G.L.

Bajaj Institute of Management & Research

Approved by A.I.C.T.E., Ministry of HRD, Govt. of India Plot No. 2,
Knowledge Park-III, Greater Noida
PGDM Batch 2020-2022

Minor Project on Coca-Cola Company

Submitted by : Ayush Kumar Submitted To : Dr. Parul Yadav

PGDM20234
 G.L. Bajaj Institute of Management & Research
Approved by A.I.C.T.E., Ministry of HRD, Govt. of India Plot No. 2,
Knowledge Park-III, Greater Noida

Minor Project Report PGDM Batch 2020-22

FACULTY GUIDE CERTIFICATE

Minor Project Report PGDM Batch 2020-22

FACULTY GUIDE CERTIFICATE

This is to certify that the work reported in the Minor Project Report on “Coca-Cola Company”,
submitted by Ayush Kumar at G L Bajaj Institute of Management & Research, Greater Noida,
India, is a bonafide record of her/ his work carried out under my supervision. This work has not
been submitted elsewhere for any other degree or diploma.

(Signature of Faculty Guide)

Name: Prof. Dr. Parul Yadav

Date: 07 Jan 2021

 G.L. Bajaj Institute of Management & Research
Approved by A.I.C.T.E., Ministry of HRD, Govt. of India Plot No. 2, Knowledge

Park-III, Greater Noida

Minor Project Report PGDM Batch 2020-22

ACKNOWLEDGEMENT

I would like to thank the following people, without whom I would not have been able to complete
this Minor Project Report. My heartfelt thanks goes to our Director Prof. Dr. Ajay Kumar for
providing an opportunity work on the Minor project right from the first trimester of the program.
I convey my sincere thanks to my Faculty Guide Prof. Dr. Parul Yadav for providing me the
constant support and guidance to carry out my project effectively and efficiently. I would also
like to convey my gratitude to all faculty members and staff for their support and guidance.

Ayush Kumar

Roll Number:

Trimester- I

PGDM Batch 2020-22

G.L. Bajaj Institute of Management & Research

Executive Summary:
The Coca Cola history started in the year 1886 when a pharmacist called Dr. John Pemberton created a soft
drink that was sold at his neighborhood pharmacy. Prior to Dr. John Pemberton’s death in 1888, he sold
portions of his business to several parties but the majority was sold to Atlanta businessman Asa Candler.
At first the Coca Cola soft drink was sold per glass but then a businessman called Joseph Biedenharn started
putting the Coca Cola soft drink in bottles. In addition, in the year of 1899 three entrepreneurs purchased the
bottling rights for the Coca Cola drink from Asa Candler for a one-dollar only. Benjamin Thomas, John
Lupton, and Joseph Whitehead developed the Coca Cola bottling system.
Moreover, one of the first marketing efforts of Coca Cola was issuing coupons, and then the company used
newspaper advertising. Coca Cola created a famous advertising slogan that is still used in the company’s
advertisements which is ‘’the pause that refreshes”; the slogan first appeared in the year of 1929 (Coca Cola
Company, About Us: Coca-Cola History, 2019). In addition, when the Coca Cola Company started, it was
selling soft drinks only but later the company started acquiring other beverages’ companies in order to expand
its beverages portfolio in order to appeal to different consumers’ taste.
Recently the company has acquired Costa Coffee for a 5.1 billion U.S. dollar. By acquiring Costa Coffee, the
Coca Cola Company will gain new expertise and capabilities. Furthermore, the Coca Cola Company became a
total beverage company that offers over 500 brands worldwide. Their portfolio includes many beverage
brands such as; Zico coconut water, Honest tea, Fanta, Minute Maid Juices, AdeS soy based beverages, Smart
Water, Sprite, Dasani Waters, Georgia Coffee, and more “refer to Reading 3: Strategy diamond: Staging, for
more information about the company’s beverages” (Coca Cola Company, The Coca-Cola Company to
Acquire Costa, 2018).
The Coca Cola company is perceived to be the most famous trademark on the globe, and it is equally so. The
company claims more than 400 brands that appeal to a wide range of individuals throughout the world. They are
in a position to fulfill needs of every one of their buyers making their experience with their beverages a better
one. The entity’s drinks entice a lot of people across all races, age, and gender. Coca Cola is outstanding for its
overall popularity as its items are sold in over four hundred countries in the world, while major contenders like
Pepsi are just available in very few countries.
The Coca-Cola organization has made exemplary strides mainly to offer a variety of products to its clients even
with the competitive nature of the market. Consumers’ choice gets based on the brand aspect in which the
organization wins most customers' heart against its rivals. Even though a significant number of people deny
cases to having inclination picking between Coca-Cola items or its rivals', many have a strong desire in some
way. Many inclines toward Coca-Cola products since the organization has more than hundred years of history
and predictable brand image. This picture is engraved in a lot of people subsequently end up purchasing their
beverages. It is out rightly conspicuous in the company’s high market share in the field of soft drinks.
 Tables of Content

1. Introduction to company
1.1. About the company
1.2. Vision and Mission
1.3. Service Line
1.4. Organization Structure

2. Market share and positioning

2.1. About Industry and other Competitors
2.2. Financial Statement (Income Statement & Balance Sheet)
2.2. Market Share and other insightful data

3. PESTLE Analysis
3.1 Political Analysis
3.2 Economic Analysis
3.3 Social Analysis
3.4 Technological Analysis
3.5 Environment Analysis
3.6 Legal Analysis

4. SWOT Analysis
4.1 Strength
4.2 Weakness
4.3 Opportunities
4.4 Threats

5. Findings
6. References
 Chapter 1

Introduction of Company
About the company
The Coca-Cola Company is an American multinational beverage corporation incorporated
under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola
Company has interests in the manufacturing, retailing, and marketing of non-alcoholic beverage concentrates
and syrups. The company produces Coca-Cola, invented in 1886 by pharmacist John Stith Pemberton. In
1889, the formula and brand were sold for $2,300 to Asa Griggs Candler, who incorporated The Coca-Cola
Company in Atlanta in 1892.

The company has operated a franchised distribution system since 1889. The Company largely produces
syrup concentrate, which is then sold to various bottlers throughout the world who hold exclusive territories.
The company owns its anchor bottler in North America, Coca-Cola Refreshments. The company's stock is
listed on the NYSE and is part of DJIA and the S&P 500 and S&P 100 indexes. The Coca-Cola Company is
the world's largest producer of plastic waste

History
In July 1886, pharmacist John Stith Pemberton from Columbus, Georgia invented the original Coca-Cola
drink, which was advertised as helpful in the relief of headache, to be placed primarily on sale in drugstores
as a medicinal beverage, Pemberton continued mixing experiments and reached his goal during the month of
May, the new product as yet unnamed nor a carbonated drink, was ready for the market and was made
available for sale. Pemberton's bookkeeper, Frank M. Robinson, is credited with naming the product and
creating its logo. Robinson chose the name Coca-Cola because of its two main ingredients (coca leaves and
kola nuts) and because it sounded like an alliteration. John Pemberton had taken a break and left Robinson to
make and promote, as well as sell Coca-Cola on his own. He promoted the drink with the limited budget that
he had, and succeeded.

In 1889, American businessman Asa Griggs Candler completed his purchase of the Coca-Cola formula and
brand from Pemberton's heirs. In 1892, the Coca-Cola Company was formally founded in Atlanta by
Candler. By 1895, Coca-Cola was being sold in every state in the union. In 1919, the company was sold
to Ernest Woodruff's Trust Company of Georgia.

Coca-Cola's first ad read "Coca Cola. Delicious! Refreshing! Exhilarating! Invigorating!" Candler was one
of the first businessmen to use merchandising in his advertising strategy. As of 1948, Coca-Cola had claimed
about 60% of its market share. By 1984, The Coca-Cola Company's market share decreased to 21.8% due to
new competitors, namely Pepsi.
Vision
The world is changing all around us. To continue to thrive as a business over the next ten years and beyond,
we must look ahead, understand the trends and forces that will shape our business in the future and move
swiftly to prepare for what's to come. We must get ready for tomorrow today. That's what our 2020 Vision is
all about. It creates a long-term destination for our business and provides us with a "Roadmap" for winning
together with our bottling partners.

Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing
what we need to accomplish in order to continue achieving sustainable, quality growth.

 People: Be a great place to work where people are inspired to be the best they can be.
 Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy
people's desires and needs.
 Partners: Nurture a winning network of customers and suppliers, together we create mutual,
enduring value.
 Planet: Be a responsible citizen that makes a difference by helping build and support sustainable
communities.
 Profit: Maximize long-term return to shareowners while being mindful of our overall
responsibilities.
 Productivity: Be a highly effective, lean and fast-moving organization.
Our Mission
Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and serves as
the standard against which we weigh our actions and decisions.

 To refresh the world.

 To inspire moments of optimism and happiness.
 To create value and make a difference.

Service Line

The Coca Cola Company only owns the bottling facilities of North America while
company’s partners own other global bottling facilities. Therefore, we can say that
Coca-Cola Company is only responsible for the aftersales services of its North
American bottfacilities.

Organizational structure
CORPORATE

Muhtar Kent, Chairman and CHD

Alexander Cummings, Chief Administrative Oncer

J. Alexander "Sandy” Douglas Jr, Global Chief Customer Service Officer

The Coca Cola Company

only owns the bottling
facilities of North America
while the
company’s partners own
other global bottling
facilities. Therefore, we can
say that Coca Cola
Company is only
responsible for the
aftersales services of its
North American bottling
facilities.
The Coca Cola Company
only owns the bottling
facilities of North America
while the
company’s partners own
other global bottling
facilities. Therefore, we can
say that Coca Cola
Company is only
responsible for the
aftersales services of its
North American bottling
facilities

Muhtar Kent
 Alexander Cummings

J. Alexander "Sandy” Douglas Jr

Coca cola head quarters
The Coca Cola Headquarters is a campus in Midtown Atlanta Georgia that is home to The Coca-Cola Caray.
The most visible building on the site is u 29-story, 3-foot (122.8 m) high One Coca-Cola Plaza. Located on
the comer of North Avenue and Luckie Street, the building was completed in 1979. The architect was
FABRAP and the designer Tom Purdue.

The building and complex is located across the street from Georgia Institute of Technology and Midtown
Atlanta.

In May 2011, to celebrate the 125th anniversary of Coca-Cola, a projection screen was made for the building
that would display various Coke ads through the years and also transformed the building into a huge cup of
ice which then was "filled" with Coke.
 Chapter 2

Marke Share And Positioning

About Industry
The Coca-Cola Company (NYSE: KO) is a total beverage company, offering over 500 brands in more than
200 countries and territories.

Our beverage brands include the following category clusters: sparkling soft drinks; water, enhanced water,
and sports drinks; juice, dairy, and plant-based beverages; tea and coffee; and energy drinks. In addition, we
own and market four of the world's top five non-alcoholic sparkling soft drink brands: Coca-Cola, Diet
Coke, Fanta, and Sprite.

Our company started in 1886 and grew with a purpose to refresh the world. This became refreshment not just
in a physical sense but also in spirit, and not just to refresh people but also communities.

Today, we are a total beverage company. We’re present in almost every beverage category, and we have
more than 500 brands. Over 700,000 people in our system help deliver those brands to customers and
consumers every day.

This purpose is uniquely us. It’s why we exist, and it’s needed now, more than ever. In doing so, we must
think expansively. It’s about how we refresh people in both body and spirit. It’s about how we refresh the
planet and limit the footprint we leave behind. It’s about how our business system refreshes the communities
we serve. It’s about how we and our bottlers refresh, inspire, and develop the people who work with us.

We're also clear on the vision for our next stage of growth.

The vision of Coca-Cola Company is to craft the brands and choice of drinks that people love, to refresh
them in body and spirit. And done in ways that create a more sustainable business and better shared future
that makes a difference in people’s lives, communities, and our planet.

This has three connected pillars:

 LOVED BRANDS. We craft meaningful brands and a choice of drinks that people love and that
refresh them in body and spirit.

 DONE SUSTAINABLY. We use our leadership to be part of the solution to achieve positive change
in the world and to build a more sustainable future for our planet.

 FOR A BETTER SHARED FUTURE. We invest to improve people’s lives, from our employees to
all those who touch our business system, to our investors, to the broad communities we call home.
competitors

Major competitors are:

 Dr Pepper Snapple
 Red Bull
 Pepsico
 Nestle
 Parle

Pepsi – The biggest and closest competitor of Coca Cola; its arch rival Pepsico was formed after the
merger of Pepsi and Frito lay in 1965. The brand has seen growth in organic revenue in 2017. It has
20billion dollar brands in its product portfolio. US it its largest market where it is engaged in intense
competition with Coca Cola. Its Net revenue in 2017 was 63.5 Billion Dollars and Gross Profit 28.8 Billion
dollars. The two brands compete across several categories including sod beverages, health and energy drinks
as well as bottled water and juices. In fact Pepsi is the toughest competitor of Coca Cola and their rivalry has
come to be termed as Cola wars.
Red Bull – Red Bull despite its limited product portfolio is a major competitor for the energy drink
products of Coca Cola. It is a famous brand that sells across 171 countries and is now focusing on core
markets of western Europe and USA for farther growth. In 2017, the brand sold more than 6.3 Billion cans
and its turnover reached 6.282 Billion Euros. Red Bull saw its sales booming in 2017 in five major markets
including Turkey, India, Netherlands, Northern Europe and United Kingdom. This has led to better financial
figures including operating profit and revenues for Red Bull in 2017. Red Bull is the toughest competitor for
the energy drinks by Coca Cola.

Dr Pepper Snapple – Pepper Snapple has a portfolio of more than 50 refreshing brands. These
brands include carbonated soft drinks, juices, teas, mixers, waters and other beverages. The brand is a major
competitor for Coca Cola in the US market. Its 2017 revenue was 6.4 billion dollars of which 90% was
earned from the US market. Dr Pepper Snapple has made a series of strategic acquisitions over the last three
decades to grow its business and customer base.

Nestle – While Nestle is not a direct competitor of Coca Cola, still it competes with the brand across some
specific product categories like bottled water. Its Nestle Pure life and Poland Spring are two bottled water
brands that are quite popular and major competitors for Coca Cola’s Dasani.

Parle – Parle is an Indian brand and competes with Coca Cola across some specific product categories that
include bottled water and juices. Parle’s Frooty, Appy and Bailey are major competitors of Coca Cola’s
minute maid and other juice products as well as juice drinks and bottled waters in the Indian market.
Financial Statements

Income Statement
Balance Sheet
The Coca Cola history
started in the year 1886
when a pharmacist called
Dr. John
Pemberton created a soft
drink that was sold at his
neighborhood pharmacy.
Prior to Dr. John
Pemberton’s death in 1888,
he sold portions of his
business to several parties
but the majority
was sold to Atlanta
businessman Asa Candler. At
first the Coca Cola soft drink
was sold per
glass but then a
businessman called Joseph
Biedenharn started putting
the Coca Cola soft
drink in bottles. In addition,
in the year of 1899 three
entrepreneurs purchased
the bottling
rights for the Coca Cola
drink from Asa Candler for
a one-dollar only. Benjamin
Thomas,
John Lupton, and Joseph
Whitehead developed the
Coca Cola bottling system.
Moreover, one
of the first marketing efforts
of Coca Cola was issuing
coupons, and then the
company used
newspaper advertising. Coca
Cola created a famous
advertising slogan that is still
used in the
company’s advertisements
which is ‘’the pause that
refreshes”; the slogan first
appeared in
the year of 1929 (Coca
Cola Company, About Us:
Coca-Cola History, 2019). In
addition,
when the Coca Cola
Company started, it was
selling soft drinks only but
later the company
started acquiring other
beverages’ companies in
order to expand its
beverages portfolio in
order to appeal to
different consumers’ taste.
Recently the company has
acquired Costa
Coffee for a 5.1 billion U.S.
dollar. By acquiring Costa
Coffee, the Coca Cola
Company will
gain new expertise and
capabilities. Furthermore,
the Coca Cola Company
became a total
beverage company that
offers over 500 brands
worldwide. Their portfolio
includes many
beverage brands such as;
Zico coconut water, Honest
tea, Fanta, Minute Maid
Juices, AdeS
soy based beverages, Smart
Water, Sprite, Dasani
Waters, Georgia Coffee, and
more “refer to
Reading 3: Strategy
diamond: Staging, for more
information about the
company’s beverages”
(Coca Cola Company, The
Coca-Cola Company to
Acquire Costa, 2018)
The Coca Cola history
started in the year 1886
when a pharmacist called
Dr. John
Pemberton created a soft
drink that was sold at his
neighborhood pharmacy.
Prior to Dr. John
Pemberton’s death in 1888,
he sold portions of his
business to several parties
but the majority
was sold to Atlanta
businessman Asa Candler. At
first the Coca Cola soft drink
was sold per
glass but then a
businessman called Joseph
Biedenharn started putting
the Coca Cola soft
drink in bottles. In addition,
in the year of 1899 three
entrepreneurs purchased
the bottling
rights for the Coca Cola
drink from Asa Candler for
a one-dollar only. Benjamin
Thomas,
John Lupton, and Joseph
Whitehead developed the
Coca Cola bottling system.
Moreover, one
of the first marketing efforts
of Coca Cola was issuing
coupons, and then the
company used
newspaper advertising. Coca
Cola created a famous
advertising slogan that is still
used in the
company’s advertisements
which is ‘’the pause that
refreshes”; the slogan first
appeared in
the year of 1929 (Coca
Cola Company, About Us:
Coca-Cola History, 2019). In
addition,
when the Coca Cola
Company started, it was
selling soft drinks only but
later the company
started acquiring other
beverages’ companies in
order to expand its
beverages portfolio in
order to appeal to
different consumers’ taste.
Recently the company has
acquired Costa
Coffee for a 5.1 billion U.S.
dollar. By acquiring Costa
Coffee, the Coca Cola
Company will
gain new expertise and
capabilities. Furthermore,
the Coca Cola Company
became a total
beverage company that
offers over 500 brands
worldwide. Their portfolio
includes many
beverage brands such as;
Zico coconut water, Honest
tea, Fanta, Minute Maid
Juices, AdeS
soy based beverages, Smart
Water, Sprite, Dasani
Waters, Georgia Coffee, and
more “refer to
Reading 3: Strategy
diamond: Staging, for more
information about the
company’s beverages”
(Coca Cola Company, The
Coca-Cola Company to
Acquire Costa, 2018)
The Coca Cola history
started in the year 1886
when a pharmacist called
Dr. John
Pemberton created a soft
drink that was sold at his
neighborhood pharmacy.
Prior to Dr. John
Pemberton’s death in 1888,
he sold portions of his
business to several parties
but the majority
was sold to Atlanta
businessman Asa Candler. At
first the Coca Cola soft drink
was sold per
glass but then a
businessman called Joseph
Biedenharn started putting
the Coca Cola soft
drink in bottles. In addition,
in the year of 1899 three
entrepreneurs purchased
the bottling
rights for the Coca Cola
drink from Asa Candler for
a one-dollar only. Benjamin
Thomas,
John Lupton, and Joseph
Whitehead developed the
Coca Cola bottling system.
Moreover, one
of the first marketing efforts
of Coca Cola was issuing
coupons, and then the
company used
newspaper advertising. Coca
Cola created a famous
advertising slogan that is still
used in the
company’s advertisements
which is ‘’the pause that
refreshes”; the slogan first
appeared in
the year of 1929 (Coca
Cola Company, About Us:
Coca-Cola History, 2019). In
addition,
when the Coca Cola
Company started, it was
selling soft drinks only but
later the company
started acquiring other
beverages’ companies in
order to expand its
beverages portfolio in
order to appeal to
different consumers’ taste.
Recently the company has
acquired Costa
Coffee for a 5.1 billion U.S.
dollar. By acquiring Costa
Coffee, the Coca Cola
Company will
gain new expertise and
capabilities. Furthermore,
the Coca Cola Company
became a total
beverage company that
offers over 500 brands
worldwide. Their portfolio
includes many
beverage brands such as;
Zico coconut water, Honest
tea, Fanta, Minute Maid
Juices, AdeS
soy based beverages, Smart
Water, Sprite, Dasani
Waters, Georgia Coffee, and
more “refer to
Reading 3: Strategy
diamond: Staging, for more
information about the
company’s beverages”
(Coca Cola Company, The
Coca-Cola Company to
Acquire Costa, 2
Market Share
Share Holding
 Chapter 3

Pestle Analysis
PESTLE Analysis
A PESTEL analysis is an acronym for a tool used to identify the macro (external) forces facing an
organization. The letters stand for Political, Economic, Social, Technological, Environmental and Legal.
Depending on the organization, it can be reduced to PEST or some areas can be added (e.g. Ethical)

In marketing, before any kind of strategy or tactical plan can be implemented, it is fundamental to conduct a
situational analysis. And the PESTEL forms part of that and should be repeated at regular stages (6 monthly
minimum) to identify changes in the macro-environment. Organizations that successfully monitor and respond
to changes in the macro-environment are able to differentiate from the competition and create a competitive
advantage.

Let’s look at each element of a PESTEL analysis.

Coca-Cola PESTLE Analysis
PESTLE Analysis of Coca Cola analyses the brand on its business tactics. Coca Cola PESTLE Analysis
examines the various external factors like political, economic, social, technological (PEST) which impacts its
business along with legal & environmental factors. The PESTLE Analysis highlights the different extrinsic
scenarios which impact the business of the brand.

PESTLE analysis is a framework which is imperative for companies such as Coca Cola, as it helps to
understand market dynamics & improve its business continuously. PESTLE analysis is also referred to as
PESTEL analysis.

Political Factors:
The political factors in the Coca Cola PESTLE Analysis can be explained as follows:

Coca Cola can have a direct impact by the laws and regulation of the government on the food products. These
laws may vary from country to country. Earlier due to some trade sanctions of US and Burma, the sale of
Coca Cola was banned in Burma. After nearly six decades the sale was started in the year 2012 when the
sanction was suspended. There are still two countries Cuba and North Korea where Coca Cola cannot be
bought or sold due to the political condition of these countries. The recent tiff between US and China
resulting in a trade war has a major impact on the prices of the Coca Cola canned products. The company is
facing cost pressure due to rise in the tariffs on steel and aluminium.
Economic Factor:
Below are the economic factors in the PESTLE Analysis of Coca Cola:

Coca Cola dominates the market with almost 50% market share in the carbonated beverage market.Despite
all the increase in price due to the tariffs, it has reported 8% growth in the net revenue in quarter 3 of the
financial year 2019. Though the margin was unfavourably impacted by acquisition of company like Chi Ltd.
in Nigeria. The new trade agreement between US, Mexico and Canada is supported by the company for free
and fair trade between the nations. The demand of consumers has shifted from sugary drinks to low calorie
drinks. The Coca Cola company has reported 8% increase in retail value of its products like Diet Coke and
Zero Sugar. The CEO of the company said that Coke Zero Sugar has had its best year in 2018 and grew the
fastest. The demand for these products is expected to rise in the future too as people are becoming more
conscious about their lifestyle.

Social Factors:
Following are the social factors impacting Coca Cola PESTLE Analysis:

Coca Cola has always come with some social campaigns to connect to its consumers. In 2014 it had launched
a campaign #shareacoke which was mega successful. People were encouraged to find bottles with the name
they feel connected to and then give it to their family or friends and share the same on the social media
platform with the hashtag share a coke. The online Coca Cola store also let the customers customize their
name on the bottles. The brand connected to the consumer on the personal level. The company revamped all
its social media handles with the mission of becoming more optimistic brand on social media. It was done on
the world kindness day. It posted all of its content with #refreshthefeed. Such Coca Cola campaigns connect
more to the millennials as they actively participate in these through social media and personalization has
become their way of living.

Technological Factors:
The technological factors in the PESTLE Analysis of Coca Cola are mentioned below: The
Coca Cola company has always been experimenting in its product line. It is coming with first ever ready to
drink frozen beverage in Japan. The company has a innovation driven culture. It invites consumers to play
games online and associate with the Coca Cola products. It uses social networking technology to stay young,
fresh and current. The company provides freestyle dispenser which allows consumers to create its own
beverage in various combinations through computer like interface. It also saves data for market research
which will be further used by the company to understand the taste and preference of the consumers.
Legal Factors:
Following are the legal factors in the Coca Cola PESTLE Analysis:

Coca Cola has faced trouble due to quantity of caffeine in its products in different countries in the past. The
company was also accused of paying low wages and inappropriately treating their employees which attracted
various protests from labour unions. It has alleged suits against racial discrimination to its employees.
Mislabelling of one its products as a pomegranate and blueberry juice in spite of apple and grape juice has led
it to a serious concern. Issues regarding packaging, water usage and air pollution has been a topic of concern
for the company. It should majorly focus on its corporate ethics. They are of primary concern to the Coca
Cola company.

Environmental Factors:
In the Coca Cola PESTLE Analysis, the environmental elements affecting its business are as
below:
Coca Cola has faced massive amount of backlash for the reason of draining off the ground water in India. It
has been reported as the biggest consumer of freshwater in the world. It has taken steps to eliminate these
problems and reduce its carbon footprints to near zero.

It has used water smart farming methods like RAIN and CARE which uses as less water as possible. Coca
Cola company are also turning to solar energy to make their beverages in Fiji. In their sustainability report
2018, they said they will be working towards a world without waste and set various goals for 2020 like
percentage of improvement in water efficiency by25% which is at present 18%.

To conclude, the above Coca Cola PESTLE Analysis highlights the various elements which impact its
business performance. This understanding helps to evaluate the criticality of external business factors for any
brand.
 Chapter 4

SWOT Analysis
Strengths – Internal Strategic Factors

1. Brand identity – Coca-Cola is a highly popular brand with a unique brand identity. Its soft Strong
drinks are the most-selling drinks in history.
2. Highest brand equity – Coca-Cola is undoubtedly one of the most renowned brands with the highest
brand equity. It was also awarded ‘highest brand equity award’ in 2011 by Interbrand.
3. Extended global reach – It is sold in more than 200 countries with 9 billion servings per day of
Company products. It has introduced more than 500 new products globally. Some of these are variations
of Coca-Cola beverage, like Coco Cola Vanilla and Cherry Coca-Cola. Its brands are known to touch
every lifestyle and demography.
4. Greatest brand association and customer loyalty – Coca-Cola is considered one of US’s most
emotionally-connected brands. This valuable brand is associated with ‘happiness’ and has strong
customer loyalty. Customers can quickly identify their particular taste. Finding its substitutes is difficult
for them. Moreover, Coca-Cola and Fanta have a huge fan following than other beverage names in the
industry.
5. Largest Brand Valuation – Coca-Cola is listed as the 3rd Best Global Brand on Interbrand’s annual
ranking. Having an estimated brand value of $79.96 billion, it has retained the top position for many
years.
6. Dominant Market Share – Out of Coca-Cola and Pepsi, the only two largest manufacturers of soft
drinks in the beverage segment, Coca-Cola has the largest market share. Coke, Sprite, Diet Coke, Fanta,
Limca, and Maaza are the highest growth drivers for Coca-Cola.
7. Unparalleled distribution system – Coca-Cola has the most efficient and most extensive distribution
network in the world. The company has nearly 250 bottling partners globally.
8. Acquisitions – Coca-Cola acquired AdeS in 2016. AdeS is the largest soy-based beverage brand in Latin
America. Through this acquisition, Coca-Cola expanded its ready-to-drink beverage portfolio.
Weaknesses – Internal Strategic Factors

1. Aggressive competition with Pepsi – Pepsi is the biggest rival of Coca-Cola. Had it not been
Pepsi, Coca-Cola would have been the clear market leader in the beverage.
2. Product diversification – Coca-Cola has low product diversification. Where Pepsi has launched
many snacks items like Lays and Kurkure, Coca-Cola is lagging in this segment. It gives Pepsi
leverage over Coca-Cola.
3. Health concerns –Carbonated drinks are one of the major sources of sugar intake. It results in
two grave health issues – obesity and diabetes. Coca-Cola is the biggest manufacturer of
carbonated beverages. Many health experts have prohibited the use of these soft drinks. It is
a controversial issue for the company. However, Coca-Cola hasn’t devised any health
alternative or solution for this problem yet.

Opportunities – External Strategic Factors

1. Introduce new products and diversify its segments – Coca-Cola has the opportunity to
introduce new offerings in health and food segments just like Pepsi. It can contribute to their
revenue, and they can branch out from carbonated drinks.
2. Increase presence in developing nations – Many regions with hot climate have the highest
consumption for cold drinks. Thus, increasing presence in such locations can be
excellent – Middle Eastern and African countries are a good example.
3. Bring advanced supply chain system – Coca Cola’s business is entirely dependent upon
logistics and supply chain. Transportation costs and fuel prices are always on the rise. Thus,
coming up with some advanced and improved systems for distribution can be an opportunity.
4. Packaged drinking water – Coca-Cola owns several packaged drinking water brands like
Kinley. There is a great potential for expansion in this segment for Coca-Cola. There is an
opportunity to expand and bring more healthy drinks in the market to avoid people’s criticism.
Threats – External Strategic Factors

1. Water usage controversy – Coca-Cola has faced many criticisms over its water management
issue. Many social and environmental groups have claimed that the company has a vast
consumption of water in water-scarce regions. Besides, people have alleged that Coca-Cola is
polluting water and mixing pesticides in water to clear contaminants.
2. Packaging controversy – Greenpeace censured Coca-Cola in its published report in 2017 for its
use of single-use plastic bottles. It has also been criticized over its recycling and renewable
sources.
3. Direct and indirect competition – Although direct competition from Pepsi is clear in the market,
however, there are many other companies which are indirectly competing with Coca-
Cola. Starbucks, Costa Coffee, Tropicana, Lipton juices, and Nescafe, are the indirect competitors
of Coca-Cola which can threaten its market position.
Chapter 5

Findings
Findings
Coca Cola is the world’s largest beverage company and it’s a pleasure to be a part this huge family. During
its long journey of success story, the company has taken several initiatives to support the promotion of its
products. The USP of Coca Cola has been their distribution network which they call as Coca Cola System.
They have given lot of efforts to promote their products through this huge chain of retailers strategy and
distributors because they know it is through them only that their products can actually reach the end
customers.

Coke also targets in broadening the choice of alternatives of the customer by offering them a huge array of
brands and broadening further slowly and gradually. Coca Cola offers customers popular brands like Coca-
Cola, Diet Coke, Fanta, Maaza, Limca, Thumbs Up, Sprite, Minute Maid Pulpy Orange, Minute Maid Nimbu
Fresh, Minute Maid 100%, Burn, Kinley and Georgia range of tea and coffee.

Research Findings & Data Analysis:

Response from Vice President Public Affairs and Communication, India & SWA:
Coca Cola always looks for maximum reach to its end consumers. One of the major promotional activities
includes advertising through celebrity endorsements. If we take the example of India, majorly the brand
ambassadors of Coca Cola have been Hrithik Roshan, Aishwariya Rai, Aamir Khan, etc. who have been the
face of the Indian Film industry. All of them have got huge fan base and huge number of followers. So,
tapping this opportunity has enhanced the acceptability of Coca Cola to a great extent.

Response from Vice President Strategy and Innovation, India & SWA:

In this long history of sustainability, Coca Cola has taken number of initiatives or moves in the promotion of
its products. Among all these the most significant has been the success of the Coca Cola System. The strong
network of grocers and distributors across the globe has been the key to success for this beverage giant.

Response from Vice President Strategy and Innovation, India & SWA:

The major strategy for tapping both the urban and rural market has been on three A’s: Availability,
Affordability and Acceptability.

Availability focuses on the availability of the products to the end consumers. The centralized distribution
system of Coca Cola has made it happen that Coca Cola products are reaching in every corner of the world
even in the rural areas.

Affordability majorly emphasizes on the product pricing which makes it very much affordable for the
customers. Initially they used to sell 300ml bottles. But they realized that in many areas, especially in the
rural areas 300ml bottles are not that famous as it was majorly observed that the 300ml bottle was shared by
two persons. So they came up with 200ml bottles with lower prices mainly for the rural market and it ended
up to be an instant hit in the market.

Acceptability emphasizes on creating a desire in the mind of the customers and convincing them to purchase
the product. In achieving this, Coca Cola majorly focused in television commercials through celebrity
endorsements. In countries like India, celebrities from Indian theatre Industry have huge fan bases and
followers especially in the rural areas. So television commercials through these celebrities along with catchy
punch lines “Thanda Matlab Coca Cola” (Cool means Coca Cola) were found to be very effective in creating
a mark in the mind of the customers.
Response from Vice President Public Affairs and Communication, India & China:

Pepsi pose a serious threat to Coca Cola. The competition is tougher in the urban market. In rural areas
people do not have their education level as high as that of urban people. To them a cola drink from Coca Cola
or Pepsi does not make much difference. They cannot do much of comparison between the two because of the
intelligence level of the people in general.

So, Coca Cola does not find a huge threat in the rural market as long as they are reaching out to the end
customers efficiently through their supply chain or distribution channel.

But in the urban areas people do much of comparison between the products of Coca Cola and Pepsi. They
find differences in taste of the cola drinks offered by Coca Cola and Pepsi. Apart from the taste the
advertising campaigns also segregate the customers. The Coca Cola campaigns mainly focuses on
togetherness, sharing happiness etc and emphasizes much on “Us”. Whereas the campaigns of Pepsi are more
“Me” oriented and focuses on individual satisfaction to a large extent. So, individuals who are more social
and friendly would be touched more by the campaigns of Coca Cola. Whereas campaigns of Pepsi would
attract more people who are more individualistic and love to be happy and content with them. Thus, in the
urban market Coca Cola and Pepsi rivalry is strongly exposed.

Is India today an important market for Coca Cola? Response from Business Unit
President, India & SWA:

Coca Cola in India caters to millions of customers across the country through a huge array of products like
Coca-Cola, Diet Coke, Fanta, Maaza, Limca, Thumbs Up, Sprite, Minute Maid Pulpy Orange, Minute Maid
Nimbu Fresh, Minute Maid 100%, Burn, Kinley and Georgia range of tea and coffee. They have got a
network of more 1.5 million outlets in India. Tremendous support for Community programs all over the
nation is provided by Coca Cola India. This has been done with an emphasis on education, health and water
conservation and more than 500 rain water harvesting structures spread across 22 states of the nation has
already been undertaken.

Apart from that, India has got a majority of rural population. Coca Cola has its own market penetration
strategy framed for the rural market which is proven in other parts of the globe. So, India being a country
where they can apply their success formula, it is always important for Coca Cola to consider India as one of
their major target markets.
Chapter 6

References
https://www.google.com/search?q=bracches+of+coca+cola+company

https://notesmatic.com/competitors-of-coca-cola-company/

https://notesmatic.com/swot-analysis/

https://notesmatic.com/pestel/

https://notesmatic.com/management/

https://www.marketing91.com/coca-cola-competitors/

https://www.marketing91.com/tag/marketing-strategy/

https://www.google.com/search?
q=bracches+of+coca+cola+company+in+india&tbm=isch&ved=2ahUKEwjTkYT6jvjtAhXpFLcAHUtwDFI
Q2-
cCegQIABAA&oq=bracches+of+coca+cola+company+in+india&gs_lcp=CgNpbWcQAzoGCAAQBxAeUP
HNBVjSmgZgjZ4GaABwAHgAgAGbAogB9hqSAQYwLjYuMTCYAQCgAQGqAQtnd3Mtd2l6LWltZ8A
BAQ&sclient=img&ei=D7btX5POCump3LUPy-
CxkAU&bih=610&biw=1280&rlz=1C1CHBD_enIN919IN919