...GLOBALIZATION The world today has been described as a ‘global village’, this stems from Marshall Mc Luhan’s concept that ‘the globe has been contracted into a village by electric technology and the instantaneous movement of information from every quarter to every point at the same time’. A closer examination of globalization will indicate that indeed the barriers of space, time and borders which once existed have now disappeared or are disappearing. Globalization has been described as the rapid increase in cross-border economic, social, technological exchange under conditions of capitalism, which also, influences all spheres of our life: culture, business, trade, politics, environment and even our mentality. It connects different countries and makes their interaction easier. The globalization of the world economy is reflected in many ways. The General Agreement on Tariffs and Trade (GATT) simulates free trade between countries which allows firms to trade more easily and move around the world. A result of this increased mobility is the increasingly large scope of money and capital markets and general regulations on Foreign Direct Investment (FDI). Globalization implies that there are forces that are global, objective and universal which restrict not only diversity, but also the scope for national governments’ policy formulations. An example of this, are the conditions of the IMF loan to the British Labour government in 1976 which led to a greater role for the private...
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...Coca Cola SWOT Analysis: |Strengths |Weaknesses | |Brand equity/image & recognition |Credit rating | |Product distribution and worldwide network |Customer concentration, particularly in the US (Wal-Mart accounts for more | |Solid financial performance |than 10% of Coca Cola's business in the US) | |One of the world's most recognized brand | | |Product diversification (water, juices, soft drinks, sport drinks, etc) | | |Opportunities |Threats | |Bottled water growth |Commodity prices growth | |Acquisitions of smaller players |Image perception in certain parts of the world (i.e., Colombia) | |Health consciousness growth, specially of baby boomers ...
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...Assignment 1 The Coca Cola Company is a multinational corporation with a portfolio of more than 3,500 beverages, from diet and regular sparkling beverages to still beverages such as 100 percent fruit juices and fruit drinks, waters, sports and energy drinks, teas and coffees, and milk-and soy-based beverages which are sold in stores, restaurants, and vending machines in more than 200 countries. Based on Interbrand's best global brand 2011, Coca-Cola was the world's most valuable brand. Originally intended as a patent medicine when it was invented in the late 19th century by John Pemberton, Coca-Cola was bought out by businessman Asa Griggs Candler, whose marketing tactics led Coke to its dominance of the world soft-drink market throughout the 20th century. The company produces concentrate, which is then sold to licensed Coca-Cola bottlers throughout the world. The bottlers, who hold territorially exclusive contracts with the company, produce finished product in cans and bottles from the concentrate in combination with filtered water and sweeteners. The bottlers then sell, distribute and merchandise Coca-Cola to retail stores and vending machines. Such bottlers include Coca-Cola Enterprises, which is the largest single Coca-Cola bottler in North America and Western Europe. STRENGTHS | WEAKNESSES | World’s leading brand Robust revenue growth in three segment | Negative publicity Decline in cash from operating activities...
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...Everything Related to the Coca-Cola Company Everything Related to the Coca-Cola Company Founded in 1886 in Atlanta, Coca-Cola Company is the world’s leading manufacturer, marketer and distributor of nonalcoholic beverage concentrates and syrups, used to produce more than 230 beverage brands. It is also the world’s most inclusive brand and company. It has already ventured regionally out of Atlanta to other states of United States since the late 19th century and its signature contour bottle was first manufactured in the early 20th century to distinguish themselves and assuring the genuine Coca-Cola. Though the company grew rapidly and roared into some European countries during the 1900s, its presence worldwide grew swiftly only after World War II. Year after year, the company has been discovering new foreign markets to bring higher profits as to fulfill its ultimate obligation to provide consistently attractive returns to the owners of the company and to enlarge its customer base in order to achieve economics of scale. Due to strong competition with Pepsi-Cola, Coca-Cola wants to reduce its dependence on United States market, which is their similar domestic market, as to reduce its risk and increase its global market share by going international. Presently, the company has already reached six billion consumers in nearly two hundred countries. Coca-Cola Company has been very successful in international marketing effort. Aggressive advertising...
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... There are certain companies that through the use of exceptional marketing programs and well as aggressive business strategies have become recognized the world around. Many of these are part of our everyday life and if not then we see them every day in our comings and goings. Two of these world-wide brands that many of us know are also extremely similar in both product as well as marketing strategy. Those two brands are The Coca-Cola Company and PepsiCo, Inc. On May 8, 1886, a pharmacist named Dr. John Pemberton carried a jug of Coca-Cola syrup to Jacobs’ Pharmacy in downtown Atlanta, where it was mixed with carbonated water and sold for five cents a glass. (Our Heritage, 2012) Three years later in the summer of 1898 a young pharmacist named Caleb Bradham began experimenting with combinations of spices, juices and syrups, trying to create a refreshing new drink to serve to his customers. His success came in the form of the beverage now known around the world as Pepsi-Cola. (Pepsi Legacy, 2005) And from that day forward the rivalry between Coca-Cola and Pepsi would become legendary. These two beverage companies are competing for the top spot in a massive global market. The cola and carbonated beverage industry reaches to nearly every corner of the planet, and the vast majority of the market share belongs to the two giants Coke and Pepsi. With such a huge market and enormous revenue potential in an industry such as this, it is no wonder that the Coke versus Pepsi...
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...Cola Wars Case Study DMBA 630 Marketing and Strategy Management in the Global Markeplace Introduction Carbonated Soft Drinks (CSD) have been around for over a century and now accounts for a $60 Billion market with the average American consuming about 53 gallons a year. Coca-Cola was invented in 1886 by John Pemberton as a “potion for mental and physical disorders.” Asa Candler acquired the formula and began marketing it as Coca-Cola. The first bottling franchise was accorded in 1899 for a sum of one dollar. Pepsi-Cola was invented in 1893 by Caleb Bradham a pharmacist from North Carolina. Pepsi also franchised its bottling operations. Pepsi struggled over the years going bankrupt twice within a decade, first in 1923 and again in 1931. Pepsi competed aggressively against coke offering almost twice the amount of Pepsi for the same price in the 1930s. Coca –Cola or Coke on the other hand was the market leader through the early 20th century with numerous imitators popping up trying to clone Coke. Coke fought back in the courts to aggressively deter imitators and counterfeiters. During the 1920s and 1930s, Coke was marketed to multiple market segments making it available to anyone desiring the brand. Eventually Coke sued Pepsi for trademark infringement in 1938 and lost. Pepsi gained market share and became a titan competitor in the market for CSDs beating out all other brands except Coke. Thus began the “Cola Wars” in 1950 with Pepsi’s aggressive “beat Coke”...
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...Coca-Cola Company Author: Chetna Aggarwal Date: March 10, 2015 Supervisor: Prof. John H. O’Malley Table of Contents 1 What Is Story Telling? 3 2 Why Did I Select Coca-Cola? 3 3 Did The Story Added To My Awareness Of The Product? 4 4 Did I Connect With The Story? 4 5 Did It Cut Through The Clutter Of Competing Products? 4 6 In A Digital World, How Do You Get Your Message Through? 5 7 Bibliography 6 8 Declaration of Authenticity 9 * What Is Story Telling? Storytelling is the process of explaining real or fictional events through narrative (Storytelling, 2015). Complex ideas are depicted in an entertaining way or an emotional connection helps consumers remembering information (ibid.) by “building a picture of a company” (Bacon, 2013). It is said that people recall facts more easily when emotions are involved (Storytelling, 2015). Especially millennials, who have a shorter attention span and are exposed to an immense mass of information (2015), are more likely to remember an ad that is more interactive (Storytelling, 2015). Why Did I Select Coca-Cola? Coca-Cola is the soft drink giant par excellence – With a global market share of 25.9% in the soft drink market in 2011 (Statista website, 2015), the company has achieved what many companies dream of – Global brand recognition, meaning people can identify Coca-Cola without being directly exposed to the company’s name, but rather to its logo or colors (Brand Recognition, 2015). Furthermore, the Coca-Cola Company...
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...centuries, globalization does not constitute a new phenomenon. At the turn of the twenty-first century, the capitalist world economy is in crisis; therefore, according to the theory's leading proponent, the current "ideological celebration of so-called globalization is in reality the swan song of our historical system" (I. Wallerstein, 1998: 32). Globalization has impacted strongly on the Coco Cola Company which is one of the largest Multinational Cooperation around the world today. The Coca-Cola logo is one of the world’s most recognised trademarks and an indicator of the extent of Coca-Cola’s penetration into communities across the world. It was created in Atlanta, Georgia by Dr. John S. Pemberton and is simply often referred to as Coke. It was first offered as a fountain beverage by mixing Coca Cola syrup and carbonated water. It is sold in stores, restaurants and vending machines in over 200 different countries. The Company is one that has been around for over 100 years. Coke is a drink that spans all ages, colours, races, and countries. They have on occasion, introduced other cola drinks under the Coke brand...
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...Let's face it. People are moving from one country to another, the trade restrictions are reducing, domestic markets are opening up for foreign investments, telecommunications are better established and the countries that are leading the innovations are passing on their know-how to the countries who are not. In short, the people are no longer bound by territorial restrictions any more, getting the world closer. It's no longer about 'my country and me', it's now more like, 'the world and us'. People are no longer bound by territorial restrictions-unless of course, there are security issues. The businesses are expanding, the horizons are widening, and the people are coming together to form one homogeneous unit The term is always used to refer specifically to economic globalization: the integration of national economies into the international economy through trade, foreign direct investment, capital flows, migration(free flow of people), and the spread of technology(free flow of technology) The term can also refer to the transnational circulation of ideas, languages, or popular culture through acculturation. However, globalization is usually recognized as being driven by a combination of economic, technological, socio-cultural, political, and biological factors. what we must realize is the truth which imposes itself is that globalization is not new or the result of scientific and technological development. No, but that since the creation of Adam and evidence of this convergence...
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...Carl Johansson International Business Environment MIRBIS Exchange Student, Sweden 2011-05-16 Cola Wars; Going global 1. Compare and analyse market strategies of Coca Cola and Pepsi in the following ways; Country Market entry strategy China Coke used a three-step strategy where the first sold concentrate to franschised Chinese bottle-owners who were fully responsible for production and distribution. This step made Coke their name in China. In the second step Coke bought shares in the bottling business to reduce the effect of uncertainty and to restrict opportunistic behaviour of its local partners. During the third stage Coke merged with two local producers and broadened their production line to tea drinks, fruit juices and carbonated sodas. Pepsi established joint ventures with local companies in an early stage. They had to enter the market pretty aggressively since Coke was already well established. Pepsi addressed the Chinese government and built a strong network with local companies. Via these local companies they got access to other markets such as beer and wine. The joint ventures signalled long-term commitment and fair strategies to the Chinese government. They also expanded their savoury snack sister company who proved profitable. Mexico Coke was “first” in Mexico, as early as 1903 and to access the Mexican market in an easy way they provided “free” refrigerators to restaurants to encourage the distribution and brand. Their initial...
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...CASE: IB-84 DATE: 06/27/08 PEPSI COLA PAKISTAN: FRANCHISING & PRODUCT LINE MANAGEMENT 1 In July 1991, Irfan Mustafa faced several dilemmas. As West Asia area vice president and chief executive officer of Pepsi Cola Pakistan Incorporated (PCI), Mustafa was charged with developing a strategy to grow share and profitability across PCI sales but focusing particularly on 7-Up. Pepsi Cola International had shifted focus to its global brands and, since acquiring 7Up International in 1986, had withdrawn all marketing and technical support for Pepsi’s local Pakistani brand, Teem. As a country manager, however, Mustafa was evaluated on profitability, and Teem was a profitable brand. Mustafa knew that he would need to make important decisions about Teem in developing a brand strategy and marketing plan. Considering Teem’s success in Pakistan, Mustafa wondered how he should position the soft drink and whether to continue investing in it despite the loss of international support. With PepsiCo’s acquisition of 7-Up International, arranging for 7-Up and PCI bottlers in Pakistan to merge also became a priority for Mustafa. The ability to coordinate strategies across all bottlers producing PCI brands would be essential. By August 1990, PCI had been able to merge 7-Up and PCI bottlers in three regions. As contracts expired over the next year or two, Mustafa would need to convince the remaining 7-Up bottlers to sell their plants to PCI bottlers as well. With the mergers complete, Mustafa’s...
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...energy field researching and developing alternative fuels. The company is currently recognized as the “Best Oil and Gas Company in Asia”, by the ‘Global Finance’ magazine. In 2007 it was ranked 369th by the Fortune Global 500 list of largest corporations by turnover. This is only a small measure of their performance thus far. By looking at this and many other achievements it is obvious that ONGC is not slowing down any time soon. When taking into account that it is doing business in what will soon be the most populated country in the world, they will only be growing from here. Our analysis will look at the internal and external factors that affect the business. It will show how strong they are in the Oil Industry but also focus on what they need to do to stay competitive. Strategic Profile ONGC is not only the number one Exploration and Production Company in Asia today, but is also the number 3 E&P Company in the world. It is in the Oil and Gas Drilling and Exploration Industry. In the oil and gas industry ONGC does a lot of research and development as well as refining and marketing. In 2007 they entered the energy field researching and developing alternative fuels. The company is currently recognized as the “Best Oil and Gas Company in Asia”, by the ‘Global Finance’ magazine. In 2007 it was ranked 369th by the Fortune Global 500 list of largest corporations by turnover. This is only a small measure of their performance thus far. By looking at this and many other ...
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...Fanta’s 12 strategy FANTA introduction In the following project Team Jag will demonstrate research and knowledge of Fanta’s branding and target demographics, we will identify Fanta’s market strategies and provide justification for them. History of fanta Fanta is a product of the Coca Cola Company. Fanta’s origins began in 1940’s Nazi Germany when the Coca Cola Company’s plant in Germany could no longer obtain the core ingredients in cola due to trade embargoes and other difficulties encountered during the war. After Coca Colas key operator in Germany died and with the Cola syrup no longer obtainable, it fell upon Max Keith the new head of Coca Cola Germany to create a new product from accessible ingredients to keep the plant running. The new product using whey and pomace became known as Fanta. Fanta was named in an employee brainstorming contest when Max Keith asked his employees to use their “Fantasie” German for “use your imagination” and an employee yelled out Fanta. After its war time segregation, Coca Cola Germany was reintegrated into Coca Cola Corporation whereby the formula and the trademarks to Fanta were transferred to its parent company. Currently Fanta is Coca Cola Corporations...
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...Steven Friloux PepsiCo: Organizational Resources Pepsi-Cola was invented in North Carolina by a pharmacist by the name of Caleb Davis Bradham. (http://www.pepsistore.com, 2014). Since its creation as a digestive drink, Pepsi has evolved as one of the top companies in the world. The organization is widely known and has changed the way people now drink and also eat snacks. PepsiCo not only owns the brand name but also owns the number one selling soft drink, Mountain Dew, Gatorade and in snacks it owns Frito-Lays, Quaker and Tropicana brands. From the time it was invented, Pepsi has had a wide range of management and strategies to re-invent itself thru the Great depression and thru technological advances in society. Two of the most influential aspects and resources of Pepsi-Cola as an organization has been the Knowledge to re-invent itself overtime and also the Technology advancements it has done and also been thru. For any big and global organization, the “know” or “knowledge” is a key resource to have and to gain. Knowledge can depend on the type of business an organization is involved in. As far as PepsiCo is concerned, this organization has been thru many decades’ technological advances. One of the major technological advances it was a part of is the way to was sold in the beginning, thru a fountain unit. The way Bradham was able to sell Pepsi at first was a knowledge that its main competitor Coca-Cola wasn’t aware of at the time. At this point in time of its...
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...It is the #1 in Interbrand’s Best Global Brands 2012 list - a name that is more universally recognized than any other in the world. Some say it’s the flavour, but for millions, it’s the way Coca-Cola makes them feel! Elements of Brand Equity Brand Loyalty: When Coca Cola dared to tamper with a 99-year-old formula to bring out a ''new'' Coke, outraged U.S. consumers quickly forced them to bring back the old brand Brand Awareness: Coca-Cola scored over 90% in brand awareness among respondents from the US, Canada, UK, France, Germany and Australia* Through its taglines(in India) , it has remained relevant and evolved over time : Thanda matlab Coca Cola Peeyo sar utha ke Jo chaho ho jaaye Coca Cola enjoy! Burrrrrrrr Open Happiness A marketing platform that is relevant to a global audience, the Olympics have allowed Coca-Cola to solidify a powerful association in the minds of billions. Also shows like MTV Coke Studio helps make it relevant in today’s world. Classic red and white contoured bottle with the Coca Cola logo written in a bold swish Perceived Quality of coke is better than its competitors Brand Associations: It has been associated with Santa Claus world over after Coca Cola gave it the distinctive “lovable fat old man” look. In India initially celebrities like Karishma Kapoor, Hrithik Roshan, Aishwarya Rai and Aamir Khan have endorsed it. But now the TVCs have been generalized to make it occasion based consumption i.e. when you want to open happiness...
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