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Submitted by:

Osman Basha
IIPM-HYDERABAD (2010-12)
(ISBE-B/PGP/SS/10-12)

Index

Introduction..4 Mission, vision & values.5 History...6 Coca-Cola India...9 Coca-Cola marketing strategy..10 Marketing cola in India..12 Brand localization13 2010 operating group highlights...15 SWOT analysis...17 PESTEL analysis..21 Coca-Cola value chain23 Brands of Coca-Cola24 Coca-Cola figures and facts....26 Conclusion.28 Bibliography..29

Introduction Intro
The Coca-Cola Company (TCCC) is the largest non-alcoholic beverage company in the world, manufacturing nearly 500 brands and 3,000 beverage products, and serving 1.6 billion consumers a day.8 In the 200 countries and territories in which it operates, TCCC provides beverage syrup to its bottling partners, who then manufacture, package, distribute and sell products for local consumption. TCCC has more than 300 bottling partners worldwide, which are local companies that are either independently owned or partially or fully owned by TCCC. It has had a presence in Africa since 1928 and today is one of the continents largest private sector employers, operating about 160 bottling and canning plants through its local bottling partners and working with more than 900,000 retail outlets. TCCC and its bottling partners (collectively known as the Coca-Cola system) are renowned for their ability to make their products available to consumers in even the most remote locations. They have utilized a wide range of innovative distribution methods to accomplish this. In many countries, particularly developed countries, the system primarily uses traditional distribution models in which large amounts of product are delivered via trucks or other motorized vehicles to large retail outlets. Yet in much of the developing world, road infrastructure, terrain, retail markets, cost implications and customer needs differ. Thus, other distribution methods have been developed to distribute much smaller amounts of product to a diversity of retail outlets utilizing methods such as bicycles, boats, and pushcarts. The Coca-Cola system uses the full range of distribution methods in Africa. In the most developed, urban parts of the continent, the system uses the more traditional model of supplying large retailers such as grocery stores, hotels, universities, and other institutions using delivery trucks. However, for a large proportion of its retail customers, particularly in East Africa, where they are mostly small neighborhood restaurants or bars, corner stores, and one-person kiosks, the Coca-Cola system has adopted a manual delivery approach working with small-scale distributors to deliver products to small-scale retailers in densely populated urban areas. One of TCCCs key bottling partners in Africa, Coca-Cola Sabco (CCS), has been at the forefront of innovation in this approach, known as the Manual Distribution Centers model. This report focuses exclusively on this one component of the Coca-Cola value chain (see diagram) CCS is one of the Coca-Cola systems largest bottlers in Africa, operating 18 bottling plants and directly employing more than 7,900 people in East and Southern Africa. Headquartered in South Africa, it is 80% owned by a private investment group and 20% owned by TCCC

Mission, Vision & Values 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.

Our 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.

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


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

Work Smart
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

Be the Brand
Inspire creativity, passion, optimism and fun
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History
The Coca-Cola Company traces its beginning to 1886, when an Atlanta pharmacist, Dr. John Pemberton, began to produce Coca-Cola syrup for sale in fountain drinks. However the bottling business began in 1899 when two Chattanooga businessmen, Benjamin F. Thomas and Joseph B. Whitehead, secured the exclusive rights to bottle and sell Coca-Cola for most of the United States from The Coca-Cola Company. Coca-Cola was created in 1886 by John Pemberton, a pharmacist in Atlanta, Georgia, who sold the syrup mixed with fountain water as a potion for mental and physical disorders. The formula changed hands three more times before Asa D. Candler added carbonation and by 2003, Coca-Cola was the worlds largest manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, with more than 400 widely recognized beverage brands in its portfolio. With the bubbles making the difference, Coca-Cola was registered as a trademark in 1887 and by 1895, was being sold in every state and territory in the United States. In 1899, it franchised its bottling operations in the U.S., growing quickly to reach 370 franchisees by 1910.10 Headquartered in Atlanta with divisions and local operations in over 200 countries worldwide, Coca-Cola generated more than 70% of its income outside the United States by 2003

International expansion
Cokes first international bottling plants opened in 1906 in Canada, Cuba, and Panama.11 By the end of the 1920s Coca-Cola was bottled in twenty-seven countries throughout the world and available in fifty-one more. In spite of this reach, volume was low, quality inconsistent, and effective advertising a challenge with language, culture, and government regulation all serving as barriers. Former CEO Robert Woodruffs insistence that Coca-Cola wouldnt suffer the stigma of being an intrusive American product, and instead would use local bottles, caps, machinery, trucks, and personnel contributed to Cokes challenges as well with A lack of standard processes and training degrading quality.12 Coca-Cola continued working for over 80 years on Woodruffs goal: to make Coke available wherever and whenever consumers wanted it, in arms reach of desire.13 The Second World War proved to be the stimulus Coca-Cola needed to build effective capabilities around the world and achieve dominant global market share. Woodruffs patriotic commitment that every man in uniform gets a bottle of Coca-Cola for five cents, wherever he is and at whatever cost to our company14 was more than just great public relations. As a result of Cokes status as a military supplier, Coca-Cola was exempt from sugar rationing and also received government subsidies to build bottling plants around the world to serve WWII troops

Turn of the Century Growth Imperative


The 1990s brought a slowdown in sales growth for the Carbonated Soft Drink (CSD) industry in the United States, achieving only 0.2% growth by 2000 (just under 10 billion cases) in contrast to the 5-7% annual growth experienced during the 1980s. While per capita consumption throughout the world was a fraction of the United States, major beverage companies clearly had to look elsewhere for the growth their shareholders demanded. The looming opportunity for twenty-first century was in the worlds developing markets with their rapidly growing middle class populations.

Coca cola Indian History


India is home to one of the most ancient cultures in the world dating back over 5000 years. At the beginning of the twenty-first century, twenty-six different languages were spoken across India, 30% of the population knew English, and greater than 40% were illiterate. At this time, the nation was in the midst of great transition and the dichotomy between the old India and the new was stark. Remnants of the caste system existed alongside the worlds top engineering schools and growing metropolises as the historically agricultural economy shifted into the services sector. In the process, India had created the worlds largest middle Class, second only to China. A British colony since 1769 when the East India Company gained control of all European trade in the nation, India gained its independence in 1947 under Mahatma Gandhi and his principles of non-violence and self-reliance. In the decades that followed, selfreliance was taken to the extreme as many Indians believed that economic independence was necessary to Be truly independent. As a result, the economy was increasingly regulated and many sectors were restricted to the public sector. This movement reached its peak in 1977 when the Janta party government came to power and Coca-Cola was thrown out of the country. In 1991, the first generation of economic reforms was introduced and liberalization began.

Coke in India
Coca-Cola was the leading soft drink brand in India until 1977 when it left rather than reveals its formula to the government and reduces its equity stake as required under the Foreign Exchange Regulation Act (FERA) which governed the operations of foreign companies in India. After a 16-year absence, Coca-Cola returned to India in 1993, cementing its presence with a deal that gave Coca-Cola ownership of the nation's top soft-drink brands and bottling network. Cokes acquisition of local popular Indian brands including Thums Up (the most trusted brand in India21), Limca, Maaza, Citra and Gold Spot provided not only physical Manufacturing, bottling, and distribution assets but also strong consumer preference. This combination of local and global brands enabled Coca-Cola to exploit the benefits of global branding and global trends in tastes while also tapping into traditional domestic markets. Leading Indian brands joined the Company's international family of brands, including Coca- Cola, diet Coke, Sprite and Fanta, plus the Schweppes product range. In 2000, the company launched the Kinley water brand and in 2001, Shock energy drink and the powdered concentrate Sunfill hit the market. From 1993 to 2003, Coca-Cola invested more than US$1 billion in India, making it one of the countrys top international investors.22 by 2003, Coca-Cola India had won the prestigious Woodruf Cup from among 22 divisions of the Company based on three broad parameters of volume, profitability, and quality. Coca-Cola India achieved 39% volume growth in 2002 while the industry grew 23% nationally and the Company reached breakeven profitability in the region for the first time.23 Encouraged by its 2002 performance, Coca-Cola India announced plans to double its capacity at an investment of $125 million (Rs. 750 core) between September 2002 and March 2003. Coca-Cola India produced its beverages with 7,000 local employees at its twentyseven wholly-owned bottling operations supplemented by seventeen franchisee-owned bottling operations and a network of twenty-nine contract-packers to manufacture a range of products for the company. The complexity of the consumer soft drink market demanded a distribution process to support 700,000 retail outlets serviced by a fleet that includes 10-ton trucks, open-bay three wheelers, and trademarked tricycles and pushcarts that were used to navigate the narrow alleyways of the cities.25 In addition to its own employees, Coke indirectly created employment for another 125,000 Indians through its procurement, supply, and distribution networks. Sanjiv Gupta, President and CEO of Coca-Cola India, joined Coke in 1997 as Vice President, Marketing and was instrumental to the companys success in developing a brand relevant to the Indian consumer and in tapping Indias vast rural market potential. Following his marketing responsibilities, Gupta served as Head of Operations for Company-owned bottling operations and then as Deputy President. Seen as the driving force behind recent successful forays into packaged drinking water, powdered drinks, and ready-to-serve tea and coffee, Gupta and his marketing prowess were critical to the continued growth of the Company.
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COCA-COLA MARKETING STRATEGY Focus on availability of products in outlets:The aim of Coca-Cola is that its product should be visible for the customers so company gives to retailers racks so many display items. Now days the company is giving visicoolers to retailers for visible their chilled product in market for more sales.

Regulator market vigilance by market developer:To know the position of Cokes product in the market Coca-Cola appoint some executive those go in market & check availability, visibility of product, take care companies assets, check visicoolers and talk to shopkeeper & take feedback about their product.

More focus in rural area:The rural market is a significant part of our sales promotional discount scheme which is enabling us retailers link with our product. According to company sources main focus now on rural market. In 2000 the Coca-Cola India spokes women Nantoo Banerjee said that. The real market in India is the rural market. If u can crack it, there is tremendous potential.CCI begin focus on rural areas after 2000 in order to increase volumes. This decision is giving a huge size & potential market to company. It is clear that CCI would have shifted its focus to rural market. THANDA GOSE RURAL In early 2002 CCI launched a new advertising campaign for attract more rural consumers. The aids with India leading bollywood star Amir Khan. With movie of Lagan. The tag line of aid is (Thanda Matlab Coca-Cola)

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Distribution of product according to locality:-

Aggressive advertising:Coca-Cola use the concept of aggressive advertises for sales promotion. Company introduces different schemes and advertises them with electronic and print media. These advertisements build Brand image and establish awareness. Brand ambassador play an important role. Brand ambassador encourage the today youth to trust their instincts, influence them. Successful advertisement campaigns like taaza mango, maaza mango and botal mein aam, maaza hain naam. Help lot to make market image of maaza. Coca-Cola advertising cam gains Jo Chaho Ho Jaye. & Life Ho To Asi were very popular & had entered in youth vocabulary .In 2002 company launched the campaign Thanda Matlab Coca-Cola which is sky rocketed the brand to make. Coca-Cola lunched so many advertising for rural market capture Amir Khans aid Oye soniyo Thanda piyo

Target core brands:-

Advertising and Sales Promotion:Coca-Cola works on dikega to bikega philosophy this is the main formula of the marketing strategy of each companys availability of product in the market is clear. For this reason market developer daily come in market to check their product availability. Focus on availability of products in outlets. There is big difference between the availability of products in market & outlets. CocaCola want that their product displayed in each outlet in market so it is important that the product first available in market after than it put on outlets.

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MARKETING COLA IN INDIA


The post-liberalization period in India saw the comeback of cola but Pepsi had already beaten Coca-Cola to the punch, creatively entering the market in the 1980s in advance of liberalization by way of a joint venture. As early as 1985, Pepsi tried to gain entry into India and finally succeeded with the Pepsi Foods Limited Project in 1988, as a JV of PepsiCo, Punjab government-owned Punjab Agro Industrial Corporation (PAIC), and Voltas India Limited. Pepsi was marketed and sold as Lehar Pepsi until 1991 when the use of foreign brands was allowed under the new economic policy and Pepsi ultimately bought out its partners, becoming a fullyowned subsidiary and ending the JV relationship in 1994. While the joint venture was only marginally successful in its own right, it allowed Pepsi to gain precious early experience with the Indian market and also served as an introduction of the Pepsi brand to the Indian consumer such that it was well-poised to reap the benefits when liberalization came. Though Coke benefited from Pepsi creating demand and developing the market, Pepsis head-start gave Coke a disadvantage in the mind of the consumer. Pepsis appeal focused on youth and when Coke entered India in 1993 and approached the market selling an American way of life, it failed to resonate as expected

2001 Marketing Strategy


Coca-Cola CEO Douglas Daft set the direction for the next generation of success for his global brand with a Think local, act local mantra. Recognizing that a single global strategy or single global campaign wouldnt work, locally relevant executions became an increasingly important element of supporting Cokes global brand strategy. In 2001, after almost a decade of lagging rival Pepsi in the region, Coke India re-examined its approach in an attempt to gain leadership in the Indian market and capitalize on significant growth potential, particularly in rural markets. The foundation of the new strategy grounded brand positioning and marketing communications in consumer insights, acknowledging that urban versus rural India were two distinct markets on a variety of important dimensions. The soft drink categorys role in peoples lives, the degree of differentiation between consumer segments and their reasons for entering the category, and the degree to which brands in the category projected different perceptions to consumers were
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Among the many important differences between how urban and rural consumers approached the market for refreshment. In rural markets, where both the soft drink category and individual brands were undeveloped, the task was to broaden the brand positioning while in urban markets, with higher category and brand development, the task was to narrow the brand positioning, focusing on differentiation through offering unique and compelling value. This lens, informed by consumer insights, gave Coke direction on the tradeoff between focus and breadth a brand needed in a given market and made clear that to succeed in either segment, unique marketing strategies were required in urban versus rural India.

BRAND LOCALIZATION The Two Indias India A: Life ho to aisi


India A, the designation Coca-Cola gave to the market segment including metropolitan areas and large towns, represented 4% of the countrys population. This segment sought social bonding as a need and responded to apparitional messages, celebrating the benefits of their increasing social and economic freedoms. Life ho to aisi, (life as it should be) was the successful and relevant tagline found in Coca-Colas advertising to this audience.

India B: Thanda Matlab Coca-Cola


Coca-Cola India believed that the first brand to offer communication targeted to the smaller towns would own the rural market and went after that objective with a comprehensive strategy. India B included small towns and rural areas, comprising the other 96% of the nations population. This segments primary need was out-of-home thirst-quenching and the soft drink category was undifferentiated in the minds of rural consumers. Additionally, with an average Coke costing Rs. 10 and an average days wages around Rs. 100, Coke was perceived as a luxury that few could afford. In an effort to make the price point of Coke within reach of this high-potential market, Coca- Cola launched the Accessibility Campaign, introducing a new 200ml bottle, smaller than the traditional 300ml bottle found in urban markets, and concurrently cutting the price in half, to Coca-Cola India no. 1-0085 7 Rs. 5. This pricing strategy closed the gap between Coke and basic refreshments like lemonade and tea, making soft drinks truly accessible for the first time. At the
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same time, Coke invested in distribution infrastructure to effectively serve a disbursed population and doubled the number of retail outlets in rural areas from 80,000 in 2001 to 160,000 in 2003, increasing market penetration from 13 to 25%.35 Cokes advertising and promotion strategy pulled the marketing plan together using local language and idiomatic expressions. Thanda, meaning cool/cold is also generic for cold beverages and gave Thanda Matlab Coca-Cola delicious multiple meanings. Literally translated to Coke means refreshment, the phrase directly addressed both the primary need of this segment for cold refreshment while at the same time positioning Coke as a Thanda or generic cold beverage just like tea, lassie, or lemonade. As a result of the Thanda campaign, Coca-Cola won Advertiser of the Year and Campaign of the Year in 2003

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2010 operating group highlights

25.5 Billion units cases worldwide 2010 worldwide unit case volume geographically 16% Eurasia & africa 28% Latin America 18% pacific

16% Europe

22% North America

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SWOT analysis Strength


I N T E R N A L E X T E R N A L

Weaknesses
Lack of popularity of many Coca-Colas brands Health issues Gender Product offering

Popularity Well known Branding obvious and easily recognized A lot of finance Customer loyalty International trade

Opportunities
Acquisitions Intense competition Growing bottled water market Growing Hispanic population in US

Threats
Intense competition Dependence on bottling partners Sluggish growth of carbonated beverages

Strengths
No.1 sparking beverages, juice & juice drinks and retail packing water More than 1,39,600 employees More than 500 brands and 3,500 beverage products and sell 1.7 billion servings per day in over 200 countries. The Coca-Cola Company is the number-one provider of sparkling beverages, juices and juice drinks, and ready-to-drink teas and coffees in the world. 'Coca-Cola' is the most recognized trademark, recognized by 94% of the world's population and is the most widely recognized word after "OK". Worldwide consumers(more than 200 countries)

Weakness
Weak brands released by cola company which are not able to recover the cost Health issues is the major weakness that reduces the brand loyalty, the products they have cause health problems when taken so many times Inability to restrict certain gender from using the product. Young children who might acquire health problems from taking their products are not restricted. Children who can get their products anywhere might over-consume their products since they are not given proper warning and restriction
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Product offering : The Colas close competitor Pepsi has other product offering not necessarily concerning beverage but Coca Cola has no other products offering that has nothing to do with beverages the ability of the company to stand price pressures against competitors, the ability of the company to create new ideas, the faith of employees in management and the ability to compete with other companies in the technology front

Opportunities Acquisitions: In 1990s , Coca-Cola acquired Parle due to that the Indian market has been captured During 2006, Coca-Colas acquisitions included Kerry Beverages, (KBL), which was subsequently, reappointed Coca-Cola China Industries (CCCIL). Coca-Cola acquired a controlling shareholding in KBL, its bottling joint venture with the Kerry Group, in Hong Kong and extended Coca-Colas control over manufacturing and distribution joint ventures in nine Chinese provinces. In Germany the company acquired Apollinaire which sells sparkling and still mineral water in Germany. Coca-Cola has also acquired a 100% interest in TJC Holdings, a bottling company in South Africa. Coca-Cola also made acquisitions in Australia and New Zealand during 2006. These acquisitions strengthened Coca-Colas international operations. These also give CocaCola an opportunity for growth, through new product launch or greater penetration of existing markets. Stronger international operations increase the companys capacity to penetrate international markets and also gives it an opportunity to diversity its revenue stream.

Growing bottled water market:Bottled water is one of the fastest-growing segments in the worlds food and beverage market owing to increasing health concerns. The market for bottled water in the US generated revenues of about $15.6 billion in 2006. Market consumption volumes were estimated to be 30 billion liters in 2006. The market's consumption volume is expected to rise to 38.6 billion units by the end of 2010. This represents a CAGR of 6.9% during 2005-2010. In terms of value, the bottled water market is forecast to reach $19.3 billion by the end of 2010. In the bottled water market, the revenue of flavored water (water-based, slightly sweetened refreshment drink) segment is growing by about $10 billion annually.

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The companys Dasani brand water is the third best-selling bottled water in the US. Coca-Cola could leverage its strong position in the bottled water segment to take advantage of growing demand for flavored water.

Growing Hispanic population in US:Hispanics are growing rapidly both in number and economic power. As a result, they have become more important to marketers than ever before. In 2006, about 11.6 million US households were estimated to be Hispanic. This translates into a Hispanic population of about 42 million. The US Census estimates that by 2020, the Hispanic population will reach 60 million or almost 18% of the total US population. The economic influence of Hispanics is growing even faster than their population. Nielsen Media Research estimates that the buying power of Hispanics will exceed $1 trillion by 2008- a 55% increase over 2003 levels. Coca-Cola has extensive operations and an extensive product portfolio in the US. The company can benefit from an expanding Hispanic population in the US, which would translate into higher consumption of Coca-Cola products and higher revenues for the company

Threats Intense competition: Coca-Cola competes in the nonalcoholic beverages segment of the commercial beverages industry. The company faces intense competition in various markets from regional as well as global players. Also, the company faces competition from various nonalcoholic sparkling beverages including juices and nectars and fruit drinks. In many of the countries in which Coca-Cola operates, including the US, PepsiCo is one of the companys primary competitors. Other significant competitors include Nestle, Cadbury Schweppes, Group DANONE and Kraft Foods. Competitive factors impacting the companys business include pricing, advertising, sales promotion programs, product innovation, and brand and trademark development and protection. Intense competition could impact Coca-Colas market share and revenue growth rates.

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Dependence on bottling partners

Coca-Cola generates most of its revenues by selling concentrates and syrups to bottlers in whom it doesnt have any ownership interest or in which it has no controlling ownership interest. In2006, approximately 83% of its worldwide unit case volumes were produced and distributed by bottling partners in which the company did not have any controlling interests. As independent companies, its bottling partners, some of whom are publicly traded companies, make their own business decisions that may not always be in line with the companys interests. In addition, many of its bottling partners have the right to manufacture or distribute their own products or certain products of other beverage companies. If Coca-Cola is unable to provide an appropriate mix of incentives to its bottling partners, then the partners may take actions that, while maximizing their own short-term profits, may be detrimental to Coca-Cola. These bottlers may devote more resources to business opportunities or products other than those beneficial for Coca-Cola. Such actions could, in the long run, have an adverse effect on Coca-Colas profitability. In addition, loss of one or more of its major customers by anyone of its major bottling partners could indirectly affect Coca-Colas business results. Such dependence on third parties is a weak link in Coca-Colas operations and increases the companys business risks.

Sluggish growth of carbonated beverages


US consumers have started to look for greater variety in their drinks and are becoming increasingly health conscious. This has led to a decrease in the consumption of carbonated and other sweetened beverages in the US. The US carbonated soft drinks market generated total revenues of $63.9 billion in 2005, this representing a compound annual growth rate (CAGR) of only 0.2% for the five-year period spanning 2001-2005. The performance of the market is forecast to decelerate, with an anticipated compound annual rate of change (CAGR) of -0.3% for the five-year period 2005-2010 expected to drive the market to a value of $62.9 billion by the end of 2010. Moreover in the recent years, beverage companies such as Coca-Cola have been criticized for selling carbonated beverages with high amounts of sugar and unacceptable levels of dangerous chemical content, and have been implicated for facilitating poor diet and increasing childhood obesity. Moreover, the US is the companys core market. CocaCola already expects its performance in the region to be sluggish during 2007. CocaColas revenues could be adversely affected by a slowdown in the US carbonated beverage market

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PESTEL ANALYSIS
Introduction As we all know, the Coca is todays one of the biggest corporation that offers different refreshment in form of a soft-drink. These carbonated drinks are consumed at the rate of more than one billion drinks per day. But aside from their historical success, the Coca Cola Company is still a typical business that is affected and at the same time affecting the different type of communities. Analysis The Coca Cola Company and other organizations have their own weaknesses and strengths that can both affect the future performance of their respective business. Analyzing the future constraints is an advantage for the companies since they can identify the possible factors that tend to leave an impact on their business. PESTLE analysis is a popular method that focuses in the external factors of the business and the environment where it operates. PESTLE stands for Political, Economic, Sociological, Technological, Legal, and Environmental. All of them examine the changes in the marketplace.

Political Analysis
Political analysis examines the current and potential influences from political pressures. The non-alcoholic beverages falls in the category under the FDA and the government plays a role within the operation of manufacturing these products. In terms of regulations, the government has the power to set potential fines for the companies that did not meet their standard law requirement. The changes in laws and regulations, such as accounting standards, taxation requirements and environmental laws and foreign jurisdictions might affect the book of the company as well as their entry in foreign country. Other than that, the changes in the nature of business as nonalcoholic beverages can gain competitive product and pricing pressures and the ability to improve or maintain the share in sales in global market as a result of action by competitors. The political conditions of the country are also basis of the study, especially in internal markets and other governmental changes that affects their ability to penetrate the developing and emerging markets that involves the political and economic conditions. However, Coca Cola continuously monitoring the policies and regulations set by the government.

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Economic Analysis
Economic analysis examines the local, national and world economy impact which is also includes the issue of recession and inflation rates. 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. There is a low growth in the market for carbonated drinks, especially in Coca Colas main market, North America. The market growth recorded at only 1% in 2004 for North America. Sociological Analysis This analyzes the ways in which changes in society affect the organization such as changing in lifestyles and attitudes of the market. 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. The demand for carbonated drinks decreases and this pulled down the revenues of Coca Cola. Technological Analysis Technology is the main focus of the analysis where the introduction and the emerging technological techniques are valued. This creates opportunities for new products and product improvements in terms of marketing and production. As the technology advances, new products are introduced into the market. The advancement in technology has led to the creation of cherry coke in 1985 but consumers still prefers the traditional taste of the original coke.

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COCA-COLA VALUE CHAIN

Suppliers

The Coca-Cola System

Selling Beverages
INGREDIENTS THE COCACOLA COMPANY
CUSTOMERS

WATER

WHERE HOUSE & DISTRIBUTOR S BOTTLING PATNERS

CONSUMERS

PACKAGING

WENDING MACHINE & COOLERIES

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BRANDS OF COCA-COLA

Coca-Cola Zero has been one of the most successful product launches in Coca-Colas history. In 2007, Coca-Cola sold nearly 450 million cases globally. Put into perspective, thats roughly the same size as Coca-Cola total business in the Philippines, one of the top 15 markets. As of September 2008, Coca-Cola Zero is available in more than 100 countries.

Energy Drinks For those with a high intensity approach to life Coca-Cola brand of Energy Drinks contain ingredients such as ginseng extract, Guarani extract, and caffeine and B vitamins.

Juice/Juice Drinks

We bring innovation to the goodness of juice in CocaCola more than 20 juice and juice drink brands, offering both adults and children nutritious, refreshing and flavourful beverages

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Soft Drinks Coca-Cola dozens of soft drink brands provide flavor and electrolytes team together in Coca-Cola sports Drinks, providing rapid hydration and terrific taste for fitness-seekers at any level

Tea and Coffee

Bottled and canned teas and coffees provide consumers favourate drinks in convenient take anywhere packaging, satisfying both traditional tea drinkers and todays growing coffee culture.

Water

Smooth and essential, our Waters and Water Beverages offer hydration in purest form.

Other Drinks

So much more than soft drinks, Coca-Cola brands also include milk Products, soup, and more so you can choose a Coca-Cola

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Coca-Cola: facts, figures and myths


Coca-Cola made its world debut at the Jacobs' Pharmacy soda fountain in Atlanta, where it sold for 5 cents a glass in 1886. In the first year Coca-Cola creator John Pemberton sold an average of just nine glasses a day. The company now sells 1.4 billion beverage servings every day. John Pemberton died in 1888 without realizing the success of the beverage he had created. Asa Griggs Candler, an Atlanta businessman, bought up the rights to the business between 1888 and 1891 for a total of $2,300. By 1895, the drink was in demand nationwide and Candler had built syrup plants in Chicago, Dallas and Los Angeles. The men who served Coca-Cola at soda fountains were called Soda Jerks because of the jerking motion they made preparing a glass of the fizzy drink. They traditionally wore a white hat and a white coat or apron. Marathon cyclists were the first athletes to endorse Coca-Cola. World champion and Georgia-native Bobby Walthour appeared in a 1909 newspaper advertisement that now hangs at the company's World of Coca-Cola in Atlanta. Despite Candler's successes, he didn't fully realize the potential of bottled Coca-Cola that people could enjoy anywhere and in 1899, two lawyers, Benjamin F. Thomas and Joseph B. Whitehead, secured exclusive rights from Candler to bottle and sell the beverage for the sum of only $1. Coca-Cola's first bottling plant in Asia opened in the Philippines in 1912. Coca-Cola's first bottling plant in Europe opened in France in 1919. The company, concerned by 'copycat drinks' focused its advertising on the authenticity of Coca-Cola. It decided to create a distinctive bottle shape to assure people they were actually getting a real Coca-Cola. In 1916, the contour bottle, which remains the signature shape of Coca-Cola today, was chosen for its attractive appearance, original design and the fact that, even in the dark, you could identify the genuine article. The Coca-Cola six-pack carton was introduced in 1923, an innovation at the time. The character Sprite Boy was introduced in 1942 decades before the Sprite drink. Sprite Boy helped tell people it was OK to use the name "Coke" to refer to Coca-Cola, something the company had previously resisted. It took Coca-Cola 70 years to expand into new flavours: Fanta, originally developed in the 1940s, was introduced in the 1950s; Sprite followed in 1961, with TAB in 1963 and Fresca in 1966. In 1960, The Coca-Cola Company acquired The Minute Maid Company, adding an entirely new line of business juices. The company now has an astounding portfolio of 500 brands and 3,300 beverages. Coca-Cola advertising came into its own with the, now famous, 1971 commercial featuring young people from around the world gathered on a hilltop singing "I'd like to buy the world a Coke".
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Diet Coke was introduced in the 1980s the "era of legwarmers, headbands and the fitness craze" according to Coca-Cola's website. Coke was guilty of "the worst marketing blunder ever" in 1985 when it released "new Coke", changing the recipe for the first time in 99 years. In taste tests people had said they loved the new flavour, but when it was released to the market place there was an outcry from customers and Coke was forced into U-turn, bringing back the original flavour as Coca-Cola classic. The Coca-Cola Polar Bear was introduced in 1993 as part of the "Always Coca-Cola" campaign. Coca-Cola is the only grocery product to have had sales of over 1bnin the UK.

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Conclusion

The Coca Cola Company is currently one of the biggest and most recognized soft beverage brands in the world. With over 3000 products in more than 200 countries, the CocaCola Company has surely become part of peoples lives. The Coca-Cola Company owes its success to the people who do their best to achieve the task at hand. Thus, the Cola-Cola Company takes cares of its employees in return by creating a good working environment and working along with unions and government agencies to make sure its employees are safe. The Coca-Cola Company understands that in todays business world technology is very essential to run such a big company like Coca-Cola. Therefore, the Coca-Cola Company uses different types of technology such as creating databases and data warehouse about their customers and suppliers, doing business with consumers and other businesses through the internet. The CocaCola Company even offers merchandise over the internet through its very own shopping website www.cocacolastore.com.The Coca-Cola Company also uses search engines such as Google and yahoo to advertise its products and make sure its brand reaches more people every day. CocaCola has spent over $2 million just on advertising and marketing. This makes Coca-Cola well known in many countries In addition, keeping up with today's new trends, the Coca-Cola Company also advertise its products on MySpace, face book and twitter. The Coca-Cola Company knows that no business can run without a plan. Because the Coca-Cola Company has been able to the set the entry barrier in the beverage business very high, new companies are discourage to compete with Coca-Cola. In addition, the Coca-Cola Company has agreements with many of its supplier (mostly bottling company) to exclusively provide by their services to Coca-Cola. Thus, it is almost impossible for new comers to keep up with Coca-Cola and similar competitors with recognized names in the business such as Pepsi. The Coca-Cola success isn't something that has been achieved over night. Many years has passed since John Pemberton created the secret formula for Coca-Cola in 1886. Who would have thought that after over a hundred years, his creation would have this much impact in the world and turn Coca-Cola into a worldwide recognized Company.

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Bibliography
Cococola valu chain(http://www.hks.harvard.edu/m-rcbg/CSRI/publications/other_10_MDC_report.pdf) Financial system(http://www.annualreports.com/HostedData/AnnualReports/PDFArchive/ko2009.pdf)

http://www.hks.harvard.edu/m-rcbg/CSRI/publications/other_10_MDC_report.pdf

http://www.cybernoon.com http://news.bbc.co.uk http://www.thecoca-colacompany.com http://www.coca-cola.com http://www.ko.com http://www.hoovers.com http://www.google.com http://www.wikipedia.org

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Thank you

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