THE COCA COLA COMPANY
The Coca cola company is a beverage producing company with head quarters in America; Atlanta, Georgia and operates multinational. It produces a variety of products ranging from concentrates, syrups. The most selling product of the company is coca cola; a non alcoholic beverage drink. This was invented in the year 1886 and has been a success to date. The company has a well established distribution channel system where the concentrate is delivered to bottling companies across the world. Part of the most selling products from the company include; coca-cola, minute maid, Aquarius, diet coke, minute maid, dasani, gold peak, fanta, sprite, among others.
The Coca cola company was reported to be selling beverage drinks to over 200
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Europe
2. Latin America
3. North America
4. Eurasia and Africa
5. Asia Pacific
6. Corporate
7. Bottling Investments
PERFORMANCE AND SALES
The sales of the company in the last three years fared as; 28.6Billion, 28.2Billin and 27.7Billion pieces in respectively in 2014, 2013 and 2012. Out of these, beverages represented a percentage by volume of 73%, 74% and 75% in respectively. The coca cola drink beverage accounted for 46% , 47% and 48% respectively.
The table below illustrates the performance in years 2014, 2013 and 2012
Year Ended Dec 2nd 2014 2013 2012
(Unaudited) in millions except per share data Net operating revenues Operating income Diluted net income per share Net operating revenues Operating income Diluted net income per share Net operating revenues Operating income Diluted net income per share
Reported(GAAP) $45,998 $9,708 $1.60 $46,854 $10,228 $1.90 $48,017 $10,779 $1.97
Items impacting comparability
Assets restructuring - 208 0.05 - 383 0.08 - 163 0.04
Productivity & reinvestment - 601 0.09 - 494 0.07 - 270 0.04
Productivity Initiatives - - - - 2 - - 10 -
Equity investees - - - - - 0.03 - - -
Coca-cola enterprise transaction - - - - 2 - - 6
Also, the company continue to focus on disciplined revenue management, such as maximising the effectiveness of our promotions. The company and their partner involve in manufactures, markets and sells their products. Those combination of the Britvic and PepsiCo brands gives the most
Public companies may quite appropriately wish to focus investors’ attention on critical components of quarterly or annual financial results in order to provide a meaningful comparison to results for the same period of prior years or to emphasize the results of core
Founded in 1965, the company is standing strong till now and it too consist of brands that are over 100 years old. With merger and acquisition of other companies, the company brands under it such as Frito-Lay, Tropicana, Gatorade and Quaker Oats. Ever since, the company has a staggering average retail sales amount of about $92 billion (USD). Being a premier producer and to supply convenient foods to the customers has always been the core focus of the company and because so, PepsiCo International always strive to thrive in its very own
Year Merchandise in Million $ % Growth Services in Million $ % Growth 2014-15 -144179 -2.32% 75683 3.73% 2013-14 -147609 -24.56% 72965 12.40% 2012-13 -195656 3.11% 64915 1.27% 2011-12 -189759 49.04% 64098 45.41% 2010-11 -127322 7.72% 44081 22.39% 2009-10
Geographic segmentation calls for dividing the market into different geographical units such as regions, cities, or neighborhood. Coca-Cola has a countrywide network of product distribution but the company segments more in urban and suburban areas as compared to rural areas. 1.2. Demographic segmentation In demographic segmentation, the market is divided into groups on the basis of variables such as age, family life cycle, gender, income, occupation, education, religion, race, generation, nationality, and social class. Demographic variables are the most popular base of Coca-Cola Company for distinguishing their customer groups.
Coca-Cola Company is one of the premier global consumer brands. The company has been around for a century and has been growing constantly. Today Coca-Cola manufactures more than 500 sparkling and still brands that are sold in more than 200 countries around the world. Coca-Cola’s main competitor is Pepsi. Therefore,
In the carbonated soft drinks industry, Coke Cola and Pepsi Co are the biggest players in the market for aerated beverages. Both the companies have been competing strongly against each other for decades. The market is dominated by these two industry leaders with a total market share of 72%; Coke’s market share is 42% and Pepsi’s 30%. This is known as an oligopoly market; where there are few large firms competing with each other in the industry. Since both the company’s market share so large, the market is very close to a duopoly (other players having a very small impact on the market).
You could simply find Coke from anywhere, examples likes vending machines, airlines, kiosk, convenient stores, supermarket, restaurants, cafes, hotels and night clubs which made the Coca-Cola grab the largest market share in the beverage industry. Besides, Coca-Cola beverages also distributed by wholesalers and distributors to reach those niche market. Coca-Cola wins big contract with global QSR players likes McDonald’s, Subway and Burger King. Figure 1 Coca-Cola System PepsiCo’s products reach the market through direct store delivery (DSD), customer warehouse, and third-party distributor networks. Under DSD system, PepsiCo delivers their company’s products directly to retail stores.
But with the changing tastes of consumers, it has expanded its menu which now includes salads, fish, wraps, smoothies, fruits and seasoned fries. The Coca-Cola Company, makers of coke, sprite, fanta, diet coke, coca-cola zero etc. The coca-cola company operates/sells beverages in more than 200 countries around the world. The most popular and selling drink of the company around the world is coke.
The Company’s beverage products comprises of bottled and canned soft drinks as well as concentrates, syrups and not-ready-to-drink powder products. In addition to this, it also produces and markets sports drinks, tea and coffee. The Coca- Cola
1.2. Product Differentiation This refers to differentiation that aspires to make a product more attractive by contrasting its unique qualities with other competing products (Investopedia, 2015:1), as in the case of Coca-Cola, other soft drink brands. Successfully adopting this strategy would have a company gaining a competitive advantage, as the customer would then view the product as unique or superior. This is what coca cola has managed to do, and has managed to do it on a scale that is globally unique, and globally recognized.
Among them, coca cola’s products are generally made available through intensive distribution. Intensive distribution for the newest product has allowed to maximize contact with customers and become very successful. It usually goes with heavy promotion, lower prices and large target market. Coca cola’s product are mainly distributed in a wide variety of locations including corner stores, convenience stores, restaurants, hotels, shopping mall petrol station and many, many
• Many successful brands to pursue. • Advertise its less popular products. • Buy out competition. • More Brand recognition Advantages of coca –cola Market Leadership: Coca-Cola FEMSA is one of the biggest franchise bottler of Coca-Cola trademark beverages in the world, with operations in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Argentina, Brazil and the Philippines. Business partnerships: Coca-Cola FEMSA is cooperating with The Coca-Cola Company to grow more propelled joint plans of action to keep investigating and taking part in new lines of refreshments, expanding existing product offerings and successfully publicizing and advertising our items.
Because of these new technologies, Coca-Cola 's production volume has increased sharply compared to that of a few years ago. 2.2.3 Key Strategic Objectives and Challenges • Acquisition targets in developed markets: Coca-Cola already has strong penetration in major soft drinks markets, which typically offers limited acquisition opportunities due to market consolidation. Much of the future volume growth is likely to come from secondary markets such as Vietnam and Indonesia. Coca-cola may be better advised to set its sights on larger acquisition targets in untapped regions such as the Middle East and Africa and some secondary markets. • Diet Products