Essay about Utility Study

In Asian population, the satisfied consumers of Coca-Cola, is around 3.2 billion and the average consumer enjoys close to two servings of their products each month. Through intense focus on Coca-Cola, innovation and new quencher, the company has achieved the growth of 10% in 2010. With developing population & economy, the company is building and exciting the family of beverage brands, in order to expand the popularity of the core brands, led by Coca-Cola. In China, for example, sale of Coca-Cola is increased by 6%. The total unit case sale of Coca Cola in Asia can be shown by the following pie chart.

In today’s economy, decision-making skills vary for each household; however, the bottom-line goal for every individual is to get the most for their money. In order to do this, there are 4 principles of individual decision-making: facing trade-offs, evaluating what one is giving up to obtain their goal, thinking at the margin, and responding to incentives.

Coca-Cola has often been seen as an escape during the hardships of America. They provided a sense of hope; a false reality in which America was still the land of opportunity. The advertisements helped Americans ignore the harsh “ realities of depression” and embrace the “idealized reality of America”, the America they came to with hope (Coca-cola at home). Coca-Cola was there in the worst of times for Americans to enjoy and pretend nothing was wrong. Some people might say it made Americans ignorant during a time of destruction, but in reality it helped Americans cope with the crushing feeling of economic depression.

I used Google Finance to find the Cola-Cola financial information. The revenue that Coca-Cola Company generated in the end of 2017 was $35.41 billion. Their gross profit is $22.15 billion. However, Pepsi revenue was $63.52 billion and the gross profit was $34.740 billion. These financial information shows that the customer prefer Pepsi over Coca-Cola. These also show that the demand of Coca-Cola products has been declining. The causes for this decline would be from a change in the customer preference and more competitors in the

“When it comes to the king of pop, only Michael Jackson tops Coca-Cola. The soda giant is one of the most recognizable companies in the world, with annual sales north of $45 billion” (Tamara Walsh, TMFSocialME). For years, there has been a “cola war” between Coca-Cola and Pepsi Cola. This has urged cola drinkers to test these two products and compare them in many different areas. Coca-Cola and Pepsi Cola may be the most popular soft drinks in the United States, causing the two to be at war, however, they both have many similarities and differences in terms of sales and social media/advertising.

When a consumer chooses the combination of goods and services to buy, what is she or he trying to achieve?

The Coca-Cola organization has made exemplary strides mainly to offer a variety of products to its clients even with the competitive nature of the market. Consumers’ choice gets based on the brand aspect in which the organization wins most customers' heart against its rivals. Even though a significant number of people deny cases to having inclination picking between Coca-Cola items or its rivals', many have a strong desire in some way. Many inclines toward Coca-Cola products since the organization has more than hundred years of history and predictable brand image. This picture is engraved in a lot of people subsequently end up purchasing their beverages. It is out rightly conspicuous in the company’s high market share in the field of soft drinks.

Economically, soft drinks are not expensive and they are consumed by most everyone. The soft drink industry is not influenced significantly by economic influences. However, the raw materials used to create soft drinks and in juices like sugar, fruits and vitamins may affect production costs and PepsiCo’s costs of production and the profit margin (Finch, 2012). The distribution channel and transportation also affect the price of the product and the commercial tax rates can vary (Finch, 2012). Socially (Finch, 2012), people today are sensitive towards the content of advertisements. Taking this into account, PepsiCo is targeting the next generation of consumers, and they differentiate

Another important weakness is that the company’s products are seen as a major cause of obesity. (Melser, 2013) The beverage sales are affected by various factors including change in trends and preferences. Recently, beverage sales have fallen because of people’s increased preference for the health drinks. Around the world, obesity is a major problem and the Coca Cola products are seen as a major cause of obesity. As people are getting health conscious they are moving towards low calorie healthy drinks. This affects coca cola’s profitability and popularity. However, the brand can overcome this situation by increasing the number of low calorie products in its brand portfolio. It will need to add more healthy choices for its customers in its product portfolio.

Decision making can be described as a process of making a decision or decisions, based on choices made amongst two or more competing course of actions. The ‘Decision making’ also requires making a define choice between two or more alternatives course of actions that are available.

The graph above shown us the indifference curve budget line diagram which explaining the equation MRSXY < P X / PY. There are two ways to measure the consumer preferences or what the consumer wants. The first one is by trying to put a ‘value’ on the satisfaction a consumer obtains from consuming a ‘unit’ of a good. Consumers are assumed to be able measure utility in terms of a ‘util’. However, we cannot find the total utility by using this method. So we can use another way which is by ranking the product. We can say that the consumer is

Consumers have preferences about the goods they consume. Therefore, when faced with a choice of goods, the consumer must decide

Coca-Cola has been around for generations with the same iconic taste, logo and symbolism. Its brand has represented family and the memories of good times, celebrations and comfort of being with those we love. Unfortunately, the company has not made good marketing decisions in the recent past and has lost relevancy. The purpose of this essay is to assess the conditions that created Coca-Colas marketing problems, evaluate the future of healthy beverages and non-carb drink brand extensions, and provide recommendations to the management.

The current ratio of coca cola has been increasing since 2009 reflecting that the company has

The results of the study on the advertising vs sales data of Coca Cola Company over the years 1993-2006 strongly support the decision of the company to engage so highly in promotion.