Internal Analysis Coca-Cola is the world’s largest drinks company, with giant and strong advantages of global competitiveness, brand image has been popularity, in the market share high. Coca-Cola offers a unique combination of organizational and physical resources that support it’s favorable operating results. Strengths – The highest scores for the company’s strengths include the high ability of innovation, research, and development.
Coca-Cola has created a strong brand for itself in the drinking industry, and provides a competitive advantage over other players in the market. They use the unique flavor and price strategy to attract more customers. Weaknesses – Coke contains caffeine and other components, this is a slightly bad places that compared with other health drinks, such as milk. And it easys to cause fat. And it’s a large organization, not easy to manage, and less use of celebrity advertising, decrease attraction. Our Industry overview
The definition for soft drink industry includes manufacturing non-alcoholic, carbonated beverages, mineral waters and concentrates and syrups for the manufacture of carbonated beverages. The world’s top 10 soft drink companies by market share (2009) are Coca-Cola, PepsiCo, Nestle, Sunstory, Dr Pepper Snapple, Red Bull, Danone, Kirin, Asahi Breweries, Ito En. Internal Threats With regard to the bargaining power of buyers, it must be noted that there exists a low switching cost. This will give consumers more bargaining power.
However, on the other hand, the limited alternative goods will lower buyers’ bargaining power. The last force indicator to estimate the degree of internal competition is the bargaining power of suppliers. Obviously, there are plenty of substitutes for sugar, one of the main ingredients in manufacturing beverage concentrates and syrups. In addition, various materials are also available for packaging. Under these circumstances, suppliers in the soft drink industry have less bargaining power.
The Coca? Cola Company is the world’s leading beverage manufacturing company. It possesses a strong brand name and brand portfolio. It operates in more than 200 countries and markets with more than 500 brands and 3,500 beverage products. Coca-Cola’s market leadership and industry-leading brands provide an exceptional competitive advantage and in turn enhance its bargaining power. Above all, operation activities, marketing activities are critical for success in our industry.
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