Question: Caretally read the attached case study and answer the following questions: Mohtar Kent Reflects on His Coca-Cola dumy and Legacy as Compeya 15 Chief Executive
Caretally read the attached case study and answer the following questions: Mohtar Kent Reflects on His Coca-Cola dumy and Legacy as Compeya 15 Chief Executive ATLANTA- Muhtar Kent who joined the Coca-Cola Company in 1978 erresponding bacted and dibed to the company's highest office in 2008, today officially passes the CEO on James Quincy We sat down with Kert, who will remain chairman of the board to reflect on his retnine yearure the company's chief executive-and get his thought on the future of the Coca-Cola system When you became CEO in July 2005, what were your top priorities? Nevilelse had stabilized the company and transferred to me acompany that was stronger than when he found it for sure. What was needed he was an agenda of growth. We putter a compelling vision, together wih oboling system, and launched in 2009, he past, we had visions that respecte the company, but this was the first systein de vision ever launched We needed to bring in our botting partners and have them abrace and comes son with us. And that's what we did The second priority for me was to put together a growth agenda and bring to the forefront the of all our brand the ne vision and make the stronger We embarked upon a host of strategies that paid off and today are analog company that is foundationally much stronger with a much more aligned botting system than the one too. Andre sure this improvement will continue to the years ahead We embarked upon a host of strategies that paid off and today, are transferring a company that is foundationally moet Stronger with much more signed boting system on the one too. And I'm sure the provenient will continue The your head What excited you most when you came into the CEO role? A couple of things I was coming in from a botter, so iad a unique perspective people in the company has worked within the company for the first 20 years of my then left and became the grew and iPod that bother on the London Stock Exchange And Delcame back to the company nation from Revie, dan bus business Whough dved in Thailand as a child id never really been involved in our Asian business. Te boon involved in our Europe, Middle Easten, Nor Arican businesses and also through Coca-Cola Amatlle bit in Aust-but we really China and the sphere of influence So that was very intriguing to meet was very posing to work with Neville again, my very dose friend and pamer from our work together in Eastem and Central Europe in the mos You have led the evolution of the global botting system, including ratranchising territories across North America Germany. China and Africa to strong and capable bottling partners. Why is this work so important and what most excites you about the Coca-Cola franchise system of the future? We cannot, as a company succeed if our boties are not successful. Its that symbiotic relationship And part of what we do every day, apart from polishing our brands, making sure our boiling system is aligned and toy buys into our stay # we take the right actions, then our 250 or so baters around the word decide to invest in the business. And when they make mestments in new trucks, new lines new factories, new cold drink equipment and new people on the comme end of the business-coupled with recreative marketing we are responsible for and guided by the strategy we sete sur business propers so strengthening the boting system, which hadn't had a unfed transformation for a long timewa estica priory. This probably the most cohesive transformation of the structural Coca-Cola boing business wer undertaken in the 131 history of Coca-Cola Fly five percent of te global boting business has been restructured over the last three years, and I'm very proud of that What else, looking back over the last nine years, are you most proud of We've created 150 billion of shareholder sind the beginning of 2009, which is bigger than the totalmente cap many Fortune 500 companies. Vieve made the company much stronger through a 538 Sillon productivity program und rodenioyed a lot of that money into better and more marketing Vieve launched 1000 new products We've taken oudy serving from 14 bilion to 1.9 bilion. We ve added in new windollar brands. And we we delivered 39 consente verters of share gains You remain chairman of the board. What will your priorities be? s very simple. I'm here to complete the transition and support any way he des appropriate, and to hande was oftegy with our towd Throughout your time as CEO, you've used the term "constructively discontent to describe both your outlook and the mindset you've challenged all Coca-Cola systbrace Why? 1 shamelessly borrowed that from Me Robert We 2 of 5 say that the word belongs to the discontented particularly in the last period of his leadership We - the Coca Cola world where we are one the most pervasive bands in the world and where our business card is known to everyone- of getting to comfortable. Sol Turk we have to constantly challenge unelves to think moto me that man erishin the time that will 09:41 P ...l 16% You remain chairman of the board. What will your priorities be? Its very simple, I'm here to complete the transition and support James in any way he deerms appropriate, and also to hande all matters of strategy with our board Throughout your time as CEO, you've used the term "constructively discontent to describe both your outlook and the mindset you've challenged all Coca-Cola system associates to embrace. Why? shamelessly borrowed that from Mr. Robert Woodruff. He liked to say that the world belongs to the discontented particularly in the last period of his leadership. We can easily fall into the trap - In the Coca-Cola world where we are one of the most pervasive brands in the world and where our business card is known to everyone-of getting too confortable Sol think we have to constantly challenge ourselves to think constructively as to what more we can do. Its a wonderful thing to be invited into consumers' lives more than 19 bilion times every day, but at the same time, when you think that the 2.3 billion households in the world each consume 26 beverages every day, and that less than two of those beverages are ours, then that immediately makes you constructively discontent. It puts a little bit more energy into your thinking as to what more you can do to polish your brands and create more products consumers want.. so those two out of 25 can become four, thens then sight, and so on. You started out with The Coca-Cola Company nearly 40 years ago. What do you think this company will look like 40 years from now? For the frst 90 years or so, we were a one product one-brand company Over the last 30 to 40 years, we've added almost 4 000 new products, more than 500 brands, and many new packaging and equipment innovations. I think the beverage business wil develop over the next 20 60 30 years in three distinct ways. One way will continue to be bottled or canned and served to the consumer in a ready-to-drink package The second is the incremental consumption occasions created through technology at food service outlets. Coca-Cola Freestyle is a great example, but there will be many, many kerations of that over the next 30 to 40 years. And the third is technology enhanced incremental consumption occasions at home. I think that's how the business wil evolve and we through our innovation, reformulation and more will be at the forefront of this development. Also digitization, how we connect with consumers in ways we cannot even think about today How has the role of a Fortune 500 CEO evolved over the last decade? Are there skills and traits that are needed today that perhaps were not as important a decade ago? More multitasking A greater need to change altitude taster. You have to be informed about everything, and everyone wants your time. You have to make sure you are the only manager of your time and that you don't get swallowed by things everybody wants you to do. Only then can you really succeed. The final thing is to understand how important is to create socially inclusive business model. You can only optimize long-term shareholder value you create value for a host of stakeholders. That, I think, is something that is more critical than ever before. In the 21st Century, you can't just create a strategy to generate maximum value for your shareholders. You have to create value for a host of stakeholders in an inclusive manner. It starts with your associates, batting partners, consumers and customers, and also includes supply chain partners, NGOs, owl society organizations and governments that hosts in more than 207 nations. You create value for all of them And through that you optimize long-term sustainable value creation for shareholders. That's the inclusive modele embrace at Coca-Cola. It's what keeps our brands relevant and connects them with consumers more than 1.9 times every day. No longer are we simply obligated to make great-tasting beverages. We have to also make sure the character of the company is in line with what is expected by 7 billion consumers around the world. And that's why our "3 W priorities of water, women and well-being have served us so well in this new inclusive, socially connected business model If you were going to be a business unit president for the company starting tomorrow, where would you want to be and why? I wouldn't pick any one market over another. But I can't tell you how excited I am when I meet with our business unt presidents. It takes me back to 1989 when I became a deputy business unit president and in 1990, a business unit president. I wouldn't trade that experience for anything I think the same excitement exists today with the change that is occurring in the world - whether it's China or Japan of the Middle East of Latin America or Eurasia or Western Europe Conduct SWOT analysis for Coca Cola. Question 4 [20 Marks) Conduct a market analysis using Porter's five forces model for the beverages industry where Coca Cola operates Questions [20 Marks) Discuss market segmentation as a valuable tool in a company's marketing effort and explain how Coca Cola sagmented its market [include a discussion of the process and criteria that can be used to segment a market] Question 6 20 Marks] Use Coca Cola's products to explain the different present life cycle. 4 of 5 Answer ANY THREE (3) questions in this section Question 3 [20 Marks] Conduct SWOT analysis for Coca Cola