Coca Cola Essay -- Business and Management Studies

Coca Cola This essay is regarding the most famous soft drink in the world Coca Cola. Coca Cola was invented by Dr. John Pemberton on May 1886. Pemberton mixed the combination of lime, cinnamon, coca leaves, and the seeds of a Brazilian shrub to make the beverage. As time goes by, Coca Cola company has already become the world’s largest company and the leader of soft drink producers. Why the company did so successful over one hundred years? Besides the reason that the product is very tasty, another important reason is the company’s marketing strategy. The 4 ‘P’s (i.e. product, price, place, promotion) will be talked about as following. PRODUCT The Coca Cola Company has almost 400 brands of beverage. It markets four of the world's top five soft drink brands (Classic, Sprite etc). Consumers in nearly 200 countries enjoy The Coca Cola company’s products every day. The original and the best sell brand is Classic. It probably is the most people’s first choice. However, The Company does not rely on solely brand; it is keep developing new brand to satisfy consumer’s need. For instance, in response to the burgeoning popularity of low-carbohydrate diet, Coca Cola developed a low-carbohydrate alternative to Coke classic, which is called Coca Cola C2. It went on sale in Canada in August 2004. Brand recognition is also important. Coca Cola uses white text on a red background, with the words being quite bold. It is really attract consumers. There are varieties types of packaging available, such as 2 L bottle package, 1 L bottle package 24 can package, 12 can package and 8can package etc. Usually, most 1 L bottle packages are sold in vending machine. PRICE Coca cola is based on adaptive pricing strategy. It allow different stores set different prices. It also uses odd pricing strategy. For example, a 24-can package of Coke classic is $8.99 rather than $9.00. 2L Coke classic is $0.99, and so on. Sometimes, Coke offers special prices, like if customers buy three 12-can packages Coke for only $10.00. Coca Cola can creates low price, because it recycles the used cans, and has high-tech production line with massive production. PROMOTION Coca cola has some impressive advertising on TV. And, there is some contests for customers. For example, the company set a couple of million prize, after customers purchased Coke, the... ... as original one. The price of the Coke product may keep constant, even though the Coca Cola company will face inflation problem. In the mean time, the high-tech producing line should take over old one, and reduce the cost as low as possible, then, using cost-oriented pricing strategy. It will let Coke classic’s price more competitive to appeal my target market. I will make the promotion in happy and peaceful style. Sports can also used in promotion, for example, young adultsÂ’ favorite sport- hockey. With the increasing young adults’ population, I will use intensive distribution, and put Coke classic into as many place connected with young adults as possible such as restaurant, bars, and postsecondary school, and so on. It is possible to gain more Market share. WORKS CITED Statistics Canada Home Page. 28 July 2004. Statistics Canada’s Internet Site. 9 October 2004 . Coca Cola Home Page. 2003. The Coca Cola Company. 9 October 2004 The Beverage Net Work Home Page. â€Å"Beverage Digest/Maxwell Ranks U.S. Soft Drink Industry for 2003.† 4 March 2004. BevNET.com, Inc. 9 October 2004. < http://www.bevnet.com/news/2004/03-04-2004-bevdigest_maxwell_2003.asp>.