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Thispaper is about the external influences and the impact on coca cola.This company is based in the United States of America the company isone of the leading in the beverage industries worldwide(sCARYSFORTH, &amp NEILD 2004).It is leading in making of the soft drinks where it operates in morethan two hundred countries in all the continents, and it has licensedand patented more than five hundred brands of the soft drinks or thenonalcoholic beverages. Coca-Cola is as well the most cherishedproduct in the world. Coca-Cola is an internationally knownsuccessful business. The Coca-Cola was established in May of 1886,besides it carries on beyond a century over the times of war andpeace, success and misery and financial prosperous as well as bust.Coca-Cola remained one of the most valued businesses in the world,constructing, and recognized as a very active management group.Subsequently in 1998, the company has been harassed by internalweaknesses and external dangers. The paper will examine the externalinfluences on its impact of activities outside its operation in itthe company of origin.

Externalinfluences on the company

Theouter results from the business situation are those external thecontrol of a corporation’s executives. The executive can merelyrespond to outside forces in methods that confidently give theindustry a benefit over its rivals if the rival is also sluggish toreact. Some of the most significant external effects are economic,geographic, culture, legal or political, and competition.


Thecompany has many major competitors, both domestically andinternationally. The three principal rivals of the enterprise arePepsi, Red Bull, and Lucozade. Beside these rivals, they are othersmall competitors, for instance, the Tango and other brands from thesmall supermarket such as the Safeway Cola and Tesco cola that arefrom the domestic market or within the United States of America. Allthese, national and international, competitors affect the running ofthe company since they are struggling to put the company out ofbusiness. Even though the business still has the competition sinceits consumers have the freedom of choice and preference for thebeverage brand, they want to purchase(Browne, 2001).For instance, the majority of the sportsmen buy Lucozade since it ismade to give more energy as compared to Pepsi and Coca-cola or theywill go for Pepsi because it has an equivalent of coca cola while theRed Bull brand is believed to give more energy just like the Lucozadebrand. The customers especially from other countries where thecompany sells its brands have the option of selecting many productsas well as the beverages that make the company have a declinedmaximum sale. Despite the company dominance as the leading seller ofthe brand, the rivals are trying to make them more vulnerable,particular in other countries. Making them weaker reduces the impactof the company in its strongholds. For the company to stay in thebusiness, it has to devise new invent of ideas for them to continuesits dominance in the international market.


enterpriseThechanges of the regulation in the various company have its effect suchas the nutritional information on the packaging as well as thechanges in the rate of exchanges causes loss to the Coca-Cola companyonce the enterprise carries its trade in the market outside theUnited States of America as well as the origin of the materials.Altering of the income systems or the taxation cooperation in theoutside market upsurge the taxes that adversely have consequences onthe financial position of the company. Reforms of the taxationsystems of different countries negatively influence the result of thecommercial sales of the enterprise.


Thisrefers to the consequences of the location of the business. Theposition of an industry can be a significant influence(Vandeveer &amp Menefee, 2006).This can be both overall and precise. Company setting in the AsiaPacific area, for instance, gives various coca cola productionsaccess to quickly rising markets in China and India. The company hasa competitive benefit over businesses in remote regions for thereason that transport prices are lower. These are all instances ofthe effect of geographic impacts.


Thecompany takes the advantage of the existence of the touches it has oneveryone in more than two hundred countries(Wall, 2002).The belief of the company from the international ideals is founded onthe local, the international influences, and the insight. It takesthe duties for giving a broad range of quality in term of thebeverages brands it has over those countries, with a reason formaking the consumers enjoyable over the selection of therefreshments. Despite the strong culture that the company possesses,the upsurge of the interest from the users over their lifestyleconcerning the information on the nutrition such as sugar and fatcontents affects the business because many refuses to buy due to theproportional of the fat/sugar content.


Recessionin most regions where the company has its market, especially the UKrecession of 2010 had a positive impact on the company’s salesregarding the retail (Daniels, Radebaugh &amp Sullivan,2015). Duringthis time, the sales of the company went to one billion euros. Thisrecord was experienced for the first time as the company had combinedsales of its three brands. A loss of self-reliance all over the worldafter the global financial disaster affected the company. Individualsbecame worried about the upcoming. Occasionally people are forced tofocus on the future when the upsurge company charges to sluggish theupsurge in spending, but, this time, people were terrified they mightbe unable to find their jobs because of the worldwide economiccrisis.


Browne,D. J. (2001).&nbspHeinemannbusiness studies for AS level.Oxford: Heinemann.

Wall,N. (2002).&nbspExternalinfluences.Oxford: Heinemann Educational Books – Secondary Division

CARYSFORTH,C., &amp NEILD, M. (2004).&nbspBusiness.Oxford, Heinemann.

Vandeveer,R. C., &amp Menefee, M. L. (2006).&nbspHumanbehavior in organizations.Upper Saddle River, NJ: Pearson Prentice Hall.

Daniels,J. D., Radebaugh, L. H., &amp Sullivan, D. P. (2015). Internationalbusiness: Environments and operations (15thed.) [VitalSource version]. Retrieved from https://online.vitalsource.com/#/books/9780133457339

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