Coca-Cola Company’s Strategic Operations

Subject: Strategy
Pages: 2
Words: 431
Reading time:
2 min

Coca-Cola Company has been for long time dominating the global market in the production and sales of beverages, soft drinks and energy drinks. With new companies dealing in soft drinks entering into the global market, Coca-Cola’s current strategy has significantly helped in ensuring that the company maintains its competitive advantage. This has been through product and market diversification. There are various factors that make the company dominate the global world. These include the presence of skilled employees within the company and the availability of funds. The company has been able to attract skilled employees hence making it possible for them to conduct a SWOT analysis and effectively identify consumer needs and come up with strategies to address them.

The company also has readily available funds. This makes it possible for it to organize for market analysis or promote its products with ease whenever it intends to venture into a new market or when they introduce a new product in the market. However, there are various weaknesses associated with the company, which include the failure of the company to establish itself in all developing markets. This has denied it an opportunity of exploiting these markets. The company has also not been able to come up with a uniform global marketing system due to differences in market regulations in different countries.

There are various opportunities that are at the disposal of the company. These include the availability of numerous potential markets, especially in developing countries. The company is gradually spinning its products. This is an opportunity for the company to venture into product diversification. Numerous threats face the company, which include entrant of new companies dealing with beverages and soft drinks. These companies are waging competition in the market share. The changing global market regulations also pose a threat to its operations in some countries, especially in those that aim at promoting local companies.

The company’s competitive position has been effective in helping Coca-Cola venture into new markets. In spite of this, the company is faced with strategic issues with respect to ensuring that it has been able to recover from the loss experienced during the last year’s recession. The company aims at coming up with strategies to help it expand its operations in the next five years. Demand for energy drinks that comprise of several ingredients has led to the company needing to come up with a strategy to help in the production of such energy drinks to cater for market needs.