P1 – Coca cola Coca cola was originally designed by John Pemberton

P1 – Coca cola
Coca cola was originally designed by John Pemberton, in 1886 where he designed it to become his money maker in the up and coming soda market. However, he didn’t know how to advertise therefore he employed his partner Frank M. Robinson, despite this they were still unable to make a lot of sales. After John Pemberton passed away the company was bought by Asa Griggs Candler, who led the company to financial success and to the top of the soda market.
After this the company sold it licenses throughout the world. This allowed it to become a Public limited company, there are two different types of sections called ‘Private limited company (ltd)’ and the ‘public limited company (PLC) ‘ a private limited is a type of company which limits the number of shareholders to 50, an advantage of this is as they have limited liability, if they were to be in financial trouble, their shareholders would not risk losing personal assets.
Additionally, a public limited company sells its shares on the stock exchange publicly which means members of the public and institutional companies can purchase their shares, giving revenue to the company. An advantage of this is it gives the company better access to capital, however a disadvantage of being a public limited company is the financial market determines the value for your company through trading company shares, which could under value your company entirely such as snapchat. Furthermore, the Company has a huge turnover every year, as they are the world’s most popular soft drink provider in the world, they can mass produce and distribute their product all over the world, and with this they are able to make massive revenue of $12.16 billion.
Today the CEO of coca cola is British business man James Quincey, who is surrounded by a team of experts such as Muhtar Kent, chairman of coca cola. However, despite him being CEO of Coca cola, he doesn’t own the company instead he just leads and directs the team and money which is constantly being invested into the company by investor such as Warren Buffett. Anyone can own a share of coca cola if they buy into the stocks of the company as the company is a PLC which stands for Public Limited Company.
Purpose
The overall purpose of coca cola is to make profit, which the original designer, John Pemberton, designed it for as he was a failing pharmacist which needed money. With profit in mind, they say their mission is to refresh the world in mind, body and spirit, which has sold onto many people making coca cola the most popular beverage consumed worldwide.
They have also invested and bought many companies such as “Fanta” and “FUZE Beverages” which has given them other purposes as those companies rely on the financial backing of coca cola to succeed.
The company also has a large charity organisation called “The coca cola Foundation” which believes in building more stable and better local economies, it has invested more than $820 million to enhance the sustainability of local communities worldwide. The charity believes in empowering Women worldwide allowing them to have a voice in communities where men are the most dominant gender also they supply clean water, which is easy to access to local communities which lack the basic needs to survive furthermore, they care mostly on the well-being of youth by building schools and youth centres which give education and youth development to everyone in the community empowering them to achieve more.
Coca cola is in both the tertiary and secondary business sectors, being a part of the secondary sector involves manufacturing and assembly of the product, which coca cola is able to do across the world, by having many factories across the world it is able to mass produce bottles and make the product for very cheap, additionally, alongside this the company is also in the tertiary business, alongside actually making the product and distributing it , the company also needs to be able to sell and advertise in order to get those sales coming into their business, which companies in the tertiary business are involved in doing , the commercial services that support the production and distribution of a product.
Coca cola operates globally, as coca cola is operating on such a large scale due to its popularity and success rate, with operating on such a large scale it comes with a lot of benefits as when producing and manufacturing or buying in bulk it becomes much cheaper the company to purchase and produce, which is an example of economic scale allowing for the company to make a lot more profit.
D1-
A stakeholder is a person with an interest or concern in a business, stakeholders provide revenue for a company, allowing them to expand and investment making their company larger, the shareholders gain a dividend annually as a reward for their investment into the company.
A business has both internal and external stakeholders, internal stakeholders include managers, employees and owners, which can each take a cut of the business such as the owner who has the highest cut of the stake, the owners also are able to decide what happens to the business
Coca cola engages with their stakeholders by providing day to day interactions, with this they can discuss joint business plans. Additionally, they have annual meetings where they report quarterly earnings and webcast.
As Coca cola is a public limited company, the public and organisations can purchase a share into the business if they hold an interest into the company. Billionaire Warren Buffett is the largest shareholder of coca cola with his investing company Berkshire he holds 400 million shares is 9.1% valued at $16.5 billion. With this the shares that warren Buffett owns in coca cola it has earned him a staggering $15.4 billion profit, he has held this stock for more than 25 years. Warren buffet influence the business as since he is the largest shareholder into the company his money is usually the money being used to fund ongoing projects, therefore the company must ask him whether he thinks it is a good idea to go through with the plan
Another example is the Customers can influence the business, they do this by buying the product, or they could completely boycott a product to protest the product showing the company that they completely hate it, they can also leave reviews on their page to leave good or bad reviews.
Furthermore, there are other internal stakeholders such as the supplier, within coca cola the supplier is also a stakeholder, again this hold benefits as well. Suppliers are the people within the company who deliver the goods to stores around the world where they are sold, suppliers play a massive part in the business as they are the people who drive the product, therefore this causes a conflict of interest also as if they deliver their goods on time with no accidents the shares will go up.
Governments are also external stakeholders, when the company wants to open new factories in international countries, governments want to encourage them to open factories in their third world countries as it will boost the local economy as it employs the local people who are struggling being unemployed, the factory gives them infrastructure in the local area making the area more modernised, which is why the government of that area or country will not tax them on their income, which will encourage them to set up factory in that area.
Furthermore, Governments also implement policies which protect the community and workforce for example governments place a policy where they inhibit child labour, however a business may be looking to employ younger children as they could do the same job as an adult but for much less pay, if a company was to do this they would increase their profit margins by decreasing pay of employees, the government influence hinders the profit gained for coca cola. They also place policies such as not allowing dumping rubbish, which would be much easier and cheaper for company. Governments stop business from being unethical which hinders business profits.
Employees influence the business majorly, employees are an essential component of the business as without the employees there will be no workforce to move the product forward and allow the company to develop and expand. Employees influence the business through working for the company, it is their interest to work for them with pay, this pay is their motive for work or just being employed could be their motive. With pay and a scope of being able to be promoted and be paid more, this could encourage the workforce to work harder which could gain the business an overall higher profit.
If the employees are not fully satisfied with their pay and working environment they could strike and stand up for themselves, this is a major influence as a major strike could force the business to higher their pay or make better working conditions otherwise, if the strike was to go on the news, the company could go onto major blast and the company could be under pressure and possibly fail.
Employees within a business can be stakeholders, this causes a conflict of interest as it is in their best interest that the company succeeds since this will increase the share prices which the employee owns. Employees with shares in coca cola have numerous benefits such as senior executive business updates, town hall meetings and individual development plans, this is all to ensure that the stakeholder is fully satisfied with their share into the company and is confident to keep the share
Furthermore, there are many more examples of internal stakeholders such as employees, employees in the business are stakeholders as it is in their best interest to see the business succeed as they are receiving pay. Therefore, if the employees are fully satisfied with the business and there pay, it will motivate them to work harder which will in turn earn the company more money as they work harder turning over more product.

Communities are also influencing the business, the community surrounding the factories and offices are under pressure to employ the local communities as if they don’t the surrounding area could be deprived of employment, which increases things such as crime rates, this is because when a new factory opens in a new area, the factory or office takes up a lot of space, space where many businesses were open which employed the local people.
Ensuring managers and employee stakeholder satisfaction is not that important compared to customers as the managers and employees could easily be replaced and retrained compared to customers who do not need to buy their product whereas employees may be dependent on working for coca cola.
In conclusion, the highest stakeholder is the customer, which it should be, as all a company ever does in strive to supply good quality product to the customer, influencing them to buy the product, I rank this at the top as the customer has the most overall control over how the business does as without customers buying coca cola, the company would plummet. Such as a Toys R Us which has become bankrupt due to it not being able to compete with other companies in the business such as smyths.
The second highest would be employees as a lot of the cost associated with opening a business is the labour cost, when opening a lot of factories which are used to manufacture the coca cola product, the company needs a lot of employees a lot of whom come from the local area which the factory is situated, if the employees do not want to work for low incomes they are able to protest and of course strike out on the company and demand higher wages, otherwise the company would need to find work from other potential oversees employees which may be much more expensive.
Thirdly , it would be the governments , as the governments have overall control of how a business can operate in their country, for example https://www.theguardian.com/books/2017/sep/12/amazon-pays-11-times-less-corporation-tax-than-traditional-booksellers
It shows how Amazon pays much less tax than average book sellers, much like in LEDCs where governments want to encourage business to come and setup business to improve local economy and get the locals out of unemployment.
This is the same case for companies such as Coca cola as in order to improve economies, governments need to relieve business laws and strains making it easier for companies to produce and manufacture in their company , for example, pollution laws , by capping the amount of pollution a company produces it limits the amount of product the company is able to produce, on the hand by removing a cap , it puts the power back into the companies hands and allows them to max produce, selling more and turning in more tax for the economy.
This links into the fourth in the list, the communities, communities surrounding the factories are also affected by the activities of the company, for example when coca cola produces waste when manufacturing, the waste is sometimes or accidently dumped, for example in India where coca cola has been criticised of being the centre of water shortages in various developing countries. The company has been criticised of taking the local communities water, the company has also been critiqued for environmental damage and abuse of worker rights, by properly dumping and getting rid of waste is far more expansive then dumping however and can come at a high expense for the business.
Fifthly, it would be the suppliers, I rank this low in the list as the market for things such as sugar are all the buyer’s market, what this means is that when buyers enter the market looking to buy goods, the power is with them, for example if one seller is selling too high there is always another seller looking to sell for lower, whereas if it was the sellers’ market, buyers will need to succumb to the sellers price as usually the resources or item they are looking to buy are scarce and hard to obtain therefore the seller is able to charge as much as they want for the item.
Lastly, it would be Warren buffet, I place him last as even though he is the largest shareholder in the company, he is still only a shareholder, a shareholder or stockholder is an individual or institution that legally owns one or more shares of stock in a public or private corporation. So, he does not have that much influence on the overall business decisions, whereas parties such as the customers and communities dictate what the company is able to do.

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P2-
When starting a business, the business begins to gain people called stakeholders, a stakeholder is a party that has an interest in a company and can either affect or be affected by the business.
There are two main different types of stakeholders, internal and external, an internal stakeholder are parties who are already committed to serving your organisation as people such as board member, staff and volunteers.
Whereas an external stakeholder is impacted by the work of the business, such as communities and clients.

Employees
Employees are example of an internal stakeholder, their job within the company is the actual labour force of the company. This is arguably the most important stakeholder that a company can have, this is because the employees are the actual workforce therefore if they were to slow down or feel reluctant to work, the company would ultimately fail, the company has to therefore ensure they are completely satisfied with their work, the company is able to this if the working conditions are suitable and the employees are able to work effectively and comfortably in them, company such as Google strive on this.
Another way the company can keep the employees satisfied is by having frequent pay raises which would be an incentive for the employees to work harder and therefore produce more for distribution. If the employees are working harder and quicker for the same pay, it would benefit the main purpose of the business as the main purpose of the business is profit therefore if the employees are working harder for cheaper than they would be able to maximise profit.
Communities
Communities are an external stakeholder for the company, there are various communities that affect the business one of them is the local communities that are affected by the coca cola factories, for example in India where coca cola has been criticised of being the centre of water shortages in various developing countries. The company has been criticised of taking the local communities water, the company has also been critiqued for environmental damage and abuse of worker rights. Local communities have a big impact of the company as they can report and complain on the company for the way they act on their community, such as the water incident, which can affect the company image massively. Communities effect coca colas purpose negatively as the communities would not allow coca cola to take land and resources of the area, such as building on farmland or the greenbelt, this affects the company negatively as it would ultimately cheaper of coca local are able to this such as build on greenbelt and farmland as they already have the natural resources already in the area which the company can use, however the company has to ensure the local communities are satisfied, which would ultimately cost the company much more money.
Customers
Customers are an external stakeholder for the company, coca cola must make sure the customers are fully satisfied with the product as they are arguably the most important stakeholder for the company, as without the customers buying the product, coca cola would see stock prices fall quickly and the company would ultimately become bankrupt.
Therefore, the company must make sure the customers are buying the product they do this by, making sure prices are low enough to influence the customers to buy the product whilst also maintaining a profit. Additionally, they must make sure they have effective marketing, which further influences the customers to buy the product, hosting concerts would be an example of effective marketing as many people are actively talking about the concert which coca cola are sponsoring which would make the company the focus of the company.
Billionaire Warren Buffett
As Coca cola is a public limited company, the public and organisations can purchase a share into the business if they hold an interest into the company. Billionaire Warren Buffett is the largest external shareholder of coca cola with his investing company Berkshire he holds 400 million shares is 9.1% valued at $16.5 billion. With this the shares that warren Buffett owns in coca cola it has earned him a staggering $15.4 billion profit, he has held this stock for more than 25 years. Warren buffet influence the business as since he is the largest shareholder into the company his money is usually the money being used to fund ongoing projects, therefore the company must ask him whether he thinks it is a good idea to go through with the plan
As Warren buffet is their largest shareholder, he has a large influence on the business, many decisions go through him as he is the largest shareholder, as if the company was to fail, share prices would fall dramatically and the would affect warrens shares.
Suppliers
Suppliers are another example of an external shareholder, suppliers are the companies or individuals that provide coca cola with ingredients, machinery and goods or services., the suppliers influence is also a major one, the suppliers decide the prices of the ingredients and materials that coca cola uses, for the coca cola company to maintain its profit margins they must ensure that the suppliers prices are right and cheap enough to allow them to maintain their profit margins. Furthermore, coca cola must ensure that the e suppliers comply with legislations and policies, such as child labour or employee exploitation as this could look very bad on the coca cola company for partnering with them, which would make the company plummet.
If the suppliers hold shares within the business, it is therefore in their best interest to provide the best possible prices for the company as this will allow the company to maximise profits, the profits generated through the productions and selling of the product will then be given back to the shareholders as dividends, which therefore it is their best interest.
M1-
The company’s mission statement states that the company aims to:
• refresh the world,
• inspire moments of optimism and happiness and
• Create value and make a difference in the place that we all live in.

Employees
It is in the employee’s best interest for them to have the same aims and objectives as the company, as if the employees strive to work harder for the same amount for, then the company can produce more for less, which would turnover more profit for the company, this would give the employees a better chance for a pay rise.
However, if the company was exploiting the employees, with things such as forced labour or discrimination, then the employee would be vulnerable and feel trapped for working for the company. If the companies aim and objectives were to refresh the world and create value and make a difference but however to achieve these aims they were exploiting employees and forcing labour, then the employees would strongly disagree.
Communities
Communities have similar points of views as the employees, they enjoy and endorse the product however if the company was to ever perform misconduct and ruin their community or homeland then the community would rebel and protest the company.
Much like the employees, it is in the best interest of the community to comply with the aims and objectives of the company, as the coca cola company provides a lot for many of the communities for example, in poor countries such as India, the company helps provide a better economy and many economies revolve around the company because of the lack of jobs within the country, the company would also provide free infrastructure, again helping the community and people around the workplace. Furthermore, many of the local shops and people around the factory have much more of a customer inflow due to the factory or workplace which is one of the main reasons the local economy is improving.
Customers
Customers are the main stakeholder of the coca cola company, as without the customers, there wouldn’t be a market for the company. The company must satisfy the customers, as without the customers the aim of the company would not be achieved, coca cola does this in two ways, by providing a good product, as this the main reason people would buy the product, the company must invest constantly into making a better product to satisfy the customer to influence the to buy the product. Another way the customers influence the purpose is by the pricing of the product, for the company to influence the customer to buy the product, the company must sell their product at much lower prices, therefore for the company to achieve this they must cut down cost for them to achieve their aim of profit, as lowering the selling price would interfere worth their profits

Billionaire Warren Buffett
Warren Buffet is the biggest shareholder of the company, therefore as Warren Buffet is the biggest shareholder of the company, he only has positive views on the aims of the company as the more profit that the company gains, the more money that Warren Buffet gets.
As he is the largest stakeholder he doesn’t have any negative points of view on the companies’ aims.
Suppliers
Suppliers are one of the most important, as they provide the company with their supplies and machinery. The suppliers have positive views on the companies aims as the more profit coca cola make the more the suppliers would get paid as the coca cola company would buy more product, however the supplier market is very hard as there is a lot of competition, as the suppliers market is a buyers’ market suppliers are forced to set prices low to influence the companies to buy from them.
However, if coca cola was to be caught using misconduct such as child labour to achieve their aim, then suppliers would cut their connections with the company as it would look bad on both ends to be associated with a company which uses unethical ways to achieve profit.
P3-
Hierarchical
There are many organisational structures in the business industry which help the company become successful. There are many structures Hierarchical, Flat, Matrix and holocratic.
The hierarchical structure is a popular structure, this is where there is a main managing director, who is usually the owner who directs his board of directors, and this board of director’s direct mangers which direct the employees. This organisationally structure determines a chain of command, which ranks the directors and employees with one chief at the top an advantage of this is the authority and responsibility is clear and well defined, there is also opportunities to be promoted. There are also disadvantages of this structure however, communications between different departments may be less effective and there could be rivalry between the different departments as there are different teams, which could influence one team instead as a whole organisation.

Flat Structure
A flat structure either has no management layers or where the chain of command is very short, this structure is very common is smaller business, as there are little people working there which allows for a flat structure. Advantages of the flat structure are, communication and relationship are better between ranks as there is less ranks and decisions scan be made very quickly as there is one main chief, furthermore this increases the employee’s responsibility levels, which makes the employees feel more empowered and important in the job.
Disadvantages are, it restricts the company from becoming larger as the structure will be hard to maintain as there becomes more employees and possible rankings. Also, the employees will be less specialised in the job that they do as their work may be general and broad as there is much to cover in a small business.
Matrix
Matrix structure is the most complicated structure out of all the structures, as it combines the traditional departments, individuals work across multiple departments combining their skills to work on different projects whilst joining different teams.
Advantages of a matrix structure is that it allows for better communication within a business as employees regularly move between departments sharing and working on different ideas. This structure overall boosts the morale and motivates the employees as they work interchangeably.
However, there are some disadvantages with this structure such as it is often, hard to co-ordinate the mass of employees moving interchangeably, furthermore, the cost of running this structure is very high as employees use a broad diverse skill range which increases their wages as more is being ask of them as they work. Conflict may also occur within the structure as there is no clear lines of authority and responsibility.

Coca Cola
Coca colas Structure
The coca cola company operates worldwide, distributing goods and services to every country worldwide, the company has many presidents, with a president for every continent it makes 7 overall presidents but 1 CEO, James Quincey. Given this, the coca cola company has a hierarchical organisational structure, James Quincey at the top of the structure and beneath him his team of presidents worldwide which are then supported further with different teams worldwide. This structure allows them produce, manufacture and distribute efficiently.
Furthermore, Coca cola has several functions to maintain their efficiency. The company has many operational areas for example sales and marketing, which works on ways to display and appeal the product to the customer and finance which handles the money and advises the company on how to handle its money.
The company must maintain all the functional/operational areas to keep their business running efficiently, if a functional area such as production or finance was to slow down or suddenly fail, it would have a massive impact onto the business, which may ultimately cause the business to fail. To avoid this, the company must dedicate entire departments to maintain that area otherwise, due to the large scale of the business, if an entire department was not dedicated, it could lead the business to fail.
Businesses have different areas within itself, these departments have specific focuses and paths which they must focus solely on, these are called functional areas.
Coca cola have hundreds of different functional areas an example of this would be their sales department, in a company the sales department is the arguably the most important department in a company as the department oversees generating revenue.
The sales department is tasked to ensure that the sale of products and services result in profits.
Another example of a functional area in coca cola is its purchasing department, this is also one of its most important functional areas as the purchasing department is responsible for the procurement of raw materials, machineries, equipment and supplies.
This area is important as it is that areas job to find the right suppliers for the company to produce the same good but for cheaper. Without a good purchasing team, with the good links, the company could be paying a fortune for the raw materials, machineries, equipment and supplies, which would impact the selling price and product value.
Strategic plans
Coca cola have five strategic plans one of those plans are to Focus on driving revenue and profit growth. The company has done this by enforcing employee incentives accordingly, if employee’s incentives are good then it will encourage them to work harder, which allows them to make a better profit. They vary this strategy according to the type of market they are operating in, for example in an emerging market, they have mainly focused in increasing volume, keeping their prices low and strengthen the foundation of the future success within that market.
Another strategy they have implemented into their business is investing into brands and businesses, for a business to remain healthy, they must invest to keep their business alive additionally consistently investing and reinvesting in their product it constantly makes the product better and possibly cheaper to produce.
The company knew they needed to invest in more and better marketing while also increasing our financial flexibility. They increased their efficiency and productivity while reducing costs.
Part of the solution was “zero based work”—a way of looking at our business that starts from the assumption that organizational budgets start at zero and must be justified annually, not simply carried over at levels established in the previous year. They also cut spending on non media marketing like in store promotions. And they found new savings in their supply chain around the world.
Simplifying the company
The company believes in evolving the consumers taste and preferences, they have done this by constantly innovating retail and the supply chain landscape, in which speed, precision and empowered employees is constantly on the rise in the work place.
SMART
Coca colas overall objectives is like other multi-national companies, Coca-Cola aims to maximise their profits while maintaining a long-term sustainable growth within the beverage industry. The company’s mission statement states that the company aims to: refresh the world, inspire moments of optimism and happiness
There are ways to analyse the effectiveness of objectives in a business a method of doing this is by using SMART, SMART determines whether your objectives are Specific, Measurable, Achievable, Relevant, Time Limited.
Coca cola goal of sustainable growth and to make profit, is very specific, which is good as it allows them to have a sole focus and not get strayed away from their main objective as a company.
This goal is easily measurable by the company simply pulling up statistics and measuring how much profit they have made.
However, their mission aim is harder to measure, measuring happiness’s and optimism is hard for a company is ways of measuring this is limited, apart from surveys and customer reviews it doesn’t give a huge overview into the whole population of people who drink coca cola, is that population is so big.
Achievability, this goal is already achieved by the company with coca cola being the largest non-alcoholic beverage company in the world and making huge profits of over $6.527 billion in 2016.

Relevancy, for a company maximising profit and having sustainable growth is essential for a billion-dollar company such as coca cola.
Time achieved, this goal is not time bound as, and if the company is alive the goal does not change over the course of the life of the company.
In conclusion, Coca colas aims, and objectives are SMART as they fit the criteria of the SMART objectives.

The coca cola company has many chains of command, due its large scale and global distribution. The President of the company James Quincey oversees everything, however many of the operations happen will the different continental division leaders, as James Quincey is based in the USA and give the go ahead with different orders and instructions.
However, James Quincey’s span of control is quite small however, the leaders of the different continents have actual control within their divisions which they control however, they must address to James Quincey.
In conclusion, James Quincey’s span of control is small making it easier for him to control his subordinates as every division has a sub leader to leader making it easy to control and operate.
The aims and objectives start at the top and is broken down through management and turns into aims and objectives turning more and more specific as it passes down.
Functional areas
Coca cola is a large global organisation, as this is the case for coca cola, they therefore need many areas all operating and focusing on one thing. These areas are therefore called functional areas.

Marketing
Marketing is a big part of any business, as they are there to try to influence and tempt the customer to buy their product, they can do this in a variety of ways for example through advertisements.
Their main responsibility is to act as business managers for their brand. This involves generating a clear and compelling consumer and shopper insight allowing the brand to grow.
Furthermore, they are responsible for developing and implementing market campaigns, typically through things such as TV stations and publishing houses, it is their job to so what is trending in that consumer market and exploit that.
Manufacturing
Manufacturing in coca cola consist of using all the raw materials and resources to make a finished good, Coca cola have factories across the entire globe all producing one thing coca cola, as coca cola is in such high demand from retailers and individual resellers it is important for a company, like coca cola, to have many manufactures all producing to keep up with such high demand.
Technical function
The technical function area of coca cola is responsible for making the product better in everyway possible, for example by seeing ways to cut cost or constantly innovating ways to make the packaging better for consumers and changing materials used.
Finance
The Finance team enables the business to function efficiently and effectively, providing the financial understanding on which key decisions are based. This means we’re involved in things like evaluating the economic viability of a product innovation, undertaking financial planning.
Human Resources
HR put in place the policies, practices and procedures that ensure we have the right people in the right places to implement our overall business strategy.
Recruitment, succession planning, career mobility and development, is all the responsibility of HR.
Public Affairs ; Communications
Communications play a vital role at Coca-Cola, supporting sustainable business growth by influencing opinion among consumers and other stakeholders right across the Globe, this involves talking to government, consumers, employees, the industry and opinion formers about our company story.
Sales and Account Management
This functional area is used to build valuable knowledge about regions ensuring the products work in that country, they build relationships with bottling partners and customers, they also work on communications and media relations to ensure the companies commercial objectives are met.
Customer ; Commercial Leaders
The customer and commercial leader is responsible for promoting teamwork, commercial leadership focuses on growing volume, share and profit by giving every market the best commercial capability.

P4-
Coca colas hierarchical structure is an efficient structure for the large scale of the business, as the company operates on a large scale worldwide the hierarchical structure is effective as it establishes a clear chain of command. As this is a hierarchical structure it enables them to have specialised departments, such as financing and marketing, this allows them to be more effective as it gives them one objective to focus on improving overall quality at the business. Furthermore, this structure also allows for a coordinated business
Coordinated
No need to focus
Strategic plan gives the company a sense of direction
This chain of command is effective at fulfilling their purpose as they have created a clear chain of command, with a clear chain of command, they can work more efficiently as they have a clear setup and everyone knows their place. Coca colas purpose is to turn an overall profit. With a clear chain of command, the organisation knows who to report to and what to do as the chain of command is there, to allow everyone to ask and get help whenever they require it.
Coca cola have five strategic plans one of those plans are to Focus on driving revenue and profit growth. The company has done this by enforcing employee incentives accordingly, if employee’s incentives are good then it will encourage them to work harder, which allows them to make a better profit. They vary this strategy according to the type of market they are operating in, for example in an emerging market, they have mainly focused in increasing volume, keeping their prices low and strengthen the foundation of the future success within that market.
However, in developing markets, they have kept a balance between volume and price, as the market is not yet stable enough for them to solely focus on profit alone, they keep a balance to have a safety backing in case the market fails and so the company doesn’t lose a lot.
Additionally, in a developed market they have relied more on price and improving profitability, they have done this by offering smaller packages however with a more premium package such as a glass bottle or aluminium bottle
Another strategy they have implemented into their business is investing into brands and businesses, for a business to remain healthy, they must invest to keep their business alive additionally consistently investing and reinvesting in their product it constantly makes the product better and possibly cheaper to produce.
By the company investing in their marketing, for example in 2015 and even today we saw a swarm of coca cola adverts, which emphasises on “taste the feeling”, with constant adverts emphasising refreshment, taste and ice-cold coca cola, it is bound to influence the customers to buy their product.

Efficiency
The company knew they needed to invest in more and better marketing while also increasing our financial flexibility. They increased their efficiency and productivity while reducing costs.
Part of the solution was “zero based work”—a way of looking at our business that starts from the assumption that organizational budgets start at zero and must be justified annually, not simply carried over at levels established in the previous year. They also cut spending on non media marketing like in store promotions. And they found new savings in their supply chain around the world.
Overall, they were able to realize more than $600 million in productivity improvement in 2015, which we used to invest further in our brands and business and to return to our shareowners.
They are working to drive productivity and continuous savings across our Company and system. They see productivity not as an event or series of events but as an ongoing, day by day process of becoming stronger, leaner and ultimately better.
This helped them to better fulfill their purpose as being more efficient allows for better production and better sales revenue. By the company cutting down various cost and being more financially flexible they can increase their productivity and reduce cost which contributes to their end goal of profit.

Simplifying the company
The company believes in evolving the consumers taste and preferences, they have done this by constantly innovating retail and the supply chain landscape, in which speed, precision and empowered employees is constantly on the rise in the work place.
When simplifying their business, they looked hard at reshaping the business, they paid close attention to their operating structure and identified areas where they could be faster, smarter and more efficient.
Due to this they were able to remove an entire functional management area, additionally they removed many roadblocks and barriers that inhibited them from being as effective as they could be.
By simplifying their business and removing unnecessary structures and functional areas they were able to further contribute to their end goal of profit as by removing these structures in place they can become more efficient and produce much more for less.
The different functional areas in the coca cola company helps the company fulfil their purpose of turning a profit and maximising that, they also help with sustainable market growth.
The functional areas such as the purchasing department in charge of talking and buying off suppliers is the most important in maximising profits for the company, the purchasing department get the cheapest deals for the company therefore, the company is able to produce at a very low cost which is a massive problem for many companies, however due to the purchasing department they can buy resources such as sugar for cheap and sell it for cheap whilst also maintaining a massive profit margin.
Coca colas objective of refresh the world, inspire moments of optimism and happiness allows them to fulfil their purpose of maximising profits and have sustainable growth as fulfilling customer satisfaction and providing a great product in which people can enjoy where ever they are from a party to having it for lunch, this allows for maximisation of profits as people will be encouraged to buy the product wherever they are, as the company provides a good product for every occasion.
Functional area –
HR
HR helps them fulfil their purpose as it gives them an effective screening process, helping to pick up the best recruits early giving them the best possible advantage, as getting the best employees early helps have a better efficient business, contributing towards their goal.

Manufacturing
Manufacturing helps them improve their overall business efficiency as by having many manufactures producing your won product, there isn’t a need to rely on others to produce helping cut down overall cost and time when producing the product.
Technical function
The technical function area helps them achieve their goal of overall profit, as this area oversees producing and ensuring the product is up to standard of the consumer market, with the technical function constantly changing the product, and innovating it keeping the product new and exciting it helps with overall sells and revenue coming into the business.
Sales and Account Management
By building relationships with consumers and partners it ensures for the lowest possible prices to be purchased with for example, when buying raw material and meeting with potential partners, this functional area builds a relationship, helping with the profit of the company as, they help cut down and mange cost.

Customer & Commercial Leaders
By building a relationship and having leaders with employees and consumers it helps the company crack down on efficacy as everyone will know what they are doing, by having this authoritative figure in place, it helps the business be put in line and keeps everyone focused and safe.
Finance
By having an entire functional area in place to improve efficiency, it helps contribute to the goals and aims of the business, by this area making key decisions and analysing economic values it helps with the overall efficacy of the business.
Public Affairs & Communications
The aims and objectives help them to fulfil their purpose, as it gives every functional area a specific goal to achieve, which contributes to the overall strategic plan of the business.

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The business cycle is a series of cycles of economic expansion and contraction, governments can sooth this cycle through a series of fiscal, monetary and legal policies.
If the overall demand for goods and services exceeds the ability of the economy to sustainably supply them, then there will be shortages of goods and services. Because of the principle of supply and demand, prices will tend to rise. This is known as a ‘positive output gap’. The reverse occurs when there is more production than demand. In such circumstances, inflation can fall.

Fiscal policies involve changing government spending and taxation. If the government was to use fiscal policies, it will involve higher taxes and lower spending, this is to help reduce the budget deficit. However, this is only during a recession, when the business cycle is very low and there is no money in circulation as there is lack of employment and spending. By raising taxes and cutting public spending, the government hopes to stabilize the economy.
When the government uses monetary policies, it involves raising interest rates, which helps reduce inflationary pressures, raising interest rates has a massive effect on homeowners with variable mortgage payments. Higher interest rates increase the cost of borrowing and tend to slow down economic activity.
These policies are used to control the business cycle.
During an economic boom supply and demand both increase, as during an economic boom, there is lack of unemployment and therefore a lot of money is being spent within the economy, which means more demand and more money is encourages to spend as of this more money is in circulation.
Inflation rates tends to stay low and not rise during an economic boom, as inflation is the general rise in prices, therefore when the economy is high and there is lack of unemployment and more money in circulation, your money is worth more, whereas during a recession your money would be worth less as inflation would be high.
Cost of raw materials during a recession would be quite high as during a recession there is little production, therefore companies need to be still be make a profit as less is being produced therefor due to economic scale, the cost of each raw material is being increased.
During an economic boom however, cost of raw materials would be cheaper as there is more production and more bulk being moved therefore everything becomes cheaper for production.
Labour cost during a recession, would be very low as there isn’t a lot of demand and so little product is being sold meaning companies are unable to afford to pay high labour cost as not a lot is being sold. However, in an economic boom wages can be increased as companies are making a lot of profit which can be shared with employees and shareholders.
Global interdependence explains how countries depend on other countries to function, through things such as exporting and importing.
Global organisations can reduce the ability of government to regulate their business activities by offshoring and outsourcing to other countries. By outsourcing and producing in other countries, organisations can avoid things such as high tax rates and increased labour cost, by a business-like coca cola producing a country like India, which has a skilled workforce, however for much cheaper also countries such as India and china already have the set infrastructure already in place.
BULLET Points
FISCAL

5 Phases of a Business Cycle (With Diagram)


This graph is a basic representation of the different phases of a business cycle
The line of cycle that moves above the steady growth line represents the expansion phase of a business cycle. In the expansion phase, there is an increase in various economic factors, such as production, employment, output, wages, profits, demand and supply of products, and sales.
The growth in the expansion phase eventually slows down and reaches to its peak. This phase is known as peak phase. In other words, peak phase refers to the phase in which the increase in growth rate of business cycle achieves its maximum limit.
In recession phase, all the economic factors, such as production, prices, saving and investment, starts decreasing. Generally, producers are unaware of decrease in the demand of products and they continue to produce goods and services. In such a case, the supply of products exceeds the demand.
During the trough phase, the economic activities of a country decline below the normal level. In this phase, the growth rate of an economy becomes negative.
In recovery phase, consumers increase their rate of consumption, as they assume that there would be no further reduction in the prices of products. As a result, the demand for consumer products increases.
The last quarter the growth rate is currently 0.1%, therefore despite being very low shows that the economy is growing hence the company is in the expansion stage, where since the economy is growing things such as wages and supply are increasing.
Governments can sooth this cycle to make it easier for business and improve overall economy though fiscal and monetary policies.
Fiscal policies, this is where governments change taxation policies to influence the economy for example, during a boom, governments will increase taxes and reduce spending, with the increase in taxes the people will have less disposable income, disallowing to spend more , which will help reduce inflation as there will be less money in the economy, governments need to be able to do this as if the rate of expansion is too quick and the economy cannot keep up, this will cause inflation, which is overall bad for the economy as it reduces the buying power of your money, overall decreasing aggregate demand in the economy.
However, during a recession, there is less money being circulated in the economy and many business will suffer from financial difficulties, for example during the 2007 credit crunch where the financial market crashed due to there being too many ninja loans and unpaid debts, as a result of this many people lost their jobs and homes , and the majority of people were left with no disposable income so there was no money in circulation, therefore the government must implement fiscal policies, they must reduce the taxes so more people have more disposable income, increasing the overall spending in the economy.
There are also monetary policies that government can implement to help the business cycle, for example during the recession period, the government can implement decreased interest rates which will encourage borrowing and spending within the economy, as interest are low, people will be less inclined to save as the reward for saving is low therefore, they will be spending more of their disposable income instead of saving it.
During the boom and peak stage however, government would increase interest rates, which will slow down the economy as people would borrow less as the interest rate would simply be too high, also they would feel more inclined to save as the reward for saving would be much higher, therefore reducing inflation and keeping the economy in line.
Furthermore, there are also legal policies that governments can put into place, during the boom phase, governments implement harsher laws to restrict the amount a company is able to produce and distribute for example pollution regulations, helping reduce and stop inflation from happening.
During the recession however, there will be less laws and less regulations as it wants to encourage companies to produce output to sell more increasing the overall money in the economy.

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Coca cola is in the ever-changing non-alcoholic market, the entire market is ever changing, and demand is constantly changing with, today there is more of trend of living a much healthier lifestyle as health is becoming much more of a concerning problem as obesity is increasing at a rapid rate, because of this the company has invested in many healthy drinks. Moreover, the company has cut down on sugar in their drinks to influence those who are choosing a healthier lifestyle to buy their product.
However, there are many other reasons why coca colas supply may change, for example during an economic boom or during a recession.
During an economic boom, the economy is increasing a lot for the better, there are more jobs for everyone, which therefore means more people are paying tax. During an economic boom there is a lot more money in circulation which means people are spending more.
During this period, the company is making much more profit, because of this their supply changes, as during a boom, there is more money in circulation, they must increase their output to keep up with the heightened demand during this time.
Coca cola is an example of a normal good, as the demand increases when income increases as coca cola today is seen as a staple drink in most if not everyday restaurant or home in the world.
However, society at times could be at an economic downfall, this is called a recession, during this time there is little money in circulation and jobs are scarce, as jobs are scarce less people are paying tax. As tax is the main financial driver for the government the country would struggle as no money is being used to pay things such as doctors or fund prisons.
During a recession, coca cola would suffer significant losses, as it is a normal good, meaning as the income of people decreases and no money being in circulation, less and less people are needing to buy coca cola. Because of this coca cola must minimalize production as there is no reason to be producing if no one is buying. Because of this, a lot of jobs within the company will be lost due to the, being made redundant.
There are many more economic factors which will influence coca cola, for example inflation rates. In the UK, the target inflation rate is 2%, inflation is the general rise in price, with inflation going up, your money would lose its value and therefore it would cost more for convenience goods such as milk. During a rapid rise in inflation, coca cola would raise the price of their product to keep up with the price of inflation. As inflation is increasing so is the cost of production, for example the price for their sugar and machinery so for them to keep up and maintain their profit margins they must raise their prices.

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There are many political factors which can influence the business. Governments across the globe support the coca cola company, governments do this by giving those grants and tax-free income, many countries do this as they need the infrastructure the company provides, and the company employs the local people improving the economy.
Coca cola is also a part of many trade groups for example the European union, being a part of the European union means, coca cola can trade tax free amongst its members of the European union, there is also no cap of coca cola that is legally allowed to be imported into the country, which can slow down production and efficiency for the company however as the company is in the trade group these barriers are removed.
A huge law put in place which would set back coca cola is the sugar tax, which they’re now calling for a fresh 20% sugar tax on sugary drinks such as coca cola, as coca cola have had this tax imposed on them, this would ultimately cause over expenses and revenue to go down as tax has risen. This law was put into place to try to stop obesity which has risen over the years.

Americans Are Now Fatter Than Ever


This graph shows how the rate of obesity has risen in the USA alone. A main cause for this rapid rise in obesity must due to the mass consumption of sugary drinks such as coca cola, with the tax implemented, governments hope to reduce sugar consumption, to help reduce obesity.

Legal
The coca comply must the legal rule of the countries worldwide, the company must comply with the partnership act 1890, which states partnership is the relation which subsists between persons carrying on a business in common with a view of profit. There are also other acts which the company must comply with such as the companies
? Many company duties and submissions can now by fulfilled electronically, as can communications with shareholders.
? Company director’s duties have been codified for the first time, including an obligation to promote the success of the company, to consider the community and the environment, the interests of employees, and to be fair to shareholders.
? Indirect shareholders have more rights, including the right to sue the company’s director(s) if fraud or negligence is suspected.
Social
Coca cola today has become a norm in many people’s lives, consumers today prefer coca cola over most of the drinks on the market, which is why it will continue to stay at the top of the market, and it will only gain more popularity as it continues to reign over the entire market. As it is so cheap and very accessible, consumers will continue to consume as it is so big and everywhere.
However, as years are passing, obesity has been a rising problem which has affected many people worldwide, as more people realise and start to live healthier lifestyle which is the “trend” less people will start to buy sodas and begin to drink healthier alternatives, therefore more people will start going to gyms eating and drinking healthier and will stop buying sodas.
The company must also comply with the Data Protection Act 1998
Business must comply with this law, it is a United Kingdom act of parliament designed to protect personal data stored on computers, and it follows the EU data protection directive 1995. It gives individuals the legal rights to control information about themselves.

Coca cola are socially responsible for people health; therefore, governments have recognised this and have implemented the sugar tax, which would increase cost for the company and decrease profits and revenue.
Therefore, Coca cola have a lot of responsibility for people’s health, as more and more people are becoming obese, coca cola have come under a lot of as one of the main reasons for the demographic change in obesity.

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how it effects 3 different – demand, cost of production, hiring workers for both, subsidies
Political Cost of production- tax- Brexit
A political factor that would be taxes, when a government decided to raise tax, there are many reasons why it would do this, for example, it wants to slow down economic growth to ensure economic growth does not happen, by increasing tax it would mean that people have less money and therefore must sell at a much higher price whereas, if they were to lower taxes, cost of production would be much less compared to if they were to raise it.
Brexit would also cause uncertainty in for coca cola in Britain as it would mean that Britain no longer has the privileges of trading within the EU any longer, and a customer of Coca cola is in the EU, importing into the EU is therefore a major problem for such a large company such as coca cola as it will increase overall cost of production.
Hiring workers
When tax is being higher or lowered it causes the company to have financial issues, as when tax is rising, companies therefore have profit due to things such as capital gains tax, the money earned is used to pay for a variety of expenses, the biggest being labour, when tax is being raised the company is less able to higher as many workers as they want to, as more money earnt is being paid as tax.

Brexit will cause concerns for hiring as there are several factories in the UK including one in surrey, when a large company is looking to higher workers, they look for the cheapest, many of which are migrants looking for work in Britain, when Britain leaves the EU there will be a deficit of migrants as it will be harder to gain access to enter the country.

Demand
With increased tax, people will have much less income, as more and more of it is being taxed, therefore discretionary spending will be cut, therefore there will be less money in circulation, meaning less and less people buying coca cola as it is not a necessity.
On the other hand, with decreased tax, more and more people will have increased discretionary spending, increasing overall demand of the product as the public have more to spend on items such as coca cola.
Legal – minimum wage – pollution
Cost of production
If the minimum wage was to be increased, the cost of production will be raised due to increase labour cost, whereas if the minimum wage was to be lowered, the cost of production would lower as coca cola do not legally need to pay their workers a high amount and can stick to minimum wage.
Pollution laws will affect cost of production as it will limit the amount of product a company can produce cutting into their profits as it will affect the economic scale, as despite buying or collecting in bulk the company is unable to produce in high volume as they wish, raising the cost of production.
Hiring workers
When hiring workers, companies need to higher employees who are willing to work on minimum wage or just above as, paying too high will cause higher production cost, this would mean that people may be less inclined to work for them, therefore coca cola are forced to raise their pay to get employees.
A pollution cap would affect hiring workers as, coca cola would not hire as many workers as they want due to the inability to produce as much as they want, therefore over hiring is not a good idea, as you would be wasting money
Demand
When the national minimum wage goes up, demand would ultimately stay the same as they are both independent variables, the same applies for if a pollution law was to be put into place.

Social – better health – trends
Cost of production
In todays society, more and more people are being concerned with their health, as more people opt for a healthier lifestyle, demand would decrease therefore, as sales are low, coca cola need to ensure they lower cost of production to remain in surplus balance.
Trends, a general direction in which something is developing or changing. For example, more people would like to work from home being developers or content creators making less people feel inclined to work go find work in big companies such as coca cola, therefore coca cola need to again lower cost of production to remain in a surplus budget.
Hiring workers
Working in clustered factories is not in the eyes of many people a healthy lifestyle therefore when hiring workers coca cola need to ensure that they advertise their jobs well to influence people enough to work for them
The same applies for trends, a trendy job would be a fitness trainer or doctor however, working for coca cola would not pop into people’s minds, therefore again, the company needs to ensure that they advertise well to influence and tempt people, working for coca cola is fun and trendy.
Demand
As people opt for a healthier lifestyle, less people would drink and buy coca cola, instead they would prefer water or a healthy smoothie, this would therefore mean that overall demand would decrease.
Trends, trends are important factor to coca colas success as, if more people saw having a coke was trendy and cool whereas having a bottle of Pepsi was not , more people would feel inclined to buy coca cola, increasing overall demand of the product.
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Government legislation is bound to change in the future due to a variety of factors, such as the national minimum wage.
In different countries, the national minimum varies for example in heilong china, the national minimum wage is 1,160 yuan per month with roughly translates to around £131.31, additionally as coca cola has headquarters and depots in every country, such as the UK, where the national minimum wage is £7.50 an hour, which equates to around £360 a week (assuming they work full time), countries like the UK have very high standards of living due to the increasing cost of living in London. As the national minimum wage is one of the highest across the world, with Australia being the highest with around £9, coca cola cannot afford to own factories and employ British people as for them to make high enough profit, labour cost must be as low as possible, therefore as labour cost is so high it is much cheaper for the company to outsource to developing countries such as India, where labour cost is much cheaper. Inflation would not only affect this however, it would also affect things like rent and transportation, which makes it even more expensive for coca cola to operate in the UK.
Countries such as China, is essential for companies like coca cola, as it is very cheap to manufacture goods and import them, which therefore allows for profit maximisation. There is various reason why countries like china are so cheap to manufacture, one of the reasons being the country has a large population, the human resource is sufficient enough for manufacturing at low labour cost.
Furthermore, as many companies outsource to countries such as China, you can find complete supply chains, no matter the industry, you can easily find a complete supply chain which will increase product efficiency and cut down labour cost, moreover, the infrastructure in the country is also very good, which could help efficiently export goods out of the country quicker, which could help lower the overall cost of the business.
In conclusion, If governments allow for companies to produce at low cost, then companies would outsource to those countries in order to make larger profits, more and more governments allow for companies to manufacture in their counties, because they start to realise that their economies and amount of people unemployed are very low, they would start to encourage companies to setup factories in their countries so more people in the area are employed and earning a wage, they would encourage them by things such as zero tax, as the governments realise that the infrastructure and employment the country brings is much more valuable for the development of the country then taxing the country. As this is the case, coca colas business activity of operation across the world, would be affected as the company would be reluctant to operate in most countries which have a high minimum wage or don’t have things in place which help the company such as good infrastructure as they would be able to make much more profit operating in countries such as India and china where resources are more available and cheap.
Furthermore, another business activity which would be affected is the investment side of the company due to the government rules, for example coca cola does not own all its bottling companies, many of the companies which are partnered with the coca cola company work closely with customers in places such as stores, restaurants and movie theatres. As coca cola doesn’t work with all its partners many of them are investments, the company are hesitant to invest in many countries as most don’t have the proper infrastructure in place to support the investment or the company.
Legal
When starting a business, companies must comply many rules, which regulate businesses either restricting their business or helping them for the better. These rules and regulations are put into place to protect things such as human rights and the countries laws.
Workers are currently protected against many forms of discrimination by employment laws. Discrimination laws were put into place to stop employers from actively discriminating against certain employees. In the state of Texas, employees are protected by law against discrimination based on race, colour, national origin, religion, sex, and disability. Employees are also protected from discrimination due to being 40 or older, citizenship status, and genetic information. Most of the legal protections come from both the state and federal employment laws. Some key discrimination employment statutes apply to companies that employ fifteen or more people.
Discrimination can come in many forms. If a company refuses to hire someone because they are over 40 years old, that can be discrimination. If a company refuses to promote a person because they are of one race or another, that can be discrimination. If a company fires a person because they are a member of a certain religion, that is discrimination.
A massive law which is put into place which prevents a lot of profit being made is the child labour law, restricting children working, five or six were being used in very dangerous employment that adults were unsuited to perform. Many children were maimed and injured because of that employment. In 1938, President Franklin D. Roosevelt signed the Fair Labour Standards Act into law. Besides setting the national minimum wage, child labour statutes set forward minimum working requirements for children in most industries outside of agriculture.
Without employment law protections, workers in the United States would be vulnerable to exploitation by unsavoury employers.
Another law that will be put into place is the crackdown on pollution, there have been several world summits which have been happened in the past which they have spoken about the pollution in the world and how they intent to prevent further global warming and pollution. In Europe, London and other European countries have been defying European law by illegally polluting the air, the different countries have been dramatically asked to reduce their emissions by 2020 or face heavy fines by the EU.
The UN have also decided to make a change across the world by holding world assemblies, where they have urged countries to pledge to an agreement, the declaration said that nations would honour efforts to prevent, mitigate and manage the pollution of air, land and soil, freshwater, and oceans – which harms our health, societies, ecosystems, economies and security. As the assembly closed, two and a half million pledges from governments, civil societies and businesses were made.
Governments including those from countries such as China and India where large businesses operate, large companies such as coca cola heading into the future would have to watch the pollution levels which could restrict production and overall sales revenue, these set of new laws would affect again the operational side of coca cola as in order for the company to be efficient and produce mass amounts of product then they need energy which produces a lot of carbon dioxide contributing to the mass of pollution in countries such as china where the fog is clearly visible.

Social
In 2015, the world saw first-hand a migration crisis with the migrants flooding Europe with more than a million migrants and refugees crossing into Europe, with Germany receiving the highest amount, with more than 476,000 migrants.
The migrants travel from war zones such as Syria and Afghanistan, where they flee for their lives and endure a dangerous journey across the Mediterranean with no more than a DIY raft, according to the IOM, more than 3,770 migrants have died. The migration problem is still ongoing today, however of course with less a rate than it was in 2016.
With more and more migrants, migrating to countries this is an opportunity for countries like Coca cola as they are able to employ them into working in their depots and distributing factories, when the migrants migrate to another country they are desperate for work, therefore is the company was to advertise to migrants just entering the country, they would be able to achieve their primary aim of profit, before in their recruiting business activity they would recruit, people from that country such as the UK, where it would be expensive to employ them due to various reasons such as working unions, however if they were to employ refugees who are desperate to earn a wage, then the company would be able to make more profit as they would be paying their labour force less, which for a company is massive as labour is a the main and most expensive expense for many business.
Furthermore, another social factor that affects coca colas business activities is changes to lifestyles, everyday more and more people are being diagnosed as being obese. In 2015, 58% of women and 68% of men were overweight or obese, moreover, over 1 in 5 children in reception and over 1 in 3 children in year 6 were measured as obese or overweight.
Obesity rates is a rising concern of every country, a variety of chains are coming under pressure from society such as fast food stores on high streets where they serve very fatting foods.
Governments have also seen this as a raising concern and have implemented a sugar tax, where companies such as coca cola and Pepsi will be affected by this new tax, there will be two new bands- one for total sugar content above 5g per 100 millilitres and a second, high band for the sugariest drinks with more than 8g per 100 millilitres.
This has been put in place to combat obesity which as you can see has been growing at a very fast rate.

http://news.bbc.co.uk/1/hi/health/7151813.stm
This has affected the investing side of coca colas business activity, as coca cola has realised this social change they must start to invest into companies such as innocent smoothies that are known to be well associated with healthy living to keep up with changes in society and keep a very high profit.
Taxes is in the future

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UNHCR
The UNHCR is a charitable organisation apart of the United Nations, after the fall of the League of Nations there was a quick formation of the United Nations, which today consist of many countries across the world such as Qatar, Cuba, Albania and many more countries across the world. It was created due to the ineffectiveness of the League of Nations, which in 1942 there was a declaration of the United Nations.
UNHCR is in the voluntary sector, limited liability exists between the individual trustees or board directors and the charity itself, this means that the shareholders are legally responsible for the debts of the charity.
As we already know, there are several sectors in business for example primary and secondary, however as this is a charity, the charity is in the third sector, which includes organisations that are non for profit. This sector is also known as the voluntary sector.
UNHCR is also a global business, as in every country, there are refugees wanting to leave or enter every country, which is where UNHCR are there to help, however, they only deal with refugees that were forcibly displaced.
The main reason for the creation of the United Nations was to stop future conflicts and make future wars impossible, along with that many other charity groups were formed with the United Nations such as the UNHCR, which was formed because of the mass of refugees after the world war.
The Purpose of UNHCR is to help all refugees globally, to this day they have helped over 19.1 million refugees, finding them safety and a home. They do this by providing emergency aid, which is items such as water, food and temporary shelter. This aid is also known as relief aid which is immediate aid given to those
They additionally provide long term aid, this is projects to help residents of the country to become self-sufficient such as making schools or teaching the local people he to farm and make food.
Additionally, the UNHCR help resettle refugees into homes and cities where they can live in safety and not in fear of fighting etc.
The United Nations a large intergovernmental organization created to maintain international order, which was established in 24 October 1945 after World War 2. As the United Nations is intergovernmental, this means a variety of countries are involved and apart of the United Nations including the ‘United States’ and ‘United Kingdom’. Furthermore, there are many non-profit organisations under the League of Nations such as UNHCR, United Nations high commissioner for refugees, which help and protect refugees across the world.
Additionally, as they are owned by the United Nations, this means they are funded by them however they can receive extra funds from donations from the public through their website, anyone is able to work for UNHCR if you are eligible as their work is solely voluntary.

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As the UNHCR are a charity organisation, there main stakeholders are the countries which support and aid the charity. The republic of china, France, the Soviet Union, UK, USA are all a part of the United Nations which support and aid UNHCR. As they are all a part of the charity, they are provided with a lot of financial backing.
The UNHCR have conferences where governments, international representatives and representatives (which are external) of those countries meet and discuss, the upcoming matters and problems which are on the rise. This is also where they discuss the amount of funding needed to help the refugees worldwide.
For example, they recently had a conference where Antonio Guterres, a Portuguese politician discussed the huge influx of refugees trying to get into Europe and how they would cope with the problem.
Additionally, the volunteers are also an internal stakeholder of the company as despite not being paid they still hold an interest into the company and want to make a change for the company and the world as when they are entering other countries to help the refuges they are the face and representivies of the organisation.
Furthermore, Donators are also stakeholders of the company as they share an interest in the company and support the cause of the company. The money used to donate to the company is used to support and aid the refugees in need.
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UNHCRs overall aim and objective is to Ensure international standards of protection for girls, boys, women and men of concern to UNHCR are met (overall mandate objective): Improve physical security and reduce incidents of violence, prevent and respond to sexual and gender-based violence. Promote gender equality and women’s empowerment.
UN
The United Nations only have positive views on the overall objectives of the organisation, the UN are the countries which have designed the UNHCR and have therefore created the overall aim and are the ones putting action into place trying to help as much people as they can.

Volunteers
Volunteers would also have the same view as the UNHCR as they are volunteering and giving up their own time to help those who are in need. Therefore, the volunteers and the overall organisation have common interest, which explains why they volunteered.
As their goals interlined, the UNHCR has given thousands of volunteers a way to allow them to help others the proper way.
However, not all volunteers are there for the sole goal of helping others, in 2016 in the Calais jungle allegations have gone against UNHCR volunteers, they have been accused of sexually exploiting camp refugees

Donators
Donators also share the same aims and objectives as the UNHCR, if they were to donate they would only have positive views of the organisations aims as they are giving their own money to support a cause which they would obviously care about.
However, many people see adverts advertising helping refugees in need, in need of basic things such as water, however most people do not donate, this can show they disagree with the views of the UNHCR as they are not donating, or they simply do not care about the cause.
Media
Different media sources such as various news channels such as the BBC or ITV news like to give the UNHCR a lot of exposure by the UNHCR being on a lot of media and being at the centre especially in 2015 where there was a refugee crisis, alongside being in a lot of news outlets, this shows the media supports what the UNHCR are doing and recognises that they deserve world recognition for the good they are doing.
However, as they are only news outlets they also report on the bad that UNHCR are doing such as the sexual allegations, which is massive, and the media does not agree with.
P3-
UNHCR
UNHCR STRUCTURE
Despite, UNHCR operating worldwide they have a much smaller organisational structure as they have a very straight forward aim which they don’t stray away from, therefore many different departments which operate in different areas are not needed. UNHCR has a hierarchical organisational structure, their chain of command is very small with the head being the UN which is a handful of countries which decide on how to act on upcoming problems regarding refugees. The UN is the head of the structure with officers acting beneath them who direct the mass of volunteers who help the refugees. They have a very clear understanding of leadership and therefore communication is good as having fewer branches allows them to get their message to their employees and volunteers clearer.
As UNHCR has a hierarchical structure their aims and objectives need to be very clear, in which it is, they have a very clear goal which is to help refugees and they don’t stay away from that goal also despite also operating worldwide, they can still achieve success with a small structure as what they do is generic compared to coca cola where there are many things going on in different countries such as production and transportation.
Having a hierarchical structure also allows for a lot of transparency, which is what a charitable organisation needs as they need to gain trust not only with the refugees they are helping but the world, transparency to show what they are doing at those camp sites is good.
The UNHCRs objectives are to provide protection, community services, and durable solutions and implement programmes.
Specific
The aims and objectives of the UNHCR are quite specific which is a good idea as they know exactly what to do, this is good for a charity as having a specific goal in mind allows them to make it more easily achievable.
Measurable
For a charity such as UNHCR, it is hard to measure how much refugees they are helping as so many refugees go unreported and therefore they can only assume, how good they are doing their jobs. The goal is meaningful as well however, as the company wants to help refugees worldwide, providing them a degree of protection and safety.
Achievable
Their goals are not very entirely achievable however, as there is simply not enough resources and money to help, care for, protect and rehome the refugees, many countries such as Greece are already struggling as they are, the country is struggling with debt problem, where they have borrowed $294.7 billion euros, which they have struggled to repay.
Relevant
Their goal is very relevant, immigration and refugees are still a serious problem today even after the refugee crisis back in 2015, where there was the most number of refugees at one time.
Time bounds
There is no time limit for the aims and objectives of the UNHCR however, if there are refugees needing help, the charity must try its best to protect them.
Much like a large organisation, charities such as UNHCR also have many functional areas which allow them to operate.
Charities have a Marketing, communications and campaigning department, this department is responsible for raising awareness of the charity in the hope that more people donate, which a vital income for any charity. This can come in the form of publicity, marketing and communications.
The voluntary sector is benefitting hugely from social media, as it enables fast, effective targeting of potential donors, volunteers and contributors towards the charity.
Charities also have Management/ administration department, charities need a strong administration management team at core for them to deal with high pressure moments and be able to make the right decisions at times of crisis such as in the refugee crisis in 2015-2016. The head of the team is the high commissioner Filippo Grandi.
Another example of a functional area in the UNHCR is their personnel and human resource department, People, employees and volunteers are a crucial part to the success of any given charity. Every year, around 900 UN volunteers support the UNHCR in some 70 countries. They provide critical support to UNHCR to carry out its mandate of providing protection and provide life sustaining assistance.

The plan of the Charity flows effectively through the organisational structure, as their plan is quite simple yet specific, it compliments their structure as there is less leadership than if they were to have a matrix structure, everyone in the charity knows what the end goal is for the charity making their goal more achievable.

As you can see from the diagram, UNHCR has a small hierarchical structure, with a small structure, the high commissioner establishes a small chain of command, with a small chain of command it allows him to have more control on how the charity is run.
Additionally, the charity does not have a lot of power layers which again support the chain of command as there is less to overall control and therefore the high commissioner has more power within the charity.
The strategic plan is broken into different aims and objectives, which passed down throw through the various managers and different leaders which will help achieve the overall aim of the charity.
Functional areas
Management
In UNHCRs perspective, UNHCR have a senior executive that brings together the most senior leaders within UNHCR, alongside Filippo Grandi (their high commissioner) and the UN. They oversee the overall decisions made in the charity.
HR
People, employees and volunteers are crucial to the success of any given charity. In the Human Resource and Personnel department, they are responsible for making sure the charity looks after its people and their wellbeing, along with training, development and contractual arrangements
Volunteer management
Volunteer Managers tend to be responsible for recruiting, interviewing and managing a charity’s volunteer network. they help plan and implement training programmes to volunteers.
Fundraising
The fundraising department oversees collecting money through donations, they are also in charge of trying to influence potential donators, they can do this by creating effective tv advertisements.

P4-
UNHCR, the UN Refugee Agency, is a United Nations programme with the mandate to protect refugees, forcibly displaced communities and stateless people, and assist in their voluntary repatriation, local integration or resettlement to a third country.
https://en.wikipedia.org/wiki/United_Nations_High_Commissioner_for_Refugees
The organisational structure of UNHCR does not allow them to properly fulfil their goal as due to the large scale of the problem being worldwide, it is not effective enough to have such a small power chain as it is important to have more expansion than currently in place to properly and effectively deal with the problem.
UNHCR have 5 core strategic plans to Protect, Respond, Include, Empower, and Solve. Having these 5 plans allows them to set clearer goals and perform more effectively as what they must do to fulfil their goal is clearer.
Functional areas
Fundraising
The fundraising department helps fulfil UNHCRs goal of helping and providing safety of refugees, it helps them as money is always a major factor of a charity as without money, you wouldn’t be able to afford or help anyone, therefore with this functional area it, it gives them the chance to maximise fundraising contributing to their end goal.
Volunteer management
When Volunteers are out on the field, it can be a daunting place to be with the masses of refugees and bad conditions, however by having management installed, volunteers and managers are able to work together to maximise efficiency, therefore helping them reach their goal as volunteers are able to help more people.
HR
The HR department oversees recruiting volunteers, without this process many unknown volunteers would enter the fields putting the refugees at more risk then they already are, this helps them fulfil their goal as the HR department can pick up the best possible volunteers.
Management
Management help them fulfil their goal as with such a big charity helping refugees across the globe, it is important to have a good team to properly help manage how resources and volunteers are deployed. Having a management team helps to fulfil their goal as it gives clearer instruction to helping those refugees in need.

M3 –
There are many factors that will affect how a business is able to operate, consisting of political, legal and social factors.
LEGAL- country cap, hiring law
POLITICAL – Donations, war
SOCIAL – trends, demographics
LEGAL
Refugee Help
The ability to help refugees is the most important reason why UNHCR is alive and working today, if there was a cap to how much a country was able to store and rehome refugees, UNHCRs work would be very limited as they would be unable to help those refugees, in a stable environment.
There are also hiring laws put into place, for example no child below the age of 25 can help in the fields, which really limits the amount of people that can join and volunteer under UNHCR.
Demand for work
In the recent refugee crisis, there was high demand for work as more and more refugees were flooding into countries, however many countries were putting a cap onto the number of refugees allowed into their country due to overcrowding, the refugees were sent back walking miles and miles not allowing UNHCR to intervene as a stable condition was not established.
Furthermore, their hiring laws has also limited the amount of people on the field despite, the high demand for work, UNHCR was not able to recruit all those that wanted to join due to the law.
Cost of Production
When they’re was a cap to the amount of people allowed in a country the cost of production went up for UNHCR as more and more people were stranded walking from country to country seeking refuge, however, as UNHCR knew of this, they deployed many “mobile hospitals”, which are at a high expense considering the personnel required and medical equipment.
On the other hand, hiring laws put into place didn’t affect the volunteers as they work for free.

POLITICAL
Refugee Help
Donation
When governments decide to donate to charities, they donate large amounts, with the USA being the largest donor, donating, 1,450,360,238. Their donations allow the charity to help those in need as with any operation a lot of money is needed to supply personnel with equipment and refugees with he resources they need to survive.

War
When governments and presidents wage war, there is a huge influx of refugees due to the amount of fear and unsafety within their home country, therefore UNHCR need to intervene much more and help those refuges by proving supplies and shelter.
Demand for work
When donations are high, it makes life much easier, for volunteers, as they are supplied with a lot of equipment and supplies whereas if donations are low, there will a constant struggle and battle with the amount of resources used on the field.
war
When there is conflict between countries, demand for work is much higher since more refugees are stranded and looking for refuge.

Cost of Production
Donations
Cost of production would be a lot cheaper if more donations were coming in, as the charity will have a lot more money to spend and use improving its charity
War
Cost of production would be much higher, as during war a huge influx of refugees therefore, the charity needs to be to raise as much funds as possible to help those in need.
SOCIAL
Refugee help
Trends
Social trends would affect how the refugees are helped, as more and more are seeing how ethical and morally good it is to help those in need, UNHCR is able to help more refugees as more and more people are signing up to be refugees.
Demographics
In LEDCs, the birth rate is exceptionally high compared to MEDCs, having said this, refugees are mainly from unstable LEDCs, with more and more refugees coming out each year due to this, the number of refugees needing help have increased majorly.
Demand for work
Trends
Social trends would affect how the refugees are helped, as more and more are seeing how ethical and morally good it is to help those in need, UNHCR is able to help more refugees as more and more people are signing up to be refugees.
Demographics
More demand for work, as the demographics change in other countries, more refugees are needing immediate attention of the UNHCR therefore, there is a constant need and higher demand for volunteers.
Cost of Production
Trends
With more and more volunteers coming and joining forces with UNHCR, due to there being more and more ethical and moral focus on society, the cost of production has increased as despite getting more workers, facilitating the volunteers and transporting them has become a problem for the charity as more money is required.
Demographics
Again, with increased population and wars on the rise, there are more refugees seeking refuge in major countries, costing the UN a lot more, due to the amount of supplies and resources needed to effectively help those in the need of UNHCR

http://www.unhcr.org/uk/united-nations-volunteers.html
http://www.coca-colacompany.com/our-company/the-coca-cola-system
https://news.un.org/en/story/2017/09/567382-major-new-un-report-sets-course-towards-pollution-free-planet
http://www.bbc.co.uk/news/world-europe-34131911
http://www.google.co.uk/url?sa=t;rct=j;q=;esrc=s;source=web;cd=2;ved=0ahUKEwiGxvqDrdfZAhVRNMAKHYZtCTQQFggpMAE;url=http%3A%2F%2Fwww.unhcr.org%2F4371d18e11.pdf;usg=AOvVaw0gFmhsMR95axh_K9gQLqSU
http://www.unhcr.org/uk/the-high-commissioner.html
http://www.unhcr.org/uk/united-nations-volunteers.html
https://www.coca-cola.co.uk/about-us/mission-vision-and-values
http://uk.businessinsider.com/retailers-bankruptcy-filings2017-9/#toys-r-us-3
https://www.coca-colacompany.com/careers/career-areas
https://www.coca-cola-deutschland.de/karriere/career-areas-the-functional-departments-of-our-company
http://www.unhcr.org/uk/donors.html

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