Title: Essay of strategic management
Introduction
Coca-Cola is the world largest company in beverage. It is the most successful beverage company in the past 50 years for its’ strategic communication. Besides, it also indicate its mission documented to state holders in terms of using strategic management , but they should reshape a more detail about formal mission statement. Considering their statement of vision, they are in a shroud of secrecy, especially its website and falls by controlling the company’s future as the supports in case of company strategy, and the company should also be reformed in order to offer a detail tract for future and goals.
Industry analysis - PEST analysis
A PESTLE analysis is a tool used to examine the macro environment
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To give example case, Coca-Cola is legally franchised in 2013 in Myanmar and has already got the admission from Myanmar FDA for its products. The one of the main objectives in Coca-Cola is to reach the standard of human workplace and rights in 2020. Thus, the company is primarily emphasized on those issues and payments of employees. Therefore, the ethics department is trained to handle well for the employee payments request which is confirmed by Myanmar government and any other issues of the employees.
Economic
During the three years from 2013 to 2016, the exchange rate is higher yearly in some developing countries. As an example, the exchange rate from US dollars to Myanmar Kyats is 1009ks in 2013, but now 1300ks. Consequently, the production rate is also increased. To compare the normal product price, Coca-Cola 425ml plastic bottle was 150 kyats in 2013, but in now 300 kyats. Furthermore, the Myanmar government rises up the taxation for foreign company. In sequence, the company increases the product price to cover up the higher tax rates.
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Nowadays, the carbonated soft drink becomes the essentials in having with fast food. For instance, the fast food restaurant, such as, KFC, the Pizza Company and Pizza Hut have been franchised officially in Myanmar. Therefore, carbonated soft drinks are well-known, trendy and sold together with this fast food. As an initiative product lines, Coca-Cola produce other product for customer who prioritize the healthy products which are zero cola, diet cola and energy drink, etc. For those kinds of products, the company mainly decreases the fat and sugar for the prevention of diet.
Technology
As the advance technologies are fostering, the producing of Coca-Cola products have already affected in different ways. In current condition, providing the training to the production teams to be more effective and familiar with the machines and materials as the need of improved technologies are the primarily tasks in company. Besides, Coca-Cola is now testing with 24 hours hotline service for the customer feedback in hosted countries, including with 14 languages.
Porter’s 5 forces
A PESTLE analysis is a macro environmental framework used to understand the impact of the external factors on the organization. PESTLE stands for "Political, Economic, Social, Technological, Legal and Environment” factors.
ASDA is a UK supermarket US capital, with headquarters located in Leeds. It became a subsidiary of Wal-Mart in July 1999 and is now the second chain market share of supermarkets. ASDA must "make goods and services more affordable for everyone"
According to BPMgeek and professional academy the PESTLE analysis is a macro environmental structure/tool that organizes and implements strategic planning for external factors affecting the business
This test was carried out by choosing three tablets from each formulation after weighing them. The temperature of the dissolution apparatus was adjusted at 37°C and the speed of paddles was constant at 50rpm.After that, each vessel of the dissolution apparatus was full with 1 liter of phosphate buffer. Subsequently, each tablet was placed into its individual vessel. The test was performed over 8 hours with extracting 10mL of each sample and replaced with the same amount of the phosphate buffer which was at the same temperature over the 8 hours as the following: half an hour, one hour, two hours, three hours, four hours, five hours, six hours, seven hours and eight hours. The all withdrawn samples were analyzed by using the UV spectroscopy
Therefore, the long-term brand of Coca cola and better pricing strategies would help in competing with Pepsi. Unlike, Pepsi, Coca cola had targeted entering into partnership and alliances with local distributors and firms. This helps to develop strong relationship within the domestic firms to reduce the domestic barriers and thus, enhance the company’s competitiveness (Thabet, 2015). Lastly, the Asian markets consist of related and supporting industries to the soft drink industry that helps the companies in gaining a strong competitive position in the markets. Based on the competitive advantage of nation’s model, Coca cola has more home based advantages to develop a competitive advantage in relation to other countries on a global
... objects and customer regions. Do making a clear differentiation image between its soft drinks and bottled water. Because the consumers may believe that bottled water of Nestle sounds healthier than Coca-Cola brand since Nestle tend to emphasize their image on healthy food products. Then do market test for new taste, new packaging, or new innovation according to each regions, and especially for Europe, the company should launch the new one to replace Dasani image in order to seize their market shares. They may renew all nutrients and packaging. Finally Coca-Cola should continue its joint ventures with the regional companies in order to protect their products from barriers to entry both international trade restrictions and distribution channels. Furthermore, joint venture with local brand is a long term contract guarantee to make it easier for HOD to a specific region.
PESTEL analysis is the technique where political, economic, socio-cultural, technological, environmental, and legal factors are evaluated to identify external forces that impact market’s growth or decline. Assessment of the external environment helps to recognize key drivers and create a development strategy for the company.
In order to identify the uncertainties in Shell’s far environment I decided to use a PESTLE analysis approach to the oil and gas industry.
The Coca-Cola Company was founded in 1892. Since its inception, the organization has seen a steady increase in its market share over the years, and to this day has operations in over 200 countries worldwide. To achieve such success in its competitive market, Coca-Cola has employed sound strategies that have helped it become among the leaders in its industry. The Coca-Cola Company utilizes Market Based Management (MBM) techniques as well as Value Driven Management (VDM) techniques within the organization and in its market to help the firm sustain its stronghold of the market.
A PESTEL investigation is a structure or device utilized by advertisers to examine and screen the large-scale natural (outside promoting environment) figures that affect an association. The consequence of which is utilized to recognize dangers and shortcomings, which is utilized as a part of a SWOT examination.
PEST Analysis (Political, Economic, Social & Technical Analysis) A PEST analysis (also sometimes called STEP, STEEP or PESTLE analysis) looks at the external business environment. In fact, it would be better to call this kind of analysis a business environmental analysis but the acronym PEST is easy to remember and so has stuck. PEST stands for Political, Economic, Sociocultural and Technological. (Technological factors in this case, include ecological and environmental aspects - the second E in STEEP and PESTLE, while the L in PESTLE stands for legal).
Pestle analysis is the tool to analyze the external environment of the business. It takes the different factors according to which the opportunities and threats can be analyzed and the actions plan can be made.
To sum up, from the above study, we can know that each brand before they success until the Present. Which they ever have experienced about problems and have to change marketing strategy for increase sales and produced a great creativity to the consumers. When compared the marketing strategy between KFC and Coca-Cola. Which its can conclude that, both brand have similar marketing strategies which led to successful brand
Demographic factors are one of the important changing factors that impact the operations of the company and also the lifestyle of the company gets impacted. People are leading to healthier life and the demand of food as well as beverages will not fulfil one’s requirement so Nestle will not affect much in nutrition.
PESTLE analysis, which is sometimes referred as PEST analysis, is a concept in marketing principles. Moreover, this concept is used as a tool by companies to track the environment they’re operating in or are planning to launch a new project.product, or service etc.