Swot Analysis

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A SWOT analysis is a collection of any company’s strengths, weaknesses, opportunities and

threats. It's main objective is to help company develop a full awareness of all the factors
involved to develop strategic planning.

A SWOT analysis should be used to help an entity gain insight into its current and future
position in the marketplace or against a stated goal. Organizations or individuals using this
analysis can see competitive advantages, positive prospects as well as existing and potential
problems.

Strengths: it describe what an organization excels at and what separates it from the
competition: for example;
 Loyal customer base,
 Unique technology,
 Quality of the product that gives an advantage over other competitors.
 Highly motivated, knowledgeable and skilled workforce
 Strong brand and company profile.
The strengths of coca cola is its brand name, marketing strategies, and distribution network and
customer loyalty due to its brand connection. Coca-Cola is a highly popular brand with a unique
brand identity. Its soft drinks are the most-selling drinks in history. . The brand is present in
nearly every part of the world and enjoys a very high degree of popularity.

Weaknesses: it stop an organization from performing at its best level. They are areas where an
organization needs to improve to remain competitive: for example;
 Things your competitors do better than you.
 Limitation of resources
 Inexperienced management
Product Diversification and absence of health beverage of coco cola is low as compared to its
competitors. Coca Cola hasn’t made many attempts to launch into new market segments. Pepsi,
on the other hand, has entered the snack market segment. This gives it leverage over Coca
Cola.

Opportunities: It refer to favorable external factors that represent potential growth or


improvement areas for a business: for example;
 Customer satisfaction
 Introducing new product line as per demand
Coca-Cola can develop new products and diversify its present offers like it competitors. They
can back this up with a brand name, consumers, production, and research.

Diversification in the health and food business will improve the offerings of Coca cola to their
customers. This will also ensure that they get better revenue. With hygiene becoming a major
factor in the consumption of water, Coca cola as a company should focus on the expansion
packaged drinking water brand. Apart from it, product diversification into healthy drinks and
packaged water can also bring revenue and profits.
Threats: it refers to the factors that have the potential to harm an organization.
 Emerging competition from less known brands
 Changing customer attitudes toward company

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.

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