...Accounting 3230 Fall 2014 Part I: Leonard Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the years 20X2 and 20X3. | 20X2 | 20X3 | Projected benefit obligation, January 1 | $ 600,000 | | Plan Assets(fair value and market-related value), January 1 | 410,000 | | Pension Asset/Liability, January 1 | 190,000 CR. | | Prior Service Cost, January 1 | 160,000 | | Service cost | 40,000 | $ 59,000 | Settlement rate | 10% | 10% | Expected rate of return | 10% | 10% | Actual return on plan assets | 36,000 | 61,000 | Amortization of prior service cost | 70,000 | 50,000 | Annual Contributions | 97,000 | 81,000 | Benefits paid to retirees | 31,500 | 54,000 | Increase in projected benefit obligation due to changes in actuarial assumptions | 87,000 | 0 | Accumulated benefit obligation at December 31 | 721,800 | 789,000 | Average service life of all employees | | 20 years | Vested benefit obligation at December 31 | | 464,000 | (a) Prepare a pension worksheet presenting both years 20X2 and 20X3 and accompanying computations and amortization of the loss (20X3) using the corridor approach. (b) Prepare the journal entries (from the worksheet) to reflect all pension plan transactions and events at December 31 of each year. (c) For 20X3, indicate the pension amounts reported in the financial statements. Part II: The accounting records of Scotty inc show the following data for 20X2....
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...Running Head: COCA-COLA AND THE FOUR Coca-Cola and the Four Functions of Management Tiffany Woodward University of Phoenix Abstract: We will be explaining how internal and external factors affect the four functions of management in the Coca-Cola Company. We will be providing specific examples for internal and external factors that affect the company; the factors are as follows: globalization, technology, innovation, diversity, and ethics. Coca-Cola and the Four Functions of Management The Coca-Cola Company is one that we have loved and enjoyed for many years and more to come. The company was established in 1886 by Dr. John Pemberton in Atlanta, Georgia. Today the well-known soda is sold in over 200 countries and is consumed at the rate of more than one billion per day. The four functions of management are planning, organizing, leading, and controlling. Coca-Cola had to do all of these to become the successful, thriving company they are today. Globalization is an external factor that would affect these functions. “Through the late 1990s, under CEO Roberto Goizeta, Coca-Cola pursued a strategy that involved focusing resources on Coke’s megabrands, an unprecedented amount of standardization, and the official dissolution of the boundaries between the U.S. organization and the foreign operations”. (Ghemawat, 2011) Coca-Cola has to recognize how much business that they have around the world and adjust any strategy to keep being successful. In the last few years...
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...Introduction : The below essay is about Coca-Cola company which is a beverage manufacturer established in the year 1892.The company's primary product is Coca cola which was invented in the year 1886 and was first bottled in 1894.The focus of this essay will be on developing a marketing strategy for Classic Coca-Cola or Coke for first half of 2012.This will also discuss about the market segmentation ,pricing strategy and target market using micro and macroeconomics concepts. The economic forecast report 2012 from different sources clearly communicates high economic growth , less unemployment and inflation rates. http://businomics.typepad.com/businomics_blog/2010/11/economic-forecast-2011-2012.html Coca cola can use alternative scenarios to reduce the production cost * In countries were labors are very expensive, installing automated manufacturing machines and reducing the labor numbers in the production line will help to reduce its cost. * Coco cola base syrup which is the raw material is imported from regional units to several bottling plants which incurs transport cost, if it is manufactured at the same bottling plant some cost can be saved. * The use of LED lighting and automatic shut-down technology during rest periods in all plants will help to reduce cost on Energy. * Production of own energy from renewable sources like solar ,wind in the bottling plant will help to reduce energy costs. * Coca cola can effectively introduce bio degradable...
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...Coca-Cola re-entered china in 1979, after three decades after the Equity joint venture law was issued, and was the turning point for coca cola to China’s open door policy aiming to increase sales by 15% using effective strategy, “Think Local, act local” and to exceed USA i.e., the home market of Coca-cola and become the largest market in terms of capital consumption by 2020 (manufacturer., 2014). (Geert-hofstede.com, 2014) If we explore the Chinese culture through the lens of hofstede culture model, we can have a good understanding of Chinese culture relative to the other world’s culture. Talking about the first parameter of Hofstede analysis, as we can see in the graph that Power distance in comparison with the home market of coca cola i.e, USA, the power distance is just double, that states that there is no direct communication between the bosses and employees also the employees fear to disagree with their bosses even if they find anything unjustified. Individualism is also one of the major aspect where the company has to deal with, as China has more collectivism approach that means they are interdependent to each other and give priority to group goals and achievements in exchange of loyalty. coming to the next parameter i.e, Pragmatism which means that each group or society has to maintain some relation or link with their previous experiences while dealing with the upcoming tasks or challenges, seeing the score we can determine that china has more Pragmatism than...
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...Introduction Nowadays, Game theory plays an important role in modern analysis. This concept can be applied in plenty fields including business, finance, political science, economics and sports. In business, competition is very intensive hence decision makers should analyse and determine their strategy carefully. Furthermore, they have to consider about their rivals strategies available and actions in the game. Once decision makers know all strategies available, they can apply a game concept, and achieve the proper outcome. This essay is divided into two parts, in first part, it will be discussed the general idea of game theory including prisoner’s dilemma which is one of the most known theories. In the second part, the application of game theory will be presented in the example of an oligopoly market. Part one: General discussion of game theory Game Theory...
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...person or business with the struggling of the economic and the many challenging that the economic having to face in order to get economic back on track, enabling the economic to be able to grow with the new technologies for the 21st century. An entrepreneurial leader a person has to “innovative, creative, and will to be open for change” (O’Connor & Fiol, 2002; Stevenson & Gumpert, 1983). The word entrepreneurial leadership is a very important element for an individual to have the knowledge of the many different changes that occurs with the economic and the continuously evolved of the current changes with the growth of the new technology. The most common elements that the three authors focus on where: entrepreneurial leadership and the strategies in how they are related within today’s society. The three different authors also had some similar focus on the entrepreneurial leadership’s vision and their creative. The first important element that Steve Case’s believes is: “The Three P”. “People, Passion, and Perseverance” (Case, 2010). Case’s believes that when a person’s innovation, are risk takers have an entrepreneurship will improve our economic. He also believes that entrepreneurship is the underline of our future for the economic. Steve Case’s believes that entrepreneurship is a growth of success to businesses and the way people live their lives in the future economic (Case, 2010). Both Steve Case and James Kouzes, focus on the importance of people taking risks and innovation...
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...Coca-cola Introduction Coca-Cola Amatil (CCA) is the Australia's market leader in the manufacture and distribution of soft drinks, including Coca-Cola, Fanta, Sprite and Mount Franklin (CCA,2010). It operates its company in different countries in Asia-Pacific regions: Australia, Indonesia, New Zealand and Fiji. Coca-Cola was introduced to Australia in 1937 and the first manufacturing plant was also begun operating in Sydney in 1938. In this essay, I will use the 5 competitive forces model to discuss in context of CCA providing a general view of the company, its competitors and company's environment. Competitive Forces According to Porter's competitive forces model, there are five competitive forces, traditional competitors, new market entrants, substitute products, customer bargaining power, supplier bargaining power and services (QuickMBA.com n.d.). These can help managers to know about the industry in which the company operates. The model can also locate situation of the company in order to make relevant decision towards to the problem and create competitive advantage (Porter 2008). The force of traditional competitors is high in beverage industry because there have many companies selling same products in the market. In order to have higher market share, competitors trend to set lower price and introduce new products attracting more customers to buy. This will lead high level of price competition in the market. Competitors always introduce new products and services...
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...Cisco vs Coca Cola Tadeusz Czuprynski MGT 450 Date: 21 January 2012 For: Carol Jones Abstract: The basic purposes of this essay is to emphasis and culminate the principles of Acquisitions by describing the application of the knowledge learned, with the following companies of Cisco the technology giant and Coca Cola the soft drink giant. There are many specific goals that companies may be looking to achieve by dong this, but the main underlying reason is to guarantee the long-term sustained achievement of fast profitable growth for their business. They have to keep up with a rapidly increasing diversified global market and increased competition. Nowadays, with the struggle for competitive advantage becoming stronger and stronger, it is almost essential to form alliances. An acquisition is the purchase of one business or company by another company or other business entity. Consolidation occurs when two companies combine together to form a new enterprise altogether, and neither of the previous companies survives independently. Acquisitions are divided into "private" and "public" acquisitions, depending on whether the acquiree or merging company (also termed a target) is or is not listed on public stock markets. An additional dimension or categorization consists of whether an acquisition is friendly or hostile. Whether a purchase is perceived as being a "friendly" one or a "hostile" depends significantly on how the proposed acquisition is communicated to and...
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...STRATEGIC ANALYSIS OF THE COCA-COLA COMPANY Dinesh Puravankara B Sc (Dairy Technology) Gujarat Agricultural UniversityJ 991 M Sc (Dairy Chemistry) Gujarat Agricultural University, 1994 PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION In the Faculty of Business Administration Executive MBA O Dinesh Puravankara 2007 SIMON FRASER UNIVERSITY Summer 2007 All rights reserved. This work may not be reproduced in whole or in part, by photocopy or other means, without permission of the author APPROVAL Name: Dinesh Puravankara Degree: Master of Business Administration Title of Project: Strategic Analysis of The Coca-Cola Company. Supervisory Committee: Mark Wexler Senior Supervisor Professor Neil R. Abramson Supervisor Associate Professor Date Approved: SIMON FRASER UNIVEliSITY LIBRARY Declaration of Partial Copyright Licence The author, whose copyright is declared on the title page of this work, has granted to Simon Fraser University the right to lend this thesis, project or extended essay to users of the Simon Fraser University Library, and to make partial or single copies only for such users or in response to a request from the library of any other university, or other educational institution, on its own behalf or for one of its users. The author has further granted permission to Simon Fraser University to keep or make a digital copy for use in its...
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...The Coca-Cola Company: Basis of Competition As of 2012, Coca-Cola was worth $77.8 billion. It is currently the world’s leading brand according the annual “Brand Value Ranking” from ‘Interbrand’, and now, with ‘3,500 different beverages sold worldwide’ (Interbrand, 2012), Coca-Cola is leading the many emerging markets too. In order to be this successful, Coca-Cola must have an exceedingly strong basis of competition, and that, it does: For starters, Coca-Cola has achieved very high economies of scale since its beginning in 1886. High economies of scale allow businesses to produce more, at a much lower cost, because average costs fall when buying in bulk. This then allows the business to lower its prices, which will obviously instigate an increase in demand and potentially, profits. Then, with more profits, businesses can increase the barriers to entry within a market and deter other companies from entry. Furthermore, within the Soft Drinks Industry, the bargaining power of buyers is extremely high due to low switching costs, and the general ease at which consumers can switch; but due to them amassing a large degree of customer loyalty over the years, Coca-Cola is an exception to the rule as its customers have become increasingly less price sensitive. This is another benefit of having a competitive advantage. Coca-Cola’s competitive advantage comes mainly from its innovation and product differentiation techniques. Coca-Cola ‘spends roughly 20% of its advertising budget...
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...Coca-Cola has achieved impressive profits records and ROCE exceeding by far the industry norms and PepsiCo. Although Coca Cola maintains low liquidity ratios, its ability to turnover the stock within a short period of 39 days and enjoy longer credit period with its suppliers, give sufficient comfort to meet its financial obligations. This implies that Coca-Cola has strong bargaining power. Historically, Coca-Cola’s dividend payouts have been over 50% of the net income of any given period. It is observed that Coca-Cola’s debt-financing strategy justifies the reasons for maintaining high debt-to-assets and debt-to equity ratios. Coca-Cola has the largest market share in the beverage industry and has a market capitalization of US$102bn which is far above an industry average of US$75bn. Coca Cola’s profits have steadily grown above industry norms and operational efficiency is quite impressive as indicated by revenue/employee which are twice as high as its main competitor and the industry. However, ROA declined year-by-year from 2005 thru 2009 couple with a decline in the share price. Nonetheless, the new leadership and management team has managed to improve the performance as evidenced by the excellent Q-3 2009 financial results and the resultant increase in EPS. Coca Cola has sound risk management policies that have enabled it to remain stable given the high foreign currency fluctuation, interest rate risks and political instability associated with the wide operation in over...
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...Part IV March 8, 2015 Marketing Project Part IV Coca-Cola is one of the largest global corporations. It is one of the successful marketers in the world. It operates in almost all countries of the planet. So it has a well-designed and flexible marketing strategy. Coca-Cola has a marketing strategy called: Think- Education is essential to achieve sustainable, active, healthy lifestyle. Drink- Providing product and package variety is their commitment to consumers. Move- Physical activity is vital for health and well-being. This strategy focuses all aspects of its marketing view and strategies. All its marketing activities including promotional activities, branding, and distribution are done on this view. Market position of the company is very strong. It divides the whole world into six operating groups named Latin America, North America, Pacific, European Union, Eurasia, and Africa ( UKessays, n.d). In the last few months, Coke sharing has reached new levels with the creation of shareable Coca-Cola, this can which can be twisted, turned and split in half to share between friends. This idea has further increased the popularity of Share a Coke and has contributed to the overall success of the campaign and the brand as a whole (Outside the box, n.d). This is not the only angle of the “Share a Coke” campaign. Despite the apparent marketing and profit benefits which can be associated with the huge success of Coca-Cola, a perhaps less-documented but equally interesting fact of...
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...Marketing Plan on Coca Cola Amy Hubbard Marketing BUSA3240 Brenda Morrison Executive Summery I am a student at King University in the BBA program and have established this marketing plan after thoroughly researching over the product. It consists of examining market research, auditing situation analysis and carefully searching through the soft drink industry and possibilities for Coca Cola in the market. With careful consideration I have analyzed the internal and external business environments and critically examined the industry in general, taking into consideration all the external threats and opportunities. Introduction The Coca Cola Company traces its beginning to 1886, when an Atlanta pharmacist, by the name of Dr. John Pemberton, when he began to produce a syrup for sale in fountain drinks by the name of Coca Cola. However the bottling company began in 1899 when two Chattanooga businessmen named Benjamin F. Thomas and Joseph B. Whitehead, secured the exclusive rights to bottle and sell Coca Cola for the most of the United States for the Coca Cola Company. Type | Soft Drink (Cola) | Manufacturer | The Coca Cola Company | Founder | John S. Pemberton | Country of Origin | United States | Introduced | 1886 | Servings per day | 1.6 Billion | Employees | 92,400 | Website | www.coca-cola.com | Coca Cola being the biggest company in the soft drink industry enjoys the largest part of the market share. Coca Cola controls about 59% of the world market...
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...This research essay is to discuss the theoretical concepts of Resources and Capabilities of Coca-Cola Company. The purpose of this essay is to analyse how Coca-Cola generates sustainable competitive advantage by drawing on the resources and capabilities literature. The discussion of the theoretical concepts will be focusing on resource-based view, tangible and intangible resources, and strategic capabilities. Overview of Coca-Cola Company The Coca-Cola Company, founded in year 1886, is the world’s largest beverage company. It is a manufacturer and distributor of nonalcoholic beverage brands, concentrates and syrups. The company own or license and market more than 500 nonalcoholic beverage brands and also a variety of still beverages such as waters, enhanced waters, juices and juice drinks, ready-to-drink teas and coffees, and energy and sports drinks. Its own and market four of the world’s top five nonalcoholic sparkling beverage brands: Coca-Cola, Diet Coke, Fanta and Sprite. The finished beverage products are now sold in more than 200 countries. The company headquarter is in Atlanta, Georgia and have 146,200 workforce globally as of December 2011. The company’s revenue was $46,542 million in the financial year ended December 2011. (Coca-Cola Company, 2011) Theoretical concepts The theoretical concept for Resources and Capabilities is based on the resource-based view. Resource-based view is a way of viewing a company, primarily application of the bundle...
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...corporations have invested in interprises in other countries. In fact many of the features of the current wave of globalization are similar to those prevailing before the outbreak of the first world war in 1914. But policy and technology developments have spurred increases in cross border trade investment and migration so large that many observer believe the world has entered a qualitatively new phase in its economic development. The current wave of globalization has been driven by policies that have opened economies domestically and internationally. In my essay I will explain the implications of globalization on Coca-Cola. History of Coke The Early Days Coca-Cola was created in 1886 by John Pemberton, a pharmacist in Atlanta, Georgia, who sold the syrup mixed with fountain water as a potion for mental and physical disorders. The formula changed hands three more times before Asa D. Candler added carbonation and by 2003, Coca-Cola was the world’s largest manufacturer,...
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