Environmental_Scan_School_Paper_Uofp

Environmental Scan: Coca-Cola and Pepsi MGT/498 November 17, 2011 Environmental Scan: Coca-Cola and Pepsi The two most popular soda companies are Coca-Cola and Pepsi. The controversial argument is that they have comparable taste. Because the companies began even until today, these household beverage items are the most widespread with soda drinkers. Thanks to the massive approval of the two corporations and their prosperous products, there are endless requests asked. On the topic of business, the controversial question is how do both of these organizations develop and maintain a competitive advantage through their corporate strategies. In regards to business, the primary question is how the two companies can establish and maintain a competitive advantage through their business strategies. Additional requests involved the measurement guidelines of each corporation included with how they used their tactical planning. Last, the question pertains to how the organizations measure efficiency and how Coca-Cola and Pepsi use these measurements for their success. The Coca-Cola creation introduced itself in the 1800s from John Pemberton, an Atlanta pharmacist. Pepsi began in the late 1800s and distributed to the public in 1902, represented by a pharmacist named Caleb Bradham from North Carolina. The competitive advantage for both organizations is worldwide recognition. Both internal and external processes remain acknowledged worldwide. This discussion mentions areas for each company. Coca-Cola and Pepsi have remained fruitful corporations for a long time. Even though consumers have their own favorite and loyalty to one brand versus the other, both drinks are equal in appearance; “though”, the flavor differs significantly. Both companies are equally favored on a global scale. By producing results and attaining recognition for their unique strategies, the business models for both corporations have displayed effectiveness. This formula provides each of the corporations a viable authority. Moreover, the development increases the leadership, influencing communities and by leading the industry in new principles, which other companies can emulate. There are three kinds of development skills represented by Coca-Cola and Pepsi comprised of growing, steadiness, and economizing strategy. Above all, the distinct focus is on the importance profits. Provided the skill to define if the company is generating a profit or suffering a loss is the nature of business. One more strategy is steadiness; stability helps organizations decide on enhancements for the company. Both corporations evaluate and define profits from their sales achievements and reports; this is an illustration of steadiness. The last tactics are regarding the benefits for each corporation with a focus on improvement in addition to defining opportunities for each company to expand and grow. In the development, stages of each company’s SWOT process it is most important to understand and evaluate internal and external forces to identify weaknesses and reinforcing opportunities. Each company’s mission statement serves as a valuable resource that helps the organization continue on track with formerly specified objectives. Inquiries have increased for both companies on the subject of sugar content in the products. In addition, negative doubts regarding their recipe sugar content effecting weight control, society, and pop culture. Over last several years, Coca-Cola has reformed their recipe. This is mainly because they are distributing several small products and crafty marketing to help decrease skepticism on sugar additives in their products. Pepsi will do the same in years to come. If the consumers are happy, the product will sell. Considering the mass markets of young tech savvy individuals and the pop music culture, these companies embrace new opportunities. Additionally, the companies have taken notice of the exploding social media world that has widened the range of consumers. Marketing fundamentals still function through traditional advertising efforts, although the new effect way of marketing to customers is through the Internet. Considering both companies robust marketing budget, the Internet marketing process drives consumers to each company’s objective through paid marketing channels such as Facebook advertising and twitter. Pepsi and Coca-Cola pursue effective marketing methods by affiliating their selves with widely speculated events such as the Super Bowl and the World Series. Huge sporting events like these attract consumer’s attention with remarkable commercials; accordingly, sales numbers show days after profit increases. Market research from consumers by survey helps each company measure their marketing efforts and decide where adjustments need fixing. The studies verified valuable consumer efforts, through phone surveys, regular mail and e-mail, social media, text messages, and more. Awareness of the customer benefits the company for long-term growth and sustainability. Strategic planning provides guidelines for sustainability from an investor’s standpoint. In summary, Pepsi and Coca-Cola individually offer the finest flavors of soda. The quality products derive from focused research and motivation of the organization’s objectives. Both brands are accepted on an international scale. With decades of success and maintained high performance levels, each company will continue to thrive in the beverage industry moving forward. References Branzei, O., & Nadkarni, A.G. (2008). THE TATA WAY: EVOLVING AND EXECUTING SUSTAINABLE BUSINESS STRATEGIES. Ivey Business Journal, 72(2), 1. Retrieved from EBSCOhost. TAKING A STRATEGIC CHECK-UP. (2007). USA Today Magazine, 135(2744), 60. Retrieved from EBSCOhost.