Coca Cola
Overview
Monitoring competitors’ performance and strategies is a key aspect of an external audit. This exercise is designed to give you practice in evaluating the competitive position of organizations in a given industry and assimilating that information in a CPM.
Challenge
Respond to Exercise 3B, Steps 1-3 from your textbook. Use APA format and cite references correctly (when citing add author, date and paragraph number )
Exercise 3B Develop a Competitive Profile Matrix for Coca-Cola
Purpose
Monitoring competitors performance and strategies is a key aspect of an external audit. This exercise is designed to give you practice in evaluating the competitive position of organizations in a given industry and assimilating that information in a CPM.
Instructions
Step 1 Turn back to the Cohesion Case and review the section on competitors (p. 28). Also view online resources that compare Coca-Cola with Pepsi. Use the sources listed in Table 3-7.
Step 2 Prepare a CPM that includes Coca-Cola, Pepsi, and Dr Pepper.
There are many excellent websites for gathering strategic information, but six outstanding ones that the authors use routinely in performing an external audit are:
http://finance.yahoo.com
www.hoovers.com
www.morningstar.com
www,mergentonline.com
http://globaledge.msu.edu/industries/
Corporate website of companies
The fifth website listed is operated by Michigan State University and provides industry profiles that are an excellent source for information, news, events, and statistical data for any industry. Most college libraries subscribe to excellent online business databases that can then be used free by students to gather information to perform a strategic-management case analysis. Simply ask your reference librarian. Some outstanding library database sources of external audit information are described in Table 3-7; the authors use all of these sources, especially S&P Net Advantages Industry Surveys and IBISWorld, to obtain AQCD external factors for inclusion in an external assessment. Note also in Table 3-7 the PrivCo source is helpful for obtaining information about privately held firms; use www.owler.com for information about rival firms.
Table 3-7 Excellent Online Sources to Obtain EFE Matrix Factor Information
IBISWorldProvides online USA Industry Reports (NAICS), U.S. Industry iExpert Summaries, and U.S. Business Environment Profiles. A global version of IBIS is also available.
Lexis-Nexis AcademicProvides online access to newspaper articles (including New York Times and Washington Post) and business information (including SEC filings).
Lexis-Nexis Company DossierProvides online access to extensive, current data on 13 million companies. It collects and compiles information into excellent documents.
Mergent OnlineProvides online access to Mergents Manuals, which include trend, descriptive, and statistical information on hundreds of public companies and industries. Unconsolidated company income statements and balance sheets are provided.
PrivCoProvides information on privately held companies, including private financials and revenues; private M&A deals and deal multiples, private firm valuations, VC funding, private equity deal history. (Go to www.owler.com for information about competitors.)
Regional Business NewsProvides comprehensive full-text coverage for regional business publications; incorporates coverage of more than 80 regional business publications covering all metropolitan and rural areas within the United States.
Standard & Poors NetAdvantageProvides online access to Standard & Poors (S&P) Industry Surveys, stock reports, corporation records, The Outlook, mutual fund reports, and more. Locate the Company tab at the top of the page or the Simple Search option located on the right side of the page. Use the Company Profile option.
Value Line Investment SurveyProvides excellent online information and advice on approximately 1,700 stocks, more than 90 industries, the stock market, and the economy. Company income statements and balance sheets are provided.
U.S. Securities and Exchange CommissionProvides the Form 10K for publicly held companies in the United States. Use the search box at the top of the page or look under the Filings tab along the top of the page.
Company Annual Reports On-Line (CAROL)Provides direct links to publicly held companies financial statements in both Europe and the United States.
