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SWOT Matrix Analysis: Internal Factors (Strengths and Weaknesses)

Coca Cola has strengths such as a strong distribution network, low-cost structure, and skilled workforce. However, it has weaknesses like potential health issues from products, low spending on R&D, and high employee turnover. Opportunities include increasing social media users, rising incomes, and demand for eco-friendly products. Threats are new entrants, higher fuel costs, more competition, and substitutes. The SWOT matrix analyzes how Coca Cola can leverage strengths to seize opportunities or defend against threats, and mitigate weaknesses by addressing opportunities or threats.

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Lara Cabungcal
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2K views

SWOT Matrix Analysis: Internal Factors (Strengths and Weaknesses)

Coca Cola has strengths such as a strong distribution network, low-cost structure, and skilled workforce. However, it has weaknesses like potential health issues from products, low spending on R&D, and high employee turnover. Opportunities include increasing social media users, rising incomes, and demand for eco-friendly products. Threats are new entrants, higher fuel costs, more competition, and substitutes. The SWOT matrix analyzes how Coca Cola can leverage strengths to seize opportunities or defend against threats, and mitigate weaknesses by addressing opportunities or threats.

Uploaded by

Lara Cabungcal
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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SWOT Matrix Analysis

Strengths Weaknesses
Internal Factors
1. Coca Cola has a Strong Distribution 1. Coca-Cola addiction may cause
(Strengths and network with a large number of health-related problems.
Weaknesses) outlets. 2. Low amounts of spending on
2. It has a low-cost structure, which research and development as
provides it with an advantage over compared to the competition.
the competition. 3. It has a high employee turnover rate,
External Factors
3. It has a skilled labour force that is with low employee motivation and
(Opportunities
highly qualified, innovative and working morale.
and Threats) diversified.
4. Coca-Cola’s bottling system
Opportunities Strengths- Opportunities Strategy Weaknesses- Opportunities Strategy
1. Social media users are increasing
worldwide. Develop environmentally friendly Increase salaries, provide incentive packages
2. Household income is increasing and products through innovation, at a low and benefits to employees to reduce turnover
so is the consumer spending. Inflation cost so that they could be sold at a low and improve work morale. This could be
in the economy is expected to remain price (S2, S3, O3). possible as costs are low currently. (W3, O2)
low.
3. Growth in environmentally friendly Use their bottling system for brand
products and services. Government is recognition.(S4, O4)
offering subsidies on these.
4. Brand recognition is the significant
factor affecting Coke’s competitive
position
Threats Strengths- Threats Strategy Weaknesses- Threats Strategy

1. There is a threat of new entrants Use a strong distribution network to reach out Increase spending on research and development
coming into the market. to customers and fight off new entrants into the to enable Coca Cola to better compete with
2. Fuel price has risen in recent years market (S1, T1). competition (W2, T3).
making inputs expensive.
3. Competition within the industry is Use its innovative teams to find cheaper Provide incentives, increase engagement, or
increasing. alternatives to fuel so that these could be used, provide a better work environment to retain
4. More substitute products are now thereby reducing costs (S4, T2). talent. This will ensure that employees don’t
available. leave and join competitors (W3, T3).

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