Analyzing Coca-Cola's International Strategic Objectives & Environment

This essay provides a comprehensive analysis of Coca-Cola's international strategic objectives, internal and external operating environment, and the implementation and success of its strategies. It begins with an introduction to Coca-Cola's global presence and then delves into the company's long-term international strategic objectives, focusing on transnational, multi-domestic, and global strategies. The essay examines Coca-Cola's internal environment, including strengths and weaknesses, and its external environment, considering both micro and macro factors like suppliers, customers, economic conditions, and political influences. A SWOT analysis is presented to summarize the internal and external factors impacting Coca-Cola. The essay further reviews the implementation and success of Coca-Cola's international strategies, such as diversification, distribution, labor relations, and collaboration, highlighting their effectiveness in achieving market share and profitability. The conclusion emphasizes the importance of international business strategies and environmental analysis for success in the global market.

Strategic Operational Manager
of CocaCola

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Long term international strategic objectives..........................................................................3
Internal and external operating environment..........................................................................4
Reviewing the implementation and success of company's internationally............................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Coca-cola is a carbonated soft drink which is manufactured by The Coca-cola Company.
They first invented in late 19th century and bought by the businessman Asa Griggs Candler. His
marketing tactic lead to dominance world soft-drink market in 20th century. This company also
introduces different cola drinks under their name. This was the diet coke and included diet coke
caffeine-free, caffeine-free coca-cola, coca-cola cherry and others. They entered in the
international market where they used the international strategies to enhance the sales of the
product within globe. They have offered their product within more than 20 countries with high
brand value. There are many of the company who gave competition but due to having high brand
value and using appropriate international strategy, Coca-cola rule and sell most of their brand
product within countries with better effect. This company used various international strategy
which was effective and applied effectively to get in the market (Antony, 2018).
MAIN BODY
Long term international strategic objectives
To business worldwide it is essential for business organisation to use the internation
strategies within their business strategies. This can be effective and allow to conduct various
activity with better effect. This can be first approach that can help business organisation to
expand themselves through exporting their product or by importing goods along with services by
maintaining their head office within home country. When any organisation like to expand
themselves in internation market then there is need to use various strategies rather than one size
fits all approach. There is need to understand the target market and make the strategy accordingly
(Farokhi and et. al., 2018). There is need to identify the need in the target market where
organisation need to ensure about the impact of globalisation and due to this, there re huge
number of competitor in the market. To get better business, it is essential to find out the strategy
which can be more effective for the chosen market and to give better competition. In this there is
need to perform set of activities where business organisation should plan, promote, pricing and
distributing their good with effective manner to the target audience at various location.
International marketing strategy refers to an essential part of the strategic planning. This strategy
play an important factor in the competitive advantages. There are various strategies which can be

used by the business organisation when to expand themselves in the international market. These
strategies are going to be discussed further (Capolongo and et. al., 2018).
Transnational strategies- When organisation follow this strategy, then in this there is
need to establish business head office in one country which coordinates local subsidiaries within
international market. In this, business is operated by the centre of operations which determine all
the decision-making, harnessing power of scale, supply chain management. There are many
companies who follow this strategy like Nike, Coca-Cola, McDonald's.
Coca-Cola uses this strategy which allow to follow the better and effective trend to cover
the huge market in their initial stage when they introduced their product in international market.
In present coca-cola's uses the advantages of this strategy but it also follows the other strategy
because due to huge brand worldwide there is need to make various distributor to provide the
product worldwide. This strategy is also use for the decision-making strategy.
Multi-domestic strategy- When business organisation uses different marketing, sales
and product strategies and due to global brand which provides their product to the local
customer. There are some of the brand like Johnson and Johnson uses this model. This model is
not used by the Coca-Cola because this brand have high potential to attract their consumer and
should not use this strategy to sell their product within market. In this, through using this strategy
Coca-Cola's can get high cost investment which can lead to impact the profit of the organisation.
In this, Coca-Cola's should avoid to use this strategy which requires high cost investment and
provides less profit (Buhalis, 2018).
Global strategy- This is the business strategy in which business organisation should
define their global brand in market with little of no chance. Due to this, there is high demand in
the market and huge sales. This is controlled by the head office which allow for better decision
making. This is effective and allow consumer to get the product with their known model. This
also help to recognise the product worldwide. Coca-Cola's uses this strategy where they sell their
product without any change which attract large number of customer to get their product which
enhance the sales and profitability of the Coca-Cola.
Internal and external operating environment
Internal environment includes employees, corporate culture, management within
organisation. This impact employee behaviour where organisational business can be affected.
There is high importance of internal environment where Coca-Cola should focus on their

employees and other business operation which are effective for the smooth conduct of business
operations (Głodziński, 2021). There are many business operation within organisation to run the
smooth process of the organisation for which there is need for better internal environment that
can help to get better and effective operation with the help of employees and other staff
members. Coca-Cola should take care of their employee for the proper delivery of services for
the smooth conduction of business operation. This can be helpful to maintain positive internal
environment and can provide better outcomes in the international market by providing product at
the right time.
Strength
 Dominant market share within globe.
 Coca-Cola have high brand recognition.
 World wide distributor are present.
 Large number of customer base.
Weaknesses
 High competition with Pepsi.
 Low product diversification.
 Water management issues.
 Absence within health beverages.
Opportunities
 Diversification
 packaged drinking water
 supply chain improvement
Threat
 Indirect competitors
 Raw material sourcing
External environment composed of outside factors that are able to influence the impact of
business operations. These external environment can be divided into micro environment and
macro environment.
Micro environment
There are five factors which can affect micro environment that includes suppliers,
marketing intermediaries, customers, public perception and financiers (Monteiro, 2017).
Suppliers are the one who supply the raw materials to business organisation and finished
product to the customers. When there is any issue with the supplier then product supply may be
impacted and there can be loss to the organisation.
Customers are also important factor to run the business. They are the one who help
business to run effectively. When no customer is buying product, then in case there is no
business and can impact the profit of the business. For Coca-Cola customer are the important
factor which impact the business where they should take care of the business and should ensure

about the business profit. Marketing intermediaries plays an important factor which includes
wholesalers, distributors and other related people (Boet and et. al., 2018). In this, Coca cola need
to ensure about their intermediaries because they are the one who are responsible to delivery
their product to the last consumer. Financiers are also important factor who invest within
business organisation to provides strength to the business. In this, Coca-cola financiers provides
financial help to the business as investment for proper production and to regulate other business
operation. Public perception has import role in the smooth business. Here, negative perception of
public can create loss in the sales of product. Here, Coca-Cola should take care about the public
perception which can impact the sales of product.
Macro environment
There are six factors which can affect the macro environment which can include
economic, sociocultural, legal, political, technical along with environmental consideration. These
factors are going to be discussed further.
Political- This is the factor that is effective and in this, there is need to follow the
government law by the business organisation. Through following all the government regulation
Coca-Cola can sell their product in that country. This various form one to another country. For
selling product in any country Coca-Cola needs to company should follow all the regulation.
Economic- This is another factor in which there inflation, exchange, minimum wages,
cost of living, unemployment are some factor which can impact the business. Coca-Cola has
covered about more than 50% of market share in carbonated beverage market (Youssef and et.
al., 2018).
Social- In this factor, there is need to ensure about the quality and should not provide any
type of negative impact on the consumer health. Here, Coca-Cola should ensure that there
product should be good for health.
Technical- This is important factor in which to stay in the market there is need to use the
latest technology in the business for better performance. In this, Coca-Cola use the latest
technology which includes social media that is highly effective to promote their product for the
better business.
Legal- Coca-Cola have reserved all rights of their present and past products through
using patent process.

Environmental- In this factor, Coca-Cola should ensure about the water availability
because it is necessary for the development of soft drink. Here, Coca-Cola should take advantage
of humid climate that can help to get better sales.
These are internal and external operating environment of Coca-Cola that are effective and
are responsible to provide better business to the company.
Reviewing the implementation and success of company's internationally
Coca-Cola has implemented various effective strategies that allow company to focus on
better outcome for the higher business internationally. In this, there are various international
strategies are applied by the company which includes international distribution strategy,
international collaboration strategy, international labour relations and management strategy and
international diversification strategy. These are effective strategy that has been implemented
effectively and allows to get better outcomes through applying this within organisation.
International diversification strategy has provided high benefits to the Coca-Cola
which has made higher number of consumer through applying diversification strategy.
International distribution strategy is highly effective strategy which allows Coca-Cola
to distribute their product internationally. Through using this international distribution strategy,
company is able to distribute their product effective in the target market (Bals and et. al., 2017).
International Labour Relations and management strategy which is important to
follow when any organisation is operating their firm internationally. Through using this strategy
Coca-Cola make better relationship with their employees and customer that can help to get better
and effective business.
International Collaboration Strategy help Coca-Cola to collaborate with other business
to expand their business effectively for better business. Through international collaboration
strategy Coca-Cola get enable to increase their business share within different countries to earn
more profit.
Through implementing all these strategy effectively Coca-Cola get success within
international countries. This enable them to achieve large market share and provide high
profitability.

CONCLUSION
From the above discussion, it can be conclude that to get better and effective business
within international market, it is essential to follow various international business strategy which
can be effective and should implemented more precisely for positive outcomes. There is also
need to perform internal and external environment analysis to evaluate the competition and to act
with better impact in the market to for better outcomes. In this report there is discussion about
different strategies which can be highly effective to get better business internationally. There is
also discussion about the macro and micro environment analysis that have high impact to gain
better business globally.

REFERENCES
Books and Journals
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Boet and et. al., 2018. Measuring non-technical skills of anaesthesiologists in the operating
room: a systematic review of assessment tools and their measurement properties. British
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Buhalis, 2018. Smart hospitality—Interconnectivity and interoperability towards an
ecosystem. International Journal of Hospitality Management, 71, pp.41-50.
Capolongo and et. al., 2018. Healthy design and urban planning strategies, actions, and policy to
achieve salutogenic cities. International Journal of Environmental Research and Public
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scorecard: A case study approach in the banking industry sector. Journal of Industrial
Engineering and Management Studies, 5(1), pp.1-25.
Głodziński, 2021. Performance measurement embedded in organizational project management
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Monteiro, 2017. The external knowledge sourcing process in multinational
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Youssef and et. al., 2018. Enterprise operating system framework: federated interoperability
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