The various current challenges that are facing business enterprises in the global business environment have been linked to factors such as unethical practices by the business, failure of embracing emerging technological trends and high competition. With this information in mind, understanding how businesses are tackling these key areas is key importance to their overall success. Coca-Cola is a company that specializes in the manufacturing, retailing and marketing of beverages and syrups of non-alcoholic nature. The Coca-Cola Company has its headquarters in Atlanta, Georgia and was invented in 1886. Its overall heads include the CEO, chairman and executive vice president (Coca-Cola Company, 2014).
Since early 20th century, Coca-Cola Company has climbed the success ladder to compete with economic giants in the global market.
The key strongholds that have contributed to the success of Coca-Cola Company over the years include proper marketing, innovation and globalization. Marketing application is through advertising techniques in TV commercials and participation of leaders in marketing. This pattern is how chief executives moved through villages and slums to make sure their product was in every spot of the world (Wise, 1999).
To their innovative part, Coca-Cola has had to take a deliberate move from offering a single core product to a variety of beverages to cater to the diverse tastes and preferences in people. Their globalization aspect stems on establishing lasting supplier and customer partnerships that enabled them to further supply their products to numerous markets in the entire world. Coca-Cola has had to face competitors in their line of products such as PepsiCo Inc and Dr Pepper Snapple Group, formerly known as, Cadbury Schweppes Americas Beverages.
... develop competitive edge to capitalize on those opportunities. The Coca Cola Company segments the customers based on the following criteria: ... company over many years. Coca-Cola’s marketing strategy has always been to associate happiness, positivity and the good life with their products, ... are accelerating their efforts in the parts of the business that use the most energy: the bottling plants, ...
The companies have used the same success tools that Coca-Cola has kept in place to be more competitive and have a market share of the beverages industry (Zmuda, N. 2009).
According to PepsiCo Inc (2014), their innovativeness has created a total of 22 brands to satisfy different tastes and preferences of its consumers. This has made PepsiCo Inc reach more consumers. A similar move has been made by Dr Pepper Snapple Group who has created multiple brands to more than 50, which have different flavors and have been used by different customers in the entire world (Dr Pepper Snapple Group, 2014).
Globalization has set in motion for PepsiCo Inc and Dr Pepper Snapple Group, branding by PepsiCo to entire schools, Pepsi- The Official Soft Drink of Cayuga secondary school. Through such a move, PepsiCo has penetrated many markets to sell their products by establishing themselves as a global beverage business.
However, Dr Pepper Snapple Group haven’t been left behind, and their effort on globalization is highly obvious. Dr Pepper Snapple Group has embraced its first step to globalization that included buying back its distribution rights in the Asian-Pacific region for its non carbonated beverage drinks including Snapple, a move that automatically exposed them to World’s fastest growing market (Joseph and Val, 2009).
While focusing on marketing, PepsiCo Inc has branded several schools in different nations, a key strategy in their tools of marketing. Dr Pepper Snapple has decided to tap the largest growing market in the entire world. PepsiCo Inc and Dr Pepper Snapple Group innovativeness cannot be underestimated. PepsiCo Inc has the ability to reach more than 200 nationalities and territories with their brands.
They have been able to make their highest sales from global markets (PepsiCo Inc, 2014).
Your group assignment is to pick a brand from the list of brands(attached) and conduct a thorough brand audit. Each group must study and analyze a different brand. Brands will be assigned on a “first come, first serve” basis. Post your group’s choice of brand and gp number on the “questions for Prof/TA” board so that everyone can see your group’s choice. This way, the other gps will ...
Relating to Dr Pepper Snapple Group, their beverages have become renowned due to the various brands they offer. The individual brands of the Dr Pepper Snapple Group have gained favor from many cultures which have adored the brands of Vernors, Royal Crown Cola and Squirt. As these tools of innovativeness may lead to large sales volume and popularity, Dr Pepper and Pepsi, people might say their old-fashioned, a simulation of Coca-Cola in these markets, more consumers will shy away from their products (Dr Pepper Snapple Group 2014).
Globalization being fully addressed by Dr Pepper Snapple Group and PepsiCo Inc may lead to their respective success in the beverage industry.
PepsiCo Inc has tactfully touched the hearts of many parents, students, teachers and workers involved in the branded schools. They have distributed their products in these schools while offering financial help. For the Dr Pepper Snapple Group, they now have access to the highest populations in the world which will translate to high sales after they successfully obtained their Asia-Pacific distribution rights back. The expansion of Dr Pepper Snapple Group to markets of Malaysia, Australia, China, Singapore and more; will bring enormous revenue growth and expansion. The negative side on these companies’ globalization is the period of establishing themselves in that market and the competition from the likes of Coca-Cola. Marketing by PepsiCo and Dr Pepper Snapple may lead to new customers and increase in sales. They may drain their funds reserve and make many losses in the short term, an aspect that may translate to incompetence in business dealings.
The code of conduct of these companies remains very competitive in the global market, with consumers and other parties involved anticipating on what is the next move by these companies. Coca-Cola can come up with valuable techniques that set them apart, one that will ensure their code of conduct remains relevant no matter the anticipated changes in forces existing in society and business. A technique as supporting worthy causes of a humanitarian aspect will put them on the leader board. Instead of concentrating too much on sales and business, they can support a portion of their profits, ideas that do not breach upon a confidentiality agreement. Donating and supporting hunger infested communities which lack water to drink by providing them with their mineral water can go a long way. By spending more time on manufacturing beverages that have low cab or herbal nutrients may make a difference in their code of conduct.
Coca-Cola is the largest soda provider in the world. Although it is widely consumed, many people are unaware of its labor violations. The company has come under fire in the last few months for the way in which its workers are treated in Guatemala. The primary source of all the violence is the workers’ union. On February 25, 2010, Coke was sued by those Guatemalan laborers, who claim that they, “ ...
With the high acceleration rates of lifestyle diseases such as cancer, the company should be geared to inventions that will add long term value to its consumers and create a better name for the company than having an addictive beverage. Environmental pollution issues and dumping of wastes have resulted from a variety of businesses. Coca-Cola has had a debatable issue with its bottling and packaging since it started its production. The bottles, cans and packages have caused dumping in many areas, but measures have been put to avoid the pollution (Coca-Cola Company, 2014).
First, the materials currently used can be recycled and reused, reducing the amount of dumping which reduces pollution in the long run. This method has stood out as the most effective; 85% of all their packaging materials is recyclable and effective.
Dumping has also been reduced by this method (Coca-Cola Company, 2014).
The Company is open to packaging ideas that will bring solutions that will ensure little or no effects to the environment. These innovations are welcome, and that they deliver measurable, genuine and long run advancements are highly rewarded. The effectiveness of this process can be seen in the current global packaging mix which uses seven different materials, an invention that was highly appreciated and is currently being used worldwide (Coca-Cola Company (2014).
In order for Coca-Cola Company to be up to date with current and prospective developments in their technological area, it has embraced techniques that will ensure it keeps with innovations.
The first approach involves partnerships that drive the company’s innovation agenda. It includes the likes of EKOCENTER kiosks and social music app by Placelists that is powered by Spotify. Collaboration helped improve services of supplying water to communities with their joint support with partners and DEKA R&D (Coca-Cola Company, 2014).
The other initiative packaging has been customized with a link to social media and mobile technology. This enabled sharing content all over the world, and an elaboration of this was the Singapore’s shareable can and Coca-Cola bottle that had been entirely made of Ice in Colombia. The packaging approach has brought proper delivery of beverages in a quality and happy manner, an aspect embraced by many consumers (Coca-Cola Company, 2014).
Today, Coca-Cola is one of most well-known brands in the world. This company has continued to gain momentum and growth, capitalizing on the rapidly expanding beverage industry and ranking as the largest beverage company in the world. With its push for global market share, Coca-Cola now operates in over 200 countries with over 84,000 suppliers. Currently, over 70% of Coca Cola’s business income is ...
The Coca-Cola Company has some technological challenges in the process of business dealings, which if not checked will paralyze the operations. These may include: cyber theft, piracy of products and fake distributors who are out to tarnish the name of the business. This employment of highly qualified programmers, skilled software engineers and trained web hosting personnel will come in handy in managing sites, software systems, blogs, and other online protocol the company owns. Licensing of distributors who have a clean profile will cut down on piracy levels and fake distributors. Mass education and awareness campaigns to its customers should also be launched to educate the people of the company’s portfolio, standards and the identification of genuine distributors through proper certification. The company has also established a lobbying strategy to be used in ensuring that local and national government decisions are made in their favor.
The approach used in the past and present include using vast amounts of funds in lobbying, which is engaging in lobbying as a business, that try to reduce the amount of taxation applied on beverages. The total number of lobbyists was 38 and had seven different companies lobbying for Coca-Cola Company. The lobbying was highly appropriate in reducing the amount of taxation on its beverages to increase its sales through reduced prices. Coca Cola Company has put immense efforts in the area of global corporate citizenship.
Evident by their move to go green, the company has decided to select water, managing their carbon footprint and recycling as the best way to cut on environmental effects. Having the ability to earn sustainability which focus on their 2020 Vision (Coca-Cola Company, 2014).
Coca Cola has identified water neutrality that in turn has enabled them in to cut on costs of production and thus bring long-term sustainability (Coca-Cola Company, 2014).
Soft Drink demand market is very strong all over the world. Now there are 2 major Company of Soft Drinks • Coca Cola • Pepsi Co they are competitors to each other. The world’s largest beverage’s company Coca Cola began more than a century ago. The Coca Cola company world headquarter is at Atlanta Georgia, USA. Formation of Coca Cola company was in a simple way, but today it is spread worldwide. It ...
Challenges in the global business environment can be tackled through various strategies such as application of ethical business practices, embracing advancements in technology and reduction of competition in the market.
Coca-Cola Company (2014).
The Coca-Cola Brands. Retrieved from http://www.coca-colacompany.com Dr Pepper Snapple Group (2014).
Our Brands. Retrieved from http://www.drpeppersnapplegroup.com Joseph, Z., & Val, R. (2009).
Globalization, Policy and Comparative Research: Discourses of Globalization. What is the Resistance to Globalization and Monopolization of Minds, 29. PepsiCo Inc (2014).
Brands You Love. Retrieved from http://www.pepsico.com Wise, R. (Jan/Feb, 1999).
Why things got better at Coke. Journal of Business Strategy, 15-19. Zmuda, N. (2009).
Dr Pepper ups marketing spend, readies for growth. Advertising Age, 80(16), 18.