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Essay On Coca Cola Generic Strategy

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The purpose of this business report is to determine whether Coca-Cola’s generic strategy and strategic choices allow the company to maximize and/or minimize its strengths, weaknesses, opportunities, and threats. The report will highlight areas in which the company has made the right choices and discuss how to improve in places were the choices are not aligning. After analyzing Coke’s strategy, it will be compared to the company’s mission, vision and goals/objectives. The report begins by explaining Porter’s Generic Strategy and the purpose of competitive advantage. The characteristics of cost leadership, differentiation, and focus are defined before moving on to Coca-Cola’s generic strategy. It is revealed that Coca-Cola has a differentiation strategy that strives to have a unique price which costs more than some of its …show more content…

The company’s strategy most aligns with differentiation. That said, it does pulls traits from the cost leadership strategy. Some of the cost leaderships characteristics included in Coca-Cola’s strategy include targeting a broad market, improving process efficiencies, vertical/horizontal integration, and has efficient distribution channels. However, Coke does not set out to be the cheapest beverage on the market. In fact, there are many off brand sodas that cost relatively less than Coca-Cola’s products (Saving on Soda, 2013). It does what to stand out from competing products by giving customers a unique taste that will get them to buy it even at a premium price. Even if the taste may not be “better” than other sodas, the brand of the company can give it that added value needed to sell at a higher price (Thomas, 2017). The decision to lean towards the differentiation strategy was a smart move as the company has been able to take some of its strengths and align them with the

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