Environmental Analysis
The environment of soft drink industry is very unstable and there always exist a threat of new competitors entering in the soft drink industry. Availability of substitutes is also a major threat as. The available substitutes which put a pressure on Coca-Cola are coffee, juice, tea and hot chocolates.
Coca-Cola uses imported machinery in its plants to produce the quality products and the flavor syrup for the drinks is also being imported from the USA to deliver the same taste all over the world.
The market share of Coca-Cola is also increasing day by day (currently almost 45%) in Pakistan and the company has a long list of clients including McDonalds, AFC, PC Hotels and others.
The environmental uncertainty for CCBPL is very high due to the political instability and the law & order situation in the country. Policies of the government, rising inflation rates and high rate of taxes contribute in the price increase of the products which ultimately reduces the consumers buying power. Coca-Cola faces major opposition from some of the Islamic organizations existing in the country because of being a non Muslim brand and some times it causes a great trouble for the company (Boycott of Coca Cola products at various places after the publication of the sketches of Holy Prophet (PBUM) in Denish newspapers).
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