executive summary of coca-cola

Almujahid 1

Executive Summary of Coca-Cola Farouk Almujahid Seina Heights University

Almujahid  COCA-COLA EXECUTIVE SUMMARY Case Statement

Coca-Cola is facing a highly com!etitive industry in today"s technological #orld$ %he  &iggest challenge for the com!any is to struggle #ith the emerging com!etitors com!etitors in all around the #orld #hile maintaining the !roduction ca!acity and an d cost at the same time$ Mission and Vision Evaluation

Coca-Cola is follo#ing and im!lementing its mission and vision statements effectively$ %here is a need to focus more on mission statement for Coca-Cola &ecause its mission statement is not dealing dealing #ith t#o factors factors including !hiloso!hy and em!loyees$ em!loyees$ 'ission statement statement should should also discuss these t#o !arameters in order to make its strategy more successful in international market$ (n the other hand) its vision is much effective and is follo#ing all the re*uired  !arameters$ Milestones

1$ %he larges largestt !u&licall !u&lically y traded traded &everage &everage com!any since 1++,$ $ (ffering (ffering *uality *uality soft soft drinks drinks in all all around the the #orld #orld from a !eriod !eriod of more more than 1+ years$ years$ $ Committed Committed to al#ays al#ays !artici !artici!ate !ate in charita&l charita&lee events) human human right acts) acts) and !rograms !rograms that that are assisting the com!any to &ecome more re!uta&le and recogni.ed in all around the #orld$ External Assessment

Coca-Cola !ossess lot of o!!ortunities in order to increase its sales and !rofit margins$ First of all) there is a room for the com!any to increase the sale of &ottled #ater as the sales of   &ottled #ater #as increased to / times more faster in 01/ as com!ared to !revious years$ Sales of energy drink #ill &e increased to an amount of 1 &illion !er year &y the end of 01$ Another 

Almujahid  most im!ortant factor to consider is Coca-Cola is not focusing on food !roducts as 2e!si and other com!anies are focusing$ Internal Assessment

3eing the most valua&le soft drink &rand and surviving as the leader of all other &everage com!anies$ Coca-Cola is maintaining high market share as #ell$ %he com!any has secured a strong financial !osition in international market$ Industry Analysis

From From 2ort 2orter" er"ss five five forc forces es mo mode del) l) it is concl conclud uded ed that that the the com!a com!any ny is faci facing ng high high com!etition in &everage industry$ %he most challenging factor here for Coca-Cola is to com!ete its o!!onents like 2e!si$ 2e!si is regarded the most !o#er o!!onent of Coca-Cola today$ Another  Another  factor here to mention is the arrival of ne# com!etitors$ Emerging ne# &everage com!anies are also a challenge for Coca-Cola to face and maintain$ inan!ial Analysis

From financial analysis #e can o&serve that the current ratio of Coca-Cola is 1$04) #ith an average industry score of 1$1$ 5hile it"s *uick ratio is 0$ #ith an industry average of 0$+0$ %hese t#o ratios &riefly sho#s that ho# #ell Coca-Cola is managing its short term as #ell as long term lia&ilities and o&ligations$ %he current ratio of Coca-Cola concludes that com!any has maintained more current assets as com!ared to its lia&ilities$ Com"etitive Strate#ies

%he first alternative strategy !ro!osed is to add some ne# &ut healthy &everage !roducts  &y the com!any com!an y for its consumers$ As today"s consumer needs healthy soft drinks that #ould not

Almujahid 6 affect their health) so com!any should focus to add healthy drinks &y im!roving the *uality of  drinks$ %he second strategy is to add &est flavored food !roducts in order to make the com!any"s  !osition more strong in international market$ %he third and last strategy is to focus more on younger generation of today"s #orld$ As younger generation al#ays demands for change and excitement excitement so Coca-Cola Coca-Cola should focus to s!end more &udget in order to increase increase its !o!ularity !o!ularity among younger generation$ Re!ommended Strate#y

5hen Coca 7Cola im!lements their ne# strategy of healthier drink choices the com!any must address the changes of the organi.ational structure of their com!any and additional staffing needs and concerns$ 5hen Coca-Cola introduces the ne# !roduct) decisions must rely heavily on *uality control) cost control) inventory control) and creating an o!erations !lan #hich needs to &e restricted to meet their o&jectives &ut also some#hat unrestricted to allo# for flexi&ility and creativity$ %his strategy #ill hel! Coca-Cola to survive more confidently in highly com!etitive market of today"s #orld$ %his strategy #ill hel! the com!any to im!rove its #orth as &eing the most !o#erful and relia&le leader of all the &everage com!anies$ Et$i!al and So!ial Res"onsi%ility &imensions o' t$e Re!ommended Strate#y

'y recommended strategy of *uality control #ill surely hel! Coca-Cola to fulfil its social and ethical res!onsi&ility$ %hinking a&out the health of the consumers is a !art of its social and ethical res!onsi&ility$ res!onsi&ility$

Almujahid / Im"lementation (lan

(ur im!lem im!lement entati ation on !lan !lan for Coca-C Coca-Cola ola #ill #ill go throug through h differ different ent scenar scenarios ios$$ %he management can face some difficulties #hile im!lementing the !ro!osed strategy$ So avoiding this issue com!any #ill have to educate very #ell its all em!loyees at one desk to im!lement its strategy$ %he first im!lementation !lan #ill #ork through increasing the !roduction units to value of 60)000$ %he em!loyees #ill receive 81/0 as a &onus after year im!lementing this !lan$ 'oreover) !roduction de!artments #ill #ork in t#o shifts that #ill increase the com!any"s revenue$ 9t #ill &oost u! the &everage &ev erage revenue to a value va lue of 1/: &y the end of the year$  ;ext im!lementation !lan #ill &e done through the o!erations and human resource de!artment #here the com!any #ill &e committed to !roduce healthy drinks for its consumers$ Additional ca!ital #ill &e re*uired in order to im!lement the overall strategy$ %he overall cost cannot &e determined at this time &ecause it de!ends u!on the com!any"s overall &udget to im!rove the *uality of its &everage !roducts$