Strengths
1. Product diversity. Soda companies have several hundreds of brands, which include: carbonated and noncarbonated drinks, water, and snacks 2. Extensive distribution network. Products are served to more than 10 million stores per week in more than 200 countries. 3. Customer Service Orientated. Soda Companies recognize their role in a society and engage in education, recycling, water usage reduction, obesity fighting and other projects 4. Successful marketing and advertising campaigns. Billions of dollars are spent every year on marketing. 5. Proactive and progressive. Soda companies are always looking to expand into new markets with innovation ideas and products.
Weaknesses: 1. Dependence on US Market. 2. Low pricing. Soda companies offer lower prices to compete with each other. 3. Questionable practices. Soda companies have recently come under scrutiny by using large amounts of sugars and fats in their products. Some companies have also been investigated for using pesticides in their products. 4. Weak brand awareness. Coca Cola has the largest market share out of all the soda giants.
Opportunities: 1. Growing beverages and snacks consumption in emerging markets. These companies in turn will be less reliant on the US market. 2. Increasing demand for healthy food and beverages. Due to government programs to fight obesity, demand for healthy foods has greatly increased. Soda companies have an opportunity to invest in products that are low on sugar and calories. 3. Bottled water consumption growth. Consumption of bottled water is expected to grow both in US and the rest of the world. 4. Savory snacks consumption growth. Market for selling healthy snacks is expected to grow.
Threats: 1. Changes in consumer tastes. Consumers around the world become more health conscious and reduce their consumption of high calorie drink, drinks that have large amounts of sugar, and fat. 2.
Citations: http://www.coca-colacompany.com/our-company/mission-vision-values July 7, 2013 http://www.pepsico.com/Company/PepsiCo-Values-and-Philosophy.html July 7, 2013 http://web.mit.edu/wysockip/www/535/MIT2001/Cocacola.pdf July 7, 2013