External/Internal Factors Paper (Coke)Plenty of factors, both internal and external impact the planning function for management within an organization. Regardless of size, age, revenue, product, or service, planning is the most fundamental and important component for management. By no means is the Coca-Cola Company an exception. Arguably, Coca-Cola is one of the most recognized, most popular, as well as the biggest-selling soft drinks in history. Synonymous for Coke, the company produced nearly 550 million servings in 2007 selling other brands such as Sprite, Dasani, Bacardi, Fanta, Minute Maid, and Powerade generating a net operating revenue of $28.9 million. (Isdell, 2007). This paper will examine 5 major internal and external factors that impact managerial planning: Rapid change, Globalization, Technology, E-business, and Ethics. In addition, will explain how managers can use delegation to manage the impact that these factors have on the four functions of management.
Rapid changeGlobalizationIn a literal sense, one can simply define globalization as international integration; to take a product or service across oceans and cross cultures.
The Coca-Cola brand has been built up for over a century and is recognized in over 300 countries. Nearly all corporate executives wish to take their product global. Essentially, well planned and well managed globalization creates name recognition and generates revenue.
Becoming a small fish in a gigantic pond creates a new series of problems. There is no such thing as a local problem in a global market. A problem overseas can spread like wild fire scaring stock holder and investors around the world.
In 1999 Coca-Cola experienced the flip side of globalization. The soft drink giant was hit with a heath scare that rocked Europe. France, Luxembourg, Belgium, and the Netherlands pulled cans off its shelves after reports of possible contamination. Consumer problems that had started in Belgium raced around the...