Activity Week 2

• In small groups choose one of the

following companies and create a
SWOT Analysis
• Apple
• Coca Cola
• Tesco
• Prepare to present your work to the
rest of the class
• Each group should also submit their
work on blackboard
 Coca Cola

Weaknesses: Healthy

Sugar taxation and regulations

Currency fluctuation

1. Strengths: Strong Brand: Coca-Cola has one of the most recognized and valuable brands
globally, which contributes to customer loyalty and trust.
2. Global Presence: The company operates in over 200 countries, giving it a vast global reach
and market penetration.
3. Product Diversity: Coca-Cola has a wide portfolio of beverages, including Coca-Cola, Diet
Coke, Sprite, and a range of non-carbonated beverages, catering to different consumer
preferences.
4. Distribution Network: It boasts an extensive and efficient distribution network, ensuring its
products are widely available.
5. Marketing and Advertising: Coca-Cola's effective marketing campaigns and sponsorship of
major events (like the Olympics) help maintain brand visibility.

Opportunities:

1. Diversification: Expanding into healthier beverage options, including water, tea, and
functional drinks, can tap into changing consumer preferences.
2. Emerging Markets: There's significant growth potential in emerging markets where a rising
middle class is increasing disposable income.
3. Innovation: Developing new products, Flavors, or formulations can attract new customers
and revive interest in the brand.
4. Sustainability: Investing in sustainable practices and packaging can enhance the company's
image and reduce its environmental footprint.

Threats:

1. Health Concerns: Increased health consciousness may lead to decreased consumption of

sugary beverages, impacting sales.
2. Regulation: Government regulations on sugar content and labelling, as well as
environmental regulations, can affect production and marketing.
3. Competition: Intense competition from both large beverage companies and smaller, niche
brands poses a threat to market share.
4. Economic Factors: Economic downturns can result in reduced consumer spending on non-
essential items like soft drinks.
5. Changing Consumer Preferences: Rapid shifts in consumer preferences towards healthier or
alternative beverages can challenge Coca-Cola's core products.

Asda
Weaknesses

Limited International Presence: ASDA's operations are primarily confined to the UK, making it
vulnerable to economic fluctuations in that market.
1. Dependence on Food Sales: A significant portion of ASDA's revenue comes from food sales,
which can be sensitive to market dynamics and consumer preferences.
2. Labor Issues: Labor disputes and concerns over worker conditions have occasionally affected
the company's reputation.
3. Intense Competition: The UK supermarket industry is highly competitive, with rival
companies continually vying for market share.
4. Supply Chain Disruptions: Like many retailers, ASDA is susceptible to supply chain
disruptions, such as those caused by global events like the COVID-19 pandemic.

Strengths:

1. strong Market Position: ASDA is one of the leading supermarket chains in the UK, with a
significant market share, providing a strong competitive advantage.
2. Extensive Retail Network: The company has a widespread network of stores across the UK,
making its products easily accessible to a large customer base.
3. Cost Leadership: ASDA is known for its focus on low prices, making it attractive to price-
conscious consumers.
4. Private Label Brands: The company offers a range of successful private label brands, which
often carry higher profit margins compared to branded products.
5. Online Presence: ASDA has a growing online presence and home delivery service, catering to
changing consumer shopping habits.

Opportunities:

1. Diversification: Expanding product offerings beyond groceries into non-food categories, like
clothing, electronics, and home goods, can capture additional market segments.
2. Online Growth: Continuing to invest in e-commerce and improving the online shopping
experience can attract more customers, especially in the digital age.
3. Sustainability: Embracing sustainable practices, such as reducing plastic waste and offering
more eco-friendly products, can align with consumer trends and enhance the brand's image.
4. Expansion: Exploring opportunities for expansion into new geographic regions or markets
can help diversify revenue streams.
5. Health and Wellness: Meeting the growing demand for healthier and organic products can
attract health-conscious consumers.

Threats:

1. Competition: Intense competition from other major UK supermarket chains like Tesco,
Sainsbury's, and Morrisons poses a constant threat to market share and profitability.
2. Economic Downturn: Economic recessions can lead to reduced consumer spending,
impacting sales and profitability.
3. Online Competition: E-commerce giants like Amazon pose a threat to traditional brick-and-
mortar retailers like ASDA.
4. Regulation: Government regulations on issues like food safety, labelling, and environmental
practices can affect operations and costs.
5. Consumer Trends: Rapid shifts in consumer preferences and shopping habits can require
significant adjustments in product offerings and strategies.