Supervised by : Dr. Ezz El Arab El Awoor Student Work : Walid El Shawwa History Standing in business environment Brands of coca cola Mission Vision Values Income Statement Balance Sheet and Cash Flow Workforce Organization Chart Value Chain Analysis SWOT Analysis Marketing Mix Product Success and Drop New Product Degree of Risk The way to Success Income Statement (2010-2011) Balance Sheet and Cash Flow (2010-2011) Coca-Cola® originated as a soda fountain beverage in 1886 selling for five cents a glass. Early growth was impressive, but it was only when a strong bottling system developed that Coca-Cola became the world-famous brand it is today. 1894 – A modest start for a Bold Idea 1899 The first bottling agreement 1900-1909 … Rapid growth 1916 … Birth of the contour bottle 1920s … Bottling overtakes fountain sales 1920s and 30s … International expansion 1940s … Post-war growth 1950s … Packaging innovations 1960s … New brands introduced 1970s and 80s … Consolidation to serve customers 1990s … New and growing markets Ranking: We own 4 of the world's top 5 nonalcoholic sparkling beverage brands Associates: 90,500 worldwide Operational Reach: 200 countries Consumer Servings (per day): 1.5 billion Beverage Variety: more than 2,800 products Energy Drinks Juices/Juice Drinks Soft Drinks Sports Drinks Tea and Coffee Water Other Drinks Our mission declares our purpose as a company. It serves as the standard against which we weigh our actions and decisions. - To refresh the world in body, mind and spirit. - To inspire moments of optimism through our brands and our actions. - To create value and make a difference everywhere we engage. Our vision guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable growth. People: Being a great place to work where people are inspired to be the best they can be. Portfolio: Bringing to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs. Partners: Nurturing a winning network of customers and suppliers, together we create mutual, enduring value. Planet: Being a responsible citizen that makes a difference by helping build and support sustainable communities. Profit: Maximizing long-term return to share owners while being mindful of our overall responsibilities. Coca-Cola is guided by shared values that both the employees as individuals and the Company will live by; the values being: LEADERSHIP: The courage to shape a better future PASSION: Committed in heart and mind INTEGRITY: Be real ACCOUNTABILITY: If it is to be, it’s up to me COLLABORATION: Leverage collective genius INNOVATION: Seek, imagine, create, delight QUALITY: What we do, we do well COCA COLA - RATIO ANALYSIS 2006 $ 2005 Percent $ 2004 Percent Income Statement (in millions) (in millions) Revenue 24,088 100.0% 23,104 100.0% Cost of Goods Sold 8,164 33.9% 8,195 35.5% Interest Expense 220 0.9% 240 1.0% Tax Expense 1,498 6.2% 1,818 7.9% Income from Operations 5,080 21.1% 4,872 21.1% Net Income 5,080 21.1% 4,872 21.1% $ (in millions) 21,962 4,847 MAP: Showing Workforce [71,000 in 2006] CEO President Bottling Invest/ Supply Chain CFO President Strategy President General Counsel Director Human Resources President of Eurasia Group President European Union Market President of African Group President Latin America Group President of Pacific Group Director Public Affairs/ Commun cation SUPPLIER COSTS PRODUCTIONS COSTS Raw Materials Inventory Fuel System Energy Receiving Transportation Plant Layout Truck Drivers Maintenance Truck Maintenance Plant Location Component Parts DISTRIBUTION COSTS Computer Inspection R&D Loading Storing Cost Accounting Shipping Warehouse Budgeting Personnel Internet Trucking Railroads Fuel Maintenance SALES & MARKETING COSTS CUSTOMER SERVICE COSTS Salespersons Website Internet Publicity Promotion Advertising Transportation Food and Lodging Postage Phone Internet Warranty MANAGEMENT COSTS Human Resources Administration Employee Benefits Labor Relations Managers Employees Finance and Legal STRENGTHS - Brand equity/image & recognition - Product distribution and worldwide network - Solid financial performance - One of the world's most recognized brand. - Product diversification (water, juices, soft drinks, sport drinks, etc) - Co-operate identity. - Innovation WEAKNESSES - Credit rating - Customer concentration, particularly in the US (Wal-Mart accounts for more than 10% of Coca Cola's business in the US) - A lot of loyal Pepsi customers are not enough loyal Coca Cola customers - Does not enjoy the number one position in India, Pakistan. OPPORTUNITIES - Possible growing demand. - Expansion – Reaching all segments. - Globalization - Catering to Health Consciousness of People - Bottled water growth - Acquisitions of smaller players. THREATS - Health Drinks – Fruit Juice Companies - Key competitors (Pepsi, etc) - Commodity prices growth - Image perception in certain parts of the world. - Smaller, more nimble operators/players Marketing mix Product The Coca-Cola Company's products include beverage concentrates and syrups. The business has over 300 brands of beverages around the world. Coca-Cola is the most well known trademark Price Competition-based pricing: Coca-Cola products are above or equal to its competitors' prices. Discount price: Coca-Cola products are often marked down during sale periods and special occasions. Promotion Advertising: There are many television advertisements on Coca-Cola products. The company also uses the radio as another source of advertisement. Personal selling: Coca-Cola Company has a highly trained sales team Publicity: In 2003, Vanilla Coke was released to the media as a news outlining. This helped The Coca-Cola Company to strengthen the image of the business's products. Placement Indirect distribution: The Coca-Cola Company uses intermediaries in its distribution. The company does not sell its products directly to its consumers. Intensive distribution: Retail outlets Small shops Restaurants Petrol stations Newsagents Schools Sports Entertainment venues Coca-Cola Zero® has been one of the most successful product launch hes in Coca Cola’s history. In 2007, Coca Cola’s sold nearly 450 million cases globally. Put into perspective, that's roughly the same size as Coca Cola’s total business in the Philippines, one of our top 15 markets. As of September 2008, Coca-Cola Zero is available in more than 100 countries. New drink to drink derived from a famous Lebanese miss (Julep) and components of the drink are the raisins, sugar, lemon and caramel. I believe that this product would have chosen work by the producer of Coca-Cola Company will be successful will find great success and very popular in the Arab world and Lebanon in particular and to submit it to the world to know the taste of drink (Julep) is a new drink and the dissemination of modern Arab world Degree of risk High degree of risk for the entire world as it is likely that the product fails for several reasons: 1- Went to the Coca-Cola Quote drink non-Arab world have been known to cause non-Arab consumer reluctance to buy the product . 2- Taste of the product may not be likable to non-Arabs or non-familiar Some Arab countries do not know anything about the product may cause a loss of product . 3- The use of raisins in soft drinks may affect the taste of Coca-Cola . 4- The name of the product must be attractive to all the world's relationship with Arab countries, in particular . 5- Publicity for the product design must be tailored to the nature of an original English product 1- I believe in order to ensure the success of the product must test the market and this is through publicity of the product in all countries of the world . 2- Must be promotion by the suspense element of the consumer . 3- Interest in product name . 4- Attention to the packaging . 5- Must be an accurate test of the product where it is still the product to specific markets to feel the pulse of the market and a limited period after that period will be determining the success or failure of the product . 6- Control of consumer demand in all countries of the world to see the success of propaganda and the willingness of consumers to know to receive the product in the market for consumption .