Macro Economic Analysis of Coca Cola

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Research Paper on Coca Cola
Research Paper on Coca Cola Company
Introduction
The Coca-Cola Company Limited is the world's largest beverage company and is the leading producer and marketer of soft drinks. Due to the facing of highly competition in the market, the Company used more than million dollars in the
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- Product Innovation: Successful innovation help the achieve of the pricing power. They have set the right mix between pricing and volume and thus generate profit. An example of successful innovation is the introduction of Vanilla Coke which was first launched in US on May 2002 and continued to launch in Canada, Australia and Hong Kong and New Zealand (Datamonitor plc, 2003).

- Growth of market share: Increase market share by the acquisitions of the other bottling companies - Herb Coca-Cola, Dr Pepper and Tarpon Springs (Datamonitor company profile, 2003).

Weaknesses
- Competition within the company, as Coca Cola Co. has a wide range of product line such as Coca Cola Classic, Diet-Coke, Sprite, POWERade, Dr Pepper, Fanta and Aquarius. This will increase the competition between each other.

- Highly rely on the carbonated beverage: 92% sales of the Coca-Cola Enterprises are come from the Coke product. Carbonated soft drinks are its core category, however this category has reached mature and growth slowly in the market. The expected growth of annual sales in the carbonated soft drink category is 3.8%, while the total soft drinks category expected to growth in 4.2% (Datamonitor plc, 2003).

- Limited product range: Comparing with the major competitors PepsiCo and Cadbury Schweppes, Coca-Cola

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