Every organization in the world requires strategic management to ensure well organization of the company. Further, strategic management ensures the organization remains on the top of the competitors as well as excellent performance internally. This paper will critically discuss the strategic management (external analysis) of Coca Cola Company (Anderson and Lehmann, 1994).
What are the Major Threats to the Ability of Coca Cola Company to Serve Its Stakeholders and Make Its Mission a Reality?
Coca Cola Company is the leading soft drink company in the world. The company goal is to ensure the company is growing. However, the organization is faced by different problems, most of which have significantly affected its domestic and international markets. There are different ways to determine the threats facing an organization. One way to determine a threat in an organization is ability of a company to cope with technological changes. Others include the financial ability of the organization, the ability of the firm to withstand the change in the market environment, the number of employees in the organization among other notable factors. One threat which faces Coca Cola Company is laws in the country the company operates. Every country has different laws which protect the welfare of the local sellers in that country. These laws affect business transactions from foreign investors in the country.
The second threat facing Coca Cola Company is taxes and tariffs in different countries. Tariff and taxes collected by a country depend on country laws which affect the company expenditure. The company must verify the cost of t
Tariff and Taxes in each country to ensure the business is feasible and reasonable for the company. For instance, in the Middle East region , foreign companies are highly taxed, a factor that has enormously hampered the expansion of the firm in this highly potential region. In addition, if the country of operation has political and economic problems, as recently witnessed during the Arab Uprising in countries like Syria, Libya, Tunisia, and Egypt among others, then the business is also affected. Another threat that affects Coca Cola Company is health problem complaints (Epstein & Birchard, 2000).
What are the Major Opportunities Available to Improve Coca Cola Company’s Ability to Meet the Need and Make the Vision Come About?
Coca Cola Company has different opportunities in the markets as compared to its competitors such as Pepsi. One of the opportunities of Coca Cola Company is to produce products that are healthy and satisfactory to customers. The products must be of high quality to attract customers, hence boost
its market. Another opportunity is to products with distinctive taste to ensure their products taste is not related to their competitors. Additionally, the company can reach new territories to offer services and products, which its competitors have not reached, a factor that will significantly maximize the firms’ profit (The Coca Cola Company, 2012).
What Do You Perceive You Have Learnt in Module 2 SLP? Please Provide Your Evaluation of the Module 2 SLP in Brief
Module 2 SLP has enormously sharpened my minds on various factors
, which hinder s growth of businesses in various parts of the world. It is notable that markets attract competitors and life cycles which affect companies in different ways. The company products affect its overheads and contribution to the organization. In order to survive in the market, the company must review its products in order to achieve its objectives. The company must identify different strategies to be ahead of the competitors. One of the strategies is to review new advertising methods such as online advertising and use of media to maximize profits. Secondly, the company can increase communication internationally to expand the markets. Thirdly, the company can use special promotion techniques during low market days to increase the purchase of the products. Some of these promotions include promos and special discounts on the products among others (Kay, 1995).