Coca Cola/Pepsico Strategy Analysis

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16/10/2012

Saxion University of Applied Science
Module International Business Plan - Mr. J. Oude Rengerink
IBMS Project 6 – Gr. C1
Analysis International Strategy; Part 1 – Second Version
Tim Herbers (153139)
Angelika Kuhn (147613)
Sebastiaan Prins (112381)
Luc Zijlmans (149689)

Saxion University of Applied Science
Module International Business Plan - Mr. J. Oude Rengerink
IBMS Project 6 – Gr. C1
Analysis International Strategy; Part 1 – Second Version
Tim Herbers (153139)
Angelika Kuhn (147613)
Sebastiaan Prins (112381)
Luc Zijlmans (149689)

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Coca Cola & Pepsi| Analysis International Strategy|

Coca Cola & Pepsi| Analysis International Strategy|

Index
1.Analysis International Strategy3
2.The Coca-Cola Company & PepsiCo4
3.Marketing5
3.1 Marketing mix of Coca Cola5
3.2 Marketing mix of Pepsi7
3.3 Brand differentiation8
3.4 Coca-Cola & Pepsi Worldwide8
4.Management9
4.1 Management Coca-Cola9
4.2 Management PepsiCo11
4.3 Management compared12
5.Financial Position12
5.1 Profitability13
5.2 Liquidity14
5.3 Solvency15
6.Production16
6.1 Comparison Production17
7.Research and Development18
7.1 Research and Development & Sustainability20
8.In Overall21
9.Coca-Cola Company or PepsiCo21
10.References22

1. Analysis International Strategy

Before it could be determined whether the Coca-Cola Company or PepsiCo is most suitable for entering a new market, a thorough examination and evaluation of their current (internal) strategy has be performed. Several variables will be researched upon, including Human Resource Management, sustainability and ethics, management aspects (financial part of the business plan), and strategic international marketing position.

During this first part we will be answering the question ‘What are the strengths and weaknesses of the companies Coca-Cola and PepsiCo?’.

2. The Coca-Cola Company & PepsiCo

The Coca-Cola Company
Coca-Cola is a carbonated soft drink that is sold in stores, restaurants, and vending machines available in more than 200 countries throughout the world. Nowadays it is rather difficult to think of a country where it is not available. With a portfolio of more than 3,500 beverages, from diet and regular sparkling beverages to still beverages such as 100 per cent fruit juices and fruit drinks, waters, sports and energy drinks, teas and coffees, and milk-and soy-based beverages, their variety spans the globe. The company has 146,200 employees around the world and operates its business for 126 years respectively. Its headquarters is located in Atlanta, USA. In financial circles, Coca-Cola has been one of the strongest and most reliable trading stocks, showing a steady return in all of its years of existence but one. However, Coca Colas market share has slipped, but still dominates in much of Europe and South America. PepsiCo

The carbonated soft drink producer sells its products in nearly 200 countries throughout the world. Their product assortment includes 22 brands that each generate more than $1 billion each in annual retail sales. The company employs 297,000 people around the globe and is twice as much as that of Coca Cola and sells its products under the name of Pepsi Cola since 1898. Its headquarters is located in Purchase, USA. Pepsi mostly dominates in Asian markets as compared to Coca Cola. In financial circles, Pepsi is known to provide a steady growth when it comes to sales revenue as well as profit. Their sales revenue in 2011 is one third higher than that of 2008 and a disruption in that trend is not expected by sales forecasts.

3. Marketing

3.1 Marketing mix of Coca Cola

Product
The Coca-Cola Company’s products consist of beverage concentrates and syrups, with the main product being the finished beverages and can be seen as both business and consumer products. The type of consumer product the Coca-Cola...
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