Essay on "Economics of Business Strategy"
Essay 4 pages (1433 words) Sources: 4 Style: Harvard
[EXCERPT] . . . .
Economics of Business StrategyCoca-Cola's most important resource allowing the company to expand internationally is its operational structure that is strongly dedicated to emerging markets outside the U.S. where sales of soda are still growing, especially in Brazil, China and Russia. By this measure, Coca-Cola is very well positioned with operating segments encompassing (1) Africa, (2) East and South East Asia and Pacific Rim, (3) European Union, (4) Latin America, (5) North America (6) North Asia, Eurasia, and the Middle East, and (7) bottling investments (Badal, 2007, p. 33). The structure of having strong geographic orientation to manage franchise relationships, but headquarters in Atlanta maintaining global responsibility for sales, finances, and marketing and for specific product lines like water or juices (see Holstein, 7 November 2011) allows Coca-Cola to quickly respond to the different countries' consumer demands. PepsiCo's biggest resource and capability is its broad product diversification encompassing a beverage line and a snack line (Frito-Lay etc.). The international market has served the snack division of Pepsi-Co well with operating profit rising 26% and snack volume up 9% in 2006. Mexico and Russia were two contributing markets to PepsiCo (Badal, 2007, p. 38). Pepsi-Co does also very well in its approach to meet increasing concerns about the potentially negative health effects of highly sweetened sodas, as well as salty and fried snack foods (see Sivy, 23 April 2007, p. 1) by introducing calorie, sugar, fat and salt reduced snacks. Question 2: PepsiCo has created greater value for its shareholders over those years. On 9 February 2010, Coca-Cola reported a huge surge in fourth-quar
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Quoted Instructions for "Economics of Business Strategy" Assignment:
Using the case material provided,and any other research you can obtain,compare and contrast the successes of the CoCA COLA and Pepsi over the years 1975-2010. *****
How to Reference "Economics of Business Strategy" Essay in a Bibliography
“Economics of Business Strategy.” A1-TermPaper.com, 2011, https://www.a1-termpaper.com/topics/essay/economics-business-strategy-coca-cola/1174376. Accessed 28 Sep 2024.
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