Environmental Factors Paper

Essay by njg429University, Bachelor'sA-, September 2007

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IntroductionI geared this paper on Coca-Cola because of my interest on a previous paper I wrote for this marketing class; Promotion and Price Analysis: Pepsi-Cola. As I wrote the paper on Pepsi I became interested on both products since the have been major competitors since the early 1900's and still remain the two top cola drinks on the consumer products market today. This paper will cover Coca-cola's domestic and global market as well as the importance of social responsibility and ethics impact the brand.

Coca-Cola's marketing began in China and opened its first bottling plants in Shanghai and Tianjin in 1927. A third plant opened in Qingdao in 1930. After a 30-year absence from the country, The Coca-Cola Company re-entered China in 1979, following the re-establishment of relations between China and the United States. Coca-Cola was the first American consumer product to return to China. (Coca-cola.com)Environmental FactorsOne environmental factors faced in the first few years was sales.

Sales were actually higher in smaller more exclusive markets than that of the larger cities and retailers. Coco-cola embarked on an aggressive marketing campaign. Another factor was the distribution to the retailers; some of the smaller locations required hours of travel on over rutted dirt roads, this presented a logistical challenge. In addition tracking of sales was hard in these regions. The company hired over thousands of sales representatives to make regular visits and monitor the amount of product being sold and in what locations. This information was then entered into data banks that compiled all of the information and the company could track the information. Environmental factors can be political, social, ecological, cultural, technological and ethical in nature. Coca-cola must consider what the impact each of these factors may have for them. Not considering these factors can result in the...