Sample Paper on SWOT Analysis of Coca-Cola Company

SWOT Analysis of Coca-Cola Company

The Coca-Cola Company, for a long, time has been among the leading producers and distributors of soft drinks. In fact, it is the world largest beverages producing company owning licenses and markets for more than five hundred drinks brands such as sports drinks, coffee, and juice drinks (Ling, 2017). The products provided by the company are distributed in more than two hundred countries globally, which has led the business to a realization of huge profits over years. Nevertheless, just like any other companies, Coca-Cola enjoys and utilizes its Strengths, has some weaknesses that it strives covert to strengths, capitalizes on given and available opportunities, while at the same time facing threats that it works on eliminating as discussed below.

Why the Company was Selected

Coca-Cola Company has products that have a distinct taste; this guided my choice of company for analysis. The distinct taste makes the brand number one choice for a vast majority. Additionally, its products are not expensive (Hassan, Amos & Abubakar, 2014). During celebrations and other social occasions, Coca-Cola drinks are often used, hence strengthening the urge to analyze the functionality of the Company. Over years, Coca-Cola has reinvented itself, ensuring its endurance in the ever-competitive market.


The Coca-Cola Company enjoys full benefits of brand awareness. The company has a recognized brand with its signature white and red colors making it famous across nations, hence attracting many customers who sustain the market share of the enterprise (Hassan, Amos & Abubakar, 2014). Consequently, its consistency in the manufacture of high quality of beverages has enhanced the sound financial stability, thus, assuring its endurance in the economy. On the other hand, the company enjoys a firm distribution network that allows its products to reach more than two hundred nations (Hansen, 2016).


Water serves an integral role in the manufacturing processes of Coca-Cola Company. For a long time, the company has been facing water scarcity to the point of incurring losses in the management of the available water (Ling, 2017). As such, water shortage affects the quality and the profitability of the products in the end. Consequently, just like other firms in a normal economy, a fluctuation of the foreign currency often affects the activities of the company (Hansen, 2016). Therefore, when currencies rise and fall inconsistently, they open doors for losses.


The demand for the latest coffee and juice has increased over the years necessitating the company to extend its reach to the emerging customers. Specifically, China and India continue to record high demand for Coca-Cola products, therefore, necessitating the need to accelerate efforts to cover the gaps created by water shortages (Hansen, 2016). Therefore, Coca-Cola stands a chance to garner many benefits from diversification. Diversification, thus, serves as a backup for losses made while doing business.


Coca-Cola has been facing competition from Dunkin brand group and star bucks, therefore, threatening the overall market share of the company. Consumers are often granted enticing offers that comprise rewards and reduced prices, hence forcing the company to adjust its prices to measure up to the competition (Hassan, Amos & Abubakar, 2014). Additionally, the urge for people to take drinks with more nutritional value than soda is a significant threat to the company (Hansen, 2016). Instead of sweetened drinks, individuals are opting for natural juices extracted from fruits, which are more nutritional than Coca-Cola products. Moreover, taxes hinder the proper function of the company.


As noted above, Coca-Cola Company has various Strengths, Weaknesses, Opportunities, and Threats. Some of the strengths include brand awareness, financial stability, and strong networks for distribution. On the other hand, the company’s weaknesses include water shortages and fluctuation of the foreign currency. The opportunities increased markets, notably in China and India. The threats, on the other hand include immense competition from companies that produce beverages and the urge of individuals to consume more health food stuffs. However, despite the weaknesses and threats Coca-Cola faces, its strengths and opportunities provide a soft spot for it to thrive in the beverage industry.








Hansen, J. T. (2016). Constructing a Product Brand Identity: The Case of Coca-Cola.

Hassan, D. N., Amos, A. A., & Abubakar, O. A. (2014). An evaluation of marketing strategies undertaken by Coca Cola Company as a multinational corporation in Nigeria. Journal of Business and Management3(2), 5-10.

Ling, X. (2017). Customer Relationship Management: Case study Coca-Cola Company.