Coca cola bcg matrix. Ejemplo de Matriz BCG aplicado a Coca Cola 2022-10-30
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The BCG (Boston Consulting Group) matrix is a tool used by companies to analyze and evaluate the performance of their business units or products. It is based on the premise that a company should allocate its resources in a way that maximizes its return on investment. The BCG matrix consists of four quadrants: stars, cash cows, question marks, and dogs.
Stars are business units or products that are in a high-growth market and have a high market share. They require a significant amount of investment in order to maintain their position, but they also generate a high amount of cash flow.
Cash cows are business units or products that are in a low-growth market and have a high market share. They do not require a significant amount of investment, but they generate a steady stream of cash flow.
Question marks are business units or products that are in a high-growth market but have a low market share. They require a significant amount of investment in order to increase their market share, but it is unclear whether they will be able to do so.
Dogs are business units or products that are in a low-growth market and have a low market share. They do not generate much cash flow and do not require a significant amount of investment.
Coca-Cola, one of the most well-known and iconic brands in the world, can be analyzed using the BCG matrix. Coca-Cola's original product, the Coca-Cola beverage, would likely be classified as a cash cow. The soft drink industry is a mature market, and Coca-Cola has a dominant market share. While the demand for soft drinks may not be growing as rapidly as it once was, Coca-Cola's strong brand and distribution network allow it to continue generating a steady stream of cash flow.
Coca-Cola also has a number of other products in its portfolio, including Sprite, Fanta, and Dasani water. These products could potentially be classified as stars, as they are in high-growth markets and have strong market positions. Coca-Cola may need to invest significant resources in order to maintain and grow the market share of these products.
Overall, the BCG matrix is a useful tool for companies like Coca-Cola to evaluate the performance of their various business units and products and allocate resources accordingly. By understanding which products are cash cows, stars, question marks, or dogs, Coca-Cola can make informed decisions about where to focus its efforts and resources in order to maximize its return on investment.
BCG Matrix and VRIO Framework for Coca
The overall benefit would be an increase in sales of Coca-Cola. This product development strategy will ensure that this strategic business unit turns into a cash cow and brings profits for the company in the future. . Diet Coke is also another product, the performance in the market does not offer a prosperous future Krützkamp, 2013. However, there is a lot of competition from other water bottling companies. Since the product is not expected to bring in any significant capital, future investment is seen as a wastage of company resources, which could be invested in a Question mark or Star category instead.
Since the development rate is high here, with the correct systems and ventures, they can become Cash cows and, at last, Stars if they have a flat piece of the overall industry so that off-base ventures can downsize them to Dogs significantly after loads of speculation. Startups, ventures, and new products often start in the Question mark box because they require a large investment but little return. How Coca-Cola can use it? Yes 42 No 8 Total 50 To Lesser Extend 4 To Less Extend 8 Total 50 10. These products are considered important, given the high number of sales. This one seduces its consumers thanks to its many brands of drink, to the multitude of flavours offered as well as to certain modifications made such as Coca-Cola Zero and diet sodas, in order to satisfy its consumers who, care about their health. It all started on May 8, 1886, when Dr.
The matrix also helps companies identify potential growth opportunities and make sound investments in the future. The company also has negative profits for this strategic business unit. Some of the strategic business units identified in the BCG matrix for Coca-Cola have the potential of changing from their current classification. The recommended strategy for The Coca-Cola Company is to invest enough to keep this strategic business unit under operations. These first of these dimensions is the industry or market growth. The products continuously generate cash in an organization, and the market is a maturation stage for them. Along these lines, cash cows ordinarily produce cash in an overabundance of the measure of money expected to keep up the business.
Businesses should invest in their stars and can implement vertical integration, market penetration, product development, market development, and horizontal integration strategies. The market share for Coca-Cola is high, but the overall market is declining as companies manage their supplier themselves rather than outsourcing it. By joining these two factors into a matrix, an organization can plot their specialty units as needs are and figure out where to dispense extra financial assets, where to money out, and where to strip. So what is the BCG matrix? The Coca-Cola Company has the power to influence the market as well in this category. Coca-Cola offers two bottled water brands, namely Kinley and Dasani, operating in separate geographical locations. Strategic business units are placed in one of these 4 classifications.
Stars The products or business units with a high market share in a high-growth industry are the stars of the business. BCG matrix What Is The BCG Matrix? The beverage industry is at a turning point and is going through a major transformation. Dogs Dogs are products that have the potential to grow but have not been able to work any magic due to slow market growth. The feasibility of these products is questioned as they do not offer substantial revenues to the Corporation. Chemistry and Technology of Soft Drinks and Fruit Juices, 15. It has also failed in the attempts made at innovation by research and development teams.
The Coca-Cola Company earns a significant amount of its income from this SBU. Question Marks are the businesses that have low market share in industries that have high growth rate. Products in Last Star can become SBU Bulls if the business's growth rate slows down due to not being maintained and invested. However, the growth rate of this group is not as potent as that of the star group. Question Marks and Stars should be financed with ventures produced with Cash Cows.
The recent trends within the market show that consumers are focusing more towards local foods. Identify Market The picked market is the Cosmetics Industry, which essentially incorporates Skincare, Makeup, Haircare, Hair shading, and Fragrances. To create the matrix, the industry growth and market is drawn on the y-axis and x-axis respectively. The business should divest these strategic business units. Cuadrante III Representado por una vaca La vaca hace referencia que el producto es muy muy productiva, produce tanto dinero como la mejor vaca lechera del mundo y le permite estar tranquilo. Originally marketed as a temperance drink and intended as a patent medicine, it was invented in the late 19th century by John Stith Pemberton and bought out by businessman Asa Griggs Candler, whose marketing tactics led Coca-Cola to dominate the world soft-drink market in the 20th century. The reason for classifying this product as a star product is because the water bottling company is still evolving globally and Coca-Cola is taking advantage Renfrew, 2016.
BCG Matrix of L'Oréal Stage 1. These products are the money churners for the company and require very low investments to sustain their leadership and profitability in the market. With a presence in more than 200 countries, Coke has been the first choice for millions of consumers when it comes to choosing a carbonated soft drink for years. The recent trends within the market show that consumers are focusing more towards local foods. The business should invest in these to maintain their relative market share. Coca-Cola life has not gained the expected level of market share. The company will surely choose to withdraw them from the market and the shelves and stop production.
The recommended strategy for The Coca-Cola Company is to stop further investment in this business and keep operating this strategic business unit as long as its profitable. Analytical tools like BCG, a Boston Consulting Group evaluation of relative market share position and industry sales growth rate, and grand strategy matrix, a four-block model that recommends strategies based on. Gender of the Respondent Frequency Male 30 Female 20 Total 50 60% 40% Frequency Male Female 3rd Qtr 4th Qtr Q2. Characterizing the market is a significant pre-imperative for a better understanding of the portfolio position. The market is an ever-expanding one. The recommended strategy for Coca-Cola is to undergo market penetration, where it pushes to make its product present on more outlets.