Coca Cola Swot Analysis Case Study
Coca Cola Company is an American multinational company. This company has it’s headquarter situated in Atlanta. The organization is involved in manufacturing, retailing, and marketing of beverage concentrates and syrups for the people around the world. This organization has its operations all around the world and it has also served a large number of people across the globe with the help of its products. The organization has continuously made sure that it provides high-quality products to its customers. With the help of high-quality products, the customers are always satisfied and make sure that they are performing their key activities effectively and more appropriately over the period.
SWOT analysis is a particular method that helps the organization to find out its strengths, weaknesses, opportunities, and threats. It helps in finding out whether the organizational activities are carried out properly or not. The organization identifies how it should perform its tasks so that, its overall operations are carried out effectively. Overall, it helps in identifying the true structure of the organization and how its performance is likely to be impacted over a particular period. The detailed SWOT analysis of Coca Cola Company is being provided here.
a. Strengths: This organization is one of the most iconic brands of all time. This organization has made use of its competitive advantage to become the 2nd largest organization in the world in terms of manufacturing and sale of beverages for the consumers. The soft drinks of the organization are the most sold soft drinks all across the world. The organization also received the award of having the highest brand equity. It has its operations in around 200 countries and it serves a total of 9 billion servings per day for its products. The brand valuation of Coca Cola is the 3rd highest. The estimated brand value of the organization is around $79.96 billion. The distribution network of the organization is one of the best in the world.
b. Weaknesses: The first area of weakness for this organization is that it has intense competition with PepsiCo. The product diversification at Coca Cola is not as much as PepsiCo. It is selling a lower level of products in comparison to PepsiCo. Another problem of weakness with Coca Cola is the health concern. The organizational products are found to be having higher sugar content. The high sugar content in its products causes concern for the people regarding their health. The people need to make sure that, their health concerns are taken care of.
c. Opportunities: There are various opportunities for the organization Coca Cola Company in terms of doing its activities. The organization can introduce products in health and food segments in the same manner as PepsiCo has worked out the tasks. The opportunities given to the organization can help in enhancing its revenue to a greater extent in the future. The organization also has the opportunity to ensure that, it brings up an advanced supply chain system for performing its operations. The improved distribution systems for the organization can be a form of opportunity for it in the course of making sure that its operations are carried out effectively and more appropriately. The organization also has the opportunity to ensure that, it brings out certain health drinks for the customers. With the emergence of health drinks, it shall be easier for the organization to improve its positive in the market.
d. Threats: The organization also has certain threats that are required to be taken into consideration by it. The organization Coca Cola Company has faced various criticisms on account of its issue towards water management. Various social and environmental groups have claimed there is a vast scarcity of water about the consumption of water across the world. The organization has also faced controversy in terms of its packaging. The organization has been criticized for its recycling and renewable sources. The organization also faces a threat regarding several of its competitors. The indirect competitors of this organization include Costa Coffee, Tropicana, Lipton Juices, and Nescafe. All these organizations are its indirect competitors and the organization has to ensure that, it takes good care of its indirect competitors so that it can avoid the issues which are likely to arise to it in terms of beating the competition.
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