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Coca cola is an international company that manufactures beverages and as well deals with water which it supplies to its various outlets worldwide. The company operates as a duopoly with real competition coming from Pepsi.

Coca-cola has been able to ascertain its position in the market and consolidate itself. This has taken it to great heights over the years. The company has achieved this progress through a number of initiatives it has taken.

Coca cola’s Innovation Strategy.

 Coca-cola has been very innovative so as to counter the ever increasing competition. It has been engaging in various activities as well as concentrating on building customer loyalty on their products. There is a very able team of professionals that works day in day out so as to innovatively come up with ideas which if put into practice puts the company o the cutting edge in the market.

Coca-cola has achieved significant progress in innovation of equipment.  Equipment is one thing that takes a great amount of investment from the company.

The company has made use of current technological advancements in its operation and this has seen it soar high. Highly automated computers are used in performing office operations as well as aiding in communication. The company has also installed the internet service in all its outlets. This aids in communicating customer information to the required destination and also allows information to be sent from the head quarters to the various outlets world-wide.

The company has also purchased electric trucks to aid in distribution of products. This has been a cost cutting initiative which allows the company to spend less. The track has zero emission meaning it is also environment friendly. The saving on fossil fuels thus translates into a lot of money being saved which can be channeled elsewhere e.g. in advertising.

Refrigeration has also been a tremendous ad remarkable innovation. This is used for preservation purposes as well as making drinks have the right temperature as the customers may wish. Refrigerators are also given to retail outlets free. This translates to increased sales.

Packaging has also seen remarkable innovation. All Coca-cola products are made to appear different and this gives them a certain extent of uniqueness. This is particularly important in differentiating the products from competitor products. The products are also named with particular expertise. Names are carefully selected so as to bear the logo, the customer needs and image of the brand.

The company is also using recyclable materials to package its products. Use of plastic bottles is common nowadays. It cuts on costs of manufacturing additional packaging materials in a significant manner. This is because the materials are not thrown away but recycled for reuse later. The can appearance is also important. Products are stored in cans that appear unique and special. The shape of the can is such as to bear a attractive image in the eye of the customer. This is what really determines if the consumer prefers it to competitor products.

Additional products may also be given to encourage buying. An addition such as a packed 20g of soy protein may be added to mango juice. This encourages the customer to purchase this product with the psychology that there is a free product.

Sweeteners are also added to the various products of Coca-cola. This makes the product sweet. People like sweet products and will therefore purchase it trusting its safe and will satisfy their needs. This has seen significant boost of sales of the products.

The company has also been innovative in the market place. It has had wide campaigns in helping the society achieve certain things. The company has been helping in such things as scholarships to students who perform well academically. This boosts the company image in the public domain which translates into increased sales.

The company also uses its own means of transport in marketing its products. It has got a fleet of vehicles which transport products to regions where they are required. This has seen expansive supplies of the company’s products over the years.

The company has also established factories in all the countries it operates. This implies that it does not have to import products but rather makes them locally. This has also seen the employment of local people. These persons appreciate Coca-Cola’s efforts and work towards its eventual success.The company also has a   fire house. This is supposed to fight against fires within its boundaries as well as fires outside. Such acts of volunteering improve the image of the company considerably since it is seen to be helping the society in case of emergencies.

The company has also been engaging in human rights activism. It has been actively engaged in fighting for the rights of minority groups such as the poor and handicapped. This also has boosted the image of the company in the public domain.

The company has also been supporting a number of initiatives such as the Olympic nominations and various sports. This has seen it earn praise worthy reports. It inevitably enables the company to be highly regarded. Marketing is made easier after this.

Coca-cola has also engaged itself and opened a coca-cola fm radio station. This is stationed in Mexico and helps in marketing. Adverts can be placed on the radio station and played for customers to hear. It also allows development of talent among the young people. Young talented minds are later offered employment at the company or even elsewhere.  It is therefore an initiative that helps the society grow. This has also seen the image of the company being boosted.

Marketing has been one serious engagement the company has involved itself in. It is not possible for the company’s sales to be high unless the company does intensive marketing campaigns. Advertisements are used to reach consumers and inform them of new products and developments. The company has a website which serves this purpose.  The company has had its sales being boosted by the use of vending machines. These machines operate on the basis of coins which are inserted in the machine in exchange for drinks. The machines are strategically located near enough to customers reach. They also do not require an attendee thus they are economical to operate. They operate with a high degree of accuracy thus chances of losses are greatly reduced.

The company has also taken advantage of social networks to reach out. Such include face book where users are effectively reached. Displays are also common and are used by the company to show the products they have. Racks are used to stock products which are open for selection by consumers. All these marketing strategies have enabled the company to achieve tremendous growth.

The company has also produced books, magazines and reports regarding its operations. These books have found way into the market and customers will read them. The books clarify what the company does exactly and the products it has in store. This information is very important since it translates to increased sales.

Internet advertising has also been on the rise. The company uses email providing companies to communicate important information to customers.

Coca-colas Strategy in developing healthy beverages

Coke has involved itself in the manufacture of healthy beverages. This is particularly important since unsafe products would ruin the company’s image. It ensures the products are safe and healthy through a number of initiatives. These include:

 The engagement of health professionals. The company consults health professionals who advice on undertakings the company should engage in before a product is produced.These people make recommendations on ways of upholding health in the manufacture of beverages. They also carry out intensive research on the safety of ingredients before they are used on the products. This prevents cases of products becoming a health hazard.

 The company also ensures high standards of cleanliness are maintained in the factory. This prevents the products from being contaminated with harmful substances which may ruin the lives of consumers. A dirty environment is a hazard. The company therefore confirms that drainage systems are in order and also employs staff to clean up.

 The company also avoids alcoholic product production. Alcoholic products are known to cause diseases such as liver cirrhosis, diabetes and cancer. The company therefore does not engage in producing these commodities. They instead produce refreshing beverages and water only.

 Fizzing of drinks. The drinks are fizzed which involves carbon IV oxide being pumped into the can. It happens to ensure preservation of the drink. It protects the drink from expiring fast and becoming unfit for consumption.

The company does this so as to achieve a number of objectives. These include:

1. To conform to the established bureau of standards. The bureau outlines that producers must produce commodities that are safe for consumption and not a health hazard.

 The company also produces the safe beverages in order to satisfy customers. This builds the customers confidence in the product he or she consume. The safety standards of the beverage will determine if the consumer will purchase the product in future.

 The production of healthy beverage also leads to environmental conservation. Toxic products may not only harm human beings but also animals and plants. The environment is therefore conserved when healthy products are manufactured.

Mary Minnick was once Coca-cola chief executive. She emphasized the need for understanding why people consume beverages. This is because the knowledge is important in determining what exactly to produce and the needs that require being satisfied. The logic behind is as follows:

 To determine what to produce. Understanding that people consume a beverage because of its sweet taste for example will push the company to add sweeteners to its products. This will satisfy the need.

 To determine the ingredients required in the process of production. Such ingredients include sugar, food color etcetera.

 Helps in countering competition. This is because if the company does not know what consumers exactly want, and the competitor happens to find out, the company is put at  a risk  of being downplayed.

 Understanding why people consume beverages will enable the company to fill a market niche. If the company r4ealizes that a certain need is not being satisfied, it produces a product that will bridge that gap. Water may for example be produced if people are in need of it especially during summer.

Non Carb drink strategy

This refers to the lack of carbohydrates in drinks. The strategy has been adopted by  Cocacola whereby it puts no carbohydrates in its drinks. The reasons for this initiative re diverse and include:

 Weight control- it is known that carbohydrates are energy giving foods and when taken in excess the excess starch is converted into fats and stored in the body. The company therefore tries to eliminate this inclusion in drinks as a measure to control peoples weight and also counter obesity. Excess fats in the body are converted to glucose when the body starves of carbohydrates.

 This initiative helps in the treatment of diseases. Such diseases include diabetes which is caused by the presence of excess sugar in the body while the body produces less insulin. The company thus eliminates the carbs in their products to make them popular even among the persons ailing. Epilepsy may also be countered this way and this reduces its effects significantly in a person’s body.

 It reduces chronic fatigue. Consumption of huge amounts of carbohydrates leads to fatigue. This is because of the overburdening of the digestive system to digest the foods. The individual becomes tired very fast as he walks. The non-carb drinks thus prevent individuals from feelings of fatigue.

 The use of non-carb drinks satisfies the requirements of the customers.  Customers rarely buy a beverage for the carbohydrate content, otherwise they would have to just eat a meal. The elimination of carbs therefore meets customers’ needs.

 Cost reduction. Use of carbs in drinks is only expensive. This is because the process involves manufacture of carbohydrates which are put in the drinks. Having carbohydrates in the drinks makes the process expensive. It is unnecessary thus the elimination.

 The carbs affect the products taste. It is illogical to have carbs in the drinks while their taste is wanting. Customers thus prefer sweeteners since it makes a product sweet and appealing. It attracts the customers.

 To counter competition. With the coming of lifestyle diseases many people do not like foods with a lot of sugar in them. Coca-cola has introduced this initiative so as to make its products have a sharp edge over competing firms.

Comparing Coca-Cola and Pepsi

Both companies are international companies. They have got outlets worldwide.

Both companies deal in production of beverages. They produce soft drinks for sale to consumers.

They operate as a duopoly. The two companies only compete against each other.

The companies use advertising as the main method of reaching out.

Both companies are led by professionals with relevant expertise.

Both companies allow the subscription of shares to willing purchasers.

They are both soft drinks.

They are both dark sodas.

They both have a refreshing taste.

Contrast

The brand color is different. Coke comes in red cans while Pepsi is packed in blue cans.

Difference in taste. Pepsi is sweeter as compared to coke products. Sweeteners are added to it

Coke does not have a chemical taste resulting from addition of sweeteners The cola flavor is more predominant. Pepsi on the other hand has them.

The carbonation levels of the drinks also differ. Coke is more carbonated than Pepsi. It is common to get a fizzy effect when one tastes coke.

There is more bubbling effect in coke than there is in Pepsi. Coke is smoother than Pepsi as the drink goes down the throat.

The ingredients of these products are also different. Pepsi contains carbonated water, fructose, sugar, colorings, citric acid and other flavors.

Coke on the other hand contains caffeine.

The logo of coke has not varied much since the company started. Pepsi on the other hand has had its logo change numerous times. It changes often yearly.

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