The cocacola system is one of the major examples of global value chain. However, creating such a large and successful brand also requires managing the value chain successfully. The report also comprises analysis of coca cola s marketing strategy and companys approach towards corporate social responsibility csr. Value chain analysis of the coca cola company the can be better understood with the help of some examples. Coca cola value chain analysis coca cola the coca cola. As a result development of a superior value system is imperative to their operations.
The brand is known for its strong image and global presence. Coca cola value chain analysis free download as word doc. Coca cola s strength is marketing and new marketing and advertisement channels have a big impact on the company. It can also use value chain analysis to develop brand identity. It has several billion dollar brands in its portfolio. The cocacola company quotes, from inca kola, a sparkling beverage found in north and south america, and samurai, an energy drink available in asia. In addition to the companys coca cola brands, our portfolio includes some of the worlds most valuable beverage brands, such as ades. Coca cola is one of the most recognizable brands globally. When a racer gets thrown out of a race he gets this. On the surface, coca cola and pepsico have very similar business models. Operations coca cola s core operations consist of companyowned concentrate and syrup production coca cola 2006. According to their website, some of the main environmental impacts of their business occur further along the value chain through systems bottling operations, distribution networks, and sales and marketing activities coca cola 2006.
Ko is a total beverage company, offering over 500 brands in more than 200 countries and territories. Coca cola can control following drivers to add value, set differentiation basis and enhance efficiency. There will be also a deeper analysis on three major bottlers in order to better understand which are. Throughout this paper we will analyze their value system by using michael porters value chain analysis model.
This paper performs a strategic analysis of the coca cola company, a leader in the beverage industry. Chapter 4 is an internal analysis value chain analysis, where i describe all the activities that make up the economic performance and the capabilities of coca cola. As potential investors dig deeper, however, they find key differences and key similarities between the two business models. Value chain analysis a value chain is a model used to disaggregate a firm into its. How significant and practicably usable is it today, in the light of vast developments in management tools that help assess. Cocacola supply chain managementa coca cola supply chain management the first section of this paper touches on the coca cola companys historical background detailing the time of its inception and the brains that.
The figure below illustrates the essence of value chain analysis. This work was undertaken in partnership with the coca cola. The analysis contained herein is based on an inputoutput model, which follows our financials as. Companys value chain acts as a competitive advantage. Cocacola uses this strategy to explore new drink categories continuously, and it is keeping the tradition of expanding on their current portfolio of brands and products. The cocacola value chain essay 2743 words bartleby. With our large number of brands, employees, and communities, there is always a new story at the coca cola company. Its value chain entails suppliers, operations, consumers.
Over the past decade, coca cola has been experiencing a decline in sales due to increasing health and obesity concerns. Technology is used at every step of coca cola s value chain syrup manufacturing, bottling operations and storage at retail shops. Value chain analysis of coco cola free download as word doc. Analyze this case and conduct a value chain analysis vca for coca cola company 2340618 home. Analyze this case and conduct a value chain analysis vca for coca cola company 20 marks question two the bcg growthshare matrix is old but has stood the test of time.
They are concentrate producers, bottlers, retail chains and suppliers the coca cola company v. Analyze this case and conduct a value chain analysis vca. Coca cola markets nearly 2,400 beverages products in over 200 geographic locations. The coca cola company creates the demand throughout consumer and brand marketing instead each different bottlers in their different territories are. Probably the best way to think about using porters value chain is to consider an example. Supply chain maturity assessment of coca cola ghana ltd. Coca cola european partners ccep is a multinational bottling company. Coca colas value chain analysis by emma betito on prezi. Value chain analysis of coco cola company coca cola. The coca cola brand is globally valued and recognized. If product differentiation is the aim of coca cola, value chain analysis will help the company in maximising the efficiency and enhancing the product quality by improving processes. Known for its strong brand image and global presence, coca cola has several billion dollar brands in its portfolio. There are primary and support activities in the value chain which are discussed below.
Value chain analysis of coco cola company free download as powerpoint presentation. Coca cola s core operations consist of companyowned concentrate and syrup production coca cola 2006. Because of this, coca cola has come up with long term objectives. Value chain definition, its management and analysis aims lecture duration. In the coca cola system there are two main players. Value chain analysis of coca cola 3324 words bartleby.
The value chain model, developed by porter, is used to segregate a firm into its strategically relevant value generating activities in order to understand the behavior of costs and the existing and potential sources of differentiation. He had remarkable values, and placed our people at the centre of everything we do. The analysis helps in understanding how the company creates shareholder value and competitive advantage. Cocacola has more than 3000 products in over 200 countries of the beverage brands with core focus on brand of cocacola, diet coke, coke zero, sprite and fanta. We have explored a wide range of potential physical and transition risks to our business and our value chain from climate change. Coca cola value chain analysis researchmethodology. Coca cola is among the most globally recognizable brands. Rethinking the value chain rethinking the value chain. Using porters value chain the marketing study guide. The coca cola system is one of the major examples of global value chain. Solved analyze this case and conduct a value chain. This method of analysis includes market segmentation, market targeting, market positioning, as well as the marketing mix of pepsi and coca cola. Working with diverse suppliers at the cocacola company duration.
The value chain of coca cola company analyzing the value chain of coca cola is helpful to create. This report contains application of swot, pestel, porters five forces and value chain analytical frameworks towards the case study of coca cola company. Pdf on feb 1, 2019, naama al tunaiji and others published coca cola strategy project find, read and cite all the research you need on researchgate. However, to establish a large and successful brand requires successful management of the value chain. For example, coca cola has significant logistics benefits primarily outbound logistics in porter model and they also have a strong brand, which would fall under the sales and marketing area of the model. Its spanish division employs 900 people at one of the worlds most. What is the value chain analysis of coca cola answers. Value chain of coca cola and pepsi essay 615 words. In an attempt to paint a current picture of the nonalcoholic.
Here is a detailed value chain analysis of coca cola. By using value chain analysis, coca cola company the can select and source premium quality raw material and develop customer loyalty on the basis of it. Value chain analysis is an analytical framework that assists in identifying business activities that can create value and competitive advantage to the business. We have drinks and beverages for everybody and every occasion. Introduction coca cola markets nearly 2,400 beverages products in over 200 geographic locations. For complete information regarding our financials, see our periodic filings. Cola hbc above the willis towers watson benchmarking pool of high.
This is reflected in the companys 2017 employee engagement results, which set the bar for the coca. The cocacola company follows a unique supply chain management system where the company only produces syrup concentrate which is then sold to various. Explore the wide variety of products and beverages that the cocacola company has to offer. Coca cola, the worlds leading soft drink maker, operates in more than 200 countries and owns or licenses 400 brands of nonalcoholic beverages. Per coca cola s 10k report, increases in the prices of our finished products resulting from a higher cost of ingredients, other raw materials and packaging materials could affect affordability in some markets and reduce coca cola system sales the coca cola company, p. Water is the main ingredient for all products manufactured by coca cola company and the company occasionally faces. Value chain analysis can be used to evaluate the companys capability of operating in the global scene. Coca cola and pepsi cola have four different components of the soft drinks industry value chain. Doc supply chain analysis coca cola jenavi stefano.