Essay on Coca-Cola Company

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The Coca-Cola Company — the American food company, the largest global manufacturer and the supplier of concentrates, syrups and soft drinks. The most known product of the company is the Coca-Cola drink. This company became a significant example of effective management and the best marketing strategies.


According to the influence of globalization processes, it is possible to see that the Coca-Cola Company is under pressure from two parties. The western society inclines every year to a healthy lifestyle to which the high-calorific aerated drink with sugar serves as an obvious hindrance more and more. Besides, wars in Afghanistan and Iraq, etc. led bombing attacks to Serbia, and a lot of the population of the Asian countries began to perceive the USA sharply negatively. Hatred to the USA, in turn, was transformed to refusal of all American, and Coca-Cola – a symbol of America for many million inhabitants of the Third World countries became the main victim. Result of such relation was unprecedented falling of sales of drink in Asia. However, “east” is possible to call this reason very conditionally: as show polls in Europe, already two thirds of Germans and French with the higher education and a revenue exceeding $75 000 a year, are ready to refuse purchase of the American goods, because of the negative attitude to policy of the United States (Heller et al, 2006).

According to the entry to the new markets of production of Coca-Cola, there are various types of the drinks made by the company that is connected, first, to the various terms of creation and entry into the market of each concrete drink, with a trademark corresponding to it, secondly, with terms of an exit and duration of the address of each trademark in the market of the concrete country in which the company is presented. It means that one brand can be at a stage of saturation or even recession in one country (where it functions long ago), and is in a growth phase on the markets of other countries opened by firm (Khan, 2005).

Historically, the oldest are Coca-cola, Fanta, Sprite. Therefore, in those markets where these trademarks become outdated and pass to saturation phase, the company lets out new versions of drinks, carrying out, thus, horizontal commodity policy. At the same time, for the purpose of preservation of the reached market in conditions of the competition with rival companies, the Coca-Cola Company puts on the market new, not connected with already existing, drinks in a look both fruit, and mineral water, diversifying the production and winning all new segments of the market (Khan, 2005).

Such policy, apparently from the distribution of trademarks provided by the company over the countries where Coca-Cola works, is carried out in each country where Coca-Cola comes: at first old and the most checked brands – Coca-cola, Fanta, Sprite, and later, in the process of market saturation by these drinks the new trademarks are put on the market; to maintain this process, the company skillfully combines advertizing activity and activities for advance of new goods with building of outputs and import/ export (Heller, et al, 2006).

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The production of Coca-Cola implies the high degree of standardization within each type of drinks, that is caused by the Coca-Cola status of a bottler of the company delivering concentrates for production of drinks. Thus, production not only is standardized to taste, but also to the production technology, it is the connection of a concentrate with water in certain proportions and conditions. Thus, there is no need for adoption to the markets of the certain countries and dependence on any special requirements or tastes of consumers, taste of each of drinks is identical in all countries where the company works. Even on the contrary, the market (buyers) should adapt under taste of their drinks. There is the necessity only in adaptation in language of put inscriptions on packing (in case of relevant requirements from national laws of the country of presence) and depending on demand or production capabilities – volumes and a type of container for drinks.

Environment of the enterprise have external forces such as: competitors, consumers, suppliers, resellers, investors, and also factors of macro-environment: social and demographic, geographical, economic, natural, technical, political and cultural.

The analysis of environment of the enterprise is necessary not only for definition of the general strategy of development of the enterprise, but also for identification and development of marketing strategy (Amer, 2002).

In the market of soft drinks production the Coca-Cola enterprise treats a segment of fruit water. At the enterprise does not have many competitors thanks to the availability and recognizable brand, and there are no many producers of soft drinks who satisfy the same needs of consumers. The main competitor of the Coca-Cola enterprise is the PepsiKo enterprise (Khan, 2005).

Production the Coca-Cola enterprise is available for all segments of population; it is bought by the majority of inhabitants. The enterprise tries to satisfy all needs of the buyers creating for them availability in the price and a purchase place, and convenient packing. The Coca-Cola enterprise has a small amount of the suppliers, differing high degree of reliability of deliveries (Amer, 2002).


In conclusion, the Coca-Cola Company is one of the largest and successful companies in the world. Through effective managing and marketing strategies, its main drink Coca-Cola became the most famous non-alcoholic drink in the world, and also became a symbol of America, Christmas and part of the Pop-art. In addition, this company represents high technological and innovational process, and successful global strategies.



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