Coca Cola

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“The importance of Marekting in the 21st century”

BY SHALEEN KHAN
EXAMINATION NUMBER: 081118821
STUDENT ID: te0803
Contents page

What is marketing?..................................................................................................................................pg 3 Marketing in the 21st century ……………………………………………………………………………………………………….pg 3 Coca Cola’s Marketing Process

Porters 5 forces…………………………………………………………………………………………….. pg 3-4
STP…………………………………………………………………………………………………………… pg 4-6

Marketing mix……………………………………………………………………………………………….,pg 7-9

Recent Changes…………………………………………………………………………………………..,,,,,,pg 9

Conclusion ………………………………………………………………………………………………………………………………...pg 10 Bibliography……………………………………………………………………………………………………………………………….pg 11

What is marketing?
The term 'marketing' has many definitions. The definition used can vary according to context and area of focus. For example some are focused on customer needs, for example Kotler defines it as the process by which 'individuals and groups obtain what they need and want through creating and exchanging products and value with others'. There are also more economic oriented definitions of marketing, which focus on societies processes to supply for its consumption needs. Bartles focuses on this, and states that society evolves 'distributative systems' to create 'transactions' which result in exchange and consumption. Marketing in the 21st century is a enormous phenomenon. From years of study it is suggested that marketing involves interaction between individuals, organisations, the government and society Marketing in the 21st century

Marketing as a concept has developed vastly over the 20th to the 21st century. Traditional approaches to marketing are now showing limitations, considering companies have less contact with customers, consumers are becoming more homogenous and passive due to information becoming more readily available (internet). In order investigate the importance of marketing in the 21st century I will be analyzing coca cola, by exploring the marketing techniques and strategies in use, as well as the broader environment in which it operates.

Coca Cola’s Marketing Process
Porters 5 Forces
Firstly it is important to understand the changing external environment (environmental scanning-Auguiler (1967)) allowing firms such as coca cola to develop future strategies. In order to analyse the external (macro-economic) environment coca cola is operating in I will be using porters 5 forces to analyze the factors outside the industry that influence the nature of competition within it (micro- environment). A business has to understand the dynamics of its industries and markets in order to compete effectively in the marketplace therefore Porter (1980) defined the forces which drive competition would impact on an organization’s behavior in a competitive market. The five forces are as follows :

Threat of new entrants
Considering coke is the market leader in the soft drinks industry it has an advantage of high economies of scale, forming a barrier against new less developed entrants. Entry costs are likely to be very high due to heavy initial investment required as well high research and marketing costs. Coca cola can also use the “learner effect” to their advantage considering they have experience and understanding of how the industry works. The firms brand loyalty also acts as a threat to new entrants.

Buyer Power
In the case of coca cola there is a high degree of buyer power, mainly due to the fact that product such as coke is undifferentiated, therefore buyers have the ability to switch to alternatives such as Pepsi or low discount brands such as Tesco. The firm is also very price sensitive hence increasing buyer power. Competitors

Being a market leader coca cola as a brand can shape competition, as it can set standards relating to price, quality, speed, innovation and communication. Even so the non alcoholic beverages...
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