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Coca cola overall image
History and background of coca cola company
History and background of coca cola company
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1. Description of the firm
a. Company history
Coca Cola has been started as a great icon in the US by Dr. John S. Pemberton back in the 1880’s. Pemberton created a unique flavored soda that was sold to “old fashioned pharmacies”. The Coca Cola name and trademark was designed by Dr. John Pembertons partner and also book keeper Frank Robinson.
From 1886 to 1899 Coca Cola went from a startup to a wide success. Starting with portable beverages led Coca Cola to begin bottling their beverage in many different states. Three entrepreneurs, Joseph Whitehead, Benjamin Thomas and John Lupton purchased the bottling rights, which then became Coca Cola’s worldwide bottling system.
As a soft drink that has branded such substantial popularity over one
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Mission of the company
Coca Cola’s mission statement is “To refresh the world in mind, body and spirit… to inspire moments of optimism and happiness through our brands and actions… and to create value and make a difference” (Staff, 2016).
c. The size and scope of the firm
Coca Cola currently has an average of 120,000 thousand full time employees worldwide. The Coca Cola Hub is located in Atlanta, Georgia. The employees helped produce Coca Cola’s popular American drink, bringing in over $1.5 billion in net sales in the first quarter in 2016. The Demographic profile of Coca Cola’s customers is so diversified, because of the multiple products they offer to the variety of markets. Coca Cola strategically analysis there products to target and mass market for the right customers, areas and preferences. This creates wants and needs to help brand new products and unpopular products.
d. The firms culture and philosophies
Coca Cola as an employer and distributer believes in “passion” for its workplace and its customers. The company creates equality and diversity throughout the corporation, which creates sustainability. “From day one, you’ll notice a culture where our people are truly dedicated to living our values” (Staff,
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Coca-Cola’s competitors are nowhere near outperforming them, and even though PepsiCo is a more diversified industry and has went into different segments rather than just the beverage segment, their numbers are not as close yet. According to the statistics portal, in 2015 Coca Cola had a market share of 48.6 percent outperforming PepsiCo and all other beverage industries around the world. Pepsi however had less than half of Coke’s market share standing at 20.5 percent; leaving other carbonated beverages at 30.9 percent market share. (http://www.statista.com/statistics/387318/market-share-of-leading-carbonated-beverage-companies-worldwide/) (Where I got the numbers from).
When we think about Coke, we usually compare it to Pepsi right away due to the fact that both beverages have very similar taste and ingredients, in a matter of fact if you were to close your eyes and have a sample of both those carbonated drinks; you most likely wouldn’t be able to tell which drink is what. With that being said, we can agree that Pepsi is there rivalry existing competitor right now, and that the competition is relatively
The history of Coca Cola began in 1886 and it was founded by Atlanta pharmacist, Dr. John S. Pemberton the curiosity led him to create a distinctive tasting soft drink that could be sold at soda fountains. The first servings of Coca – Cola were sold for 5 cents for a glass. During the first year, sales were a meek nine portions per day in Atlanta. Today, daily servings of Coca Cola beverages are estimated at 1.9 billion globally. In 1886 he sold to Atlanta businessman, Asa G. Candler. Under the leadership of Mr. Candler’s the distribution of Coca – Cola expanded to soda fountains. In 1894, overwhelmed by the growing demand for Coca Cola and the desire to make the drink movable, Joseph Biedenharn fixed bottling machinery in the rear of his Mississippi beverage fountain, becoming the first to place Coca Cola in bottles. Considered an innovative tactic back in 1887, it was followed by newspaper publicity and the distribution of promotional items bearing the Coca Cola script to participating pharmacies. One of the most famous advertising slogans in Coca Cola history “The Pause That Refreshes” first appeared in the Saturday Evening Post in 1929. In 2009, the “Open Happiness” campaign was unveiled globally. The central message of “Open Happiness” is an invitation to billions around the world to recess, revive with a Coca Cola, and continue to enjoy one of life’s simple pleasures.
According to Coca-Cola “Globally, Coca-Cola is the number one provider of sparkling beverages, juices and juice drinks, with nearly 200 no and low calorie products. As of 31 December 2016, the company had over 100,300 associates worldwide and has more than 900 plants around the world. The Coca Cola brand from 2006 to
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.
Coca –Cola (KO) is one of the world’s largest beverage companies. Company was incorporated in September 1919 under the State of Delaware law and headquarters is located in Atlanta Georgia. But from 1886, company established its brand in US (Coca-Cola, 2012, p. 1). Currently company is providing for more than 500 varieties of non-alcoholic sparkles to the customers around the world. Apart from this, company also serve for still beverages that includes enhanced water, water, ready-to-drink, juices, energy drink, sport drinks and so on.
Coca-Cola was formulated by John S.Pemberton, originally as a cocawine called Pemberton's French Wine Coca, and originally sold as a patent medicine for five cents a glass at soda fountains, which were popular in America due to a contemporary view that soda water was good for your health. Coca-Cola is the trademarked name, registered in 1893, for a popular soft drink sold in stores, restaurants and vending machines around the world.
For well over a century, both Coca-Cola and Pepsi have been battling it out for the top spot in the soft drink market. For the first 12 years after Coke’s creation, it reigned supreme, having no competition until Pepsi’s creation in 1898. As Pepsi was taking its first steps as a company, Coca-Cola was already selling a million gallons of Coke
How has the competition between Coke and Pepsi affected the industry’s profits? Can Coke and Pepsi sustain their profits in the wake of flattening demand and the growing popularity of non-carbonated drinks? The soft drink industry is a highly profitable industry and its success is due to the large consumption of non-alcoholic beverages through which both concentrate producers and bottlers are profitable. Given the U.S. Industry Consumption Statistics, Exhibit 1, it is clear that, after deducting beer and wine, soft drinks account for about 90 % of the total liquid consumption, while Coke and Pepsi account for about 75 % of the soft drink industry. The high consumption of CSDs is related to the soft drink industry selling to consumers through five principal channels: food stores, convenience stores, vending, fountains and others.
Consistent with its mission statement, Coca-Cola maintains a global force with it products. The company markets four of the world’s top five carbonated soft drinks; Coca-Cola “the world most valuable brand”, Diet Coke, Fanta and Sprite. The company also continues to make a difference to excel and retains an international focus, marketing and distributing its products in over 200 countries globally. Coca-Cola makes it products available to consumers thru a supply chain of its network of vertical and horizontal controlled bottling and distribution operations as well as independently bottling partners, distributors, wholesalers and retailers. Coca-Cola operating groups are all over North America, South America, Africa, Europe and Asia, Pacific, Bottling Investments, and Corporate. With a total assets of $ 90.055 billion, Coca-Cola is the dominant leader of the global soft drink and the combination between sales, technology development and marketing have made them one of the most widely recognized and profitable companies in the world.
As the world 's largest manufacturer and distributor of non-alcoholic beverages, Coca-Cola is certainly no stranger to global marketing. Established in the US, Coca-Cola initiated its global expansion in 1919 and now markets to more than 200 countries worldwide. It is one of the most recognizable brands on the planet and also owns a large portfolio of other soft drink brands including Schweppes, Oasis, 5 alive, Kea Oar, Fanta, Lilt, Dr Pepper, Sprite and PowerAde. Despite this, Coca-Cola often struggles to maintain its market share over its main rival PepsiCo in some overseas markets, particularly Asian countries.
The Coca Cola Company has been among the world’s top companies that have been able to perform well in all the areas of the world. The company follows the latest strategic research and evaluation methods to formulate such strategic policies that helps in not only meeting the customer expectations and desires but also achieving various organizational goals and objectives.
Coke Facts The Coca Cola Company Coca Cola India: Key Facts - Coca Cola Business, website: http://www.cokefacts.com/facts/facts_in_keyfacts.shtml
The Coca-Cola Company is the largest non-alcoholic beverage company in the world who owns, sells and distributes more than 600 different non-alcoholic beverages in 200 countries and more. “The amount of product Coca-Cola sells equates to 1.9 billion or 3.2% of the total amount of non-alcoholic beverages served worldwide” (Jurevicius, 2017). Additionally, they have a large/dominant market share, enormous brand recognition and a huge advantage in the number of consumers they can reach. Not to mention the Coca-Cola Company also owns other reputable brands such as Sprite, Fanta, Minute Maid and even Powerade to name a few that combine to earn the company, approximately, an additional $1 billion dollars annually. Because Coca-Cola are a huge presence in this industry, the company has the ability to beat out its competitors by underpricing some of its items and can exercise market power over its suppliers. Like Coca-Cola, Snapple has a strong foothold in their diverse brands they offer as well.
This proven track record for the company can be attributed to a number of factors, the first which is relatively crucial is the company's secret formula for Coca-Cola, which comparably tastes better than what competition has to offer in the market. The company's ability to come up with new products while at the same time reinventing the old products has offered them a competitive edge over their peers. The company boasts of having the world's most diverse and comprehensive distribution networks, this offers them accessibility to billions of people in areas that would prove rather difficult for their peers to distribute their products. The African continent has been cited as an excellent example, it is more often than not to see a distribution outlet for coke on a remote location on the continent
...ried to be as successful as his older brother but always fell short. I was completely wrong. Pepsi is not just a soft drink company as I initially thought. Even though Coca-Cola soft drink has a market share of 17% while Pepsi soft drink has a market share of 9%, Pepsi’s stock trades in the mid 80s while Coke’s stock trades in the low 40s. Additionally, Pepsi does well in balancing its mix of net revenue. 49% of its net revenue is generated by its beverage industry and 51% is generated by its food industry. Globally, 49% of its net revenue mix is generated outside the United States. The remaining 51% is generated in the States. Pepsi is the largest food and beverage business in Russia, India, the Middle East, and the United States. They are the second largest in Mexico and gaining ground in Brazil. They have 22 billion dollar brands in estimated annual retail sales.
The final step in the “war,” was the new type of Coke called the, New!Coke which had been developed in 1985, the soda was tested and proven to taste better than Coca- Cola and Pepsi which they thought would help their sales go up (History of Coke vs. Pepsi War.) The product was released, but consumers did not like it at all, therefore Coke went back to their original recipe and changed the name back to the Coca-Cola classic. This launching of the “Pepsi Challenge,” proved that Pepsi did win the “Cola War,” because Coca- Cola could not develop something new that would beat the marketing ideas of Pepsi. Many believe that the war is still going on today which is very true that they are still competing against each other but not like the period from