The Coca-Cola Company: Market Based Management and Value Driven Management Strategies

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Introduction The Coca-Cola Company was founded in 1892. Since its inception, the organization has seen a steady increase in its market share over the years, and to this day has operations in over 200 countries worldwide. To achieve such success in its competitive market, Coca-Cola has employed sound strategies that have helped it become among the leaders in its industry. The Coca-Cola Company utilizes Market Based Management (MBM) techniques as well as Value Driven Management (VDM) techniques within the organization and in its market to help the firm sustain its stronghold of the market. Market Based Management is premised upon a free market system, as described by Jones and George (2014). The principle is based around pleasing the customer by meeting supply with demand. It is imperative to be able to understand the market, and then to react accordingly to the market. These customer-centric values are essential to organizational success in the short-term and long-term (Wenstein, 2012). The values in MBM are integrated into Value Driven Management values because the common denominator between the two is ultimately to add value over time. Any variable that increases customer satisfaction, in turn adds value over time to an organization. According to Pohlman (1995), the purpose of Value Driven Management is for employees to consider the implications, positive and negative if any, of how certain proposed actions or decisions will affect the respective organization over time. VDM was constructed as a more encompassing approach to building a successful organization. In this context, employees consist of all leadership, management, and staff because they all share those same responsibilities in a broad manner (Pohlman, 1995). ... ... middle of paper ... ...nd Customer Partnerships. (n.d.). Coca-colacompany.com – Our Company. Retrieved November 20th, 2013, from http://www.coca-colacompany.com/our-company/suppliers/supplier-and-customer-partnerships Guffey, M. E., & Loewy, D. (2010). Business communication: Process and product. Mason, OH: South-Western/Cengage Learning. Jones, G. R., & George, J. M. (2011). Contemporary management. (7 ed.). New York, NY: McGraw-Hill. McComb, S., Schroeder, A., Kennedy, D., & Vozdolska, R. (2012). The five Ws of team communication. Industrial Management, 54(5), 10-13. Barker, R. T., & Gower, K. (2010). Strategic Application of Storytelling in Organizations: Toward Effective Communication in a Diverse World. Journal Of Business Communication, 47(3), 295-312. Weinstein, A. (2012). Superior customer value: strategies for winning and retaining customers (3rd ed.). Boca Raton, FL: CRC Press.

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