The Coca Cola Company Essay

Coca-Cola known as best gustatory sensation of the universe has taken birth on May 8, 1886 in Atlanta, Georgia. Coca-Cola is universe ‘s prima maker, distributor and seller company of non-alcoholic drink dressed ores. It is besides celebrated to fabricate more than 400 drink trade names. Additionally it besides produces athleticss drinks, tea and java. The Coca-Cola Company began constructing its planetary web in 1920s and now runing in more than 200 states. A simple expression is applied by the Coca-Cola Company on planetary graduated table to supply the refreshment to consumers by the disbursal of a really little sum of money billion times a twenty-four hours. Coca-Cola Company has a good organized, permeant production and distribution system in the universe. However the full system of the Coca-Cola Company requires more betterment to strength its construction. The organisational construction needs more direction work to accomplish the coveted consequences. Aim of Coca-Cola Company is to increase the stockholder value over clip. The concern spouses of the Coca-Cola Company are accomplished to supply the satisfaction and value to its clients through the superior trade names and services.

History of Coca-Cola Company

Coca-Cola was first clip introduced by a pharmacist professional named John Syth Pemberton in Atlanta, Georgia in 1886. John Syth processed the caramel-colored sirup in his backyard by a three-legged brass boiler. He distributed the merchandise maintaining in jug to Jacob ‘s pharmaceutics and clients. After this delightful and reviewing drink was produced by an accident and ensuing the carbonated H2O teamed with new sirup. The name of Company as Coca-Cola was suggested by Dr. Pemberton ‘s spouse and book-keeper M. Robinson. He named it with Cs proposing as it would look good in advertisement. The Atlanta Journal published the advertizement of Coca-Cola to pull the clients to utilize the Coca-Cola merchandises.

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By the twelvemonth of 1886, the usage of Coca-Cola merchandises increased as Dr, Pemberton made his full attempts to sell the parts of his concern to assorted spouses prior to his decease in 1988. Staying assets of Coca-Cola Company were sold to Asa G. Candler, an enterpriser from Atlanta. Mr. Candler tried to acquire full rights of the Coca-Cola Company and expanded the ingestion of the Coca-Cola merchandises to every province and district after which he liquidated his another pharmaceutical concern. Mr. Candler with his brother John S. Candler, John Pemberton ‘s former spouse named Frank Robinson and other two associates formed a Georgia Corporation that was named as Coca-Cola Company. The hallmark Coca-Cola was registered in U.S patent office on January 31, 1893.

As the demand of the cold drinks increased the Company decided to outgrow its installations rapidly. In 1919 the Coca-Cola Company was sold to group of investors for $ 25 million. Robert W. Woodruff became the president of the Company in 1923 and about 60 old ages of leading took the concern to unexcelled highs of commercial success and made the Coca-Cola Company as universe ‘s most recognized and valued trade names.

Coca-Cola Company Organizational Structure

The organisational construction of the Coca-Cola Company is flexible to run into both planetary and local demands. At the top of the construction is the corporate section who gives support and way to do new strategic determinations. There is 12-member Executive commission and each member is assigned a specific part. The Coca-Cola Company has five geographic sections called the strategic concern units. Each unit covers the specific universe part and farther unit is subdivided into smaller parts. Locally direction is divided into functional fractional monetary units such as selling and finance. The chief focal point of the Coca-Cola Company is its teamwork and authorization. The intent of concentrating on teamwork is to run at planetary every bit good as local degree. In instance of Coca-Cola Company it is needed to concentrate on the local market and expression at the planetary image equilibrating the cardinal waies with local way to do new determinations.

Corporate Headquarters

Match Division

Continental Europe Division

Abroad Division

North Europe Division

North America Division

Fig 1: Divisional Structure

Fig. 1 presents the divisional construction of the Company and it is developed in response of the jobs associated with functional constructions. What is advantage of this division construction for the Coca-Cola Company? Each division is defined with its major maps for the Company and improved decision-making. However many troubles are faced when there exist a confusion about the specific function of each division. Other disadvantage of this construction is the doomed of economic systems of graduated tables and competition among the division is fostered.

Coca-Cola Main Merchandises

The Coca-Cola Company produces more than 400 trade names of non-alcoholic drink including both carbonated and non-carbonated drinks. The 400 trade names consist of more than 3000 different drink merchandises. A few trade names of the Carbonated and Non-carbonated soft drinks are given in the undermentioned tabular array.

Non-carbonated Soft-drinks

Carbonated Soft-drinks

Dasani bottled H2O


Glace Vitamin Water

Diet Coca-Cola

PowerAde athleticss drinks


Minute Maid and Minute Maid To Travel Juices


Aquarius athleticss drinks

Barq ‘s Root Beer


Coke Zero


Table 1: Main merchandises of the Coca-Cola Company


Coca-Cola Company is chief manufacturer of the soft drinks in market place. We have seen that Coke has a 50 % portions in the planetary carbonated soft-drink industry. Coke appears to hold a sustainable graduated table advantages over its competition. Pepsi is besides internationally known for its Pepsi, Mountain Dew and other trade names in the universe. Pepsi besides sells and distributes the juices under several Tropicana hallmark. In add-on PepsiCo is besides engaged in snack nutrients section through the domestic and international Frito Lay concern. PepsiCo has attempted to travel into faster turning non-carbonated drink sections with its recent acquisition of South Beach Beverage Company. PepsiCo is besides basking the joint ventures with Starbucks and Lipton to sell its best trade names of ready-to-drink javas and teas.

Another rival to Coca-Cola is National Beverage Company ( FIZ ) . A series of cardinal ratios from Coca-Cola ‘s most known rivals is given in following chart.

Price Sale Ratio of Coca-Cola Company can be given in following table 2.


Current Monetary value



PepsiCo, Inc ( PEP )

$ 48.63

$ 13.21


Cadbury Schweppes plc

$ 25.25

$ 14.85


Cot. Corporation ( COTT )

$ 17.03

$ 17.56


National Beverage Corp ( FIZ )

$ 11.20

$ 27.32




P/S Ratio Estimate $ 22.7 = $ 8.07*2.81


$ 46.96

$ 8.07


Table 2: Monetary value Gross saless ratio of Rivals to Coca-Cola

Three companies of the universe have prominent presence in the soft drinks industry. Three companies are as Coca-Cola Company, PepsiCo and Cadbury Schweppes.

Other than soft drinks utility merchandises of Coca-Cola Company are bottled H2O, java, athleticss drinks and tea. Bottled H2O and athleticss drinks are more of import with tendency to be a more wellness witting consumer.

Marketing scheme in Coca-Cola Company

Coca-Cola Company works at planetary degree and makes every attempt to adhere, political, cultural, local and political demand in every market of the universe. Coca-Cola encourages the parents to utilize their merchandises for their turning kids by giving them information on merchandise ‘s labels and online. For this purpose the Coca-Cola Company ‘s policy is applied to all channels of advertisement available: wireless, print, telecasting and cyberspace. The Coca-Cola Company avoids to straight aiming the kids where parents may non be present to look after them. Coca-Cola Company is obliged to follow the guidelines consistent with this policy adopted by the International Council of Beverage Association. To implement this policy Coca-Cola Company requires a mechanism together with other spouses, rivals and equals.

Coca-Cola Company distributes its merchandises through a web of bottling companies. Coca-Cola uses its ain web of jobbers for their fountain sirup distribution.

Coca-Cola Company ‘s relation with clients

Coca-Cola Company is basking its concern with more than 120 old ages of history. Coca-Cola Company has given the necessary attending to equilibrate the demand of three chief concern drivers: operating efficiency, merchandise invention and concentrating on client. Our concern is to concentrate on the client demands and proviso of the merchandises at sensible monetary values in more than 200 states of the universe. To go on the profitableness and growing Coca-Cola Company is confronting the on-going challenges of heightening the relationship between Sellerss and purchasers of merchandises. Relationship selling ensures the trust of the clients in Coca-Cola Company. The merchandise value is added through the added goods and services to supply the merchandise warranties to clients.

Due to alter of the gustatory sensation of the client the competitory advantage of the Coca-Cola Company will be endured. What are the elements of the competitory advantage of Coca-Cola Company? These include the trade name, pricing power and quality of merchandises.

Future Prospects of Coca-Cola Company

Coca-Cola Company is viing through the distinction in market. The Coca-Cola Company is bring forthing many trade names for the clients which prefer the consumers and want to pay a premium for. This penchant can be enhanced through advertisement and it spends $ 2.8B on advertisement.


This instance survey answers the all inquiries provided to be answered. In this paper we have presented the history of the Coca-Cola Company and its rise in the universe of the cold drinks. We have focused to reply the all cardinal inquiries about the Organizational construction of the Coca-Cola Company. Merchandises of the Company are besides discussed in this instance analyze paper. Finally the Company ‘s client focal point and future chances of are described.


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