Question

do a SWOT for the coca cola company with 10 measurable factors for each section.

Answer 1

SWOT analysis of Coca Cola has been described below:

Strengths

Strengths are as follows:

· The company has a strong brand identity which helps it to grow strong

· Currently, Coca Cola holds the highest brand equity in the soft beverage market

· The company is globally expanded as it has extensive existence in both developed countries, and developing countries

· The company has excellent consumer loyalty

· The brand value of the company is globally known

· Coca Cola is dominating the soft beverage market has it has the highest number of shares which is 35.41%

· The distribution system of the company is undisputed

· The acquisition strategy of the company has expanded its global reach as it occupied AdeS in 2016

· The company has excellent control over its suppliers and competitors

· Economies of scale have helped the company fix costs over numerous non-alcoholic beverage brands

Weaknesses

Weaknesses are mentioned below:

· Aggressive competition with PepsiCo is a weakness for the company

· It has a low diversification as there is no variety in products

· The company was accused several times of using unhealthy ingredients

· Water management policies of the company are deplorable

· Legal issues have declined the brand loyalty of the company several times

· Coca-cola sticks to its core business model which requires a change

· Sugar tax in the UK has impacted on the pricing strategy of the company

· The company have not ever focused on any non-food products

· The sales Coca Cola has declined from $41 Billion to $35 billion

· The company hasalmost lost its appeal in the European region

Opportunities

Opportunities are described below:

· The company is tending to introduce new products

· It is enhancing its presence in developing nations

· The company is planning to use advanced supply chain technology

· The company has planned to sell packaged drinking water

· The company is planning to marketize the lesser selling products

· Currently, Coca Cola has planned to launch healthy beverages made with fresh fruits

· Partnership strategy for the new market is getting beneficial for the company

· Coca Cola is planning to expand its digital promotional strategy

· The company is planning to adopt the cost leadership strategy

· It has developed a legal team that can provide legal assistance to the company in future

Threats

Threats are as follows:

· The company can face fierce competition in future

· It may fail to align the government legislations

· The latest taxation policy can be a grey area for Coca Cola

· Health-conscious customers prefer not to buy Coca Cola products

· Coca Cola may fail to get sufficient raw materials due to several water-related legislations

· Indirect competition is increasing. Companies like Starbucks and Subway can be an indirect threat to the company

· Packaging controversy can still haunt the company

· The company was suspected of using pesticides in water which can affect brand loyalty in future

· The reduction in demand can affect the business of the company

· Decreasing demand in the middle-east countries