Strategic Choices for Coca Cola Company Research Paper

Strategic Choices for Coca Cola Company - query Paper ExampleOn the other hand, weaknesses of the company are negative publicity wellness issues tie with the brand, some brands of the company are less popular, poor performance in North America and rule out in cash from operating activities. Examination of the external environment demonstrates opportunities and treats of the company. Uncovered market, growing bottled water market, vitiate out competition and acquisition of the intense competition can be proves opportunities for the company. On the contrary, increasing health consciousness, increased competition from local and international players, legal issues, health ministries of various developing countries are dread threats on the company (The Coca-Cola Company, 2011).In order to avail the maximum benefits of the strengths and opportunities, the company is advice to handle the threats and weaknesses very carefully. In this context, creation of competitive favor is recommend able. When a firm has an edge over its competitors then it is said to see a competitive advantage. According Michael Porter, there are two types of competitive advantage viz be advantage and differentiation strategy. Coca-cola achieved its competitive advantage by delivering same benefits as competitors but on lower represent i.e. cost leadership. However, both local and international competitors pull down its rates to the level of Coca-cola which ended its cost leadership. Then it came up with benefits that exceed those of competitors which are called differentiation strategy. This strategy worked in favor of the company as it positioned the company with distinctive taste in the market. It also added some snacks to its product line which again make its look different (Thinking made easy, 2009).The strategic choice of the company is found on the resource based view concept. This concept focuses on creation of competitive advantage by utilizing firms resources