?Coca-Cola Analysis

Type Your Name Here
Type Your Professors Name Here
Course Title
Date of Submission
Future External Financing Needs
The Coca-Cola company is a beverage-producing company that has had dominion over the refreshments industry since its founding in 1886. The company operates globally in more than 200 countries and produces a wide variety of drinks including sodas, water, juices, and energizing drinks. In addition, Coca-Cola company are responsible for advertising their four major non-alcoholic refreshment drinks: Sprite, Fanta, and Coke CITATION CON l 1033 (CONSUMER BEHAVIOR: The Psychology of Marketing, n.d.).
Coca-Cola, being the dominating refreshments company faces a lot of competition from its primary competitor, Pepsi and Cadbury-Schweppes which is the leading producer of candy. However, acquired markets and competitors of average size producing the same refreshments beverages could eventually emerge as a danger to Coca-Cola. The company has experienced drastic changes in the past years making it generate large profits. However, a large portion of the company’s revenue is generated from its market outside the United States. Consequently, despite the fact that Coca-Cola has been generating such amounts of revenue from foreign markets, the demand for carbonates has recently been stagnated and this has had a retarding effect on the grown of the company, thus putting the company in jeopardy CITATION Pur07 l 1033 (Puravankara, 2007).

Access to Target Sources of External Finance
All beverage markets are currently flooded with Coca-Cola beverage drinks and other products and this scenario offers the company expand its business activities efficiently. A section of the company’s foreign market which includes Vietnam and Indonesia has recently proven to offer a very large market for its products. However, the Coca-Cola company still needs to focus on securing other markets that have not been exploited by other beverage companies, such as Africa, the Middle East, and other auxiliary markets. Alongside the attempts to spread its products to auxiliary markets, factors such as vigilant marketing and branding, improving the aesthetic aspects of its products’ packaging can also impact greatly in increasing the company’s revenue CITATION Pur07 l 1033 (Puravankara, 2007).

Since the Coca-Cola company is the leading producer of non-mixed beverages globally, it controls a greater part of the soda pops off-exchange volumes. Consequently, Coca-Cola has set objectives to double the income from the year 2010 to 2020. Proper strategies have been implemented to ensure these objectives are accomplished. Coca-Cola utilizes both acquisitions and its individual effort to develop and improve its business. Coca-Cola has in recent years put much effort in improving its market position in major markets and very little effort to improve its status in newly acquired markets. Improving its products’ packaging improves their aesthetic value and can eventually improve its corporate business CITATION Pur07 l 1033 (Puravankara, 2007).

Various approaches can be used to analyze a beverage industry. Such approaches may include the market size, growth rate of the company and overall profitability of the company’s’ products. The average market for soft-drinks consists of more than 40 per cent of the total non-alcoholic market. In order for Coca-Cola to continue generating large revenue and possibly increase the current input, improving the quality of its products and producing diverse products would prove advantageous. Additionally, it will give Coca-Cola an upper hand against its competitors CITATION Pur07 l 1033 (Puravankara, 2007).

References
BIBLIOGRAPHY CONSUMER BEHAVIOR: The Psychology of Marketing. (n.d.). Retrieved from www.consumerpsychologist.com/marketing_introduction.html:
Puravankara, D. (2007). Strategic Analysis of the Coca-Cola Company.