It can be concluded an inverse relationship between the price of one complement, the fast food products in this case, and the demand of the other complementary goods, Coca-Cola here. 2.4 Expectations of future price changes: If the buyers got convinced of increasing Coca-Cola price in the next few months, then there will be increase in the demand today. Demand curve for Coca-Cola will shift rightward. 2.5 Time: Coca- Cola demand and revenue increase during summer and special events. 2.6 Tastes and customer preferences: Are important determinants and the more the product is preferred, this will shift the demand curve to the right.
Due to the health risk, many consumers are looking for a healthier choice of drinks instead of Coca-Cola high syrup concentrated carbonated drinks. Carbonated drinks are a big influencer of these health complications. Coca-Cola, as a major carbonated drink manufacturer, can contribute to the obesity epidemic (Frue, 2016). Coca-Cola has not found a solution to provide its consumers with
is able to gain a high reputation and directly gain a strong financial support from its shareholders. Thirdly, the competitive strategy toward Cola war is the production. For an example, the consumption of carbonated drink in USA is decreasing significantly due to the increasing in number of obesity. Thus, PepsiCo. is introduced some other products such as water juices, tea and others (Mutiso, 2013).
, we 'll find that the difference is minor, which means that coca-cola can beat it. “Statista.com, 2015” *Theoretical Frame Work: -If..then Statements: If competitors are few, then opportunity to increase the market share is higher. If market strategy is better, then the market share will be better. If the political forces decrease, then the market share will better. If the co. 's strategy is changed negatively, then it will decrease market share.
In 2011 we reinforced the commitment to being a value-led organisation and then undertook a project to clearly define these values and build a high –performance team committed for living them everyday, in everything we do. IMPACT ON COMPANY’S PERFORMANCE: Coca Cola Company in India relies on the recruitment and selection process for its smooth functioning. The candidates chosen in this process is to be the future employees are analysed and selected and employed by this recruitment and selection department. It is essential for the profit making in any of the organisation. Recruitment plays the very important role in HR department, because unless the perfect people are hired, even the best plans, organization chart and control system might not do much good.
Does business growth and success always acquaint to community growth and success? Bartow J. Elmore explores this question in his book, Citizen Coke: The Making of Coka-Cola Capitalism. Elmore looks at the price that the environment and the public has paid to allow Coke to rise into the power it is in today. With operations in “over two hundred countries and selling more than 1.8 billion beverage servings per day”(7), you simply cannot deny the influence and power that Coke has. Coke is a widely successful business, but their growth has come at a cost.
It will give an edge to Coca cola over Dr. Pepper and Pepsi Co., and will also help in regaining the market leadership. Through sponsorship of football leagues, very popular in Europe Coca Cola will rebuild its diluted brand equity. The strategy of focusing on core business and outsourcing the downstream activities in te value chain is good and successful, the company must divest from bottling plants and invest that amount in new product development. Given the increased health consciousness and changing lifestyle, its important for the company to focus on bottled water market, especially the new lucrative segment of sweetened bottled water in which Pepsi Co. is taking the lead. In emerging economies like India, and Latin America and also China, Coca Cola should adopt a market penetration strategy with its core products of Coca Cola, Diek Coke, Fanta, and Sprite, and focus on gaining the market share as huge potential in carbonated beverage industry lies in these
Strengths: 1. Popularity: Coca Cola is one of the biggest brands in the world. Its popularity holds no bounds and where ever you go, you will find its existence. This shows how bigger a brand Coca Cola is, operating in more than 206 countries. There are absolutely no doubts what so ever that any other beverage company can come up to Coca Cola 's social popularity status as Coke is the second most widely known word in the world after ‘OK’.
The market size of the industry was changing. Soft drink consumption has a market share of 46.8% in the soft drink industry; the total value of the soft drinks market forecast a market value of $ 367.1 billion in 2009. In addition, the soft drink industry it is lucrative in 2004 with the potential for great benefits, but there are several obstacles to overcome in order to capture market share. http://www.csbsju.edu/documents/libraries/zeigler_paper.pdf Question 2: In the microeconomics, the first thing that comes on minds when the discussion about perfect substitutes is Coca-Cola and PepsiCo. Since these two companies soda products taste the same and having almost same pricing, there is expectations that demand for both products are equal.
An event of fluctuations on the prices of raw materials leads the company to raise the prices of their products. As well as for customers to adapt to the raise of product prices. Social factors In today’s contexts, a lot of consumers are increasingly aware about the benefits of living healthy lifestyle, Pepsico reintroduced their beverages and food with less sugar to attract the market appeal of health conscious customers, thus reducing sugars but retaining the same taste of their products. More ever one of the critical issues US is facing currently majorly includes obesity, as Pepsico sells a vast amount of sugary, carbonated drinks plus fattening snacks in US , the company do face tough times in such a regulatory future. Technological factors Technology have improved vastly and globally, in the olden days when beverages were brewed and packed by hand, production of products had constraints of time and quantity factors, continuingly technology improvement along with machinery it has shorten the manpower and time required to produce a product.