Coca-Cola is among those international companies that have succeeded in the international business. The company deals with more than 400 brands which it sells to more than 200 countries (Foster, 2012). It has been able to choose strategies that have made it reap many benefits. The success of any company in the international market depends mainly on the strategies it chooses and implements. The multinationals admit that choosing the international strategies which will give a company a competitive advantage remains to be a critical challenge. Going international involves a lot of considerations because at times it may require one to change his or her products to fit the new markets tastes and preferences. Therefore, before choosing a strategy, more research should be done so that the best decisions can be made. This part of the paper discusses the international strategy adopted by Coca-Cola Company.
International strategies adopted by Coca-Cola The company decided to use differentiation strategy among other strategies to competitively compete with other companies in different countries. Differentiation strategy refers to a marketing technique that manufacturers use to ensure they establish a strong identity in the specific market. The manufacturer decides to differentiate his or her product through branding and cost leadership. A brand is a name, sign or a symbol or a combination of them, which are meant to help the buyer identify the product of a particular seller or group of sellers from those of other sellers (Foster, 2012). Branding in the international market is critical because it helps in confirmation of the company’s credibility, connecting the company’s product to the targeted consumer, establishing consumer loyalty, motivating consumers and helps in delivering the message clearly to the consumer. For example, assuming we have a soda company that offers a decaffeinated soda, a decaffeinated diet soda, a diet soda and regular soda, all offered under one brand name, and this is the use of differentiation strategy. In a situation like this, each type of soda is distributed to different market depending on the market demand.