PESTEL Analysis for Coke
Coca-Cola, the largest manufacturer, distributor and marketer of beverage concentrates and syrups in the world. Coca-Cola is recognized as the world’s most valuable brand. They market four of the world’s top five non-alcoholic sparkling brands, including diet and light beverages, mineral water, enhanced waters, juices and juice drinks, teas, coffees and energy and sport drinks. Through the world’s largest beverage distribution system, consumers in more than 200 countries enjoy the company’s beverages at a rate of approximately 1.5 billion servings each day. The Company generates revenues, income and cash flows by selling beverage concentrates and syrups as well as finished beverages.
[pic]
Even Coca Cola, the worlds’ largest beverage company has to consider about their macro environment and its opportunities and threats. They too have to analyze their Political, Economical, Social Environment and Legal Factors in order to catch up with the fast changing world.
Political Analysis
Non-alcoholic beverages fall within the food category under the FDA. The government plays a role within the operation of manufacturing these products in terms of regulations. There are potential fines set by the government on companies if they do not meet a standard of laws.
The following are some of the factors that could cause Coca-Cola Company’s actual results to differ materially from the expected results describes in their underlying company’s forward statement:-
Changes in laws and regulations, including changes in accounting standards, taxation requirements, (including tax rate changes, new tax laws and revised tax law interpretations) and environmental laws in domestic or foreign jurisdictions.
Changes in the non-alcoholic business environment. These include, without limitation, competitive product and pricing pressures and their ability to gain or maintain share