Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
Overcoming coca cola challenges
Coca cola's business overview
Overcoming coca cola challenges
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: Overcoming coca cola challenges
Coca-Cola and PepsiCo are direct or close competitors in the soft drink industry, with 34.2% share of the liquid refreshment beverages (LRB) held by Coca-Cola and 25.8% of the LRB market held by PepsiCo (Bailey, 2014). Being close competitors the products can influence the market share of one another through successful campaigns, which is why paying close attention to marketing strategies is important. The diversification PepsiCo presents vary from Coca-Cola in the fact they have a strong presence in the snack food category which allows them to fare better through the current challenging times, when the demand for carbonated beverages are continually dwindling. PepsiCo remains a considerable foe in soft drinks and having purchased two bottler
Coca-Cola’s indirect competitors coffee chains like Starbucks offer healthy competition to Coca-Colas carbonated drinks they may not be big competition for Coke, but they do give a dent to its beverage market and similarly health drinks like Tropicana as well as energy drinks like red bull and Gatorade are stealing away market share indirectly. These chains offer healthy competition to Coca-Colas carbonated drinks they may not be big competition for Coke, but they *******do give a dent to its beverage market. The chains offer customers healthier alternatives unique choices and customer loyalty rewards that are not easily matched by Coke. Industry data suggests potential customers will continue to be pulled away from basic drink selections in favor of customizable options that carry a greater nutrition
To focus our paper. Any input is fine, I just tried to address a few broad topics and thought we could narrow them after the paper is closer to complete.
Weakness
Focus on carbonated drinks: Coca-Cola has expanded its soft drink lines, it is still very much dependent on their carbonated beverages. The business is still focused on selling coke, Fanta, sprite and other carbonated drinks. This strategy works short term as consumption of carbonated drinks will grow in emerging economies, but it will prove weak *****as the world if fighting obesity and moving towards consuming healthier food and drinks. Sluggish growth.
Negative publicity: if you watch the news you would know that obesity is a major problem affecting people now a days carbonated beverages are one of the major reasons for fat intake and coca cola is the largest manufacturer of carbonated beverages. The inference is that consumption of beverages in developed countries might go down as people will prefer a healthy alternative. Harmful ingredients to produce its drinks. Childhood obesity **. Coke has been criticized for aggressive marketing to children and suspected unfavorable health effects. Studies have been conducted coke harmful if consumed excessively.
Coke continuously out-stands Pepsi, even though they share a very similar taste and colour, however Coke should not be the drink that receives all the love and attention for what it offers. Despite their similar soda colour, the drinks actually contain some different ingredients, which produce a different taste, and affect the body differently. Furthermore, the way the companies markets their drinks makes a huge contribution to how successful their products will become. The major element for success however stems from their impact on society and how the companies utilize their social power to evolve. The two major soda companies are constantly head to head with one another, yet it is what they do that sets them apart.
The beverage industry is highly competitive and presents many alternative products to satisfy a need from within. The principal areas of competition are in pricing, packaging, product innovation, the development of new products and flavours as well as promotional and marketing strategies. Companies can be grouped into two categories: global operations such as PepsiCo, Coca-Cola Company, Monster Beverage Corp. and Red Bull and regional operations such as Ro...
The Beverage Industry is a highly competitive one and tends to be dominated by a few major actors. The two biggest worldwide known and most influential companies are Coca-Cola and Pepsi. The limited growth opportunities make this competition very intense, requiring companies to follow the trends and be always aware of the competitors' progress. However, the demand for the products depends a lot on the economic conditions within the society. Those few big players enjoy the benefits of the strong loyal customer base during the growth and stability stage in the economy, whereas in times of economic difficulties customers turn to cheaper substitutes. Thus, although the key feature of the industry is that it is very difficult for a new unknown company to enter the market and compete with well-known long-established businesses, the companies should pay significant attention to the new entrants, especially in times of economic instability. Consumer tastes are also seasonal, meaning that the demand for the carbonated beverages is higher during the hot months of the year. Shifting consumer preferences bring the concern of operating uncertainty, which greatly affects pricing strategies. The large companies pay reliable dividends...
Soda is high in calories. A 20 ounce can of Coca Cola contains 17 teaspoons of sugar and 240 calories…empty calories devoid of any nutritional value. It would take the average adult over one hour of walking to burn off the 240 calories in a 20-ounce soda.Soda increases obesity risk in children. Each additional soda or other sugary drink consumed per day increases the likelihood of a child becoming obese by about 60%. Sugary drinks are connected to other health problems as well.Soda contains artificial sweeteners. While many people opt for artificial sugar to lower caloric intake the tradeoff for your health isn’t so sweet. Artificial sugars are linked to numerous illness and diseases including
Soda is high in calories. A 20 ounce can of Coca Cola contains 17 teaspoons of sugar and 240 calories…empty calories devoid of any nutritional value. It would take the average adult over one hour of walking to burn off the 240 calories in a 20-ounce soda.Soda increases obesity risk in children. Each additional soda or other sugary drink consumed per day increases the likelihood of a child becoming obese by about 60%. Sugary drinks are connected to other health problems as well.Soda contains artificial sweeteners. While many people opt for artificial sugar to lower caloric intake the tradeoff for your health isn’t so sweet. Artificial sugars are linked to numerous illness and diseases including
Analysis of the Coca-Cola Company The Coca-Cola Company is the world's leading manufacturer, marketer and distributor of soft-drink concentrates and syrups. The Coca-Cola Company is the world's leading manufacturer, marketer and distributor of soft-drink concentrates and syrups. The Company markets many of the world's top soft drink brands, including Coca-Cola, Diet Coke, Sprite and Fanta. Through the world's largest and most pervasive distribution system, consumers in nearly 200 countries enjoy the Company's products at a rate of more than one billion serving a day.
Control of market share is the key issue in this case study. The situation is both Coke and Pepsi are trying to gain market share in this beverage market, which is valued at over $30 billion a year. Just how is this done in such a competitive market is the underlying issue. The facts are that each company is coming up with new products and ideas in order to increase their market share.
The industry overall doesn’t have a lot of threat from outside forces in technology. Because of the length of time Pepsi and Coke have been in the industry they definitely have accumulated an abundance of brand loyalty and brand equity which can allow them to survive for a long time and this would allow them to use their brand equity when they differentiate their business by leveraging the name of the brand. Globalization has served as a boost to Pepsi and Coke from the up and coming economies. This opens up a great opportunity for them to take advantage of consumption in the emerging economies as compared to the US market. Both Coke and Pepsi have the non-carbonated drink market they can expand into for growth opportunities as the demand for sugary carbonated drinks starts to
Considering individuals are becoming more health conscious it would be beneficial for Coca Cola to continue producing even more healthy products. Producing healthier drinks could potentially get their products back in schools. Researching into cheaper materials as well as environmentally friendly alternatives to plastic would be another recommendation. The main concern for Coca Cola is water supply. Without water Coca Cola would not be able to stay in business. It is recommended for Coca Cola to reduce the amount of water it uses. They have already begun a goal to improve water use. “Our 2020 goal is aggressive and builds on the 21.4% water efficiency improvement we’ve made since 2004. We expect to increasingly assess not just the quantity of the water used to grow our product ingredients, but the impact of that use as well” (Improving,
Our American market when it comes to snack foods and soda have ballooned into a billion dollar business with more choices than there are consumers. The problem is it is only a few different manufacturers who are making all of these different brands and flavors. Throughout the 80’s we had a very entertaining marketing ploy where Pepsi and Coke slugged it out in what was called the cola wars. Although these two soft drink giants have claimed most of this market there are other smaller companies who pop up every now and then with new products and unique marketing strategies. New drinks such as Fanta, Gatorade, and Snapple showed promise only to have them scooped up by Coca-Cola, PepsiCo, and Dr. Pepper respectively which pretty much speaks for itself.
The case study "Cola Wars Continue: Coke and Pepsi in the Twenty-First Century" focuses on describing Coke and Pepsi within the CSD industry by providing detailed statements about the companies’ accounts and strategies to increase their market share. Furthermore, the case also focuses on the Coke vs. Pepsi products which target similar groups of customers, and how these companies have had and still have great reputation and continue to take risks due to their high capital. This analysis of the Cola Wars Continue case study will focus mainly on the profitability of the industry by carefully considering and analyzing the below questions. Why is the soft drink industry so profitable? Compare the economics of the concentrate business to the bottling business: Why is the profitability so different?
Weaknesses – Coca-Cola is a very successful company with an impeccable social media following. Word of mouth is probably a strength, but only when feedback from consumers is positive, but there are people who are against Coca-Cola and their products. Even though Coca-Cola produces over 200 brand products, Coca-Cola lacks the social media popularity of other brands that they produce (Moth, 2013). Many drinks that they produce are extremely popular such as Coke or Sprite, but there are a lot of Coca-Cola products that are unknown, unseen, and unavailable for
PepsiCo is one of the most recognized names in the snack and beverage industry, with brands like Frito-lay, Gatorade, Tropicana, and Quaker, however, it is best known for its flagship soft drink brand - Pepsi and its rivalry with Coca-Cola. To begin, PepsiCo first caught my Interest in the way it manages its business and markets its products. PepsiCo being a relatively young company compared to its rival Coke, has proven to be a formidable opponent going “head to head” with one of the biggest companies in the world (Coca-Cola). Now, when I notice PepsiCo’s growth, the first thing that came to my mind was that it is thanks to its great marketing campaigns, that Pepsi has grown to become the globally recognized brand that it is today. I also admire PepsiCo because I think the there is a high level of entrepreneurship in the way they acquired smaller brands like Gatorade thereby eliminating their competition before they become competition.
There are a variety of beverages available to us today with a wide range of differences, some are flavored, carbonated, low calorie, energy boosters, and just plain water. When it comes down to carbonated drinks there are two major rivalry soda companies dominating the market. Coca Cola and Pepsi are two well know cola distributors with very credible history, but the question still remains one is America’s favorite? With the ongoing competition between Coca-Cola and Pepsi, each company is incorporating new strategies for marketing and advertising there brands. When comparing an advertisement from each of the companies, we will review how they appeal to consumers.
Experimentation with the new market for carbonated beverages on the decline coke has done experiments in new flavors and healthier alternatives to try to stay competitive. As well as investing in “Keurig Green Mountain is a K-Cup maker but has a new Keurig Cold that can deliver Coca-Cola through the new system.” (Cooper, 2014)