The Poorest Continent

The company known as Coca-Cola today was started in September of 1919, but the first Coke brand was served as early as 1886. Since that time it has grown to be one of the most globally recognized brand names with a stock value of $167 billion. Coke’s plan has always been developed with the future in mind. Right away the company realized that it was more profitable to manufacture the concentrate used to make carbonated drinks than to bottle it. From that point on they saw the entire world, not simply the originating country, as their desired market. It seems only practical that the company should pursue this agenda until conquered then focus the effort on expanding into different product lines. This logical

The first recommendation for this firm is to adopt a global policy and try and explore new markets so that market growth and market share can be expanded. In case of a firm entering an international market, it requires to analyze the nature of the market and suitably form its marketing strategies in alignment with its business strategy and decide whether it is more beneficial to adopt a global approach or use a strategy that is customized to suit the needs of the local customers.

Next, in order to get more consumers to come back to Coke, they can improve their marketing strategy. One way that

Top-management was looking forward to a Europe wide marketing strategy, in contrast with their subsidiaries which maintained that country profiles varied and marketing in one country would not be the same as marketing in another. Management wanted to adopt a Europe wide strategy so as not to lose out on market share else where in Europe. A single country approach would

Coca- Cola Company is US multinational beverage corporation, with 129 years of history. Coca Cola was recognized as 4th world’s most valuable brands and most valuable brand in beverage industry in 2014 according to Forbes magazine. Coca-Cola’s international market strategies are the classic example of successful Global Marketing Mix, which uses both standardization-adaptation strategic combinations to achieve bigger market shares all over the world. However in a big game there are always big players, and Coca Cola’s most fierce rivalry is Pepsi. Both of them control around 60% of global nonalcoholic beverages industry as well as they are present in more that 200 countries around the world. Coca Cola as long-term leader in the beverage market owns huge portfolio of 500 brands. So

Once implemented, in my opinion, Minnick’s strategy should impact the company successfully. Coke has been a leader in the carbonated drink industry for years, but they are missing out on another opportunity that can put them a step ahead of everyone else. By expanding and diversifying their product line, Coke is maximizing its exposure in the industry. With the new age came new consumer trends and demands. In order to stay ahead, Coke must enter new market segments to keep up with the other competitors in the industry, such as PepsiCo. By entering new segments with innovative products, Coca-Cola can capture a new audience and expand in untapped market niches. The company would increase profitability by generating income from an additional segment outside of the already successful carbonated-drink category that didn’t previously exist.

Coca-Cola and PepsiCo compete at length with each other among an extensive list of other brands. A key concern for both of these companies in 2011 was their capability to market, produce, and distribute across national boundaries of a single nation. This concern has decreased as both companies were able to push though their limitations and were able to establish manufacturing plants in countries across the globe. (Coca Cola Company, 2011)

Roberto Goizueta switched from localization strategy to global standardization strategy because during his initial control over the Coca Cola Company in 1980’s, the Coca Cola brand has already been marketed to more than 76 countries in the world and the subsidiaries were managed individually by the local management to match with the local taste and preference. This practice has given bad impact on the company profit as there were a lot of duplication of functions, smaller scale of production runs and too much of the customization which limits the ability of the firm to capture the cost reduction.The benefit of Global Standardization is the company will enjoy increased profitability and profit growth by reaping the cost reduction through economies of scale(produce in large quantity), learning effect (the production efficiency is improving from time to time as the worker become expert after repetitive sequence) and location economies (product’s value creation is done at the optimal location/environments). So by having the Global Standard, the product is produced at the most economic price and will create better perceived value for money spent by the customer.

Guyana is a sovereign state located on the North East corner of South America. Guyana, which is bordered by the Atlantic ocean, Brazil, Suriname and Venezuela; is the fourth smallest country in South America and the only english speaking region of South America. Due to its strong cultural and historical ties with the caribbean community, Guyana is considered a member of the west indies. Guyana’s main economic assets have always been their rainforest, sugarcane plantations, rice fields, bauxite and gold; however the country remains to be one of the poorest countries in South America. As of 2015 Guyana was ranked 127 on the Human Development Index (HDI) with 35% of the population below the poverty line.

The Coca-Cola Company is the world’s leading beverage company, with markets in over 200 countries and over 1,100 brands under their portfolio. The company was founded in 1886 and is currently headquartered in Atlanta, Georgia, USA. This paper seeks to explain the impact of globalization on the standardization versus adaptation decision using examples from the Coca-Cola Company’s performance and strategies since their inception as a company.

The Coca-Cola Bottling Company holds true to their values and strategy, thus creating more value within their brand. Business level strategy implements new products that embodies a fun and sociable atmosphere amongst family members and friends. This ambitious quality in a company is what pushes them past the threshold of complacency to move their product. One way they were able manage their brand globally was by using intense advertisements. Adding to their already famous and highly desired beverage, a business level strategy was instituted to add flavors to their cola product. By adding Cherry Coke and Vanilla Coke to their products, they satisfied the taste buds of millions upon millions of consumers here and abroad. Having the corporate level strategy makes the corporation thrive in the global market. It is also viewed as staying relevant or competitive, by developing more products that would best serve everyone who enjoys their product.

In the business industry, if businesses want to export their goods and services to other countries, they must become familiar with and adopt international and global strategies. Consequently, there are three types of international and global business strategies. The first type is international, which entails conducting a significant amount of activities outside the home country, yet its focus remains on the home market (Fung, 2014). The second type is multinational, which consists of operating in multiple countries, yet the headquarters is in its home country, not to mention that the competitive advantage will vary by country (Fung, 2014). The third and final type is global, which is when the organization treats the whole world as one market and one source of supply, not to mention, that its competitive advantage is contingent of common brands, standardized products, and global scale production (Fung,

Coca Cola was focused on the globalization of its brand. Coca Cola has the widest variety in the beverage industry comprising of around 3300 products and it exists in almost 200 countries. Coca Cola has a global brand value and loyalty as compared to

Firstly we start with the sociological or also known as demography. This is the study of human population from many perspective such as race, ethnicity, gender and many other. For Coca Cola to serve in different country require a many marketing research to be done. Coca Cola currently serves in 6 different region which is the North America, Latin America, Europe Eurasia, Africa, and Asia Pacific. Different country has different type of demand for Coca Cola. As consumer now become more health conscious, they have started to develop product such as coke light, coke zero which contain zero sugar content. This is a reactive approach taken by Coca Cola to adapt to the ever changing environment in order to stay competitive in the industry.

The multinational company that I have chosen is Coca Cola Company since it is a very popular brand and has been serving its customers for more then 10 decades and even after so many years its popularity seems to be increasing day by day which itself speaks about the company's remarkable performance. The Coca Cola Company is an American multinational corporation and manufacturer, retailer and marketer of the nonalcoholic beverage concentrates and syrups (Wright, 1999). It came into existence in 1886 and was invented in Columbus, Georgia by John Stith Pemberton. The current statistics of the company shows that it is currently operating in over 200 countries offering its customers over 500 brands with each day serving of more then 1.7 billion (Charles W. L. Hill, Essentials of Strategic Management, 2012). .Further more the Coca Cola Company is alone responsible for the 78% of the total gallon sales of all the beverages sold worldwide. The company is listed in New York Sock Exchange and is very popular in most of the countries especially United States of America, which alone consumes 47% of the total gallons, sold worldwide (Zurkuhlen & Meeker, 1987). The company headquarter is located in Atlanta, Georgia, United States of America and its current chief executive and chairman is Muhtar Kent (Charles W. L. Hill, Strategic Management Theory: An Integrated Approach, 2012).