Environment Analysis: Coca-Cola
Environmental scanning
External environment
a. Social
b. Political
c. Economics
d. Natural
e. Technological
f. Competitive forces analysis
The industry’s competition is that Pepsi and Coke was often interchangeably by many consumers expressing their interest in a soft drink. Pepsi in particular, is a fierce competitor in the beverage industries with two growing categories which are water and sport drinks.
i. Bargaining power of suppliers
The main ingredients for Coca-Cola syrup include either high fructose corn syrup or sucrose derived from cane sugar, caramel color, caffeine, phosphoric acid, coca extract, lime extract, vanilla, and glycerin. The suppliers are not concentrated or differentiated. Bargaining power of suppliers is low. ii. Bargaining power of customers
The individual buyer has no pressure on Coca-Cola because just like having large retailers it has a bargaining power of the large order quantity. The bargaining power is lessened because of the end consumer brand loyalty. Bargaining power of customers is low. iii. Threat of new entrants
There are some increasing new brands aside from Coca-Cola with the same price of their product. We all know that Coca-Cola is not only seen just as beverages but also as a brand. The threat of new entrants is medium.
iv. Threat of substitutes
Coca-Cola doesn’t have an entirely unique flavour because there are many kinds of soda and energy drinks products in the market that’s why the people can’t tell the difference of Coca-Cola and Pepsi. The threat of substitutes is medium.
v. Rivalry
The main competitor of Coca-Cola is Pepsi because it’s also had a wide range of beverage products under its brand. PepsiCo was recently ranked #19 among America’s most admired companies and ranked in #10 as the world’s most admired company. The
Internal environment
a. Marketing
b. Management
c. Financial
d. Operations
e. Research development
f. MIS
g. Value chain analysis
External environment
a. Social
b. Political
c. Economics
d. Natural
e. Technological
f. Competitive forces analysis
The industry’s competition is that Pepsi and Coke was often interchangeably by many consumers expressing their interest in a soft drink. Pepsi in particular, is a fierce competitor in the beverage industries with two growing categories which are water and sport drinks.
i. Bargaining power of suppliers
The main ingredients for Coca-Cola syrup include either high fructose corn syrup or sucrose derived from cane sugar, caramel color, caffeine, phosphoric acid, coca extract, lime extract, vanilla, and glycerin. The suppliers are not concentrated or differentiated. Bargaining power of suppliers is low. ii. Bargaining power of customers
The individual buyer has no pressure on Coca-Cola because just like having large retailers it has a bargaining power of the large order quantity. The bargaining power is lessened because of the end consumer brand loyalty. Bargaining power of customers is low. iii. Threat of new entrants
There are some increasing new brands aside from Coca-Cola with the same price of their product. We all know that Coca-Cola is not only seen just as beverages but also as a brand. The threat of new entrants is medium.
iv. Threat of substitutes
Coca-Cola doesn’t have an entirely unique flavour because there are many kinds of soda and energy drinks products in the market that’s why the people can’t tell the difference of Coca-Cola and Pepsi. The threat of substitutes is medium.
v. Rivalry
The main competitor of Coca-Cola is Pepsi because it’s also had a wide range of beverage products under its brand. PepsiCo was recently ranked #19 among America’s most admired companies and ranked in #10 as the world’s most admired company. The
Internal environment
a. Marketing
b. Management
c. Financial
d. Operations
e. Research development
f. MIS
g. Value chain analysis