Coca-Cola history began in 1886 when the curiosity of an Atlanta pharmacist, Dr.

John S. Pemberton, led him to create a distinctive tasting soft drink that could be
sold at soda fountains. He created a flavored syrup, took it to his neighborhood
pharmacy, where it was mixed with carbonated water and deemed excellent
by those who sampled it. Dr. Pembertons partner and bookkeeper, Frank M.
Robinson, is credited with naming the beverage Coca-Cola as well as designing
the trademarked, distinct script, still used today.
The first decade of the new millennium brought with it an increase in Coca-Colas
efforts to create a sustainable framework for the future.

In 2009, the company launched Live Positively a public commitment to making

a positive difference in the world by redesigning the way we work and live so
that sustainability is part of everything we do. Live Positively includes goals for
providing and tailoring drinks for every lifestyle, supporting active, healthy-living
programmes, building sustainable communities, reducing and recycling our
packaging, cutting our carbon emissions, establishing a sustainable water
operation and creating a safe, inclusive work environment for all.

The company has continued to build on existing relationships with global sports
events such as FIFA World CupTM, Rugby World CupTM and UEFA EUROTM. It also
played a major role in making the London 2012 Olympics the most sustainable
Games in history, and will be sponsoring this year's 2016 Olympic Games in Rio,
Brazil. Meanwhile, we continue to nurture our affiliation with Special Olympics,
which began in 1968.

Coca-Cola has remained dedicated to offering quality drinks for every lifestyle
and occasion, marketing those drinks responsibly and providing information that
consumers can trust. As of 2008, Coca-Cola could count more than 160 low-
calorie and no-calorie drinks in the companys range, such as Coke Zero and
Powerade Zero. In the UK 39% of the drinks sold are now lower or no calorie.
Strategic Plan

A strategic plan is a high-level overview of the entire business, its vision,

objectives, and value. This plan is the foundational basis of the organization and
will dictate decisions in the long-term. The scope of the plan can be two, three,
five, or even ten years.
Managers at every level will turn to the strategic plan to guide their decisions. It
will also influence the culture within an organization and how it interacts with
customers and the media. Thus, the strategic plan must be forward looking,
robust but flexible, with a keen focus on accommodating future growth.

WE FOCUSED ON DRIVING REVENUE AND PROFIT GROWTH

Each of the 200-plus nations we serve plays a critical role in our growth plans.

We used segmented revenue growth strategies across our business in a way that
varied by market type. And we aligned our employee incentives accordingly. In
emerging markets, we focused primarily on increasing volume, keeping our
beverages affordable and strengthening the foundation of our future success. In
developing markets, we struck a balance between volume and pricing. In
developed markets, we relied more on price/mix and improving profitability by
offering more small packages and more premium packages like glass and
aluminum bottles.

Creating value for our Company and customers looks different in different
countries, and we did a good job segmenting our markets to drive revenue
growth in 2015. While we still have more to do, we were encouraged by our
results. Globally, price/mix rose 2 percent as did volume, helping increase
organic revenue 4 percent. We also gained worldwide value share in our industry.

2. WE INVESTED IN OUR BRANDS AND BUSINESS

Healthy businesses require continuous investment. We made a choice to invest

in more and better marketing for our brands, increasing both the quantity and
quality of our advertising. We increased spending on media advertising by more
than $250 million, and we used these funds to share stronger, more impactful
ads.

At the same time, we invested across our expansive beverage portfolio. We

improved our position in the energy category with a strategic new partnership
with Monster Beverage Corporation. We invested in brands like Suja, a line of
premium organic, cold-pressed juices, and agreed to buy China Green
Culiangwang, a plant-based protein beverage brand. We also expanded to
nationwide the U.S. distribution of fairlife ultra-filtered milk.

In 2015, we developed our first global marketing campaign to support the entire
Coca-Cola Trademark of Coke, Diet Coke, Coke Zero and Coca-Cola Life.
Launched in early 2016, Taste the Feeling emphasizes the refreshment, taste,
uplift and personal connections that are all part of enjoying an ice-cold
Coca-Cola. With this campaign and our broader one brand strategy, were
letting consumers know they can enjoy Coca-Cola with calories, fewer calories or
no calories and with or without caffeine. The choice belongs to each individual,
every time he or she reaches for a delicious and refreshing Coca-Cola.
3. WE BECAME MORE EFFICIENT

As we took steps to rebuild our growth momentum, we knew we needed to invest

in more and better marketing while also increasing our financial flexibility. To
these ends, we increased our efficiency and productivity while reducing costs.

Part of the solution was zero-based worka way of looking at our business that
starts from the assumption that organizational budgets start at zero and must be
justified annually, not simply carried over at levels established in the previous
year. We also cut spending on non-media marketing like in-store promotions. And
we found new savings in our supply chain around the world.

Overall, we were able to realize more than $600 million in productivity

improvement in 2015, which we used to invest further in our brands and
business and also to return to our shareowners.

For the future, were working to drive productivity and continuous savings across
our Company and system. We see productivity not as an event or series of
events but as an ongoing, day-by-day process of becoming stronger, leaner and
ultimately better.

4. WE SIMPLIFIED OUR COMPANY

Few industries have changed more rapidly in recent years than the nonalcoholic
beverage industry. Evolving consumer tastes and preferences, coupled with
sweeping innovations in the retail and supply chain landscapes, have created an
environment in which speed, precision and empowered employees determine
who wins in the marketplace.

To seize this opportunity, we took steps to reshape our business. We looked hard
at our operating structure and identified areas where we could be faster, smarter
and more efficient. We removed a layer of functional management and
connected our regional business units directly to headquarters. We streamlined a
number of important internal processes and removed roadblocks and barriers
that inhibited us from being as effective and responsive as we knew we could be.

Most importantly, we began to look at ways to enhance further the employee

experience across our Company with the goal of creating the worlds most
exciting, productive, fun and fulfilling career environment, with workplaces that
nourish curiosity, learning, innovation and growth. While this journey has just
begun, our associates have responded with the resolve, commitment and
passion that have been hallmarks of Coca-Cola leadership since 1886.

Tactical Plan

The tactical plan describes the tactics the organization plans to use to achieve
the ambitions outlined in the strategic plan. It is a short range . with a scope of
less than one year, low-level document that breaks down the broader mission
statements into smaller, actionable chunks. If the strategic plan is a response to
What?, the tactical plan responds to How?.Creating tactical plans is usually
handled by mid-level managers.The tactical plan is a very flexible document; it
can hold anything and everything required to achieve the organizations goals.
That said, there are some components shared by most tactical plans:
Tactical planning is a process by which companies determine and prioritize
strategic initiatives. These initiatives include what markets to enter, what
products to introduce and how to compete with other companies more
effectively. As is the case with most large and mature companies, Coca-Cola's
tactical decisions revolve around growth. Coca-Cola's tactical planners are
constantly trying to determine what new markets the company should enter,
how to steal market share from competitors and how to encourage more
consumers to use Coca-Cola's products.

Market Sizing
The first step in effective tactical planning is to determine the sizes of various
markets around the world. Conducting a market sizing analysis allows companies
to prioritize which new markets should be targeted first. In conducting this
analysis, Coca-Cola will first consider the total size of a market's population, the
percentage of that population that is currently using Coca-Cola's product and the
quantity of product that Coca-Cola could sell to non-users. For example, suppose
Coca-Cola was considering whether or not to attempt expansion into Argentina.
Using international census data, Coca-Cola's tactical planners determine that the
country's population is 41 million. Coca-Cola would then hire a local marketing
agency to conduct detailed customer surveys to determine what percentage of
the population consumes Coca-Cola's soda on a regular basis. Suppose these
surveys revealed that 40 percent of the population uses Coca-Cola's product,
implying that 60 percent x 41 million = 24.6 million people in Argentina do not
drink Coca-Cola on a regular basis. Suppose these surveys also revealed that the
average person in Argentina drinks 20 bottles of soda per year and that the
average selling price of a bottle of soda is $2. Based on these figures, the total
addressable market size for Coca-Cola in Argentina is 24.6 million x 20 x $2 =
$984 million per year. Completing this type of analysis for a number of countries
allows Coca-Cola to rank each country according to market size, which helps
prioritize which new market the company should target.

Strategies for Entering a New Market

Once Coca-Cola's tactical planners have chosen which market to enter, they
must decide upon the appropriate strategy for achieving this goal. The
appropriate strategy depends upon the unique characteristics of the market in
question. Suppose that the 24.6 million people in Argentina who do not drink
Coca-Cola are heavy purchasers of Pepsi. In this case, Coca-Cola must attempt to
steal market share from Pepsi by highlighting the product features that make
Coca-Cola superior. Again, the company would rely upon local customer surveys
to determine what characteristics are most important in determining a soft drink
purchase. If most customers say taste is the most important factor, Coca-Cola
could run a series of advertisements highlighting the company's unique product
formula that delivers superior taste to Pepsi. If convenience of purchase is most
important, Coca-Cola will likely expand its distribution so that Coca-Cola products
are available in a larger number of locations. On the other hand, suppose that
the 24.6 million non-users do not drink soda of any kind. In this case, Coca-Cola
would focus on expanding customer acceptance of the soda category by running
advertisements highlighting the refreshing nature of soda versus other
beverages. Once customer acceptance of soda in general has increased, Coca-
Cola would switch to an advertising campaign focused on Coca-Cola products
specifically.
Other Tactical Initiatives
There are numerous other tactical initiatives that Coca-Cola pursues on a regular
basis. One is to increase the volume of product that Coca-Cola customers
purchase. Generally, Coca-Cola attempts to achieve this goal by introducing new
products, such as salty snack foods that go well with soda. Coca-Cola also runs
extensive advertising that targets current customers in order to keep the Coca-
Cola brand in the forefront of customers' minds. Doing so ensures that customers
will immediately think of Coca-Cola soda whenever they are thirsty and decide to
purchase a beverage.

Role of Middle Level Managers: They form an important link in strategizing &
Implementation. They are not actively involved in formulation of Strategies and
they are developed to be the future management. COMPANY OVERVIEW The
Coca-Cola Company (Coca-Cola) is a leading manufacturer, distributor and
marketer of Non-alcoholic beverage concentrates and syrups, in the world. The
company owns or licenses more than 400 brands, including diet and light
beverages, waters, juice and juice drinks, teas, coffees, and energy and sports
drinks. The company operates in more than 200 countries.
Approximately 74% of its products are sold outside of the US. The company is
headquartered in Atlanta, Georgia and employs 71,000 people as of September
2006. The company recorded revenues of $24,088 million during the fiscal year
ended December 2006, an increase of 4. 3% over 2005. The increase in revenue
was primarily due to increase in sales of Unit cases of companys products from
approximately 20. 6 billion unit cases of the companys Products in 2005 to
approximately 21. 4 billion unit cases in 2006, the increase in the Price and
Product/geographic mix also boosted the revenue growth.
Operational Plan

The operational plan describes the day to day running of the company. The
operational plan charts out a roadmap to achieve the tactical goals within a
realistic timeframe. This plan is highly specific with an emphasis on short-term
objectives. Increase sales to 150 units/day, or hire 50 new employees are
both examples of operational plan objectives.

Creating the operational plan is the responsibility of low-level managers and

supervisors.

For operating a business worldwide it is too much important, because its analysis
represent the overall environmental scanning as shown in the following diagram:
Environmental Scan / External Analysis Internal Analysis / Macro environment
Microenvironment P. E. S. T. Coca-Cola Companys perform/ operate their
business unit in different country based on the developing of the PEST analysis.
The PEST analysis of Coca-Cola Company is as following
Political Factors It is one of the significant parts of a company where, in which
country they operate their business unit. Political factors include government
regulations and legal issues and define both formal and informal rules under
which the firm must operate.
Some examples include:
tax policy
employment laws
environmental regulations
trade restrictions and tariffs political stability Economic Factors Another most
imperative element for PEST analysis is economic factors.
Economic factor affects the purchasing power of potential customers and the
firms cost of capital. The following are examples of factors in the macro-
economy:
 economic growth
interest rates
exchange rates
inflation rate Social Factors Social factors include the demographic and cultural
aspects of the external macro environment.
These factors affect customer needs and the size of potential markets. Some
social factors include
: health consciousness
population growth rate
age distribution
career attitudes
emphasis on safety
Technological Factors Technological factors can lower barriers to entry, reduce
minimum efficient production levels, and influence outsourcing decisions. Some
technological factors include:
R;D activity
automation
technology incentives
rate of technological change Develop Strategic and tactical goals and plans of
Coca-Cola Company After completion of SWOT and PEST analysis as context,
international strategic planning is largely framed by the setting of strategic
goals. Based on different market situation as well as customers response this
company will set up their tactical goals for being a strong position in the global
market place.
The company operates in more than 200 countries .Strategic management
integrates the knowledge and experience gained in various functional areas. 3
Major Criteria in decision Making arethe concept of Maximization, the concept
of satisfying, the concept of instrumentalism. The vision of Coca-Cola Company
is to refresh the world in body, mind and spirit Bringing to the world a portfolio of
quality beverage brands that anticipate and satisfy peoples desires and needs.
Coca-Cola Zero has been one of the most successful product launch hes in
Coca-Colas history It has soft drinks, energy drinks, juice drinks, sports drinks,
tea and coffee, water and other drinks. Coca-Cola Company follows the multi-
domestic strategy for operating their business. After entering into a new market
Coca-Cola Company try to achieve strategic goals and guide its daily activities
with proper observation.
Conclusion

An organizations type plan is governed by the situation prevalent in its external

environment. The external environment comprises of the strategic moves
adopted by the organizations competitors. Coke cola has to carefully study these
moves and accordingly devise strategies to gain competitive advantage. For the
same, the organization needs to conduct an industry and competitive analysis.
The paper discusses the steps and processes involved in the same. In
formulating business strategy, managers must consider the strategies of the
firms competitors. While in highly fragmented commodity industries the moves
of any single competitor may be less important, in concentrated industries
competitor

Coca-Colas divisional structure allows the organization to react to changes in the

environment while still maintaining a level of stability. Being divided by
geographic region enables the companys operations to be tailored to individual
markets in different areas. This structural grouping is based around the
companys customers. Their divisional geographic structure allows Coca-Colas
divisional managers to handle daily operations, which enables corporate
managers to focus on long-term planning.
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