Review The Five Building Blocks Of A Learning Organization Then Choose Which One Coke Focus On To Capitalize On Trends, And Why?
Assignment Question:
Globalization is an emerging force in business today. Read the case study about “Globalization and The Coca-Cola Company” located in the Reading Assignment
In Section 3.4, the text discusses the “Top 5 Challenge Trends” and “Top 5 Solution Trends.” Select one challenge and one solution trend which you believe is most applicable to Coke’s situation today. Describe how these trends apply to Coke. In Section 3.3, read about the five building blocks of a Learning Organization. Which one of the five building blocks should Coke focus on to capitalize on the trends you selected. Why?
Be sure that your Learning Journal entry is a minimum of 500 words.
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Assignment Answer:
Globalisation is truly an emerging force in business today. The world has become a global village, and a company that doesn't think globally is at risk of being totally wiped out.
Unlike in previous decades when a company's competition was the company at the other side of the street, now a company's competition could be a tiny little company several continents away.
In today's world, companies often face similar challenges which in turn makes people come up with matching solutions to fix the challenges.
Thereby creating; Challenge Trends and Solution Trends.
The Challenge Trends are: Increasing Concern for the Environment, Greater Personalization and Customization, Faster Pace of Innovation, Increasing Complexity, and Increasing Competition for Talent.
While The Solution Trends are: Becoming More Connected, Becoming More Global, Becoming More Mobile, Rise of the Creative Class, and Increasing Collaboration.
(Management Principles (v. 1.1). Chapter 3: History, Globalisation, and Value-based Leadership. Page 141).
Among the five stated Challenge Trends the most applicable to Coca Cola's situation today is: Greater Personalization and Customization.
Among the listed Solution Trends, the trend I would say is most applicable to Coca Cola's situation today is: Increasing Collaboration.
The Challenge Trend; Greater Personalization and Customization applies to Coke's situation today because as people complain about Coke's products containing too much sugar, it is a matter of people wanting different things.
As Coca-Cola has done, they have created a diverse product range that appeal to the difference desires of customers.
They should do more in this area and make it clear that Coca-Cola is not a company that creates only a certain type of product that is generally deemed unhealthy, but a company that creates a vast array of products for every type of customer need; from healthy products to products that contain too much sugar (which they are generally known for).
Coke must change the mind of the customer towards the company.
The customer shouldn't see Coca-Cola as a company that sells unhealthy beverages or a company that sells healthy beverages.
They should be seen as a company that produces customised product brands for difference target audiences and individuals.
No matter who you are or what you like to consume, Coca-Cola should have something for you.
That is the way Coca-Cola should ensure people see them.
As for Solution Trends.
The Solution Trend; Increasing Collaboration applies to Coke's situation today because to address its challenges of people seeing it as a company that sells only unhealthy beverages. It should collaborate with people as well as government bodies and health organisations that pose a threat to its profit margin.
Working together with these people who strongly raise concerns against the company, Coca-Cola should create product brands that meets whatever criteria these people demand as long as they are willing to buy what they say they're asking for.
Coca-Cola is already moving in this direction by creating product brands that meet the standards of government health organisations that posses the power to restrict its product distribution or entry into certain countries.
However, Coca-Cola should do this more and even employ some of its vocal enemies as brand ambassadors after it creates brands that meet the criteria the people are protesting and complaining about.
In countries where the government don't want sugar loaded in the beverages the people consume, Coca-Cola should completely forgo trying to get its popular sugary brands into those countries. It should just focus on only its not sugar product brands penetrating and dominating such countries.
It is not a loss that its more sugary product brands could not enter and conquer such countries.
Profit is profit. It is actually to Coca-Cola's advantage that the people in such countries are giving only what they want; not all that the Coca-Cola product range has to offer.
Among the five building blocks of a Learning Organization. (Management Principles (v. 1.1). Chapter 3. Section 3.3. Page 137).
To capitalize on the trends I selected, Coke should focus on: Systematic Problem Solving.
Coke should focus on Systematic Problem Solving because the company must use statistics and data to continually be aware of what people want and the best ways to give them what they want on a consistent basis.
So even before a significant group of people arise with a desire to consume something different from what the company traditionally produces and also protest against what the company traditionally produces for whatever new reason they uphold to lead people away from buying the company's products. The company will already have a product for such people to consume that fits their niche demands because the company has always had it's eyes on data.
It is this Systematic Problem Solving approach that will keep Coke profitable; no matter what happens in the future.
References:
Globalization and The Coca-Cola Company. Retrieved from
https://my.uopeople.edu/pluginfile.php/473329/mod_book/chapter/184013/Unit%203%20Case%20Study%20-%20Globalization%20and%20Coca%20Cola.pdf?time=1554921373467
Management Principles (v. 1.1). Chapter 3: History, Globalisation, and Value-based Leadership.
Coca-Cola Company (2012). Wikinvest. Retrieved December 11, 2012.
http://www.wikinvest.com/stock/Coca-Cola_Company_(KO)