presentation should be for the company Coca-Cola Pvt. Ltd.
Your presentation should cover the following:
Identify the major strategies
Evaluate the implementation of the strategies (consider all relevant implementation topics: capabilities, systems, structure, leadership, people culture and change management)
As part of this evaluation discuss if strategy implementation is successful.
Identify the key implementation issues
Make recommendations
I just have some information regarding to the coco cola company,if you want you can use that into presentation .please find the attached files
Strategy Choice MGT510 l Assessment 2 Strategy Choice Executive Summary Corporate level strategies determine the scope, resource disposition, product array and geographical boundaries of a business. They help in shaping the goals, morales and objectives which take the business forward towards diversification. The following report talks extensively about the corporate policies of The Coca-Cola Company which mould it into the globally synergised conglomerate into related beverage industries that it is today. It uses vertical integration, horizontal integration, product development and market development to cut market competition, achieve economies of scale/ scope, gain market power, maintain efficiency, strengthen control over operations, and remain the market influencer. The company is actively diversifying its businesses towards being a total beverage company. It has undergone a great percentage of acquisitions in the last ten years to increase their market power, penetrate unchartered markets, cease competition, learn new skills and capabilities, speed up new product launches, lower risks of innovation to name a few. Those acquisitions have helped the company increase its beverage portfolio, build competences across supply-chain including digital, equipment and ingredient solutions, increase internal innovation and invest and create greater value out of the acquired brands. Though there have been cases of failed acquisitions, but their market diversification nullifies the ill-effects of their product diversification. TCCC diversifies through acquisitions and fully/partly owned subsidies to maintain their control over operations internationally. It has different but standardised beverage businesses operated through centralised SBUs in each country stating a global level strategy presence. But it also has to cater to different domestic taste preferences, so it bends accordingly hinting at having some elements of the transnational policy as well where-in we find an amalgamation of multi-domestic and global international level strategies. TCCC has had a stable consistency considering all the possible political and economic risks across the globe. The only two areas where it should expand in is chips and snacks like PepsiCo and come out with mixed alcohol cult favourites like rum and coke and coke-whiskey. Table of Contents Introduction3 Corporate Level Strategy3 Diversification3 Acquisitions4 International Strategies5 Conclusion5 References7 Introduction The following report delves into the existing corporate level strategies of The Coca-Cola Company (TCCC) and evaluates them based on their implementation and suitability. It further also indorses and rationalizes two strategic initiatives which would help TCCC to improve their effectiveness as a whole. Corporate Level Strategy The corporate level strategy for any business is basically answering one major question to itself i.e. in which businesses should it be in and what would be the scope and resource disposition of those businesses (Furrer, 2010). These strategies decide the purposes, ethics and goals which act as a constraint and motivation across all the businesses units of a company (Furrer, 2010). TCCC being the conglomerate that it is today has achieved its success because of clear and defined corporate strategies helping it to achieve synergies across processes and countries through diversification. Let’s look into it on a detailed note. Diversification Diversification is venturing into new related or unrelated businesses helping the firm to create value in the long run with the help of its skills, strengths and opportunities (Ansoff, 1957). TCCC which is active in various businesses but majorly into the beverage industry is said to be relatedly diversified (Campbell et al., 2014). There are four types of corporate diversification strategies: vertical integration, horizontal integration, product development, market development (Hako, 2002). TCCC has been seen using all of them as and when needed. Being an extensively operating corporation worldwide, whenever TCCC introduces a new beverage, targets new consumers or enters new geographical marketplaces it can be seen in action using the horizontal integration strategy wherein it acquires its competitors businesses to get their customer base and absorb their share of the market. This not only cuts competition but also makes them remain the consist market influencer that they are. Similarly, when the company invests in its own supply chain, distribution, manufacturing and warehousing units to gain a cost leadership advantage and increase its market penetration we see it integrating on a vertical level (Hako, 2002). It is believed to strengthen the company’s position in the market as it has complete access and control over its operations which TCCC’s efficiency rightly reflects (Furrer, 2010). Initially, TCCC was just a soft-drink manufacturer in the U.S. but with the passage of time in the current world scenario it has moderately diversified into similar/competitive beverage businesses like tea, coffee, soda, mineral water, fruit juices, alcohol etc. which are available in across nationalities (The Coca-Cola Company, 2017). This has enabled it to diversify its portfolio and be a customer raved brand in the market by creating synergies across all its businesses which reflects its product and market development (Furrer, 2010). All of the above tactics have helped TCCC achieve economies of scale/scope, synergies and market power but there also have been instances of the company suffering massive loses because of the same. Because of the fact that all its businesses are interrelated, the loss of one brand/product affects the company’s market share as a whole. Revenues drops are one of the most common results due to the same. TCCC has had a history of going through some expensive acquisitions and failing to integrate it into their system because of moving far ahead too fast-paced (The Coca-Cola Company, 2017). In other words, it also means that the expenses which would’ve incurred in one loss would resonate in lesser resource allocation and fund transfers in other businesses and weakening of market control. Acquisitions When a business entity fully buys another entity, it is known as an acquisition (Zakaria & Genc, 2017). It is a part of product/market diversification. It is done for various reasons including increase of market power, market penetration, ceasing competition, learning new skills and capabilities, speeding up a new product launch, lowering risk of innovation, etc. (Zakaria & Genc, 2017). Some of the most recent major acquisitions of TCCC are Costa coffee chain (UK), Bodyarmour sports drink, kombucha drinks Mojo (Australia), fruit juices Tropico (France), plant-based beverages Ades (Latin America) and Made Group (Australia) (The Coca-Cola Company, 2017). Recently, TCCC’s CEO James Quincey announced the reshaping of their growth strategy to be a total beverage company where in they want to explore all the emerging markets and be a customer-centric business (The Coca-Cola Company, 2017). In the past 10 years, they’ve had back to back acquisitions across the globe which has helped them to increase their beverage portfolio, build competences across supply-chain including digital, equipment and ingredient solutions, increase internal innovation and invest and create greater value out of those acquired brands (The Coca-Cola Company, 2017). As mentioned before, there’ve been instances where their acquisitions have failed because of being too fast-paced to understand and evaluate the acquiring company which led to unsuccessful synergy creation (Zakaria & Genc, 2017). Studies have stated that there is a negative effect of product diversification on company performance if there is no geographical diversification to support it (Garrido-Prada, Delgado-Rodriguez, & Romero-Jordánb, 2018). Similarly, there is a positive effect if there are high levels of geographical diversification (Garrido-Prada et al., 2018). This can be considered as one of the major success and competitive advantage factors for Coca-Cola to resolve the stringencies of their acquisitions (Garrido-Prada et al., 2018). In a way, the market diversification nullifies the ill-effects of their product diversification. International Strategies When we talk about a corporate level strategy it would be in regards to TCCC at an international level and not just in India which is one of the domestic markets of the company. International strategies are chosen on the basis of the core competencies of any business and it is of three types: Global, Transnational and Multi-domestic (Campbellet al., 2014). Observing TCCC, it can be largely seen implementing its strategies globally as it has different but standardised beverage businesses operated through centralised SBUs in each country. But considering the fact that it has to cater to different domestic markets and taste preferences as well, it flexes according to its customer-centric policy and hints at having some elements of the transnational policy as well where-in we find an amalgamation of multi-domestic and global strategies (Campbell et al., 2014). TCCC always diversifies through acquisitions and fully/partly owned subsidies in order to maintain their control over operations. Conclusion TCCC seems to know their way around because of their experience and consumer-oriented policies. Their recent acquisitions prove their attention to detail and so one of the scopes they can venture into would be product diversification into mixed alcoholic drinks like Coke-rum and coke-whisky which are already cult favourites and the company hasn’t tapped into its customisation (Forbes, 2017). Another product diversification can be done into snacks and chips like its rival PepsiCo which is long overdue. The first diversification has the potential to turn out successful overnight whereas the second one will take time considering PepsiCo is years ahead in the game with a set customer base. Overall, the company is doing a pretty decent job considering it’s a stable multinational even after all the possible political and economic risks across countries it operates and exists in. References Ansoff, H. I. (1957). Strategies for Diversification. Harvard Business Review, 35(5), 113-124. doi:http://web.b.ebscohost.com.ezproxy.csu.edu.au/ehost/pdfviewer/pdfviewer?vid=1&sid=2a11ed68-120e-4740-ad5b-9c8ff731738a%40sessionmgr103 Campbell, A., Goold, M., & Alexan, M. (2014). Appendix: The links between international strategy and corporate-level strategy. In Corporate-level strategy : making decisions about the business portfolio (2 ed., pp. 347-378). John Wiley & Sons, Incorporated. doi:https://ebookcentral-proquest-com.ezproxy.csu.edu.au/lib/csuau/reader.action?docID=1691993&ppg=361 Campbell, A., Goold, M., & Alexan, M. (2014). Chapter Seven: ten sources of value from direct influence. In Corporate-Level Strategy : Making Decisions about the Business Portfolio (2 ed., pp. 159-180). John Wiley & Sons, Incorporated. doi:https://ebookcentral-proquest-com.ezproxy.csu.edu.au/lib/csuau/reader.action?docID=1691993&ppg=173 Forbes. (2017, November 18). Wells Fargo Analyst Sees Beverage Alcohol In Coca-Cola's Future. Retrieved from Forbes: https://www.forbes.com/sites/thomaspellechia/2017/11/18/well-fargo-analyst-sees-beverage-alcohol-in-coca-colas-future/#5eec8cff5c1a Furrer, O. (2010). Diversification Strategies: Creating Corporate Values. In Corporate Level Strategy : Theory and Applications (1 ed., pp. 48-64). Routledge. doi:https://ebookcentral-proquest-com.ezproxy.csu.edu.au/lib/csuau/reader.action?docID=589602&ppg=63 Furrer, O. (2010). What is corporate level strategy? In Corporate Level Strategy : Theory and Applications (1 ed., pp. 1-13). Routledge. doi:https://ebookcentral-proquest-com.ezproxy.csu.edu.au/lib/csuau/reader.action?docID=589602&ppg=16 Garrido-Prada, P., Delgado-Rodriguez, M. J., & Romero-Jordánb, D. (2018). Effect of product and geographic diversification on company performance: Evidence during an economic crisis. European Management Journal. doi:https://www-sciencedirect-com.ezproxy.csu.edu.au/science/article/pii/S0263237318300707 Hako, D. B. (2002, April 12). Strategies for diversification. Long Range Planning, 5(2), 65-69. doi:https://www-sciencedirect-com.ezproxy.csu.edu.au/science/article/pii/0024630172900489 The Coca-Cola Company