at some businesses than others?

Weaknesses Weaknesses for any business charge to be both minimized and monitored in adjustment to finer accomplish abundance and ability in their business's activities, Coke is no exception.

Although calm business as able-bodied as abounding all-embracing markets are advancing (volumes in Latin America were up 12%), Coca-Cola has afresh appear some "declines in assemblage case volumes in Indonesia and Thailand due to bargain customer purchasing power." According to an commodity in Fortune magazine, "In Japan, assemblage case sales fell 3% in the additional division [of 1998]...scary because while Japan generates about 5% of common volume, it contributes three times as abundant to profits. Latin America, Southeast Asia, and Japan annual for about 35% of Coke's aggregate and none of these markets are assuming to expectation. Coca-Cola on the added ancillary has furnishings on the teeth which is an affair for bloom care. It as well has got amoroso by which connected bubbler of Coca-Cola may could cause bloom problems. Being absorbed to Coca-Cola as well is a bloom problem, because bubbler of Coca-Cola circadian has an aftereffect on your physique afterward few years. Local Weaknesses:

Finance Botheration (Partnership Desolation) Less Abandoned on Floor Vehicles Are Less Minor Signage in the Breadth Ample Number of PCI Abandoned Stock. Abandoned Appropriation As we cannot lift empties on our adversary lifts) Added Melancholia appeal Poor annual Top prices What abroad keeps me from affairs at some places?

Opportunities

Cast acceptance is the cogent agency affecting Coke's aggressive position. Coca-Cola's cast name is accepted able-bodied throughout 94% of the apple today. The primary affair over the accomplished few years has been to get this name cast to be even bigger known. Packaging changes accept as well afflicted sales and industry positioning, but in general, the accessible has tended not to be afflicted by new products. Coca-Cola's bottling arrangement as well allows the aggregation to yield advantage of absolute advance opportunities about the world. This action gives Coke the befalling to annual a ample geographic, assorted area. Local Opportunities:

Customers are Anode from Adversary Specially in Rural Breadth (service and quality). New Projects accept been Started (Industrial). Minor Signage Work is done in Breadth by PCI. PCI is Getting Absorption in Textile Sector. Customer of PCI are Disturbed (Because of advantage and benefactor interest. So we can yield account in this area). New technologies that access efficiencies Niche markets that ample companies do not ambition to serve This account isn't anywhere abreast complete

Threats

Currently, the blackmail of new applicable competitors in the carbonated bendable alcohol industry is not actual substantial. The blackmail of substitutes, however, is a actual absolute threat. The bendable alcohol industry is actual strong, but consumers are not necessarily affiliated to it. Possible substitutes that continuously put burden on both Pepsi and Coke cover tea, coffee, juices, milk, and hot chocolate. Even admitting Coca-Cola and Pepsi ascendancy about 40% of the absolute cooler market, the alteration health-consciousness of the bazaar could accept a austere affect. Of course, both Coke and Pepsi accept already adapted into these markets, acceptance them to accept added cogent bazaar shares and account any losses incurred due to fluctuations in the market. Customer affairs ability as well represents a key blackmail in the industry. The animosity amid Pepsi and Coke has aftermath a actual apathetic affective industry in which administration accept to continuously acknowledge to the alteration attitudes and demands of their consumers or face accident bazaar allotment to the competition. Furthermore, consumers can calmly about-face to added beverages with little amount or consequence. Local Threats:

Competitor's Benefactor is Financially Strong. A new PCI Distributions is expected. Adversary is Thinking Seriously About Textile Sector Market. Bounded Brands, Especially 300ML in Rs.12 Abandoned appropriation from PCI. Economic altitude become abortive

WT Analysis

One of the weaknesses that Coke posses is that its articles are of top cost. Abounding added companies are accretion its articles at lower costs like Pepsi. We can balance this lose by alms altered schemes like gifts, cars, TVs est. In Pakistan and India there are added melancholia demands of the bendable drinks because their atmosphere is actual hot. In the division Coke face difficulties in distributing the products. And as well adversity in brands because Coke has bound articles in Pakistan e.g. coca cola, sprite, fanta but Pepsi has altered articles e.g. Pepsi, Mirinda, 7up, Dew and as well Aquafina mineral water. But now Coke has alien new artefact Kinley mineral water. Although calm business as able-bodied as abounding all-embracing markets are advancing (volumes in Latin America were up 12%), coca cola has afresh appear some "declines in assemblage case volumes in Indonesia and Thailand due to bargain customer purchasing power". Even admitting Coca-Cola and Pepsi ascendancy about 40% of the absolute beverages market, the alteration healthconsciousness of the bazaar could accept a austere affect. According to an commodity in Fortune magazine, In Japan, assemblage case sales fell 3% in the additional division [of 1998] scary because while Japan generates about 5% of common volume, it contributes three times as abundant to profits. The bendable drink industry is actual strong, but consumers are not necessarily affiliated to it. Possible substitutes that continuously put burden on both Pepsi and Coke cover tea, coffee, juices, milk, and hot chocolate. Abandoned of Coca-Cola appropriation by competitors e.g. Pepsi but we can't lift their abandoned due to their quality. The animosity amid Pepsi and coke has aftermath a actual apathetic affective industry in which administration accept to continuously acknowledge to the alteration attitudes and demands of their consumers or face accident bazaar allotment to the competition. Furthermore, consumers can calmly about-face to added beverages with little amount or consequence. Coca-cola on the added ancillary has aftereffect on the teeth which is an affair for bloom care. It as well has got amoroso by which connected bubbler of Coca-cola may could cause bloom problem, because bubbler of coca-cola circadian has an aftereffect on your physique afterward few year.

WO Analysis

Its weakness of bound articles in Pakistan and India can could could could cause the opportunities in the alien ambiance to go by its hands. It had to aftermath new articles to yield abounding advantage of opportunities. Its articles are of top amount and there are so abounding opportunities in the bazaar for its advance if it lowers its amount it ability be communicable aggregate of the marketing. Its weakness of able aftertaste has bargain its bazaar humans adopt the ablaze taste. And Pepsi Cola has as well acquaint New artefact "Aquafina" mineral baptize but now Coke has as well acquaint new mineral baptize "Kinley" and this new artefact has as well low amount as analyze to Pepsi's artefact "Aquafina. One of the acumen that why amount of coke is college is that basic headquarter is in USA area activity amount is actual high. If we attending in added countries like Mexico, Korea, Taiwan etc. actuality activity amount is low and artefact can fabricated at lower cost.

ST Analysis

Coke has backbone that it so abundant revenue, which it can advance on the assembly of new product, abounding companies are authoritative new articles so it can cope with these threats easily. Coke had a actual acceptable advertisement accusatory added companies or as well announcement their articles so Coke can handle with its accomplished business agents. In adopted countries Coke accept abounding branches with altered flavors as analyze to Pakistan, which has alone 2-3 Coke products. Its had threats from Cock, which are its basic competitors from about 100 years. It can accord with it easily. Assay and development administration of Coke is paying abounding absorption appear assembly of new & innovated articles to Pepsi with alien threats of the accretion antagonism in the alien incitement. Staff of Coke in Pakistan is actual accomplished and humans assurance on above of our artefact and brand. Coca-Cola has been a circuitous allotment of apple ability for a actual continued time. But competitors administration is financially able due to fast action of approval of Decision. This acutely apparent branding is one of Coca-Cola' greatest strengths. "Enjoyed added than 685 actor times a day about the world. Coca-Cola stands a simple, yet able attribute of above and enjoyment". But if the melancholia aeon alpha than the accumulation should not be short.

SO Analysis

Coke's basic backbone that is it revenges will advice to abduction to bazaar because it is aback cartilage of any aggregation and any aggregation can accomplish advance on the basic it had, so coke can yield advantages of opportunities. Coke has so abounding articles so apparent beneath as befalling is consistently present in the alien ambiance for new products. As Coke did if it alien Kinley in the world. Pepsi spends huge money on advertisement action as apparent below. This can accept actual acceptable advantages because by advertisement you can bolt mach of the opportunities in the alien ambiance for this purpose. Pepsi is hiring abounding superstars. Assay and development is actual abundant innovative. It can yield abounding advantages of opportunities in alien environment.

Internal & External Factors


There are many factors, internal as well as external that impacts the planning function of management within an organization, and Coca-Cola is no exception. More than a billion times every day, thirsty people around the world reach for Coca-Cola products for refreshment. Coca-Cola is the most popular and biggestselling soft drink in history, as well as the best-known product in the world. The Coca-Cola franchise covers a population of approximately 398 million people. Coca-Cola Enterprises employs approximately 72,000 people who operate 463 facilities, 54,000 vehicles and approximately 2.4 million vending machines, beverage dispensers and coolers.

Rapid Change
The Coca-Cola Company experienced a period of rapid change during the 1900 through 1909 timeframe when the company experienced a period of rapid growth. This rapid growth was attributed to three pioneers sectioning off the country into territories and selling bottling rights to local entrepreneurs. Their combined efforts attributed to advancements in bottling technology which improved efficiency and product quality. By 1909, nearly 400 Coca-Cola bottling plants were operating, most of them family-owned businesses. Some were only open during hot-weather months when demand was high (Coca-Cola, 2004). During the 1920s and 1930s Coca-Cola began its international expansion led by Robert W. Woodruff, who was the Chief Executive Officer and Chairman of the Board. Coca-Cola plants were opened in France, Guatemala, Honduras, Mexico, Belgium, Italy and South Africa. By the time World War II began, Coca-Cola was being bottled in 44 countries (Coca-Cola, 2004). These two different periods of time were when Coca-Cola experienced its most crucial rapid change due to bottling innovation and company expansion.

Globalization
Beginning in the 1920s building their global network, Coca-Cola is now the world's leading manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands in over 200 countries (Coca-Cola, 2004). Competing globally is a difficult task due to the unpredictability of foreign markets (Bateman &Snell, 2003). Coca-Cola not only recognized the opportunity in the global market but was able to expand successfully. Canada and Panama were the start of their global market in 1906. Since then they have expanded throughout the world. Coca-Cola successfully meets consumers tastes globally; as a result 70% of their income is from outside the United States (Coca-Cola, 2004).

Technology
Coca-Cola originated as a soda fountain beverage in 1886, and at that time sold for only five cents a glass. While early growth was impressive, it was only when a strong bottling system developed that Coca-Cola became the world famous brand it is today (Coca-Cola, 2004). Along with its network of bottlers, the company comprises the most sophisticated distribution system in the world. When we think of how far we come, its somewhat difficult to believe that not all places have risen to our level. In some of the higher elevations of the Andes, Coca-Cola is sometimes transported by four-legged power (Coca-Cola, 2004).

Innovation
The market today is always changing. A company must be in tune with what consumers want. Consumers get bored, and often want new products. In order to meet the wants and needs of customers a company must introduce new products or services (Bateman &Snell, 2003). Coca-Cola in an effort to meet customers needs created C2 which is a low carb soft drink. This was in response to the low carb diets and the demands of consumers. They also intend to launch a new soft drink called Coca-Cola Zero. This is a zero calorie soft drink. Knowing the importance of innovation the Coca-Cola Company has always strived to create new products. They already have Coke with Lime, Lemon, Vanilla and Cherry. Raspberry will be the new flavor added to Coke coming soon. They also have plans to sweeten Diet Coke with Splenda, a sugar substitute that is safe for diabetics (Coca-Cola, 2004).

Diversity
The diversity at the Coca-Cola is evident with their presence in more than 200 counties. They feel that they are empowered within their business structure as well as the communities they serve because of their differences. Their attribute their success to their consistent values. They understand that their future growth is dependent upon their ability to develop a worldwide team that is rich in its diversity of people, cultures and ideas (Coca-Cola, 2004). Knowing that diversity is not limited to the internal structure of an organization, Coca-Cola has used this same approach regarding their suppliers. Through their supplier diversity program they are building relationships with minority and women owned businesses by giving them equal access to procurement opportunities.

Ethics
The Coca Cola Company seems to pride itself on the ethical foundations of honesty and integrity. Coca Cola believes that these two ethical foundations are the cornerstone values of the Coca-Cola Company (Coca-Cola, 2004). The following from The Coca-Cola Company regarding their employees obligation to uphold the companys ethical standards, As company representatives, we all have the responsibility to act in every situation according to the highest standards of ethical conduct (Coca-Cola, 2004). Coca-Cola institutes that its employees are the representation of the ethical standards behind the product. Coca-Cola has had some challenges throughout its existence as a company (i.e. New Coke) and has felt the need to face each and every situation with Honesty and Integrity, believing that in order to remain valid and legit in the market place, a company must retain its ethical standards at all times.

Market Position of Coca Cola in the US


Coca Cola plays a major in its industry, not only in the U.S, but also all over the globe. Coke is single handedly the most popular soft drink anywhere, beating out its competition, Pepsi Co. Overseas, Coke has established its empire from South America to Africa to all of Asia and Europe. Coke is the world's top soft-drink company. The Coca-Cola Company owns four of the top five soft-drink brands (Coca-Cola, Diet Coke, Fanta, and Sprite). Among its other brands are Barq's, Fruitopia, Minute Maid, PowerAde, and Dasani water. In the US it sells Group Danone's spring water brands (Dannon and Sparkletts). Coca-Cola sells Crush, Dr Pepper, and Schweppes outside Australia, Europe, and North America. The firm, which does no bottling, sells about 400 drink brands, including coffees, juices, sports drinks, and teas, in some 200 nations. Cokes position is so powerful in the market that it is the second most recognized word anywhere in the world after OK. Even though many nations overseas feel the impact that Coke has, the individuals at Coke has assured that their presence is felt here in the US also. Coke has established itself into many facets in the US that makes this company stand out. For instance, Coke makes a continuous effort to introduce a new product, i.e. new Vanilla Coke. Coke also boosts its market positioning the states with the many youth partnerships, TV commercials, sports, music, and community service.

Major Moves by Coke


Like many companies, Coke is far from perfect and like many other companies may sometimes go through their share of crisis and their fair share of big decisions. Recently, it was reported in the Boston Business Journal, that Coca Cola is going to sign an eight year extension with there long time team sponsor, world champion Boston Red Sox. This deal was brought because of the clubs big success and to commensurate the attendance and market size of Boston. Since Coke is the clubs most active sponsor, the deal solidifies Coke as a major player within major league baseball. This move is especially significant because Pepsi is Major League Baseballs official soft drink sponsor; however Coke is attempting to acquire this from its competition by getting pouring rights in all of the parks, which it already has in about half of the MLB ball parks.

Ratio Analysis
Profitability ratios are reported to assist in the interpretation of the companies, in this case Cokes, operating efficiency. One profitability ratio is the return on assets (ROA) of a company, which measures the net income stated as a percentage of total assets. Currently, Coke has an ROA of 15.6%. This means that 15.6% of there net income is a total of there net assets. Compared to the industry, which has an ROA of 9.2%, Coke is has large amount there net income going into there total assets. This means that eventually, Coke will acquire greater income in the future. Another profitability ratio is the ROE, return on equity. Return on equity measures the net income stated as a percentage of stockholders equity. This means that whatever a companies ROE is it is the percentage of stockholders equity of that particular company. In Cokes case, there ROE is 30.6%, compared to the industry average which is only 25.1%. After analyzing this, I see that coke has a major part of its income going to stockholders, whereas most other companies do not have as much. With this said Coke gives more incentive to invest in its firm because if gives a higher return compared to other companies in the industry. This appears to not be a new trend for Coke because when you take a look at their 5-year average, they have totally been consistent in their actions. There 5 year ROA average is 14.5% compared to 5-year industry average of 7.9%. There 5 year ROE average is 30.2% compared to the 5-year industry average of 23.4%. Consistency is truly the key to success.

Market Value
The most popular price ratios used are the Price/Earnings ratio and the Price-Cash flow Ratio. Both of the following ratios measure or try to measure the value of a companies stock. In term of Coke, their current P/E ratio is 21.7 and the industries current P/E ratio is 20.3. What does all of this mean? Well when analyzing the P/E ratio of Coke compared to the industry, Coke appears to be value stock. This means that compared to the industry, Cokes P/E ratio is relatively equal so this investment would represent a good investment value. The second popular price ratio is the price-cash flow ratio, which is defined as the current stock price divided by the current cash flow per share. In regards to Coke, there price cash flow ratio is 18.20 compared to an industry average of 13.5. Also when analyzing, we took into consideration Cokes earnings per share (EPS); since there EPS is 6.60 which is lower than there cash flow of 18.20 than you can assume that this is a signal of good quality earnings. This makes Coke an interesting stock to consider.

STRATEGIES OF GETTING GOALS I.E. HIGH PROFITS


To increase the price is the least thing, which Coke can adopt. There are so many ways through which Coke can increase the profits. Some major ways are as follows. Volume can be increased Interest level of consumers To take part in energetic festivals How to increase the volume of consumers? Coke can increase the volume by expanding the industry of coke. Through advertisements, offering different interesting things to attract people towards this product. How to increase the interest level of consumers? Coke is increasing the interest level of consumers by offering different flavors. For example Coke is increasing the number of flavors in Fanta, this is one of the product of coke. Through offering different flavors Coke can increase the Level of consumers and through this profits can be gained. How to take part in energetic festivals? Coke is already taking part in the festival like Basant since last 3 years. Coke offers different attractive things in their festival and through this Coke gained high profit and consumption of coke increased on these occasions. And this year in this year 2002 people were anxiously waiting that what interesting thing coke is going to offer.

MARKETING STRATEGY
Our local marketing strategy enables Coke to listen to all the voices around the world asking for beverages that span the entire spectrum of tastes and occasions. What people want in a beverage is a reflection of who they are, where they live, how they work and play, and how they relax and recharge. Whether you're a student in the United States enjoying a refreshing Coca-Cola, a woman in Italy taking a tea break, a child in Peru asking for a juice drink, or a couple in Korea buying bottled water after a run together, we're there for you. We are determined not only to make great drinks, but also to contribute to communities around the world through our commitments to education, health, wellness, and diversity. Coke strives to be a good neighbor, consistently shaping our business decisions to improve the quality of life in the communities in which we do business. It's a special thing to have billions of friends around the world, and we never forget it.

PRICE STRATEGIES
Trade Promotion Coca Cola Company gives incentives to middle men or retailers in way a that they offer them free samples and free empty bottles, by this these retailers and middle man push their product in the market. And thats why coca cola seen more in the market. And they have a good sale in the market because according to the expert which product seen more in the market that sells more. Seen as sold They do agreements with a shop keepers and stores to exclusive sale in that stores. These Stores are called as KEY accounts in their local language. And coke also invest heavy budget on these stores and offers them free samples and free bottles and some time cash incentives.

Different Price In Different Seasons Sometimes Coca Cola Company changes their product prices according to the season. Summer is supposed to be a good season for beverage industry in Pakistan. So in winter they reduce their prices to maintain their sales and profit. But normally they reduce the prices of their pet bottles or 1 litter glass bottle.

PROMOTION STRATEGIES
Getting shelves They gets or purchase shelves in big departmental stores and display their products in that shelves in that style which show their product more clear and more attractive for the consumers. Eye Catching Position Salesman of the coca cola company positions their freezers and their products in eye catching positions. Normally they keep their freezers near the entrance of the stores. Sale Promotion Company also do sponsorships with different college and schools cafes and sponsors their sports events and other extra curriculum activities for getting market share. UTC Scheme UTC mean under the crown scheme, coca cola often do this type of scheme and they offer very handy prizes in it. Like once they offer bicycles, caps, tv sets, cash prizes etc. This scheme is very much popular among children. Distribution Channels Coca Cola Company makes two types of selling Direct selling Indirect selling Direct Selling In direct selling they supply their products in shops by using their own transports. They have almost 450 vehicles to supply their bottles. In this type of selling company have more profit margin. Indirect Selling They have their whole sellers and agencies to cover all area. Because it is very difficult for them to cover all area of Pakistan by their own so they have so many whole sellers and agencies to assure their customers for availability of coca cola products.

CONCLUSION
After thorough research, we come to the conclusion that the marketing strategy of Coca Cola is working for them and the product is gaining popularity among youth day by day.

RECOMMENDATIONS
After completing our project we have concluded some recommendation for the coca cola company, which are following. Coca Cola Company should try to emphasis more on providing their infrastructure in the market to facilitate their customers. According to the survey, conducted by the international firm Pakistani people like little bit sweeter cola drink. So for this coca cola company should produce their product according to the local demand. Marketing team should try to increase the availability of Coke in rural areas. They should also focus the old people. Now young generation has a trend to drink coke 2 regular bottles at same Time, so providing more satisfaction to them company should introduce liter Disposable bottle.

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