Coca-Cola Company Case Study

Executive Summary

The purpose of this report is to do an analysis of Coca-Cola. At the beginning, we do an introduction of the background on Coca-Cola and also their current situation, goal, mission, strategies, and objectives. The company is such a large corporation so we will also describe how the firm addresses corporate governance. Finally, we will mention some outstanding performances of the company for example in leadership or other fields.

The case analysis provides an analysis of Coca-Cola in the following aspects:

* Industry Analysis (external environment) - Coca-Cola's Opportunities and Threats

* Internal environment - Coca-Cola's Strength and weakness

* Organizational Structure and Strategic Success

* Mission, Vision and Objective

* Strategies--corporate/ business/ functional

* Corporate Governance

* Social Responsibility

* Evaluation and Control

* Conclusion

* Recommendations for the future

Introduction

The Coca-Cola Company is the largest beverage company in the world, providing consumers hundreds of beverage brands. Coca-Cola is recognized as the world's most valuable brand, the Company's has 12 other billion-dollar brands such as Diet Coke, Fanta, Sprite, Coca-Cola Zero, Vitaminwater and Minute Maid etc.. Globally, The Coco-Cola Company is the number one provider of sparkling beverages, juices and juice drinks and ready-to-drink teas and coffees. Through the world's largest beverage distribution system, consumers in more than 200 countries enjoy the Company's beverages at a rate of nearly 1.6 billion servings a day.

History of Coca-Cola

1863 physician and chemist Dr. Pemberton develops "Pemberton's French Wine Coca,"

1886 a new formula and a new name is given to Pemberton's beverage that sells for a nickel a glass

1986 Frank M. Robinson, suggested the name and penned the now famous trademark "Coca-Cola"

1888 gradually sold portions of his business to various partners and to businessman Asa G. Candler

1891 Asa Candler achieves sole ownership of the company, at a total cost $2,300.

1892 Mr. Candler formed a Georgia corporation named The Coca-Cola Company.

1893 The trademark "Coca-Cola," used since 1886, was registered in the USPTO on January 31

1894 the first syrup manufacturing plant outside Atlanta was opened in Dallas, Texas.

1894 in Vicksburg, Mississippi, Joe Biedenharn installed bottling machines and sold Coke by the case

1895 Coca-Cola is now drunk in every state and territory in the United States

1899 two Tennessee men secure the exclusive rights to bottle and sell Coca-Cola in the entire U.S.

1916 Coca-Cola deserved a distinctive package; the unique contour bottle design is introduced

1919 Candler sells The Coca-Cola Company to Ernest Woodruff and an investor group for $25 million.

1922 the Company pioneered the innovative six-bottle carton

1928 Coca-Cola sales in bottles had for the first time exceeded fountain sales.

1945 "Coke®," is registered as a trademark by the USPTO

1971 "I want to buy the world a Coke" marketing campaign begins

1977 the now-familiar contour bottle shape was granted registration as a trademark

1985 a new formula for coke is introduced. Citizens of the world say no thanks!

Industry Analysis

External Environment

To win the competition and domain the soft-drink market, Coca-Cola needs to adapt the external environment. There are two main elements in the External Environment, Opportunities and Threats.

Opportunities:

* Growing Hispanic population in US: The Company can benefit from an expanding Hispanic population in the US, which would translate into higher consumption of Coca-Cola products and higher revenues for the company.

* Acquisitions: Stronger international operations increase the company's capacity to penetrate international markets and also gives it an opportunity to diversity its revenue stream.

* Growing bottled water market: Coca-Cola could leverage its strong position in the bottled water segment to take advantage of growing demand for flavored water.

Threats:

* Dependence on bottling partners: If Coca-Cola is unable to provide an appropriate mix of incentives to its bottling partners, and then the partners may take actions that, while maximizing their own short-term profits, may be detrimental to Coca-Cola. These bottlers may devote more resources to business opportunities or products other than those beneficial for Coca-Cola. Such actions could, in the long run, have an adverse effect on Coca-Cola's profitability. In addition, loss of one or more of its major customers by any one of its major bottling partners could indirectly affect Coca-Cola's business results. Such dependence on third parties is a weak link in Coca-Cola's operations and increases the company's business risks.

* Sluggish growth of carbonated beverages: Moreover in the recent years, beverage companies such as Coca-Cola have been criticized for selling carbonated beverages with high amounts of sugar and unacceptable levels of dangerous chemical content, and have been implicated for facilitating poor diet and increasing childhood obesity. Moreover, the US is the company's core market. Coca-Cola already expects its performance in the region to be sluggish during 2007. Coca-Cola's revenues could be adversely affected by a slowdown in the US carbonated beverage market.

Internal Environment

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