Strategic Analysis of Coca-Cola Company: SWOT, Vision, and Mission

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Added on  2022/11/23

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This discussion forum post presents a strategic analysis of the Coca-Cola Company. It begins with a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis, evaluating the company's brand identity, market share, and global reach, as well as its competition and health concerns related to its products. The post then examines the company's existing vision and mission statements, followed by proposed revisions to enhance clarity and effectiveness. The new vision statement emphasizes high-quality beverages, employee satisfaction, customer and supplier relationships, sustainability, shareholder profits, and operational efficiency. The revised mission statement focuses on providing refreshing moments of happiness and optimism while creating value. The author references the case study and relevant literature to support the analysis and encourages peer discussion to refine the statements further.
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Running head: COCA-COLA COMPANY 1
Coca-Cola Company
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COCA-COLA COMPANY 2
Coca-Cola Company
1A: SWOT analysis
The following is the SWOT analysis of Coca-Cola Company. The Coca-Cola company
has the following strengths; strong brand identity for its Coca-Cola soft drink ($178B), high
brand equity ($ 80B), extended global reach (+200 nations), greatest customer loyalty and brand
association (7.3B), dominant market share (78%), largest brand valuation ($ 80B), unparalleled
distribution system and enjoys acquisitions (8/10) (David, & David, 2013). The company has the
following weaknesses; it faces aggressive competition directly from the Pepsi company which is
a carbonated drink and indirectly from companies which produce hot drinks (18.8B), low
product diversification that involves sodas and bottled water (3/10) and health concerns
regarding its carbonated drinks (-20%). The carbonated drinks are claimed to cause some health
issues on the users. The company has the following opportunities; it is able to introduce more
products under its line and have its segments diversified (+30%), it can increase its presence in
many international developing countries (+ 20%), it can bring a system of advanced supply chain
(+ 10%) and the company can rip big from its drinking water product that it has packaged (+5%)
(Arnold, 2015). The threats for the company include the following; water usage controversy that
involves high water consumption in areas where water is scarce and the use of high level of
pesticide to clear the water contaminants (-10%). There is the packaging controversy that
involves the use of single-use bottles that are plastic to bottle its water and its renewable and
recycling sources (-15%). The other threat is the indirect and direct competition from other key
players in the soft drinks industry (40%). Pepsi is a direct threat while products such as
Tropicana, Nescafe, Starbucks, Lipton juices and Costa coffee are the indirect threats.
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COCA-COLA COMPANY 3
2A: The Company vision statement
People: create the best place of work that offers people great inspiration.
Portfolio: offer the world a brand portfolio of quality beverages that satisfy the needs and
desires of people.
Partners: nurturing a winning customer and supplier network that creates an enduring and
mutual value.
Planet: become a responsible citizen making a difference through supporting and helping
build communities that are sustainable.
Profit: maximizing the long-term returns for all shareholders and retain the company
responsibilities (David, & David, 2013).
Productivity: become a highly effective, fast-moving and lean organization.
New statement
To provide high quality drinks, to the customer, which satisfy their desire and needs and
better working place for workers, nurture a winning supplier and customer network, encourage
sustainability development to the community, maximize profits to shareholders and be effective
and fast in our service. This statement is better in that it summarizes the various elements in to
one clear and simple statement. The old statement makes the company seem to have different
visions instead of one that is general.
2B: Mission statement
To have the world refreshed…
To inspire happiness and optimism moments…
To make a difference and create value (Arnold, 2015).
New mission
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COCA-COLA COMPANY 4
To have the world enjoy a refreshed moment of happiness and optimism by making a
difference in value creation: This statement is better in that it is clear and precise. It is short and
direct and can be understood well due to its coherence. The new mission statement has been put
in to one sentence which makes sense to the customer and the readers in general.
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COCA-COLA COMPANY 5
References
Arnold, P. (2015). Evidence and leading indicators of change success. Strategic
direction, 31(10), 1-5.
David, F. R., & David, F. R. (2013). Strategic management: Concepts and cases: A competitive
advantage approach. Pearson.
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