Research Paper on "Coca Cola Before 1970"

Research Paper 4 pages (1460 words) Sources: 1+

[EXCERPT] . . . .

Coca Cola

Before 1970, Coca Cola was the only major player in the carbonated beverage industry. There were other players, popular in some markets, but Coke dominated the global market. Then, in the 1980s an interesting marketing phenomenon began -- the so-called "Cola Wars." This was the term for the manner in which Coca Cola now had to go on the defensive and vie to remain a leader in the soft-drink market. The war is fought in the trenches of product endorsements, the world of advertising, motion pictures, modern social networks, and even events like the space shuttle launch. Although Coca Cola continues to rest on its laurels as the "real soft drink," Pepsi continues to challenge the organization as the drink "for a new generation." Both companies have launched new products, cancelled products, and tried desperately to gain control over a huge and fickle global market (lemon, lime, cherry flavors, new delivery mechanisms, new tries at diet drinks, etc.). What is most interesting from a business standpoint, though, is that a clear winner never really emerges. Instead, we see peaks and valleys for both companies' balance sheets, and a clear increase in carbonated soft drink niche on a global basis.

SWOT for Coca Cola

Strengths

Weaknesses

Opportunities

Threats

Extremely strong global brand name.

Name recognition makes Coke a target

New niche markets

Costs and competitive marketplace

Patented taste, generational branding

May be too sweet for newer pal
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Many more successful brands to pursue

Some consider Coca Cola arrogant and out of touch

Fiscal strength, lots of financing available

Some of last 10 years of branding have been dismal failures

Advertise less popular brands; don't rely on laurels

Health issues and consumer taste changes

International brand even before globalism

Advertising has diminished

Buy out competition, be aggressive again

Pepsi might decide to up the stakes in the war

Competitive Advantages

Coke (NAICS 312111) is the largest manufacturer, distributor, and marketer of non-alcoholic beverages globally. They have over 100,000 employees, and post revenues approaching $40 billion. The company was the pioneer of the carbonated soft-drink industry -- invented in 1886, incorporated in 1892. The brand "Coke" has become iconic as part of Americana. but, in addition to the namesake brand, the company produces over 400 brands in 250 countries -- serving at a minimum, 1.5 billion servings per day. Despite its largeness, the company takes criticism for its lack of environmental sensitivity, union busting, and even the occasional class action suit (Warner, 2005; Muris, 1993; Cocacola.com, 2012).

From the 1980s on, the so-called "Cola Wars" between Coke and Pepsi heated up immeasurably. Without the expected growth and with more and more dollars being funneled into marketing campaigns and new product development -- the Cola Wars went international. China, India and Eastern Europe became battlegrounds for market share. The business of carbonated beverages has evolved, but, like the fickle tastes of the market, will likely need to remain poised to that next step in global dominance. A Coke executive commented when asked about the market, "the cola wars are going to be played now across a lot of different battlefields" (McKay, 2000). This different battlefield, of course, was the Internet

Effectiveness of Strategy

In the 21st century, much of the soft drink market was either stable, or simply a war between Coke and Pepsi. Coke changed this with a new office of digital communications and focus on social media. Vice President of Corporate affairs Clyde Tuggle commented, "Mass media is declining in importance. Our future success depends on our continued ability to connect people to our brands and our company all around the world, one person at a time. Our new office of digital communications and social media will help us become even more comfortable and effective in these new spaces" ("How Coca-Cola," 2009). This is a huge change for a company who typically spent over $1 billion per annum on traditional advertising. However, the change in the marketplace and consumer means that no matter how wonderful the slogan is, or how fantastic the television commercials are -- to remain viable and competitive a company must keep up with the youth market.

Threats and Missed Opportunities

Over the next several decades, these wars continue. New combinations of flavors are introduced, sponsorships of movie icons and sporting events; and even with labor and equipment costs, remain poised for growth. The wars have no… READ MORE

Quoted Instructions for "Coca Cola Before 1970" Assignment:

The instructions are below. Please make sure you follow all the instructions below given for this assignment. Background. Please send any questions if you have any.

The Case in this course is an ongoing exercise, which means that we will be taking an intensive look at one company over the course of 5 modules. This session, we will be conducting a strategic analysis of The Coca-Cola Company. In order to be best prepared and perform well on the cases, it is highly recommended that you complete the background readings and the SLP before writing to the case.

For this case, you will be identifying the primary business strategy employed by The Coca-Cola Company. You will also be providing a critical analysis evaluating that strategy in the context of the strengths, weaknesses, opportunities and threats you identified in Modules 2 and 3.

Required Reading

Please refer to the required and optional readings on Strategic Choices, the theme of Module 4.

Assignment

Step One: Which of the four strategies discussed in this module (see background materials) does The Coca-Cola Company follow? How do you know?

Step Two: Using the process you learned in the SLP, integrate this strategy with the strengths, weaknesses, opportunities, and threats you identified in modules 2 and 3. This should give you some specific actions the company is taking relative to their strengths, weaknesses, opportunities, and threats. These actions are referred to as *****"strategic choices.*****" Do The Coca-Cola Company*****'s strategic choices align with the firm*****'s generic strategy? If not, what are the points of disconnect? You need to think critically about this step, no company achieves perfect alignment of its strengths, weaknesses, opportunities and threats with its chosen strategy. It is your job to uncover the discrepancies and problems.

Step Three: Identify any specific sustained competitive advantages conferred on The Coca-Cola Company by virtue of its strategic choices.

Step Three: In a 4-5 page paper:

1) Discuss the effectiveness of The Coca-Cola Company*****'s strategy in the light of its internal strengths and weaknesses, and external threats and opportunities.

2) Has the company created any sustained competitive advantages?

3) Identify any unaddressed threats or missed opportunities.

4) What can The Coca-Cola Company do to build on its strengths and shore up its weaknesses by altering its strategic choices?

5) Complete the paper by commenting on how your view of The Coca-Cola Company*****'s vision and mission has changed or has been reconfirmed by this process of strategic analysis. Would you make any suggestions to revise the strategy, mission or vision?

Step Four: Consider the Case as a formal business report that you are developing for the Board of Directors and CEO as The Coca-Cola Company*****'s consultant. This is a professional document. Follow the format below:

Executive summary: a synopsis of the main points, conclusions and recommendations made in the longer report. If you have never written an executive summary before, or would like a refresher, check this website: http://www.highendfinance.com/CommercialLoans/Docs/07-4%20ES%20Guidelines.doc

Introduction: State the main purpose of the paper (thesis statement), what you hope to accomplish, and how you will go about doing it.

Main Body: The *****"meat*****" of the paper. Emphasize analysis, not just description. Delineate separate topics or sections with headings.

Conclusion: Summarize your paper in light of your thesis statement.

Assignment Expectations

Your paper will be evaluated on the following seven (7) points:

Precision - Does the paper address the question(s) or task(s)?

Breadth - Is the full breadth of the subject, i.e., all the keys to the assignment, addressed?

Depth - Does the paper address all elements of the topic in sufficient depth? Does it include and apply the background readings and other background resources? Are they included as references?

Critical thinking - Are the concepts of the module applied accurately, logically, and relevantly?

Organization - Is the paper organized in a coherent and systematic manner? Are headings included in all papers greater than 2 pages?

Clarity - Is the writing clear and the concepts articulated properly? Are paraphrasing and synthesis of concepts the primary means of response to the questions, or are thoughts conveyed through excessive use of quotations?

Referencing (citations and references) - Does the paper use citations and quotation marks where appropriate? Are all references listed in the bibliography used and referred to via citation?

How to Reference "Coca Cola Before 1970" Research Paper in a Bibliography

Coca Cola Before 1970.” A1-TermPaper.com, 2012, https://www.a1-termpaper.com/topics/essay/coca-cola-1970/97538. Accessed 5 Oct 2024.

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