THE COCA COLA COMPANY

Group 6

THE PRESENTERS

Small & Medium Enterprise Development Project Participant 2011-2012

Career Service Eligibility Examination Passer with a rating of 83.36%

MR. EMMANUEL JOHN LAGANAO

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION - MANAGEMENT

The one who is speaking right now.

MR. PATRICK JEROME MORADO

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION - MANAGEMENT

Fan ni Camille Team CAPTAIN, CYBL Basketball Team 2012

MR. ERIC QUIAMBAO

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION - MANAGEMENT

The Coca-Cola Company is a beverage company, manufacturer, distributor, and marketer of non-alcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola, invented by pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake Coca-Cola beverage, Coca-Cola currently offers more than 400 brands in over 200 countries or territories and serves 1.6 billion servings each day. The company operates a franchised distribution system dating from 1889 where The Coca-Cola Company only produces syrup concentrate which is then sold to various bottlers throughout the world who hold an exclusive territory. The Coca-Cola Company is headquartered in Atlanta, Georgia. Its stock is listed on the NYSE and is partof DJIA, S&P 500 Index, the Russell 1000 Index and the Russell 1000 Growth Stock Index.Its current chairman and CEO is Muhtar Kent.

WHAT IS COCA COLA?

VISION: People: Be a great place to work where people are inspired to be the best that they can be.

Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy peoples 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 Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities. Productivity: Be a highly effective, lean and fast-moving organization.

CURRENT VISION

MISSION: To refresh the world To inspire moments of optimism and happiness

To create a value and make a difference.

CURRENT MISSION

VISION:

To inspire our people to do their best in not only providing high quality products but while keeping in mind our responsibilities to those who support the company and to the world. MISSION: To continuously capture the worlds thirst with beverages that makes a difference.

IMPROVED VISION & MISSION

PEPSI CO.:
Vision:

"PepsiCo's responsibility is to continually improve all aspects of the world in which we operate environment, social, economic - creating a better tomorrow than today."

Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company. Mission:

Our mission is to be the world's premier consumer products company focused on convenient foods and beverages. We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.

COMPETITORS VISION & MISSION

E. Neville Isdell, Chairman of the Board/CEO

Thomas G. Martin, SVP & DirectorPublic Affairs / Communication

Cynthia P. McCaque, SVP & Director of Human Resources

Geoffrey J. Kelly, SVP & General Counsel

Muhtar Kent, President & COO

Mary E. Minnick, EVP & President MKT Strategy/Innovation

Gary P. Fayard, CFO & EVP

Irial Finan, EVP & President Bottling Invest/Supply Chain

Ahmer Bozer, President of the Eurasia Group

Dominique Reiniche, President European Union Market

Alexander B. Cummings, President of the African Group

Jose Octavio Reyes, President Latin America Group

Glenn G. Jordan, President of the Pacific Group

CURRENT ORGANIZATIONAL STRUCTURE

East and South Asia and the Pacific Rim European Union Latin America

North America
North Asia, Eurasia and The Middle East

MARKET POSITIONING MAP

Cokes Business Concept is that they are a global business that operates on a local scale in every community where they do business.

This implies that coke has a specialized marketing strategy for every culture, area or location that they do business in. Having these specialized marketing strategies enables Coke to efficiently reach their target market.

Working as A Global Team: 2 Core Assets Brand and People

Cokes competitive drive comes from their 2 core assets with its brand and their people. Their superior brand plus their highly capable employees provides high customer satisfaction.

COKES MARKETING STRATEGY VS COMPETITORS

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COKES E-COMMERCE EFFORTS

INTERNAL FACTOR EVALUATION ANALYSIS

Strengths Solid Brand Image Heavy Advertising and Promoting Activities International Operations Huge number of production facilities Strong financial position 70% of revenue comes from outside the US Specialized marketing strategy for particular country/area Dominates the global market for soft drink industry Wide variety of beverage products

Weight 0.14 0.11 0.13 0.12 0.11 0.12 0.10

Rating 4 4 3 4 3 3 4

Weighted Score 0.56 0.44 0.39 0.48 0.33 0.36 0.40

0.09 0.08 1.0

4 3

0.36 0.24 3.56

Weaknesses

Weight

Rating

Weighted Score

Sluggish Performance in North 0.15 America Some product recalls damaged 0.18 brand image Product Pricing is higher than most competitors Products being offered are restricted to beverages Not aggressive product diversification Over complexity of relationships with bottlers 0.18

2 1 1

0.30 0.18 0.18

0.18

0.18

0.16 0.15

2 2

0.32 0.30

1.0

1.46

PepsiCo.

More than double in terms of employee size. Owns the Aquafina & Gatorade Brands Leads in bottled Tea Market

Cadbury Schweppes PLC

Behind PepsiCo. And Coca Cola Highly diversified Owns brands that date back at least 200 years such as Cadbury, Schweppes, Halls, Trident, Bubbilicious, trebor, Dr. Pepper, 7up and Snapple. Winner of Britains most admired company award for 2004

60% of revenue comes from its own snack division

Better 4 You Products Also conducts business around the world

THE COMPETITORS

COCA-COLA CO.

PEPSICO.

CRITICAL SUCCESS FACTORS

Advertising Product Quality Price Competitiveness

WEIGHT
0.15 0.15 0.10

RATING
4 3 3

SCORE
0.6 0.45 0.3

RATING
3 3 4

SCORE
0.45 0.45 0.4

Management
Customer Loyalty Global Expansion Market Share

0.05
0.05 0.05 0.05

4
4 4 4

0.2
0.2 0.2 0.32

4
2 3 3

0.2
0.1 0.15 0.24

Packaging
Corporate Social Responsibility Trend Setting Logistics

0.05
0.08 0.08 0.08

4
3 4 4

0.2
0.24 0.32 0.32

4
3 3 4

0.2
0.24 0.24 0.32

Employee Value
TOTAL

0.08
1.0

0.32
3.67

0.24
3.23

COMPETITIVE PROFILE MATRIX

EXTERNAL FACTOR EVALUATION ANALYSIS

Opportunities

Weight

Rating

Weighted Score

Growing population in the US

0.20

0.80

Soft drink industry in the Asia Pacific Region forecast continues to grow

0.25

1.00

Partnerships with fast-food chains and restaurants

0.25

0.75

Producing products like Minute Maid Orange

0.30

1.20

1.0

3.75

Threats

Weight

Rating

Weighted Score

Growing Health Conscious Society Competitor penetrated deeper into the market

0.25

0.25

0.20

0.20

Sluggish growth of carbonated 0.20 beverage industry

0.40

Legal Issues, Existing Laws

0.15

0.30

Major Competitor have diversified

0.25

0.25

1.00

1.40

The Soft Drink Industry:

- Bottled Tea, the fastest growing drinks in the industry

- Rising cost of Raw Materials (Corn, Oranges, Fuel/Electricity) - Water (Limitation of water in some areas of operations requires water installation of water purification systems that results in increased manufacturing costs) - Laws (Soft drinks being banned in some areas due to a high increase in obesity levels and also with ingredients that might be hazardous to ones health) - Diversification of Soft Drink companies into other related industries (PepsiCo. Has its own snack manufacturing division)

SUMMARY OF INDUSTRY TRENDS 2007

SWOT MATRIX

Strengths Solid Brand Image

Weaknesses

INTERNAL FACTORS

Sluggish Performance in North America

International Operations

Some product recall history damaged brand image

Huge number of production facilities

Product pricing is higher than most competitors

Strong financial position

Products being offered is restricted to beverages

70% of revenue comes from outside the US

Not aggressive product diversification

Specialized strategy for a particular area

Over complexity of relationship with bottlers

Dominates Global Market Wide Variety of Product

Opportunities Growing population in the US

Threats health-conscious society EXTERNALGrowing FACTORS

Soft drink industry in Asia Pacific Region forecast to increase

Competitors penetrated deeply into the market

Partnership with fast-food and restaurants continues to increase

Intense competition

Competitor offers brand for the growing health conscious population

Legal issues

S/O STRATEGIES Take advantage of the growing demand in the Asia Pacific Region using solid brand image (S1, O2)

W/O STRATEGIES Take advantage of the growing demand in the Asia Pacific SWOT MATRIX Region to compensate for the sluggish performance in North America (W1, O2)

Use the strong financial position o finance heavy advertising and promotion and gain the favor of growing demand in the Asia Pacific Region (S2, S3, O2)

Exclusive partnership with fast-food chains and restaurants would eliminate the risk of having a higher retail price than major competitor

Further increase the partnership with other fast-food chains and restaurants to continue dominating the global market (S8, T3)

S/T STRATEGIES Use strong financial position to develop wider variety of products that will cater the growing population of health conscious people (S5,S9,T3)

W/T STRATEGIES

SWOT MATRIX

Product diversification is a must for them to cater to the growing health conscious society(W5, T1)

Use the heavy advertising and promotions backed up with huge The non-aggressive product diversification as opposed to number of production facilities to lead the intense competition competitor may result to competitor penetrating deeply into (S2, S4, T3) the market (W5,T2)

Implement specialized strategies for every area to avoid problems in existing laws (legal issues) (S7, T5)

Higher retail pricing could cause risk because of the intense competition

Based on our findings using the SWOT Matrix and SPACE Matrix we recommend to implement the following strategies:

Take advantage of the growing demand in the Asia Pacific Region using solid brand image (S1, O2) Use the strong financial position o finance heavy advertising and promotion and gain the favor of growing demand in the Asia Pacific Region (S2, S3, O2) Further increase the partnership with other fast-food chains and restaurants to continue dominating the global market (S8, T3)

RECOMMENDATIONS

Based on our findings using the SWOT Matrix and SPACE Matrix we recommend to implement the following strategies:

Take advantage of the growing demand in the Asia Pacific Region to compensate for the sluggish performance in North America (W1, O2) Exclusive partnership with fast-food chains and restaurants would eliminate the risk of having a higher retail price than major competitor

RECOMMENDATIONS

Based on our findings using the SWOT Matrix and SPACE Matrix we recommend to implement the following strategies:

Use strong financial position to develop wider variety of products that will cater the growing population of health conscious people (S5,S9,T3)

Use the heavy advertising and promotions backed up with huge number of production facilities to lead the intense competition (S2, S4, T3)
Implement specialized strategies for every area to avoid problems in existing laws (legal issues)

RECOMMENDATIONS

Financial Perspective

Customer Perspective

Improve Productivity Grow Revenue

Gain Market Share Satisfy Customer Needs

BALANCED SCORECARD

Internal Processes Perspective

Learning & Growth

Manage Operations Manage Customers Manage innovation

Diversified Working Environment Employee Satisfaction

BALANCED SCORECARD

THANKS AND FAREWELL. GROUP 6