Situation Analysis

There are two types of situation analysis

• SWOT analysis
• Forces analysis

SWOT Analysis
After studying the CCBPL strategies, and its performance I have identified some
strengths, weakness, opportunities and threats.
Strengths
1. CCBPL Positive Image
CCBPL has positive image and reputation in the minds of customers so far
them it’s a great strength because its helps in the sale of their products.
2. Financial Strength Of The Business
The Beverages business is financially very strong as mentioned by present
annual report.
3. Established Nation- Wide Infra-Structure
The CCBPL business has established nation-wide infrastructure. It has
network of dealers in all over the country, which will help in the sale of
company’s products.
4. Committed and enthusiastic staff
5. Up To Date Technology
CCBPL has up to date technology in its production. As coca-cola company
claims that they are very sensitive about hygienic conditions, so that’s why
they using up to date technology to achieve this objective.
6. Quality
CCBPL claim continuous quality products to their customer.
7. Multinational Culture
Coca-Cola Company is multinational culture so that’s why they know about
different culture, this is strength for CCBPL.
Weakness
1. Distribution Network
The major weakness of CCBPL business is that they don’t have complete
distribution network. They just have distributors in different cities which carry
their products and then retailers have to use their own means to get bottles from
those distributors and then make it available for sale for the customer.
2. Lack of Brand Management
The Coke is lacking the main function of marketing. They are going for brand
extensions but with no research and development. Like Splash Lemon is now in
failing position in the market which is the brand extension of Splash.

Opportunities
1. Increase Quality Awareness Among The Customers
One of the greatest opportunities for CCBPL is that now a day’s people are very
much conscious about the quality. As CCBPL is producing high quality product
so it will increase the demand of company’s so it is a great opportunity for
CCBPL.

2. Billion Cases Markets

Another opportunity for CCBPL is that Pakistan is billion cases market. From
which CCBPL covers only millions. So its big opportunity for CCBPL that they
have big market.
3. Emerging Market
Threats
1. B. Brands
Cheap beverage product producers capture almost 35% of the market share of
beverages so it’s a threat for CCBPL because other companies will share the
market as well.
 FORCES ANALYSIS
1. Threat of new entrants
CCBPL is enjoying No.2 position in beverages industry they are having 25% of
total market share. They do not consider now entrant as threat for themselves. But
from last two or three years many local companies launch new beverage products.
2. Threat of existing rivalry
CCBPL has to compete with a large number of beverage makers. But the threat is
from one major competitor.
This competitor is Pepsi cola International. Pepsi is having market share of 35% -
40% of the beverage market. Their hot selling brand is seven up.
3. Threat of substitutes
There are not many substitutes available for the beverages products. For past few
years there is an increasing trend of use of fresh juices and instant drink.
But CCBPL do not think that they are under any threat as far as substitutes are
concerned.
4. Bargaining power of buyers
Bargaining power of buyer is a considerable threat for CCBPL because many
competing brands are available in the market. It is necessary for CCBPL to satisfy
their customers as far as price and quality is concerned. Otherwise the customers
will switch to other brands.