PRESENTED BY

AYESHA SADAQAT
TOOBA SHOQAT
SALEEM KHAN
HAREEM
RAFAY
ABDULLAH SAEED
 THE COMPANY
 World’s leading non-alcoholic beverage manufacturer with 500
brands

 The company found in 1886 established it’s headquarters in Atlanta

and functions in 200 countries

 Coca Cola is known as a global company because of its varied taste

based on consumers’ preference
 The company meets customers through the vast and efficient
distribution system and company owned bottling plants
PRIMARY BUSINESS
 VISION
“Be the outstanding beverage company leading the
market, refreshing the world, inspiring moments of
optimism and happiness, and adding value through
excellence.”
 MISSION

“Build a sustainable and profitable business

through refreshing consumers, partnering with
customers, delivering superior value to
shareholders and being trusted by communities.”
 VALUES

“Coca-Cola aims to maximize their profits while

maintaining a long-term sustainable growth within
the beverage industry. The company's mission
statement states that the company aims to: refresh the
world, inspire moments of optimism and happiness.”
 TYPE OF ORGANIZATION

A top down approach is followed in Coca Cola in order to maintain a quick

communication among the members.
 Formal Communication
At all levels of organization there lies a proper flow of information in a systematic
way.
 Top-Down Communication
Downward flow of information is maintained in Coca Cola.
 Top Management Makes the Decision
All important and necessary information is passed among the group member
through the head of department.
 COCA COLA PAKISTAN

 Arrived Pakistan in 1953

 Locally produce and operates
 Marketing according to local culture (mostly emotional level)
 Since 2006, all bottling plants are under company’s supervision
 By 2013 company established 6 plants and 13 warehouses to cater
180 million customers
 HISTORY

https://www.youtube.co
m/watch?v=PD-UFKY9MP8
 PEST ANALYSIS

 POLITICAL ANALYSIS:
Covers laws, regulations taxations policies and trade barriers side of the market
 POLITICAL INSTABILTIY AND STRIKES:
warehouses stores cokes suffice to meet the demand in case of series of strikes
and political disruption for 1-3 months
 EFFECT OF LABOR LAWS:
labors with no eye-wears in the glass bottling area
The noise was too much to bear
It can be said that the management is nearly failed to attempt its procedural
obligations
 CONSUMER LAWS:
It’s consumer law that a company should let its consumer know the content and
nutritional information of their product
The Coca Cola Company doesn’t reveal the composition of the concentrate it imports from
USA and hence, is in vulnerable position in this regard

 ABILITY TO PENETRATE EMERGING AND DEVELOPING MARKETS:

Coca -Cola's ability to form an efficient strategic business alliance with local bottlers is a
crucial approach in this regard, along with its capacity to enhance their production amenities,
distribution networks, sales equipment, and technology.
 PEST ANALYSIS
 ECONOMIC ANALYSIS:
covers inflation rates, interest rates, taxation changes, GDP, exchange rates and revenue side of the
market

 JOB CREATION:
Though its value cycle, Coca-Cola claims to boost job creation. It acts as a responsible organization by
contributing to the society by paying taxes, hiring local individuals, paying suppliers on time and
engaging in community welfare projects.

 CHANGES IN NON-ALCOHOLIC BUSINESS ERA:

CCPBL has come up with the competitive pricing policy and ability to maintain or earn share of sales in
local market in order to compete its rivals specifically Pepsi.
 PEST ANALYSIS

 SOCIAL ANALYSIS:
Covers aspects like life change in lifestyle, impact on demand, consumption of company’s product and
willingness of people to consume

 HEALTHY LIFESTYLE CONCERNS:

The concept of healthy lifestyle has strongly influenced the sales within non-alcoholic beverage
Coca Cola has successfully come up with the products such as Coca-Cola Light or Zero that addresses
the healthy diet concerns
But with increasing knowledge people a strictly switching to water from non-alcoholic soft drinks
 ADAPTION AND CULTURAL BORROWING:

Adaption plays a significant role in capturing the international markets

Coca-Cola Company recognizes the need of open tolerance to concept of being

different and equal

The advertisement campaigns focus on relationships, family events and gatherings,

festive occasions like Eid and basant
 TECHNOLOGICAL ANALYSIS:

 Coke’s Marketing, Advertising, and Promotional Programs:

Coca cola possess mind-blowing strategy to effectively promote their products through the
channels of TV, websites, and social media that enhances its sales
Few honourable mentions:
 Coke Studio Session 8 raised the company’s sales by 42%
 Its “Share a Coke” campaign in which customized bottles was introduced with various popular
names created a buzz among consumers
 ACCESS TO THE INTERNET:
With the ease to access internet, social media has become a great mean to provide huge growth in
consumer awareness, brand identity, promotions and direct-to-consumer Communication

 PACKAGING DESIGN:
As the cans and plastic bottles were introduced, the sales volume increased with a great margin for the
company because of the ease in carrying and disposing the containers

 NEW EQUIPMENT:
Because the technology is continuously advancing, new equipment is constantly being introduced by
CCBPL. Because of these new technologies, Coca-Cola's production volume has increased sharply
compared to that of a few years ago

 REDUCED COST OF PRODUCTION:

With the up gradation of technology and high levels of automation in manufacturing, volume production is
being done that has reduced the cost of production
 PORTER’S FIVE FORCES
Porter’s Five Forces Model is used to scrutinize the exterior aggressive
pressure to the Coca-Cola in this section. The five forces suggested by
Porter that determine the profitability of the industry are:

 New entrants to the industry

 Competitive rival sellers within the industry
 Strong threat of substitutes
 Low threat of suppliers
 Bargaining power of buyers
LOW THREAT OF NEW ENTRANTS:

 The soft drink industry has low threat of new entrants because the cost of
production
 The existing bottlers are forbidden to captivate on new entrants in the soft
drink industry because they have made agreements with the Coca-Cola and
PepsiCo
 The Coca-Cola and PepsiCo offered retailers the major margin of 15% to
20% to place their product in the front shelf
 Also the Coca-Cola and PepsiCo invests heavily in advertising from
decades, so this is nearly impossible for a new entrant to advertise such
heavily
STRONG THREAT OF SUBSTITUTES:

There are various substitutes for Coca-Cola products

including bottled water, sports drinks, coffee and tea. As in
present, consumers are more conscious about their health,
bottled water and sport drinks are becoming more
demandable. This trend is exemplified in the beverage
consumption pattern of the ageing baby boomers.
LOW THREAT OF SUPPLIERS:

 Commodity ingredients providers and bottlers are the major

suppliers of Coca-Cola. The bargaining power of commodity
ingredients suppliers is low
 The profitability of the Coca-Cola’s products is directly affected
with an increasing rates of sugar and packaging material
 Coca-Cola is outsourcing the services of the independent bottlers
in spite of bottling itself.
 Coca Cola have an enhanced distribution network and more
rapidly marketing of products
MODERATE BARGAINING POWER OF BUYERS:

The buyers of coca cola have a larger bargaining power. The

company sales its products to the large grocery stores such as
Metro, Metro, Imtiaz, Naheed, Chase etc. Convenience stores,
restaurants in bulk for reselling purpose. Therefore, the buyers
have strong bargaining power. As grocery stores, supermarkets,
convenience stores, restaurants buy the soft drinks in larger
quantity therefore they bargain at lower price
STRONG COMPETITIVE RIVALRY:

 PepsiCo is the main competitor for Coca-Cola and these two brands have
been in a power struggle for more than a century
 PepsiCo dominated North America with sales of US$22billion, while
Coca-Cola only had about US$7billion
 If we consider brand loyalty, Pepsi has more loyal customers than Coca-
Cola
 Diet Pepsi has highest ranking in diet soft drinks
 coke which is the highest ranking brand of Coca-Cola has very low
ranking as compare to Pepsi
SWOT ANALYSIS
 STRENGHTS
 It is the number one beverage in terms of distribution and sales and value
($77,389 billion).
 Its portfolio comprises of famous brands like Coca-Cola, Kinley, Fanta,
Minute Maid, Limca, Maaza, etc.
 Globally present and has reach in almost 200 countries.
 It has more than 500 brands to offer
 Employees almost more than 150,000 people globally
 Financially strong
 Maintains strong brand recall by associating their brands with brand
ambassadors and celebrities through advertising and marketing.
 Socially responsible: Taken CSR initiatives in the avenues of
education, recycling and water conservation, health, etc.
 Gives emphasis recycling and reusing through its efficient and
effective packaging and disposing techniques.
 The brand has long been associated with scholarships, donations and
international sports.
 Customer Loyalty
 Bargaining power over suppliers
 WEAKNESS

 Traces
of pesticides found in the cola beverages had
damaged the image of the brand.
 PepsiCo is a strong competitor in the fizzy drinks industry
and thus constant competition runs between them for market
share.
 Absence in the food and snacks industry.
 Negative publicity
 THREATS

 Health reports claim Coke is harmful to health; Consumers have

become health conscious.
 Compliance with regulations and laws of various countries in which
they operate and distribute.
 Economic slowdown, inflation, currency instability, etc.
 Head-to-Head competition with PepsiCo.
 OPPORTUNITIES
 Takeover and acquire other companies to enter other industries.
 Reach untapped markets and countries where Coca-Cola has not been
introducing yet.
 Market and promote the less known products of the portfolio.
 Diversify into other industries like snack market to beat PepsiCo.
 Advance technological progression
 TOWS ANALYSIS
THREATS:
 Exchange Rates in different countries.
 Large Competition.
 Growing Global Warning problem.
OPPORTUNITY:
 Growing Population.
 Technological Advancements.
 Growing demand for healthier product.
WEAKNESS:
 Seen as an unhealthy product.
 Low popularity in the Middle East.
 Use of Fossil Fuels to make bottles.
STRENGTH:
 Large market share.
 Strong advertisement campaigns.
 Customer loyalty to the brand
 THREATS AND WEAKNESS

 Coca cola can make a healthier product which is more appealing, which will also
help them with the threat of competition.
 They can buy local products to help break into the Middle East market and also
minimize exchange rates.
 Coca cola can build a more sustainable bottle that doesn’t use Fossil Fuels and is
also more recyclable to help with Global warming
 OPPORTUNITIES AND WEAKNESSES

 Coca cola need to make their product healthier so they can get a better image and also target
the rising demand for healthier products.
 They need to use to use the rise in technological advances so they can build a more
sustainable bottle and not use Fossil Fuel.
 They can try to target a different market in the Middle East. The growing population has
opened a lot more markets everywhere and they can try to target a different one to become
more popular in the Middle East.
 THREATS AND STRENGHTS
 Coca cola have strong customer loyalty so they can afford to increase the cost of their product
in order to tackle the different exchange rates.

 Coca cola have strong advertisement campaign. If they come up with better and smarter ways
to advertise they can easy compete with other brands.

 Coca cola have a large market share. Because of this they are more popular than other brands
and they can try to make partnership with other organizations and together try to battle Global
Warming.
 STRENGHTHS AND OPPORTUNITIES

 The rise in population has opened up more markets which Coca cola can target to increase
their market share.
 They can take advantage to technological advances to create better advertisement
campaign.
 They can make a healthier product to meet the demand for healthier products which in turn
will also increase their customer loyalty.
 SPACE Matrix:
 A tool used by the strategic management to formulate its strategies
 Coca Cola’s SPACE Matrix:
As we can see coca cola’s directional vector is positioned in the
aggressive vector which is upper right quadrant. This shows that
an organization is in outstanding position to utilize its internal
strengths in order to overcome weaknesses. It can also obtain
the advantage of external opportunities and avoid external
threats. In this way market development, market penetration,
product development, forward, backward and horizontal
integration or strategies mix can be used according to the
specific environment that the company is performing at the
time.
 RECOMMENDATIONS

 For the product like diet coke, pulpy orange, etc. is better to stop
manufacturing these products.
 Invest profits for future growths and for earning more of market share and
profits.
 Invest heavily into products like Fanta and Sprite in order to push the
product to star status.
 For Coca-Cola cost management, product differentiation and marketing
have become more important as growth slows and market share become
the key determined of profitability.
 The organization has to carefully study external moves and accordingly
devise strategies to gain competitive advantage.
 Coca-Cola has to make every possible moves to ensure that its image remain that often
FMCG giant that would never compromise on the quality front.
 New advanced technology should be utilized for overall operations.
 The organization must provide training opportunities to its workers and officers to
minimize the factor of human error.
 The concept of Green should be clear to all the employees of every department and each
level.
 More attention should be given to small outlets.
 Other than coke, other products with less demand should also be considered for the
promotional strategies.
THANK YOU