Syrup or concentrate producers and bottlers play a vital role in the value chain of the soft drink. As a result development of a superior value system is imperative to their operations. By conducting the value chain analysis of coca cola company the during the planning process, possible sources of competitive advantage can be identified. Understanding the value chain of the soft drink industry. Discuss the two choices in light of the coca cola company.
It has several billion dollar brands in its portfolio. In an attempt to paint a current picture of the nonalcoholic. Cocacola example for example, cocacola has significant logistics benefits primarily outbound logistics in porter model and they also have a strong brand, which would fall under the sales and marketing area of the model. Jul 09, 2018 as climate change impacts have begun to manifest around the globe, the 2yearold company partnered with bsr to take this work a step further to examine what climate risk and resilience might mean for the coca cola company value chain. Jan 25, 2020 this chain is made up of 9 steps and the process can be changed in any of the nine steps to add further value to the final product. Different methodologies have been developed for analysis of commodity chains. Existing methodologies in commodity chain analysis. An analysis of the value chain rather than value added is the appropriate way to examine competitive advantage. They are concentrate producers, bottlers, retail chains and suppliers the cocacola company v. Value added selling price less the cost of purchased raw materials has sometimes been used as the focal point for cost analysis because it was viewed as the area in. Cocacola co the swot analysis, in soft drinks world. There are primary and support activities in the value chain which are discussed below. The value chain is the sum of the total activities that are needed, by a firm to produce a product from the conception stage, to the end use and beyond.
Solved analyze this case and conduct a value chain. The value chain templates are easy to use and free. The cocacola brand is globally valued and recognized. There are three main strategies of pepsico identified, from procurement, production and. In the context of their research, the authors studied the activity of the entities comprising the cocacola system in greece, i. Value chain analysis of coco cola company free download as powerpoint presentation. The firmcompany is a collection of different activities that.
These elements make up the value chain analysis and each includes the required actions to take when developing a product or service starting from the raw material to the finished product. Coca cola markets nearly 2,400 beverages products in over 200 geographic locations. Value chain analysis of coco cola free download as word doc. However, creating such a large and successful brand also requires managing the value chain successfully. Stakeholder matrix was used to show the role of chain supporters take part in the coffee value chain. Value chain analysis of coco cola company coca cola scribd. The value chain model can be a reference for holistic marketing. Coca cola value chain analysis researchmethodology. Value chain of coca cola and pepsi essay 628 words bartleby. When a company decides to split and locates in different places each stage, we are in front of a global value chain. They employee over 146,000 employees offer over 3,000 products worldwide and operate in over 200 countries.
The companys strong value chain system and its global presence acts as a competitive advantage refer to section 8. Carbonated soft drinks have similar prices due to the intense competition in the industry. Porters value chain what is the value chain of porter. Aug 12, 2015 coca cola value chain analysis posted on august 12, 2015 by john dudovskiy value chain analysis is an analytical framework that assists in identifying business activities that can create value and competitive advantage to the business.
Introduction coca cola markets nearly 2,400 beverages products in over 200 geographic locations. Since the mid1980s, michael porters value chain analysis i. The cocacola system is one of the major examples of global value chain. They are concentrate producers, bottlers, retail chains and suppliers the coca cola company v. Cocacola example for example, cocacola has significant logistics benefits primarily outbound logistics in porter model and they also have a strong brand, which would fall under the sales and marketing area of. Value chain analysis of coca cola essay 3323 words cram. According to their website, some of the main environmental impacts of their business occur further along the value chain through systems bottling operations, distribution networks, and sales and marketing activities coca cola 2006. Technology is used at every step of coca colas value chain syrup manufacturing, bottling operations and storage at retail shops. Chapter 4 is an internal analysis value chain analysis, where i describe all the activities that make up the economic performance and the capabilities of coca cola. Coca cola swot analysis 2019 swot analysis of coca cola. Value chain analysis and competitive advantage article pdf available in journal of general management 271. Operations coca colas core operations consist of companyowned concentrate and syrup production coca cola 2006.
The brand is known for its strong image and global presence. Here are the basic steps to consider when making a company value chain analysis. Free value chain templates for word, powerpoint, pdf. The cocacola value chain essay 2743 words bartleby. If a company wants to add customer value in all the processes that it does, it has to refer to the value chain. Analyze this case and conduct a value chain analysis vca for coca cola company 20 marks question two. Value added selling price less the cost of purchased raw materials has sometimes been used as the focal point for cost analysis because it was viewed as the area in which a firm can control costs. Over the past decade, coca cola has been experiencing a decline in sales due to increasing health and obesity concerns. Cocacolas success depends on the financial condition and profitability of distribution organization such as fast food chains, vending machine companies, and grocery stores. Edraw can also convert all these templates into powerpoint, pdf or word templates. Value chain map was to depict the coffee value chain in ethiopia explicitly. Everything you need to know about value chain analysis.
Cocacola and pepsicola have four different components of the soft drinks industry value chain. Valuechain analysis is an analytical framework that assists in identifying business activities that can create value and competitive advantage to the business. Value chain analysis of coca cola term paper warehouse. Value chain analysis of ethiopian coffee coffea arabica. The coca cola brand is globally valued and recognized. Valuechain analysis looks at every step a business goes through, from raw materials to the eventual enduser. Pdf international trade and supply chain analysis of. Read on to discover more about the worlds renowned beverage brand through this coca cola swot analysis. Coca colas strength is marketing and new marketing and advertisement channels have a big impact on the company. With our large number of brands, employees, and communities, there is always a new story at the coca cola company. Based in greece, it provides business support activities serving the groups global operations in the 28 countries in which it operates. Value chain analysis of coco cola company coca cola.
The cocacola company quotes, from inca kola, a sparkling beverage found in north and south america, and samurai, an energy drink available in asia. This allows the support and primary activities to be identified that create value for the company refer to appendix 2. The analysis contained herein is based on an inputoutput model, which. Chapter 4 is an internal analysis value chain analysis, where i describe all the activities that make up the economic performance and the capabilities of cocacola. Get answer cokes value chain what does coke do that. Because of this, cocacola has come up with long term objectives. Pdf on feb 1, 2019, naama al tunaiji published coca cola. Known for its strong brand image and global presence, coca cola has several billion dollar brands in its portfolio. The bcg growthshare matrix is old but has stood the test of time. How significant and practicably usable is it today, in the light of vast developments in management tools that help assess market conditions. Currently, james quincey is the ceo of this mega corporation. Throughout this paper we will analyze their value system by using michael porters value chain analysis model. Chain at a glance appendix the cocacola hbc ag offices in greece cocacola hbc services m.
Soft drinks constitute a major part of the us food and beverage industry. Valuechain analysis is an analytical framework that assists in identifying business activities that can create value and competitive advantage to. The firmcompany is a collection of different activities that share. The company was founded in 1886 but it wasnt until 1891 when an atlanta business man secured the rights to the company that the vision of cocacola was established and their expansion begun. Value chain analysis of coca cola company the can offer various advantages. However, to establish a large and successful brand requires successful management of the value chain. Value chain analysis a value chain is a model used to disaggregate a firm into its strategically relevant value generating activities, in order to evaluate each activitys contribution to the firms performanceshow more content. Here is a detailed value chain analysis of coca cola. Determine the primary and support activities of your business. Coca cola is among the most globally recognizable brands. Abstract a overview of the bottling plant of cocacola beverages in pakistan and their operational strategy ameen. Edraw is used as a value chain software coming with readymade value chain templates that make it easy for anyone to create beautiful value chain.
Coca cola and pepsi cola have four different components of the soft drinks industry value chain. Also it owns a widespread global supply chain which had been analysed in this report. Introduction coca cola markets nearly 2400 beverages products in over 200. Nov 21, 2014 cocacola and pepsicos wide distribution network gives them significant pricing power. Value chain analysis of coca cola 3324 words bartleby. Coca cola is one of the most recognizable brands globally. The value chain of the nonalcoholic beverage industry contains five main activities. Coca colas value chain analysis by emma betito on prezi. Scribd is the worlds largest social reading and publishing site.
Ko, its proficient supply chain management scm and. Because of this, coca cola has come up with long term objectives. Using porters value chain the marketing study guide. The value chain from competitive advantage, by michael porter. Pepsico portfolio comprises 22 brands including pepsi cola, tropicana, gatorade, mountain dew and diet pepsi and each brand belonging to pepsico generated at least one billion usd in retail sales in 2015. Coca cola vs pepsi in bangladesh executive summary this report provides an analysis and evaluation of the pepsi and coca cola in their customer segmentation models. Value chain analysis of coca cola amatil limited can offer various advantages.
The analysis contained herein is based on an inputoutput model, which follows our financials as they flow through the greek economy, creating ripple effects. Cocacola depends on the sales of concentrates and syrups to independent bottling partners the cocacompany, 2017. Swot and vca free download as powerpoint presentation. Cocacola was established in 1886 in atlanta by john pemberton. Value chain analysis of pepsi and coca cola free essays.
The figure below illustrates the essence of value chain analysis. Product and brand list for the soft drink industry leaders and top three privatelabel brands 90 appendix 4. What is the value chain analysis of coca cola answers. May 30, 2017 this provides us with a tool of analysis for coke and others in the food and beverage industry. After collection of data from interview and desk study, the analysis is done by value chain analysis. Apr 25, 20 value chain analysis is a strategy tool used to analyze internal firm activities. Value chain analysis of coca cola company the essay48. Over the past decade, cocacola has been experiencing a decline in sales due to increasing health and obesity concerns. Bba 353 strategic management group case study project the cocacola company tsang hoi ki chan ho yin fung tsun wai chan ka po yuen sze wing chan tai hoi yan yue kan 200826001h, 200826002h, 200826004h, 200826019h, 200826020h, 200826027h, 200926024e, fne fne fne fne fne fne fne abstract this paper is a strategic analysis of the coca. Value chain analysis coca cola strategic management scribd. Within a few years, cocacola became the most recognized, renowned, and widely distributed brand in the world. There will be also a deeper analysis on three major bottlers in order to better understand which are.
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