Macro Environment

The Macro environment is translated as a range of forces, which affect not only Coca Cola$$s dynamic but also the factors within the microenvironment. Coca$-$Cola applies the PEST strategic analysis tool before the SWOT analysis in order to measure and asses the market.

PEST analysis

Economic forces

In the era of the global economic crisis and rising inflation, production costs are going up $($Cooley$,$ Hansen, $1989).$ Coca$-$Cola has to deal with the given problem either by increasing its prices or by maintaining them, with a less favorable profit. This creates a crucial dilemma for the company because consumers do not meet the need for survival but the desire. For instance, a bottle of Coca$-$Cola $1,5$lt in $2002$ was costing $0\mathrm{.}99$ while today, after $11$ years of increased inflation, the identical bottle costs almost the double price $1\mathrm{.}80.$ It is true that economic forces promptly affect the price.

Technological forces

Coca Cola looks very carefully at customers' feedback and invests in their needs for many years, giving the company a human$-$centric character. With technology facilitation, Coca$-$Cola creates unique collectible bottles in various shapes as well as sizes and provides them to consumers' through digital events. At the same time, the company creates an online store through which it sells its products at all points of the planet where the Internet can reach. Finally yet important, Coca$-$Cola enters the music industry in collaboration with Spotify, providing its customers with music on demand and the ability to connect with those who love the same type of music around the world $($Coca Cola, $2013).$ Consequently, each digital consumer automatically connects Coca$-$Cola with technology and the music industry and the product launches concerning recognition and sales. Technological developments affect the product with regard to its form, shape and size not to mention brand awareness.

Micro environment Company

Coca$-$Cola is a company with rich and long history. The first drink was created in a Coca$-$Cola is a company with rich and long history. The first drink was created in a industry. With its rich history and strong working ethic, Coca$-$Cola has become one of the most beloved and recognizable companies in the world. In this way, Coca$-$Cola affects the promotion.

Suppliers

It is for granted that suppliers directly affect the product in all its aspects, from the manufacturing to the packaging. They play crucial role concerning the product because they provide resources and raw material to the company. According to Coca$-$Cola $(2013),$ a $$sound$,$ stable and ethical supply" are vital to continued success.

Competitors

As in every industry of the economy, there is also competition in beverage. Competitors affect several areas of the business, such as the quality, the promotion, but above all the price. Determining the price of the product based on competition combined with its unique quality make Coca$-$Cola affordable, indelible in mind, and sometimes essential for every consumer.

Customers

Coca Cola has a huge distribution network to satisfy its customers. The company, in order to optimize its distribution network, acknowledges as targeted customers international retail chains and restaurants. At the same time, the company provides them a training program for more efficient and profitable entrepreneurship that is called $$Customer Development and Training$.$ For Coca$-$Cola $(2013),$ customers affect the place of $4$Ps$.$

Questions

$1.$Explore the impact of external macro$-$environmental forces, such as political, economic, social, and technological factors, on Coca$-$Cola's marketing strategy.

$2.$ Evaluate the role of suppliers, competitors, and customers as key elements of Coca$-$Cola's microenvironment.

$3.$ Consider the role of technological forces in shaping Coca$-$Cola's product development and consumer engagement.

$4.$ Discuss the ways in which Coca$-$Cola adapts to social, cultural, economic, political, and technological forces in its marketing efforts.