COCA COLA STRATEGIC

AUDIT

Presented to:Dr. Sania AlGlaly

Prepared by:
Enjy Ishak
Moataz Samy
AbdAllah Farahat
Mohamed Saleh
Eslsca – Heliopolis - GP. 48 E
 Coca Cola Bottling Strategic Audit

 About Coca Cola bottling :

"The Coca-Cola Company is established in 1886 by the pharmacist Dr. John Pemberton in Atlanta, in the
beginning it was sold as a medicine. The Company registered its trade mark in March 27, 1944. Nowadays it is
spread in more than 200 countries with over 500 brands and 3,300 beverage products. These products include
sparkling beverages and still beverages, such as waters, juice drinks, teas, coffees, sports drinks and energy
drinks. The top five NARTD (nonalcoholic ready to drink) are: Coca-Cola, Diet Coke, Sprite and Fanta. The
number of employees worldwide is 92,400 and headquarter is in Atlanta. The Coca-Cola Company is listed on
the New York Stock Exchange under the ticker symbol KO. The Coca-Cola system operates on a local scale in
every country where they do business. It does not own or control most of its bottling partners, its compromises
the company and the bottling partners. The Company has more than 300 bottlers worldwide. Coca-Cola
manufactures and sells concentrates, beverage bases and syrups through its concentrate plant to bottlers; it
does own the brands and is responsible for brand marketing initiatives. The bottling Companies manufacture,
package, merchandise and distribute the finished branded beverages to Coca-Cola customers and vending
partners, who then sell the products to the consumers.Coca-Cola exists since 1942 and has two bottlers TCCBCE
and El Nile Beverage Company. The bottling operation ownership for The Coca-Cola Bottling Company (TCCBCE)
is: 51% TCCBCE and 49% Coca-Cola Company as for El Nile it's 100% owned by El Nile. The entire system has
11,494 full time employees.
http://www.ukessays.com/essays/marketing/the-company-background-and-history-of-coca-cola-
marketing-essay.php#ixzz3uEC3l4hL
The Coca-Cola Bottling Company of Egypt (TCCBCE) is headquartered in Cairo, in the district of Nasr City. This
Egyptian company bottles and sells all the Coca-Cola branded soft drinks, which are produced in 9 packaging
plants and distributed through 35 commercial warehouses equipped with more than 1,000 vehicles. The soft
drink range marketed in Egypt includes, in addition to all the “Coke” variants, Fanta, Schweppes, and Dasani
branded products. Egypt is one of the key markets for this US Company since it is the most important one in the
Arab world and home to some “historical” Coca-Cola facilities since 1942. For these reasons, the Atlanta head
office has announced an investment of US$ 500 million for the next 3 years in the Egyptian market with the goal
of doubling the exports volume, which currently accounts for about 30% of the TCCBCE bottling plants' output.
The Coca-Cola Company's massive investment comes at a time in which Egypt is recovering from three years of
political and economic turmoil, which had caused foreign investments to shift elsewhere, hen proving that this
North African country is re-attracting the interest of big multinational companies. The 9 production facilities of
The Coca-Cola Bottling Company of Egypt currently provide jobs for more than 12,000 people, with good
prospects of further employmentopportunities, both direct and in allied industries, as a result of the new US$
500millioninvestment

Read more: http://www.ukessays.com/essays/marketing/the-company-background-and-history-of-coca-cola-

marketing-essay.php#ixzz3uECfTN2g
:
Strategic Posture:

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.

Our Vision

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 Winning Culture

Our Winning Culture defines the attitudes and behaviors that will be required of us to make our 2020
Vision a reality.

Live Our Values

Our values serve as a compass for our actions and describe how we behave in the world.

 Leadership: The courage to shape a better future

 Collaboration: Leverage collective genius
 Integrity: Be real
 Accountability: If it is to be, it's up to me
 Passion: Committed in heart and mind
 Diversity: As inclusive as our brands
 Quality: What we do, we do well
  Our Vision
 Values

Focus on the Market

 Focus on needs of our consumers, customers and franchise partners

 Get out into the market and listen, observe and learn
 Possess a world view
 Focus on execution in the marketplace every day
 Be insatiably curious

Work Smart

 Act with urgency

 Remain responsive to change
 Have the courage to change course when needed
 Remain constructively discontent
 Work efficiently

Act like Owners

 Be accountable for our actions and inactions

 Steward system assets and focus on building value
 Reward our people for taking risks and finding better ways to solve problems
 Learn from our outcomes -- what worked and what didn’t

Be the Brand

 Inspire creativity, passion, optimism and fun

 Objectives:
The main objectives for the Coca-Cola Company are to be globally known as a business that conducts
business responsibility and ethically and to accelerate sustainable growth to operate in tomorrow's
world. By having these objectives, it forms the foundation for companies in the decision making
process.
Strategies:
The Coca-Cola Company aims to be globally known, they do this by targeting different areas across the globe with
different products, gaining their brand name and popularity. All the bottling partners work closely with their
customers such as convenience stores, grocery stores, movie theaters and street vendors to create and use
localized strategies developed in partnership with the Company. Their competition with other beverage
companies are also narrowed down as they own various brands that could be possible competition. For example,
the company sells Coke without the competition of other popular soft drink brands like Sprite and Fanta because
the company owns those brands as well. The company often reviews and evaluates their business plans and
performance to improve their earnings and analyze their competitive position in the market. They make decisions
in realigning their business models to match the objectives of the company by using strategies and tactics in the
analysis of their performance

Products:
1- COCA COLA

2- DASANI

3- CAPPY

4-FANTA

5- ACHEPEES

6- COCA COLA DIET

7- SPIRTE

8- COCA COLA ZERO

Coca-Cola is the best-selling soft drink in most countries, and was recognized as the number one global brand in 2010. While the Middle
East is one of the only regions in the world where Coca-Cola is not the number one soda drink, Coca-Cola nonetheless holds almost 25%
market share (to Pepsi's 75%) and had double-digit growth in 2003.Similarly, in Scotland, where the locally produced Irn-Bru was once
more popular, 2005 figures show that both Coca-Cola and Diet Coke now outsell Irn-Bru. In Peru, the native Inca Kola has been more
popular than Coca-Cola, which prompted Coca-Cola to enter in negotiations with the soft drink's company and buy 50% of its stakes. In
Japan, the best-selling soft drink is not cola, as (canned) tea and coffee are more popular. As such, The Coca-Cola Company's best-selling
brand.

- As the product is a soft drink so there is no specific characteristics or lifestyle i can base the marketing segmentation on it as all people
are drinking soft drinks so in order to increase the profits and make the marketing more affective to people the company all-over the
years based there marketing campaigns on connecting the Coca-Cola products with a characteristic or with a habit which in fact does not
have any link with the product its self . For Example the last campaign here in Egypt (Ethane) they trying in this campaign to tell the
people that Coca-Cola products push who drink it to do social activities to make other people happy but if this activities are craziness let
us be crazy. The connection Coca-Cola trying to make between its products and some characteristics of some people or between their
products and a smile or between their product and feeling happy appears clearly in the slogans of the company all-over the years. What i
am trying to explain about Coca-Cola creative way of marketing is that campaign after another they are trying to reach all market
segments through their characteristics as the product is a convenience product affordable for most of people and its segmentation
doesn't depend on certain age or sex or even lifestyle.

Corporate resources

1- Marketing
The Coca-Cola Bottling Company of Egypt (CCBCE) is the twelfth largest spender on television advertising, and its billboards
and signs are ubiquitous. It has always been creative in tying its advertising to what it sees as prevailing themes and topics,
from partnering with Coca-Cola Asia pacific for very high-end global ‘Eid holiday ads, to giving away Coca-Cola Ramadan
lanterns (this was in 1997; it was one of their most popular giveaways; less than a year later, with some lantern-related
advertising still in circulation, they could not find a single lantern still around for me to photograph).

An icon of American culture, Coca-Cola has also been savvy about marketing itself during boycotts inspired by solidarity with
the Palestinians. Rather than try to fight the public mood, Coke switches much of its advertising budget over to its popular
Fanta fruit drink line–which is not semiotically linked to the US in the Egyptian popular imagination–until the mood has
shifted again..http://connectedincairo.com/2011/06/28/coca-cola-for-the-new-egypt/

Suggested corporate Strategies:

Alternative Strategy # 1

Business Strategy
Differentiation:

 Product and service that is unique and valued

 Unique marketing and advertising campaign
 Unmistakable bottle shape can be seen in dark and even while it as shattered
 Coca Cola freestyle machine
 Open to happiness
 Different packaging
Cost Leader ship Strategy
 Fairly new for Coca Cola
 Vision 2020

Functional Strategy
Marketing to end consumer

 Coca cola = open happiness

 Diet coke is marketed towards the health conscious
 Coke Zero is the "mailer" version of Diet Coke

Work Culture

 Global Diversity strategic framework. A global brand relies on people from all background and countries
 Coca Cola university - A virtual global university for all learning and capability building activities

Implementation

Strategy Implementation

Short term/Immediate strategy Implementation – 1st year

The implementation of the strategy over the short term – mainly for executing the complementary and the
cooperation strategy through the following approaches:

1- New Business Unit – a new R&D business unit designed to connect consumers to marketers and
merchants is mandatory.
2- Strategic Alliances with Market leaders as a distributer.
3- Acquisition of related logistics companies to increase the competitive advantage

Long Term strategy Implementation – 2nd to 4th year

1- InnovationWe suggest that Coca Cola should attempt to boom the market

2- Diversification Full price spectrum as well as event oriented for Soft drinks. Market research and further
segmentation of markets helps to identify new groups of customers.

3- Market expansion – This strategy entails finding new markets for existing products or sharing competitors
markets through offering distribution shops.