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时间:2018-02-23 14:31来源:钱柜777官网作者:cinq 点击:
Summary 总结
The objective of this research is to study and evaluate the changing business environment of Coca-Cola over the past 5 years. To understand what business environment is one should have a clear idea initially about business. Business can be referred to as an economic act performed by an organization to attain its goals regarding profit, production etc. Any company would be affected by the environment surrounding it. PankajMehra (2008) defined Business Environment as "The set of external factors such as the economic factors, socio-cultural factors, government and legal factors, demographic factors, geophysical factors, which are uncontrollable in nature and effects the business decisions of a firm or company." The research thus conducts a PEST analysis of Coca-Cola as well as identifies the environmental and ethical factor affecting the company. After the analysis, suggestions were given that would help the company to cope up with the challenges and changes that is being faced in the current business scenario.
During the recent years, there has been a tremendous increase in the number of people who are interested in 'Business'. This was triggered by the flourishing of Far Eastern economies and especially the progress of China. So it is quite important for students to have an idea about business environment so that they can easily understand how business decisions are made and what the impact of each decision is. Generally business environment is divided into two- Micro environment and Macro environment. Another way is to categorize business environment into General and Specific environments. However there exists only minimal difference between these categorizations. There is another approach which views an organization as open system. This is referred to as Systems Model of organization and its environment.
Thus business of an organization is thus influenced by a number of external factors which include political, social, and technological and many more. Hence every organization is keenly observing these dynamic forces in order to equip themselves against contingencies. There are a number of methods that help an organization to analyze its surrounding environment. This includes SWOT, PEST, SLEPT etc. PEST analysis has been used in this study and also the ethical and environmental factors are identified.
This report looks at the Multi-national beverage company Coca-Cola, the world's most recognized brand. Coca-Cola is a multinational company operating in almost 200 countries or territories. It is a beverage company and is into the production and distribution of non-alcoholic drinks. The main brand of the company is the aerated drink Coca-Cola or Coke. The company at present owns more than 400 brands across seven continents. Due to this fact, the company is likely to be affected by the fluctuations in the business environment, globally as well as on each country. The company hence introduces innovative strategies and takes business decisions in order to cope up with the turbulent environment.
John Kew, John Stredwick, (2005), Business environment: managing in a strategic context, CIPD Publishing
Founded: 1886
Headquarters: Atlanta, Georgia, USA
Chairman and CEO: Muhtar Kent
Revenue: USD 31.0 Billion (FY 2009)
Employees: 92,400 (Oct 2009)
Operations: 200 Countries
People: Be a great place to work where people are inspired to be the best they can be.
Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs.
Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value.
Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities.
Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities.
Productivity: Be a highly effective, lean and fast-moving organization
To refresh the world...
To inspire moments of optimism and happiness...
To create value and make a difference.
The journey of Coca-Cola started when the syrup of Coca-Cola was mixed with soda. It was done in a pharmacy in Atlanta, USA. Even today, the company I headquartered in Atlanta. Thus the company began as a soda fountain beverage selling firm. It sold a glass of drink for five cents. The initial progress of the company was quite remarkable, but only when a solid and strong bottling system developed could it emerge as one of the largest corporations as of today.
Coca-Cola functions as a franchised distribution system. Thus the company only produces the syrup and it is then sold off to thousands of bottlers around the world. As per the annual report of 2005, the company operates in more than 200 countries. The beverages which bear the trademarks or licenses of Coca-Cola account to almost 1.5 billion. It was declared that Coca-Cola became the first brand in United Kingdom to cross £1 billion in yearly grocery sales in the year 2010.
Coca-Cola today is the world's most popular brand. The annual company report of 2006 stated that the second most recognized expression in the world after 'OK' is Coca-Cola. The strength of the company lies in it branding. Coca-Cola's branding strategy lies on three A's- availability, acceptability and affordability. The company competes not only to every carbonated or soft drink available in the world but even considers water as its competitor. For it, every product that has a share in human liquid consumption is its rival.
At present Coca-Cola serves almost one billion servings per day. That means every second 12500 bottles are being consumed. The company was able to achieve this only because they made use of the most finest and innovative technologies available. During these 125 years of existence, the company has gone through different strategic paradigm shifts that involve financial re-engineering to debts on offload bottling and from product expansion to progress through distribution.
Business Environment
The business environment of an organization is situational. That means every organization have a unique environment of its own. Due to this fact, the external factors influencing the company would also be different. The systems model of an organization and its environment views the organization as an open system. This model advocates that there are two ways in which an organization communicates with its environment. It acquires inputs/ resources from the environment, transforms it into finished product/services and distributes the outputs back. These outputs are meant to meet the needs of customers (Figure 1.1).
Environment Organization Environment
John Kew, John Stredwick, (2005), Business environment: managing in a strategic context, CIPD Publishing
Analyzing the environment
It is not a difficult task for the organization to analyze the task environment as they will have good knowledge about their customers, suppliers etc. But analyzing the general environment is more complex. The different factors in the general environment will have to be first identified.
One of the most popular tools for analysis is PEST. This method segregates the environment into four components:
PEST analysis was later modified into PESTLE analysis. This was done by splitting the political and legal factors as well as by adding a new factor i.e. environment. The major reason behind this addition was the increasing concern over global warming and other ecological issues.

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