Coca Cola Essay

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Recommended: Standardization vs adaptation international marketing

BOĞAZİÇİ UNIVERSITY
SCHOOL OF APPLIED DISCIPLINES
DEPARTMENT OF INTERNATIONAL TRADE

The Coca-Cola Company’s Global Marketing Strategy

Course: International Marketing
Instructor: Oğuzhan Aygören

Gamze Ayaz
2008501027
20.01.2014

Today, there is a brand that nearly all people in the world recognize “Coca-Cola”. It is one of the most widely used soft drink in the world and it can be said that it is a part of life. Since the establishment of the company in 1886, it has increased its distribution channel day by day, and now they operate in over 200 countries. The paper focuses on how Coca-Cola Company became so successful in global marketing. Firstly, I will evaluate its global marketing strategy in terms of foreign market entry mode, competition, standardization and adaptation of marketing mix elements. Then, I will compare its local market strategy with its home market and the global market. Lastly, I will evaluate the company according to “Customizing Global Marketing” by Quelch and Hoff.
Coca-Cola Company’s foreign market entry strategy can be classified in licensing, franchising, exporting, total ownership and joint ventures. The most common strategy used by the company is licensing. Bottlers from across the world have been licensed to use its brand name and business processes in marketing Coca-Cola branded products. With the help of licensing Coca-Cola evade capital required to set up bottling or manufacturing plants, and also evade prohibitive government regulations that block entry into some foreign markets. On the other hand licensing requires Coca-Cola to share some of its profits with licensees and so, limited revenues from such markets. Coca-Cola also uses franchising as a market entry strategy....

... middle of paper ...

...the company has chosen a standardized promotion strategy by copying concept from one single source. With this strategy the company has saved costs and reinforced brand equity. However, while promoting the company takes into account the customers culture, and also the country’s technology. In order to adapt the target market Coca-Cola may choose the differentiate some color combinations used in promotional material and they may adopt more interactive websites or less interactive websites according to the technology of country.

REFERENCES http://www.fao.org/docrep/w5973e/w5973e0b.htm http://barbradozier.wordpress.com/2013/09/27/market-entry-strategies/ https://www.123helpme.com/coca-cola-versus-pepsi-cola-view.asp?id=164247 http://www.tradeready.ca/2013/fittskills-refresher/adaptation-or-standardization/
http://issuesinimc.wikispaces.com/Standardisation+or+adaptation

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