https://coca-cola456.weebly.com Introduction This assignment has done to

https://coca-cola456.weebly.com Introduction

This assignment has done to
present as a report to the CEO. Here I’ve chosen the main competitor Coca-Cola
and other two competitive companies are Sweepers and Pepsi. Through the globe,
these major players have been battling it out for a bigger chunk of the ever
growing soft drink market. In here I’ve covered backgrounds, mission, vision,
size, scope, legal structures, stakeholders etc.

In the modern urban culture
consumption of soft drinks particularly among younger generation became very
popular. From kids to old age people, all are attracted by the mere mention of
the world soft drinks.

 

Coca-Cola

Coca cola is a carbonated
soft drink sold all over the world. This is the world’s most popular and number
one biggest selling soft drink and it has been a catalyst for social
interaction and inspired innovation. It’s colour white and red trademark is
it’s known brand symbol in worldwide. It was created in 1886 in Atlanta,
Georgia, by Dr. John S. Pemberton. Pemberton’s clerk, Frank Robinson, the
persons whonamed the beverage Coca-Cola. During the first year Pemberton was
only selling 9 glasses of Coca-Cola per day.

Candler was the first
president, and pioneer who brought true vision to the business and the brand.
Packaging operations were soon started in Hawaii the following year, then
spread to the Philippines, France, Belgium, Bermuda, Colombia, the Honduras,
Italy, Mexico, Haiti, and Burma in later years.

The first servings of Coca?Cola were sold for 5 cents
per glass. During the first year, sales averaged a modest nine servings per day
in Atlanta. Today, daily servings of Coca?Cola
beverages are estimated at 1.9 billion globally.

 

 

Pepsi

Pepsi is a carbonated soft
drink that is produced and manufactured by PepsiCo. Created and developed
in1898 and introduced as “Brad’s drink”, it was later renamed as Pepsi – Cola
on June 16.1903. then to Pepsi in 1961.

It is one of the most
well-known brands in the world today available in over 160 countries. It has an
extremely positive outlook for India. This reflects that India holda a central
position in Pepsi’s strategy.

India is a key market for
PepsiCo and at the same me the company has added value to Indian agriculture
industry.

 

Schweppes

Schweppes tonic water began in 1783 as
the world’s original soft drink. Its founder, Jacob Schweppes, was drawn to the
new art of carbonating beverages, so he refined and patented his own process of
creating mineral water. Schweppes was the official drink of the 1851 great
exhibition held at the Crystal Palace in London. The event made such an impact
that the fountain is still featured on the logo today. The company introduced
fizzy lemonade in 1831, the success of which led to a flood of other flavoured
fizzy drinks.

 

In the 1950s Schweppshire
advertising campaign, spokesman Commander Edward Whitehead coined to describe
the bright, effervescent quality of Schweppes. For over 230
years, Schweppes has been committed to quality and excellence

Schweppes’s parent company
is DR.Pepper Snapple (DPS) group. It’s slogan is Schhh… You know who (1960s).

 

 

 

 

If we see the SWOT analaysis
of three companies,

 

SWOT

                                                           

 

Strengths
(S)

Weaknesses
(W)

Opportunities
(O)

Threats
(T)

Coca
cola

Coke
brands enjoy and high profile global presence                
 
Broad-based
bottling strategy
 
47%
of global volume sales in carbonaes
 

Carbonates
market is in decline
 
Over-complexity
of relationship with bottlers in North America
 
The
existing distribution system is not so efficient for non-carbonates.
 

Soft
drink volumes is the Asia Pacific region forecast to increase by over 45%
 
Brands
like Minute Maid light and Minute Maid premium heart wise are positioned well
with the “Health Concerned” market.
 

Growing
“health-conscience” society
 
PepsiCo’s
Gatorade, Tropicana and Aquafina are stronger brands.
 
Boycott
in the Middle East
 
Protest
against Coke in India
 
Negative
publicity in Western Europe.
 
 

Pepsi
 

PepsiCo
brands enjoy and high profile global presence.
 
Pepsi
owns the world’s 2nd best selling soft drinks brand.
 
Constant
product innovation
 
Aggressive
marketing strategies using famous celebrities.
 
A
broad portfolio of products.
 

Carbonates
market is in decline
 
Pepsi
is strongest in North America
 
They
only target young people.
 

Increased
consumer concerns with regard to drinking water
 
Growth
in healthier beverages
 
Growth
in RTD tea and Asian beverages
 
Growth
in the functional drinks industry.
 

Aggressive competition – Aggressive competition
is a major threat against the company. The influence of the Coca-Cola Company
is especially significant against PepsiCo.
 
Healthy lifestyles trend- healthy lifestyles
trend is a threat against PepsiCo’s products, many of which are seen as
unhealthful because of their sugar, salt, or fat content.
 
Environmentalism- threatens the company in
how consumers negatively respond to product waste and lifecycle issues.

Sweepers

With
a strong growth in volume, it is the company’s second biggest volume driven
brand
 
won
many awards (Best Customer Satisfaction )
 
 
Increase
in net sales and net profit
 
Strong
advertising and marketing makes it a top of the mind brand

Not
easily available in many major markets like India, China, Africa etc.
 
Only
available in limited flavours and has high competition means limited market
share
 

Emerging
economies like India, China etc.
 
Diversify
product portfolio
 
More
advertising and marketing to increase brand awareness
 

Intense
competition
 
Foreign
exchange risk, interest rate risk, commodity risks etc.
 
Fluctuating
economic conditions
 
It’s
competitors are coca-cola and pepsi.

 

 

Coca-Cola
product

Coca-Cola company is a
multinational and it is not limited to one product. Through the years they have
invented and introcuced many products than their main cola drinks.

•           Coke

•           Diet coke

•           Thumbs up

•           Sprite

•           Limca

•           Manza

•           Fanta

•           Kinley

 

Pepsi

The Pepsi drink contains
basic ingredients found in most other similar drinks including carbonated
water, high fructose corn syrup, sugar, colorings, phosphoric acid, caffine,
citric acid and natural flavours. The caffeine free Pepsi contains the same
ingredients but no caffeine.

•           Pepsi

•           Diet Pepsi

•           7up

•           Miranda

•           Mountain Dew

 

Coke
and Pepsi Product

Many of these above products
are innovations but there are also many products which are brought out just as
a competitive product for the other companies. Some of these products that are
brought in the market by both the other companies. Some of these products rthat
are brought in the market by both the companies to compoete against each other
as follows.

Coke

Pespi

The
main dark cola drink of the company which started the rivalry between these
companies.  

Pepsi
version of dark cola which is the major primary competitor to Coke.

Full
Throttle is an energy drink brand produced by the Coca-Cola company. It
debuted in late 2004 in North America.

AMP
is an energy drink produced and distributed by PepsiCo under the Mountain Dew
soft drink brand.

.
vault is a carbonated beverage that was released by the Coca-Cola company in
June 2005

Mountain
Dew MDX is an energy drink manufactured and distributed by PepsiCO under the
Montain Dew brand. It was introduced in 2005.

Powerade
is a sport drink by The Coca-Cola company and currently number two in the
sports drink market worldwide

Gatorad
is a non-carbonated sports drink marketed by Qaker Oats company, a division
of PepsiCo. Originally made for athelets, it is now often consumed as a snack
beverage.
 

Sprite
is a clear lemon-lime flavoured, non-caffeinated soft drink produced by the
Coca-Cola company. It was introduced to the US in 1961.

7UP
is a brand of a lemon-lime flavoured soft drink.

 

 

Segmentation
of Coca-Cola

Coca-Cola segments its
market in a number of ways. Coca Cola’s customer segmentations is mainly by
their market demographically based on age, income and family size. CocaCoola’s
behavioural segmentation has been a key to the company’s success. Age is one of
the most significant parts of the segmentation of Coca Cola. Coca cola
introducs Coca cola diet for the people who are likely to avoid sugar and for
aged people. Coca cola mainly produces the Coca cola and the main customer of
Coca cola ia young people whose age is 10-35.

   

 Segmentation of Sweepers

Geographic segmentation

·        
Introduced nationally in US.

Demographic segmentation

·        
Sweepers had a diffused preference or natural
market

·        
Positioned the product in the center of the
basic market.

·        
Preference hoping to appeal to all group of
people.

Positioning

·        
Sweepers Public Limited company was one of
the largest British owned confectionary and soft drink.

·        
It has positioned itself in the consumer mind
either as a mixer or as a soft drink for special occasions.

·        
Adult soft drink in the mind of consumer

·        
Used as mixer to the alcohol at aduklt
gathering.

·        
Unique selling Proposition (USP) {main stream
soft drink}

 

    Target

·        
Introduced nationally in US

·        
Targeted all class and age of people.

 

     Marketing mix

·        
Product

    Rasperry Ginger Ale

·        
Price

    1.79 US $ for 1 litre bottle

·        
Promotion

    United States Market with $ 1 million spent
on advertising.

·        
Place

         Us was the Target where the major
players play

 

 

Segementation
of Pepsi

Pepsi segments its market in
several ways. Pepsi mainly segment their market demographically assuming age,
income and family size. Pepsi’s behivoural segmentation has been a key to the
company’s success. Age is one of the most significant parts of the segmentation
of Pepsi. Pepsi introduces Pepsi diet for the people who are suffering from
diabetic and for those who are likely to avoid sugar and for the aged people.
Pepsi mainloy produces the Pepsi cola. the main customer of Pepsi cola is young
people whose age is 10-35

 

Target
marketing of Coca-cola

They make different values
to capture this portion of market by marketing targeting. However, they don’t
fiercely advertise like Pepsi does. They offer Coca Cola in those places where
students amd young people gather mostly. Their market segment profiles have
shown that the majority of carbonated beverage drinkers of Bangladesh are youth
and middle age people. Same as the Pepsi, Coca cola also targets the
Bangladeshi schools, colleges, universities, restaurants, hotels and fast food
stores. For this reason, they always spend huge amounts of money to compete
with Pepsi in acquiring contracts with universities to have sold representation
of their product distribution. Coca cola customers are mainly teenagers and
young adults btween the ages of 16-35. Coca cola also mad diet coke for those
who are suffering from sugar problems.

 

Target
marketing of Pepsi

The reason why Pepsi-Cola
has fiercely targeted this market is because it is the largest among its users.
Market segment profiles have shown that the majority of carbonated beverage
drinkers of Bangladesh ate youth and middle age people. Pepsi continually
targets the Bangladeshi scholls, colleges, universities, restaurants, hotels
and fast food stores. For this, they always spend huge amounts of money to
compete with Coca Cola in acquiring contracts with universities to have sold
representation of their product distribution. Pepsi customers are mostly teenagers
and young adults between the ages of 14-30.

 

Mission and vision

Mission
of Coke

•           To refresh the world in mind, body and spirit

•           To create a value in brands & diffewrence everywhere
we engage

•           To do everything differs

•           Our product in each hand

•           Being a global leader in beverage.

 

Mission
of Pepsi

PepsiCo mission is to be the
world’s premier consumer products company focused on convenient foods and
beverages. We seek to produce financial rewards to investors as we peovide
opportunities for growth and enrichment to or employees, our business
partnersand the communities in which we operate.

 

Vision
of coke

•           Profit – maximize the return of shareholder.

•           People – establish a great to work where people are
inspired to the best they               can
do.

•           Portfolio- Bringing to the world a portfolio of beverage
brands that anticipate and safely people’s desire and need.

•           Partners – nurturing a winning network of partners and
building a mutal loyalty.

 

Vision
of Pepsi

Pepsi co vision is put into
action through programs and a focus on environment stewardship activities to
benefit society and a commitment to build shareholder value by making PepsiCo a
truly sustainable company.

 

 

Marketing
mix

Marketing mix is the set of
marketing tools that the firm uses to pursue its marketing objectives.
Marketing mix has a classification for the marketing tools. These marketing are
classified and called as the 4 p’s. (product, price, place and promotion)

 

Coke
price

Coke was a company ruling
the market before Pepsi entered. Earlier the price of coke was cost based. Bt
after the emergence of the companies especially the likes of Pepsi, Coca-Cola
started with a pricing strategy based on the basis of competition. Mowadays
more expenses are spent on advertising softdrink companies rather than on
manfactring.

 

Pepsi-Price

Pepsi again decides it price
on the basis of competition. The best thing about the company Pepsi is that it
is very flexible and it can come down with the price very quickly. The company
is renowned to bring the price down even up to half if needed.

But this risk taking
attitude has also earned Pepsi losses. Through lowering the price would attract
the customers but it would not help them cover up the cost incurred in
production hence causing them losses. This was the situation earlier but now
Pepsi is a full-fledged and growing company. It has covered ass its losses and
is now growing at a rapid rate.

PepsiCo’s
CSR Initiatives & Stakeholders’ Interests

PepsiCo’s
corporate social responsibility strategies are supported based on how
stakeholders impact the business. The company’s prioritization of stakeholders
is stated in its corporate beliefs and purpose of business. The following are
PepsiCo’s major stakeholder groups, arranged according to the company’s prioritization:

1.   
Consumers and customers (top priority)

2.   
Communities

3.   
Employees

4.   
Investors

5.   
Government (least priority)

 

Consumers and Customers.
Consumers and customers have the highest priority in PepsiCo’s corporate social
responsibility strategy. This stakeholder group determines the financial
standing of the company in terms of revenues. Based on the significance of
these stakeholders, PepsiCo uses continuing innovation processes to improve its
products, such as products under the Pepsi brand. Thus, PepsiCo’s corporate
social responsibility strategy flexibly addresses the interests of consumers as
stakeholders.

Communities. Part of
PepsiCo’s thrust in corporate social responsibility is to ensure that it always
has a positive impact on society. The interests of stakeholders include
corporate support for community development programs. The PepsiCo Foundation
provides financial assistance for such programs.

Employees. PepsiCo believes
that employees are significant determinants of the company’s long-term growth.
This stakeholder group is interested in career development and fair
compensation.

Investors. As stakeholders,
investors are interested in PepsiCo’s higher financial performance. Investors
significantly affect the company through availability and cost of capital. PepsiCo’s
corporate social responsibility strategy adequately covers the interests of
investors as a major stakeholder group.

Government. Governments are
significant in terms of imposing rules and requirements on PepsiCo’s business.
This stakeholder group is interested in ensuring that companies comply with
regulations. PepsiCo’ global legal team and public relations team address
issues related to governments.

 

Coca-Cola’s
CSR activities

The CSR initiatives are

Ø 
Water

·        
Conserve
water

·        
Watershed
protection, rain water harvesting projects

·        
110
recharge shafts that collect rainwater.

·        
 

Ø 
Energy

·        
Reduce
energy consumption and emission of GHGs by such as refrigeration

·        
EKOfreshment
cooler that used technologies devoid of hydro fluorocarbons.

·        
GHG
emission reduced by three fourths

·        
Increased
the energy efficiency of its equipment by 40-50

 

Ø 
Packaging
and recycling

·        
Packaging
framework that aimed at recycling

·        
A
PET recycling project

·        
Collected
the company’s packaging material consisting of glass bottles, cans, etc. after
they were disposed.

Ø 
Health

·        
Offered
health checkups, medicine and education to rural communities on health related
topics.

·        
Funded
polio eradication camps.

·        
Conducted
blood donation camps and supported a 24 hour emergency service for children.

·        
Also
conducted camps for Hepatits B vaccination, eye checkups and malaria
eradication in Andrapradesh.

 

Ø 
Economic
responsibilities

·        
Provide
employment and gave the community opportunities to expand and grow.

·        
For
every job in Coca cola system, 10 more jobs were created indirectly

.

 

Stakeholders, Managers and Ethics

Share owners.
Employee, bottling partners, supplier, governmental agency, cosumers, retail
customers, NGO’s, and local communities are the stake holders. Share owners are
concerned with earning a profit local communities care about environmental
issues and labour standards. Management want to keep labour cost down while
employees want and increased benefits

 

Sweepes
CSR activities

CSR activities include,
having raised $6 million for United Way, DPS’ ACTIONeering program and Action
Nation Month encourages employees to contribute 50 hours for any NGO, and
various environmental initiatives etc.

 

Coca-cola’s
organizational structure

The Coca-Cola Company has a
Separate International Division Structure because its international staffs
operate separately and in isolation from head office. It has various divisions
in all continents around the world with presidents that control each
continental division. Coca-Cola has 5 continental divisions.

•           Eurasia & Africa Group

•           Europe Group

•           Latin America Group

•           North America Group

•           Pacific Group

Each Continental division
has vice presidents that control sub-divisions based on regions or countries.
This structure is efficient for Coca-Cola since it is a very large company.

 

 

How do they operate?

 

Coca-Cola is as an
ethnocentric MNC because its domestic operations are very similar to its
international operations. Regardless of the country or region, Coca-Cola
operates the same way and sells the same brand and type of soft drink. The
company has tight control over its operations from head office.

{ http://cokemnc.blogspot.com/p/organizational-structure.html}

 

Legal Structure of the
business

 

Coca-Cola Amatil Limited
(CCA) is an Australian owned public company that manufactures, markets, sells
and distributes a portfolio of beverage and food products. The company is
listed on the Australian Securities Exchange under the code CCL and employs
more than 15,000 people throughout its operations. Coca-Cola Amatil is
headquartered in North Sydney, New South Wales.The Coca-Cola company owns
thirty percent of the CCA.

 

Legal
structure

The company divides its
operations into two segments:

•           Beverages: The beverage business operates the franchise
for manufacturing and distributing Coca-Cola trademarked products in Australia,
New Zealand, Fiji, Indonesia and Papua New Guinea and Alcoholic Beverages (Jim
Beam, Canadian Club and Makers Mark).

•           Food & Services: The Food & Services division
manufactures and distributes packaged fruit and vegetables, jams and sauces
throughout Australia and globally. This division also distributes coffee
products under the Grinders brand and provides cold drink equipment.

{ https://coca-cola456.weebly.com/legal-structure.html}

 

 

https://www.mbaskool.com/brandguide/food-and-beverages/13805-schweppes.html

SWOT Analysis and Report for Cadbury Schweppes – Business Research Paper

 

http://www.referenceforbusiness.com/history2/15/CADBURY-SCHWEPPES-PLC.html

 

 /legal-structure.html