Globalization's Impact: Cafepod & Costa Coffee Business Report

This report provides a comprehensive analysis of the impact of globalization on businesses, specifically focusing on Cafepod Coffee and Costa Coffee. The report begins with an introduction to globalization and its significance in the current business environment. It then delves into a market analysis, comparing the two companies based on market size, location, and employee count. The report explores the marketing strategies employed by both brands, including the 4Ps (Product, Price, Place, Promotion) and branding techniques. Economic factors such as supply and demand, market share, and financial statistics are also examined. Furthermore, the report identifies challenges faced by both companies, such as the availability of substitutes and changing consumer behavior, and proposes potential solutions. Recommendations are provided, emphasizing the importance of market awareness and innovation. The report concludes by highlighting the significance of globalization and the need for effective business strategies. The report includes references to books and journals used for research.

THE CONTENT OF BUSINESS

TABLE OF CONTENT
 Introduction
 Market size, location
 Marketing & 4 P'S
 Branding
 Economy
 Challenges & solutions
 Recommendations
 Conclusion
 References

INTRODUCTION
Market is changing at rapid scale and it essential to understand the concept
of globalization and business environment. Globalization refers to
changing way of people interaction, process of integration among
community and culture. Main aim of this report is to understand the
importance of globalization and its impact on business. This report is
based on Cafepod Coffee co. and Costa Coffee. This report comprises of
market status, 4 P'S marketing and economy.

Market
 Size- The size of business is important to be determined as
Cafepod Coffee co. is a small drinks and beverages company
headquartered in U.K and has employee size of 14. Whereas in
comparison with Cost Coffee their employee size is 18,412
across the globe.
 Locations- Location refers to place from where distribution is to be
done. For example Cafepod Coffee co. is small firm located in London,
U.K. In comparison with other brand they are located at global scale.
 Employees- Cafepod Coffee co. is small company with employee size
of 14. Costa Coffee employee size is average about 18,412.

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 Level- In market different types of organizations exist which deals at
local, national and global level. In context of Costa Coffee they deals
at global scale & are enlarging their business globally. In comparison
with other brand they deals at local level.
 Organizational structure- The organizational structure refers to way
of doing business and decision making process. Costa Coffee follows
divisional structure within their business and comparing it with other
brand they follow functional structure.

Marketing-
It refers to set of tactics that are are used to promote or advertise a brand.
It is necessary to focus on marketing so that decision making is to be done
in most efficient manner. Furthermore, it is too analysed that appropriate
strategies are required to be adopted. This comprises of 4 P'S which are
discusses as follows-
Product-
It refers to item or things which is used for sale. Costa Coffee products are
of various types such as Espresso, Americano Simple & Smooth, Magic
etc. In comparison with other brand their they have range of products like
Brunch Blend, Supercharger Espresso, Intense Roast etc.

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 Price
It refers to value of something which is meant for sale. Price is important to
be known so that it is easy to carry put exchange process. In relation of
Costa Coffee, they follow price skimming strategies as because of
providing of varieties of products and its high level of quality. Whereas in
comparing it with other brand they follow competition based pricing to
compete with competitors.
 Place-
A place refers to location of place from where distribution is done. It is
crucial to have physical place of company. For example- Coffeepod Coffee
co. is located at near the Filament Walk, Wandsworth, London, U.K. In
relating it with other brand there are located at global scale and has wide
range of stores in malls, commercial areas etc.

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 Promotion
It is defined as promoting and advertising of brand. Promotion is crucial
as it assist in marketing of a brand widely. Also, different types of
methods, tools & techniques are to be used by organisations to do
promotions. In relevance of Costa Coffee they promote their brand through
social media tools like Facebook, Instagram, You Tube etc. Whereas
other chosen brand uses sales promotion.

Branding
Branding refers to name, logo,
identity which is viewed as creating
strong perception of firm. It is
necessary to focus on branding as it
help customers to target or access to
brand easily.
Costa Coffee- The firm distributes
its products at larger level and has
same logo all around the world.
Also, it is examined that the logo of
store of this coffee brand is same.

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Cafepod Coffee company- The
above picture reflects the brand logo
of firm and its year of establishment
within London, 2011. They uses the
concept of branding in such a way
customers find it easier to access to
brand location easily.

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Economy
 Supply & Demand- The supply and demand of company is essential
to be examined so that it is easy to analyses the supply chain &
distribution level of business. For example- the supply of Costa Coffee
is carried out at larger scale as they have large number of suppliers &
long distribution network. Whereas in reference of other brand their
supply is at moderate level & demand is flexible relying on customer's
attitude or behavior.
 Market share
It is defined as percentage of market activities, goods or services which is
carried out by company within a specific market. In context of Costa
Coffee, their brand market share in U.K is 39% . Whereas in comparison
with other brand their market share is less as compared to other firm.

Profit/ financial statistics-