Competitive Strategy

Competition is inevitable for businesses. These are due to the availability of many entrepreneurs transacting same goods and services since they view the business as attractive and with huge profits. Therefore, a firm must be competitive to attract more customers who will, in turn, increase their profit margin (Wagner III, and Hollenbeck, 2014). There is a guarantee of the perpetual existence of the business in the market. Stakeholders and managers must ensure that the firms meet the needs of the customer adequately to secure market of its goods and service. Customers are the critical people for enterprises and managers must strive always to make their needs satisfied. Happy customers will return for more goods and services from the firm and also help its marketing. Business must have a competitive edge in the market to be successful. Companies always use the ‘Blue Ocean’ strategy as a competitive strategy to avoid competition (Kim, and Mauborgne, 2014). It aims at firms identifying ‘blue oceans’ which are areas without competitors and then starting their businesses in those areas. These make the firms have no competitors thus increasing the market of its sales. These reports will focus on Coca-Cola Company which is in the food and beverage industry and look for the ways the management makes it have a competitive advantage in the market. 

Coca-Cola Company is located in Atlanta in America and the largest firm in the beverage sector but with Pepsi as the major competitor. The company management is qualified to ensure the decisions made make it successful. The high group sales are as a result of many reasons such as foreign direct investment. These means the ability of a firm to invest in the international market with the aim of making more sales. Coca-Cola has branches many countries, and this makes the business has attracted a large market base. The firm has quality products that meet the customers’ needs. These have been achieved by employment of qualified employees as it has a global pool to source them. It has also invested in research making it adapt to the changing business environment.

The company has invested heavily in its business and brands in the market. Marketing of the Company is superb. The company products are known by all potential customers globally due to the vigorous advertisement.  The brands are customized to meet the customers’ needs fully thus a great source of attraction of the firm’s products and services. Over the years the company has put more emphasizes on its core business and this makes the firm not divulge from its goals thus assurance to the customer of better quality products. Employees are the persons involved in the execution of the company’s business, and Coca-Cola Company offers continuous training to ensure they are updates of new business changes (Rothaermel,, 2016, pp. 233-256).

Finally, business requires joint efforts of all the persons to succeed, i.e., stakeholders and the employees. Decision-making must be properly researched and the merits greater than the demerits for them to be adopted. Competition has been a reason for many business failures, and managers must be creative and innovative to find ways of ensuring the firm is competitive in the market. However, the ways must be legally accepted in the business sector (Madsen, and Walker, 2015).

References

Kim, W.C. and Mauborgne, R.A., 2014. Blue ocean strategy, expanded edition: How to create uncontested market space and make the competition irrelevant. Harvard business review Press.

Madsen, T.L. and Walker, G., 2015. Modern competitive strategy. McGraw Hill.

Rothaermel, F.T., 2016. Competitive Advantage in Technology Intensive Industries. In Technological Innovation: Generating Economic Results (pp. 233-256). Emerald Group Publishing Limited.

Wagner III, J.A. and Hollenbeck, J.R., 2014. Organizational behavior: Securing competitive advantage. Routledge.