Group

Members:
Muhammad Abu
Baker
Waseem Azam
Fahad Tariq
Danish Aftab
Waqas Aziz
Almas Omer
Table of
Content:
M . Abu -
Baker
 Introduction
1886 It was produced by


•
Dr.John ・ S ・
Penbarton.
1887 It was launched in America
by E ・ G ・ Candler
1961 It land in Japan
 H isto ry
• 1894 – A modest start for a Bold Idea
• 1899 The first bottling agreement
• 1900-1909 … Rapid growth
• 1916 … Birth of the contour bottle
• 1920s … Bottling overtakes fountain sales
• 1920s and 30s … International expansion
• 1940s … Post-war growth
• 1950s … Packaging innovations
• 1960s … New brands introduced
• 1970s and 80s … Consolidation to serve customers
• 1990s … New and growing markets
• 21st Century
The Coca-Cola bottling system grew up


 BRAN D S O F CO CA
 Coca-Cola Zero® C O LA

 Energy Drinks

 Juices/Juice Drinks

 Soft Drinks

 Sports Drinks

 Tea and Coffee

 Water

 Other Drinks


MAP: Showing Workforce [71,000 in
2006]
 CURRENT ORGANIZATIONAL
CHART
CEO
nt Bottling Invest/
CFOSupply
and
EVP/EVP
Chain
President MKTPresident
Strategy & SVP
COO& General
SVP & Director
Counsel
SVP & Director
Human Public
Resources
Affairs/ Co

President of
President
EurasiaEuropean
Group President
Union Market
of African
President
Group
Latin America
PresidentGroup
of Pacific Group
 Core Problem


 “In-Justice In The
Hierarchy Of
Organizational Chart”
Waseem
Azam
Competitors
PEPSI

CADBURY SCHWEPPES

GROUPE DANONE

SOFT DRINK INDUSTRY

Coca Cola Vs Pepsi
 OUR
MISSION
Our mission declares our purpose as a company. It serves as


the standard against which we weigh our actions and

decisions. It is the foundation of our Manifesto.
ü To refresh the world in body, mind and spirit.
ü To inspire moments of optimism through our brands and
our actions.
ü To create value and make a difference everywhere we
engage.

 OUR VISION
Our vision guides every aspect of our business by


describing what we need to accomplish in order to

continue achieving sustainable growth.
ü People: Being a great place to work where people are
inspired to be the best they can be.
ü Portfolio: Bringing to the world a portfolio of quality
beverage brands that anticipate and satisfy people's
desires and needs.
ü Partners: Nurturing a winning network of customers and
suppliers, together we create mutual, enduring value.
ü Planet: Being a responsible citizen that makes a
difference by helping build and support sustainable
communities.
ü Profit: Maximizing long-term return to shareowners
while being mindful of our overall responsibilities.

UNIT CASE
VOLUME
COCA COLA - RATIO ANALYSIS
Growth Ratios 2006 2005
Sales Growth 4.30% 5.20%
Income Growth 4.30% 0.50%
Asset Growth 1.80% -6.10%
Activity Ratios
Receivable Turnover 9.7 10.4
Inventory Turnover 5.3 5.8
Fixed Asset Turnover 3.5 4
Profit Ratios
Profit Margin 21.10% 21.10%
Return on Assets 17.10% 16.00%
Return on Equity 30.50% 59.60%
Dividend Payout Ratio 57.30% 55.00%
Price Earnings Ratio 22.3 19.8
Liquidity Ratios
Current Ratio 0.95 1.04
Quick Ratio 0.6 0.72
Solvency Ratios
Debt to Total Assets 0.44 0.44
Times Interest Earned (Accrual) 30.9 28.88
Times Interest Earned (Cash) 28.08 27.76
Fahad
Tariq
 Strengths
• Leading brand value and a strong brand portfolio
• Large investments in brand promotions
• Sells its products in more than 200 countries
• Company also owns bottled water production and still
beverage facilities as well as a facility that manufactures
juice concentrates.
• These three segments are Latin America, ‘East, South Asia,
and Pacific Rim’ and Bottling investments
• Return on total assets increases over the period consistently
2005, 06, 07 15.47%, 16.55%, and 16.95% respectively.
 Weaknesses
• Negative publicity in India
• Inventory turnover decreased by 13.29%
• Return on equity decreased by 40.50%
• Sluggish performance in North America Coca-
Cola’s performance in North America was
far from robust
• Collection form debtors decreased by 15.68%
Danish
Aftab
 SWOT ANALYSIS

STRENGTHS


• Brand equity/image & recognition

• Product distribution and worldwide
network
• Solid financial performance
• One of the world's most recognized
brand.
• Product diversification (water, juices,
soft drinks, sport drinks, etc)
• Co-operate identity.
• Innovation
 SWOT ANALYSIS
WEAKNESSES


• Credit rating
• Customer concentration, particularly in
the US (Wal-Mart accounts for more
than 10% of Coca Cola's business in
the US)
• A lot of loyal Pepsi customers are not
enough loyal Coca Cola customers
• Does not enjoy the number one position
in India, Pakistan.

 SWOT ANALYSIS
OPPURTUNITIES


• Possible growing demand.

• Expansion – Reaching all segments.
• Globalization
• Catering to Health Consciousness of
People
• Bottled water growth
• Acquisitions of smaller players.

 SWOT ANALYSIS
 THREATS
•
• Health Drinks – Fruit Juice Companies
• Key competitors (Pepsi, etc)
• Commodity prices growth
• Image perception in certain parts of the
world.
• Smaller, more nimble operators/players

  Good Points


• Brand Promotion
• Attractive products selection
• Provision of multimedia product
• Personal attention
• Community relationships
•
 Weak Points


• Performance and service: that is not easy navigation,

shopping and purchasing, and prompt shipping and
delivery.
• Discount pricing is not being offered.

Waqas
Aziz
 INTERNAL FACTORS EVALUATION
Current Evaluation: 2.24
Less than average of 2.50

Need efficiency in the Management,

Marketing,

finance, MIS, R & D , and other operations.


EXTERNAL FACTOR EVALUATION
Current Evaluation :2.86
Total weighted score of 2.86 indicates that the

business has slightly above than average ability

to respond to external factors.



 SPACE MATRIX
FS
+6.00

Conservative Aggressive

+2.25

CA IS
-6.00 -1.00 +1.00 + 3. 5 +6.00

Defensive Competitive
-6.00

ES
 BCG
MATRIX Relative Market Share
Growth in sales of industry
IE MATRIX Internal factor evaluation (IFE) Total weighted score
External factor evaluation (EFE) Total weighted score

Strong = 3.0 to Average = 2.0 Weak 1.0 to

3.99 to 2.99 1.99

High = 3.0 to I II III

3.99

Medium = 2.0 IV V VI
to 2.99 COCA COLA

Low = 1.0 to VII VIII IX

1.99

INTERNAL FACTOR
EVALUATION (IFE) = 2.24
EXTERNAL FACTOR
EVALUATION (EFE) = 2.86
Almas
Omer
Recommendations

• The company should measure Retailers

satisfaction regularly.
• Review meeting should be often held so that
the working pattern of the executives can
be checked and improved if needed.
• Company representatives should visit
retailers and should make a long-term
relationship with retailer so that they can
push the product.
• Company should attains on small outlets so
there sales can increase.
• For marketing strategy of company should
divers it business in related this sector
• Now company should launch new taste of soft
drinks like recently launched Minute Maid
& also launched new product in another
flavor.
Conclusion
 Coca Cola Company has a strong
competitive position in the market with
rapid growth. It needs to use its internal
strengths to develop a market penetration
and market development strategy. This
includes focus on Water and Juices
products, and catering to health
consciousness of people through
introduction of different coke flavor and
maintaining basic coke flavor.
Thanks
 All this improvement is great, but all that does is get us in
the game to play for improvements that we need in the
future, so that we can be aggressive in the marketplace.