Coca-Cola FEMSA's Contribution to Peace Description
In 2003, the FEMSA Corporation -a Mexican company- acquired 100% of the shares of the largest franchise of the Coca-Cola system in Latin America (PANAMCO), and placed itself at the lead of the sales of carbonated beverages and other soft drinks in different countries of South America, including Colombia, which had been struggling with armed groups since the 1970s. This case explores how Coca-Cola FEMSA included different initiatives in its sustainability strategy, aimed at supporting the process of peaceful demobilization that would be carried out by the Alta Consejeria para la Reintegracion (ACR, High-Council for Reintegration) of the Colombian Government. As part of this disarmament process, the ACR offered the demobilized combatants (former combatants that had decided to lay down their arms peacefully and turn themselves in to the proper authorities) different options for social reintegration, such as financing for starting new businesses and connections with companies that could provide jobs, among other things, which were also shared with the business sector to see how it could help support the process. By August 2011, Coca-Cola FEMSA had already been collaborating with the Colombian Government for a little over three years, and had diversified its initiatives to support not only the former combatants, but also the soldiers, victims and general public affected by the conflict. Despite these multiple efforts, however, the actual impact of the company's actions on the solution of the problem of reintegrating more than 50,000 demobilized combatants was still negligible. Therefore, the ACR requested greater commitment from the company in the form of a massive campaign to broadcast the initiatives, in an attempt to motivate and increase the number of participating companies.
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Case Analysis of Coca-Cola FEMSA's Contribution to Peace
Coca-Cola FEMSA's Contribution to Peace is a Harvard Business (HBR) Case Study on Strategy & Execution , Texas Business School provides HBR case study assignment help for just $9. Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. Coca-Cola FEMSA's Contribution to Peace is designed and drafted in a manner to allow the HBR case study reader to analyze a real-world problem by putting reader into the position of the decision maker. Coca-Cola FEMSA's Contribution to Peace case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. Coca-Cola FEMSA's Contribution to Peace will also provide insight into areas such as – wordlist , strategy, leadership, sales and marketing, and negotiations.
Case Study Solutions Background Work
Coca-Cola FEMSA's Contribution to Peace
case study solution
is focused on solving the strategic and operational challenges the protagonist of the case is facing. The challenges involve – evaluation of strategic options, key role of Strategy & Execution, leadership qualities of the protagonist, and dynamics of the external environment. The challenge in front of the protagonist, of Coca-Cola FEMSA's Contribution to Peace, is to not only build a competitive position of the organization but also to sustain it over a period of time.
Strategic Management Tools Used in Case Study Solution
The Coca-Cola FEMSA's Contribution to Peace case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.
Texas Business School Approach to Strategy & Execution Solutions
In the Texas Business School, Coca-Cola FEMSA's Contribution to Peace case study solution – following strategic tools are used - SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.
We have additionally used the concept of supply chain management and leadership framework to build a comprehensive case study solution for the case – Coca-Cola FEMSA's Contribution to Peace
Step 1 – Problem Identification of Coca-Cola FEMSA's Contribution to Peace - Harvard Business School Case Study
The first step to solve HBR Coca-Cola FEMSA's Contribution to Peace case study solution is to identify the problem present in the case. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Combatants Acr is facing right now. Even though the problem statement is essentially – “Strategy & Execution” challenge but it has impacted by others factors such as communication in the organization, uncertainty in the external environment, leadership in Combatants Acr, style of leadership and organization structure, marketing and sales, organizational behavior, strategy, internal politics, stakeholders priorities and more.
Step 2 – External Environment Analysis
Texas Business School approach of case study analysis – Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the Coca-Cola FEMSA's Contribution to Peace.
The external environment analysis of Coca-Cola FEMSA's Contribution to Peace will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm.
What is PESTEL Analysis? Briefly Explained
PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Coca-Cola FEMSA's Contribution to Peace case study. PESTEL analysis of " Coca-Cola FEMSA's Contribution to Peace" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.
How to do PESTEL / PEST / STEP Analysis? What are the components of PESTEL Analysis?
As mentioned above PESTEL Analysis has six elements – political, economic, social, technological, environmental, and legal. All the six elements are explained in context with Coca-Cola FEMSA's Contribution to Peace macro-environment and how it impacts the businesses of the firm.
How to do PESTEL Analysis for Coca-Cola FEMSA's Contribution to Peace
To do comprehensive PESTEL analysis of case study – Coca-Cola FEMSA's Contribution to Peace , we have researched numerous components under the six factors of PESTEL analysis.
Political Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Political factors impact seven key decision making areas – economic environment, socio-cultural environment, rate of innovation & investment in research & development, environmental laws, legal requirements, and acceptance of new technologies.
Policy Making Impact on Coca-Cola FEMSA's Contribution to Peace
Government policies have significant impact on the business environment of any country. The firm in “ Coca-Cola FEMSA's Contribution to Peace ” needs to navigate these policy decisions to create either an edge for itself or reduce the negative impact of the policy as far as possible.
Data safety laws – The countries in which Combatants Acr is operating, firms are required to store customer data within the premises of the country. Combatants Acr needs to restructure its IT policies to accommodate these changes. In the EU countries, firms are required to make special provision for privacy issues and other laws.
Competition Regulations – Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. Coca-Cola FEMSA's Contribution to Peace has numerous instances where the competition regulations aspects can be scrutinized.
Import restrictions on products – Before entering the new market, Combatants Acr in case study Coca-Cola FEMSA's Contribution to Peace" should look into the import restrictions that may be present in the prospective market.
Export restrictions on products – Apart from direct product export restrictions in field of technology and agriculture, a number of countries also have capital controls. Combatants Acr in case study “ Coca-Cola FEMSA's Contribution to Peace ” should look into these export restrictions policies.
Foreign Direct Investment Policies – Government policies favors local companies over international policies, Combatants Acr in case study “ Coca-Cola FEMSA's Contribution to Peace ” should understand in minute details regarding the Foreign Direct Investment policies of the prospective market.
Taxation & Regulation Impact on Coca-Cola FEMSA's Contribution to Peace
Corporate Taxes – The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Corporate taxation can be divided into two categories – taxes on profits and taxes on operations. Taxes on profits number is important for companies that already have a sustainable business model, while taxes on operations is far more significant for companies that are looking to set up new plants or operations.
Tariffs – Chekout how much tariffs the firm needs to pay in the “ Coca-Cola FEMSA's Contribution to Peace ” case study. The level of tariffs will determine the viability of the business model that the firm is contemplating. If the tariffs are high then it will be extremely difficult to compete with the local competitors. But if the tariffs are between 5-10% then Combatants Acr can compete against other competitors.
Government Scheme & Subsidies Impact on Coca-Cola FEMSA's Contribution to Peace
Research and Development Subsidies and Policies – Governments often provide tax breaks and other incentives for companies to innovate in various sectors of priority. Managers at Coca-Cola FEMSA's Contribution to Peace case study have to assess whether their business can benefit from such government assistance and subsidies.
Consumer protection – Different countries have different consumer protection laws. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them.
Political System & Stability, and its Impact on Coca-Cola FEMSA's Contribution to Peace
Political System and Its Implications – Different political systems have different approach to free market and entrepreneurship. Managers need to assess these factors even before entering the market.
Freedom of Press is critical for fair trade and transparency. Countries where freedom of press is not prevalent there are high chances of both political and commercial corruption.
Corruption level – Combatants Acr needs to assess the level of corruptions both at the official level and at the market level, even before entering a new market. To tackle the menace of corruption – a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm.
Independence of judiciary – It is critical for fair business practices. If a country doesn’t have independent judiciary then there is no point entry into such a country for business.
Government attitude towards trade unions – Different political systems and government have different attitude towards trade unions and collective bargaining. The firm needs to assess – its comfort dealing with the unions and regulations regarding unions in a given market or industry. If both are on the same page then it makes sense to enter, otherwise it doesn’t.
Economic Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Social Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Technological Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Environmental Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Legal Factors that Impact Coca-Cola FEMSA's Contribution to Peace
Step 3 – Industry Specific Analysis
What is Porter Five Forces Analysis
PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Coca-Cola FEMSA's Contribution to Peace case study. PESTEL analysis of " Coca-Cola FEMSA's Contribution to Peace" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.
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