The Global Strategy
Coca-Cola Case Study
The Global Strategy
Coca-Cola is currently at the leadership position in the beverage industry and it has been successful through its strong brand image, exceptional outsourcing strategies and efficient supply chain management. However, there are still some issues that Coca-Cola needs to solve.
This report is segmented into three main parts. The first part discusses market position, market share and product through research. The second part focuses on the current issues, core competence and future plans of Coca-Cola. Recommendations are provided in the third part in order to resolve the issues brought up earlier and to provide guidance towards its future global strategies.
The report aims to provide recommendations to solve a number of issues that Coca-Cola has been facing in terms of water issues, health issues and environmental issues. Firstly, globalisation and localisation should be balanced. Secondly, the market leader position can be maintained by employing defensive strategy. Thirdly, the brand perception can be changed by investing marketing budgets on healthy beverages such as juice and water. In addition, health issues can be improved by penetrating into a new market, such as producing healthy food with low calories. Fourthly, the water quality can be solved by developing new technology or seeking non-contaminated water supply. Last but not least, Coca-Cola can contribute to the sustainability through developing environmental friendly packages.
4.Market Position and Market Share5
10.1Balance The Globalization and Localization17
10.2Maintain The Market Leader Position17
Coca-Cola is one of the most popular beverage companies across the world. It was invented in the late 19th century by John Pemberton as a patent medicine at first. Griggs Candler is a famous salesman who transformed Coca-Cola from an invention into a business and then registered trademark of The Coca-Cola Company in the United States since March 27, 1944. Today, Coca-Cola is a company which marketed in more than 200 countries and there are 59,000 branch companies and 71,000 workers in the world. Coca-Cola has taken up a quarter of the sales revenue in the beverage industry, comparing with the 11.5% of Pepsi, which was due to its successful implementation of its globalisation strategy. The purpose of the report is to provide recommendations to the directors of Coca-Cola by researching and analysing the market position, product, market share, current issues, core competence and future plans of the company.
Market Position and Market Share
Coca-Cola is one of the most well-known beverage brands across the world and it has become the market leader in the beverage industries (Allen et al. 2012). Coca-Cola aims to bring joy and happiness to consumers with its products. Coca-Cola also markets itself with consistent communication and offers high quality products. It is a company which has a high level of brand equity and unlimited financial resources (Allen et al. 2012), although it has experienced both growth and decline in 110 years since 1902. Coco-cola’s objective is to hold its market position and keep their sales revenues growing through the defensive marketing strategy (Allen et al. 2012). For example, Coco-cola sponsored the 2008 Beijing Olympics to enhance their brand as well as its market position and it has successfully accomplished the campaign. Thus this marketing strategy helps Coco-cola to retain their market share and to...