CASE REPORT
HOW TO OPERATE SUCCESSFULLY IN AN INTERNATIONAL
ENVIRONMENT: A CASE ASTUDY
9/6/2014
Table of Contents
Executive Summary ...................................................................................................................................... 3
Introduction:.................................................................................................................................................. 4
Why Go Further? .......................................................................................................................................... 5
Where are you going to locate your Manufacture Plant? .............................................................................. 5
How to Govern a Newly Acquired Foreign Company? ................................................................................ 6
What are the Advantages of Forming a Joint Venture? ................................................................................ 6
How to Divorce from a JV Partner while minimizing the Damage to your Interests and Reputation? ........ 7
How Managers can assess effectively the often Unfamiliar Non-market Environment in an International
Environment? ................................................................................................................................................ 8
How do Giant Firms from Emerging Countries Expand Overseas? Any Implication to FDI and
Government/Industry Policies? ................................................................................................................... 10
How to Deal with Some Ethical Dilemmas? .............................................................................................. 12
Analysis: ..................................................................................................................................................... 13
Recommendations: ...................................................................................................................................... 15
Conclusion: ................................................................................................................................................. 17
References:.................................................................................................................................................. 18
Appendix:.................................................................................................................................................... 21
2
Executive Summary
This case report discusses about the significance of the adaptation of the Coca-Cola Company
within the international arena of business environment. By using concepts from the literature on
resources and challenges it posit that the adaptation capability towards different international
business environments seems to be a valuable, difficult to imitate, non-tradable, rare but not a
scarce and path dependent source.
It further suggest that operating business within an international business environment context
seems to be a non-substitutable core source to gain competitive advantage for the organization,
specifically, when Coca-Cola is going to expand its business from an expensive country North
America to the cheaper countries such as Pakistan, India or China. In line with this argument,
some propositions seem to be formulated. At the end, a conclusion along with a broad discussion
and suggested avenues for future research present in the case report.
3
Introduction:
Beamish, (2012) recognized that organizations have to adapt to the environment to succeed. In
this sense, Doole & Lowe, (2012) emphasized that,
“Environmental circumstances better determine which business system will survive and thrive;
hence those best adapted seems to be most likely to prosper.”
Therefore, Briscoe, Schuler & Tarique, (2011) posited that every organization operate within a
specific physical, technological, cultural and social environment to which it has to adapt.
Cummings & Worley, (2014) recognized the complexity, importance and interdependence
between the organizations and their environment. In this sense, no organization could be
survived in isolation from a large change of globalization under the risk of mislaid the essence of
the organization by having a consideration on a single characteristic to the exclusion of the
others. Consequently, in the cases of the multinational corporations (MNCs), there seems a huge
challenge as they have to adapt simultaneously to a diverse environment where they operate
(Forsyth, 2014).
This paper explores the nature of the international business environment and the capability of
present firms to adapt to the environment as a strategic resource, possibly a source of competitive
advantage. Pursuing this approach, an expansion of international business research by moving
beyond the study of several firms in associated with environmental factors.
This paper is divided into two phases. The first phase is further divided into four main issues.
First, the adaptability of firm to foreign business environment is examined through various
theoretical insights and the international business environment described in its multi-dimensional
structure. Second, it briefly reviews the resource advantage theory and conceptualizes adaptation
ability as a resource and possible source to achieve competitive advantage. In the third section, it
explores whether adaptation has the potential to generate competitive advantage. At the end, it
develops a set of theoretically driven propositions.
4
In the next phase, a discussion, proposes the extension of the traditional structure, strategy,
performance paradigm to encompass the essential role of international business expansion, hence
some avenues for future research would be provided.
Why Go Further?
At present times, due to a tremendous emergence of industrial revolution, businesses have to
make themselves internationally minded or die as the market is now turn towards globalization
(Hill, Cronk & Wickramasekera, 2013). In this sense, several multinational companies exist
around the globe that operates in more than one country, and typically operates over a diversified
market. According to Kim & Urpelainen, (2014) the three main developed trading areas of the
world considered being as North America, The European Union, South-East Asia and Australia
where so many MNC’s such as Coca-Cola, Cadbury Schweppes, McDonalds, Kellogg's,
Cummins, are operating their businesses.
Where are you going to locate your Manufacture Plant?
Manufacturing Plant in China:
According to the Coca-Cola Company, (2013) for the current investment plan of 2012-2014
Coca-Cola is going to locate its 43rd manufacturing plant in China after the existing plants in
Shijiazhuang, Hebei. Around US$106 million (RMB 650 million) of investment is allocated for
the new plant that determines the ongoing confidence and commitment to China from Coca-Cola
(Hill, Cronk & Wickramasekera, 2013). This new plant will boost up a lasting positive impact of
Coca-Cola within the community and contribute towards the people of Hebei, a sustainable
future.
Manufacturing Plant in Singapore:
Furthermore, according to Kim & Urpelainen, (2014) coca cola achieved around its annual
growth of six percent in unit case volume, from the Coca-Cola’s Pacific Group, that is
considered being as higher than the worldwide average of 4%. In this sense, the company sold
25.5 billion unit cases just in 2010 which make it the largest non-alcoholic ready-to-drink
5
beverage company globally. Therefore, Coca-Cola is now going to locate its manufacture plant
in Singapore Tuas with S$72 million (US$60 million) of investment (The Coca-Cola Company,
2013). Besides that, Forsyth, (2014) stated that Singapore is already the hub of manufacturing
and supply of the products of the company among fast-growing markets within the Asia-Pacific
region.
How to Govern a Newly Acquired Foreign Company?
Acquiring Parle Group in India:
When India initiated its economy for foreign investments, since then coca-cola started designing
its strategy to establish its brand within the fast-growing market of India. For this purpose, cocacola did a joint venture agreement with Parle Group, commanded over the 60 percent of soft
drink market of India (The Coca-Cola Company, 2013). Hence it is considered being as a
milestone and strategic alliance for Coke to acquire the stable brands of Parle specifically the
most famous spicy cola Thums Up. According to Cummings & Worley, (2014) so forth it gave
Coca-cola a great advantage to access to its countrywide bottling and distribution system.
Hence by means of this deal, coca cola easily governed over the market share of beverage
industry in India but side by side could govern over the bottling and distribution system of Parle
Group (McFarlin & Sweeney, 2014). Therefore it is considered being a huge start of coca cola
within the Indian market to get permission to expand their business but could also leapfrog over
competition.
What are the Advantages of Forming a Joint Venture?
According to Beamish, (2012) by means of joint venture (JV) a business could avail strong
potential for a tremendous growth and on the other hand could get a new world of innovative
ideas; hence could increase its product lines. In case of deficiency of growth, a business could
easily get advantage through JV to increase the production capacity as well as access to
emerging giant markets, technologies and customers (Briscoe, Schuler & Tarique, 2011).
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A joint venture provides organizations opportunity to nurture expand capacity and innovative
expertise (Cummings & Worley, 2014). In this sense, it allows organizations to get enter into
new product line or new geographic market and increase technological knowledge. Hence
organizations could easily get entrance towards greater resources within the arena of specialized
staff and technology.
Furthermore according to Forsyth, (2014) by means of JV, organizations could share the
associated risks too with the venture partner. In this sense, share the expenses and could avail
investment in case of the other partner has more money. Hence companies could get a better
opportunity to expand and grow.
How to Divorce from a JV Partner while minimizing the Damage to your
Interests and Reputation?
When going to form the joint venture, specific mechanisms have to keep in front so that any
disagreement could not occur (Schaffer, Agusti & Dhooge, 2014). Hence while doing a JV deal
organizations have to ensure that their interests will be under protection the deal of JV made a
contractual relationship between parties to have some rights over another company. Therefore,
companies have to focus over the commercial consequences and underlying agreements.
Joint Venture with Aujan:
In 2012, according to The Coca-Cola Company, (2013) coca cola signed over JV with the
beverage firm Aujan Industries considered being as one of the largest beverage companies within
the Middle East. Under the agreement, coca cola acquired only 50 percent of the Aujan entity
that give the rights over Aujan-owned brands, including Rani and Barbican, in certain regions.
Joint Venture with Nestle:
Furthermore, under the Beverage Partners Worldwide (BPW), coca cola signed over JV with
Nestle to market and distribute Nestea product within Europe, Canada, Australia and specific
markets in Asia (The Coca-Cola Company, 2013). The deal holds the rights of bottlers under the
Nestea trademark, owned by Nestle.
7
How Managers can assess effectively the often Unfamiliar Non-market
Environment in an International Environment?
Local Language Issue in USA:
The Coca-Cola Company founded in 1886 now becomes a truly global, with its main soft drink
products as recognized by the consumers worldwide (McFarlin & Sweeney, 2014). The
organizational infrastructure of the company reflects its successful journey across the globe.
According to Schaffer, Agusti & Dhooge, (2014) the company operates its business within five
continents of the world, including Latin America, North America, Europe, Russia, Middle East,
Africa and Asia with its top four soft drink brands Coca-Cola, Diet Coke, Fanta and Sprite.
Below the figure illustrates the successful sales record of Coca-Cola within five continents of the
world:
However, Turnbull & Valla, (2013) claimed that one side while extending its business
worldwide, on the other hand, the company seems to be failed to meet the specific requirements
of regional markets of various countries. In this sense, there seems a significant regional
difference in the advertisement of brand in USA that calls to consider it on local language issue.
8
According to Verbeke, (2013) any change in the marketing environment requires assessment at
home while overseas potential of market has to be strategically scrutinized. It needs to find
relevant information about the culture, language and behavior issues when going towards
diversification of market. Hence, before involving in multinational business, an organization has
to reconsider its strategies. Young, (2014) showed that the product has to show characteristics
that could easily be merged into that specific target market. Therefore, the features of product
like size, shape, design, performance and even color of the product also has to portray a true
picture of culture and traditions of specific target market (Hastings & Domegan, 2013).
Although, Beamish, (2012) showed that in terms of color of product, Coca-Cola holds a strong
position within the USA market due to its red color featured product.
Moreover, America seems to be a nation of fantasizes, preferring the sign to the substance
(Briscoe, Schuler & Tarique, 2011). It implies that advertisers give shape to consumer desire, but
that the subconscious dreams and desires of the market already exist. On the other hand,
Cummings & Worley, (2014) showed that the same could be implied for the youth of the rest of
the Western and Eastern world.
Language could be a great challenge and barrier for MNC’s and it is well recognized by CocaCola Company. Briscoe, Schuler & Tarique, (2011) showed that the life style of American
people presents an idealized world where everything is possible if you have a dream; hence it
seems to be the land of opportunity where everyone is equal. Hence localization needs to
consider on native language as well as factors of time, currency and other issues would also
needs to be consider.
In this relation, this self-confidence may lead towards extremes and manifests in statements
made about the superiority of people and the product. Forsyth, (2014) showed that the slogan of
Coca-Cola i.e. "Coca-Cola people always better" and "Always refreshing" seems to identify
the cultures across USA as the product is transformed into signs of all that is being considered as
desirable in American life; hence Coca-Cola become a symbol of American culture.
9
How do Giant Firms from Emerging Countries Expand Overseas? Any
Implication to FDI and Government/Industry Policies?
Foreign Policy of Middle East:
The company of Coca-cola has been involved in several controversies and lawsuits related to its
relationship with human rights violations and other perceived unethical practices (Kodama &
Shibata, 2014). Frankenberger, Weiblen & Gassmann, (2014) showed that Coca-Cola has been
facing continually criticisms regarding the Coca-Cola company’s relation to the Middle East and
USA foreign policy. All the issues mainly associated with unethical practices regarding
manufacturing of products.
According to Giezen, (2012) on 10 December, 2008, the USA Food and Drug Administration
(FDA) passed a summoned to the CEO’s of Coca-cola to warn about the violation against
Federal Food, Drug and Cosmetic Act. It was claim that Coca-Cola’s product Diet Coke plus 20
FL OZ violated across USA (Briscoe, Schuler & Tarique, 2011). Hence the company sued
against the violation against the above acts.
According to Beamish, (2012) Coca-Cola has operated worldwide its business operations around
200 countries with its 400 brands of products with manufacturing operations and research
laboratories. Consequently, the products of Coca-Cola of are available for purchase by means of
effective and established distributors and retailers (Doole & Lowe, 2012).
With respect to the regulations of USA, Coca-Cola could avail advantage of the relaxation of US
laws against Myanmar (Frankenberger, Weiblen & Gassmann, 2014). In this sense, FDI could
help millions of Burmese by means of improvement in manufacturing, energy and banking.
However, side by side, Kodama & Shibata, (2014) sated that locals seems to be cut out of the job
market as most Burmese lack skills essential for such jobs.
Hence without a considerable investment in training and education, American companies would
join other MNC’s in employing trained citizens of their own countries and utilizing Myanmar’s
natural resources for overseas sales (Briscoe, Schuler & Tarique, 2011). Therefore government
of Myanmar has to take initiative steps to train its citizens at national level.
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Flavors of Vitamin Water in USA:
Kodama & Shibata, (2014) identified that In January, 2009, the consumer group of USA i.e. the
Centre for Science in the Public Interest sued a class-action law suit against Coca-Cola. It was
the claim about the flavors of Vitamin Water. Around 33 grams of sugar considered being as
harmful (Cummings & Worley, 2014). However, according to Doole & Lowe, (2012) the
vitamins and other additives considered being as helpful. Hence USA government needs to
further focus over its policies and strategies.
Hastings & Domegan, (2013) showed that USA laws and regulations seem to be complex for
Coca-Cola Company as it faced a strong straggle in USA due to the tough laws and regulations
of USA regarding the food quality and flavors. In this sense, Coca-Cola applied to the USA
government to convince about the significance of flavors and constituents of its products in order
to make sure its supply of products across Middle East and USA (Young, 2014).
However, Coca-Cola spent its several precious years of business in order to do a hard struggle to
satisfy USA’s complex regulations, so that it would be in favor of Coca-Cola (Frankenberger,
Weiblen & Gassmann, 2014). Later on, Giezen, (2012) showed that Coca-Cola got approval to
distribute its products within the USA market, but it seems to be too late for Coca-Cola as its
competitors, specifically Pepsi, had captured a large market share. Hence, by delaying in taking
decisions and implementing strategies Coca-Cola lose a large market share of USA beverage
market and as regulators managed, in effect, it stifled foreign competition.
Chen et al., (2014) showed that Coca-Cola being as a USA-based firm, gains a high international
presence, and conduct sales, distribution, and manufacturing now at the global level. However,
within the Coca-Cola Company there seems a lack of management planning considered being as
a triggering event (Nilsson, Fagerlund & Körner, 2013).
According to Du Gay et al., (2013) strategic management planning seems to be a huge issue in
Coca-Cola Company due to its diversified nature of business. Furthermore, the sales of beverage
products seem to be decline when government imposed the rules and regulations regarding the
unhealthy beverage products when Coca-Cola had already begun promoting its own standard
products with the introduction of its Diet Cock or vitamin water.
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At the same time other major consumer beverage companies in USA such as Pepsi and Cadbury
Schweppes, rallied around a different standards of products. However, Chen et al., (2014)
identified that later on after several years of tough competition, company makes such goals and
objectives that best suits to its culture as it faced a huge loss regarding deficiencies in marketing
due to a 16 percent decrease in advertising budget but Coca-Cola seems to face several times
lack of management planning while introducing any brand globally.
How to Deal with Some Ethical Dilemmas?
According to Carroll & Buchholtz, (2014) codes associated with labour issues usually regarded
with the brands of footwear, garment, sporting goods, retail sectors or beverage industry. On the
other hand, codes associated with environmental aspects likely to be regarded with the oil,
chemical, forestry and mining industries (Ferrell & Fraedrich, 2014). Hence, Walker et al.,
(2014) suggested that the world’s top multinational companies and buyers have taken initiative
steps in adopting such codes, which could perform as dependable sources for organizations and
as an alternative mean of regulation.
Leading global brands such as Nestle, Mars and Coca-Cola are failing to ensure the well-being
of the workers (Carroll & Buchholtz, 2014). It is one of the largest manufacturers across USA
and the second biggest organization in the world. Hence, the company has 200 independent
factories in several countries globally.
Workplace Standards in Asian Pacific Region:
According to Ferrell & Fraedrich, (2014) the company seems to be responded to the convergence
of its standards, guidelines and principles to cope up with social, ethical, and environmental
issues. In this sense, the ‘Workplace Standard’ set by Coca-Cola in its Asian Pacific region
primarily sets forth the organization’s position on a number of challenging labour issues faced by
workers. The issues associated with workers who produce their products and are continuing to
profit from a broken system (Walker et al., 2014).
Beamish, (2012) identified that the company seems fail to ensure the rights of workers therefore;
company have to adopt the policies that protect women's rights. Furthermore, the company also
12
faces a huge issue of management of water and land use and also not ensures the rights of the
farmers who grow their ingredients (Doole & Lowe, 2012).
Environmental Pollution Issue in USA:
According to Agrawal, (2014) Coca-Cola is a USA-based beverage brand therefore, the
company’s top most priority is to retain the ethical and environmentally conditions within UK.
Hence, company reports on agricultural emissions associated with their products daily to
officials (Turker & Altuntas, 2014).
Epstein & Buhovac, (2014) showed that the company has no adequate policies to protect local
communities from land and water grabs, therefore, sourcing commodities seems to be plague by
land rights violations, such as palm oil, soy and sugar.
Agrawal, (2014) identified that principles underlying the codes of conduct are worth mentioning
at this point specifically with respect to Coca-Cola, a famous brand of beverage products has a
comprehensible policy committed to implementing practices throughout supply chains that
advance heir sustainable agriculture strategy and support their commitment to construct more
sustainable communities. According to Beamish, (2012) under these core principles, the
company never seems to indulge in workers’ rights or ensure fair pay and treatment for their
workers.
Analysis:
Most of the companies including large multinationals take international environment conditions
in a vague, non-precise, and non-operational manner (Doole & Lowe, 2012). Therefore, all the
companies have to consider factors that are all around an environment i.e. cultural differences,
exchange rates differentials, government incentives, income profile diversity, and legal systems
disparities while moving their businesses globally.
As per as Coca Cola’s strategy, its current market share, global soft drinks market so it seems to
be strong enough as Coca Cola going with its successful business operations now expand to over
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200 countries with 76% of the company’s revenue coming from foreign markets (Briscoe,
Schuler & Tarique, 2011).
Cummings & Worley, (2014) mention that while starting business globally, a company has to
recognize that all people within the entire world have different needs. In this sense, while many
of the many products that the renowned corporations of the world sell are targeted at a global
audience using a consistent approach of marketing mix.
However, according to Forsyth, (2014) it is essential to understand regional differences and its
impact over the declining market share. Organizations have to accept that differences in values,
customs, languages and currencies means that some products will only sold to certain countries
(Hill, Cronk & Wickramasekera, 2013).
According to Kim & Urpelainen, (2014) similar to the assessment of marketing environment, the
potential of the market towards any product seems also essential. However, finding specific
knowledge about the culture, tradition or people takes long time due to the unfamiliarity of some
locations but it is the top most steps towards initiating any business globally (McFarlin &
Sweeney, 2014).
The product has to equip with characteristics that make it acceptable for the targeted market i.e.
features such as size, shape, design, performance and even color of the product also plays a
significant part in increasing or decreasing sales level. Furthermore, according to Schaffer,
Agusti & Dhooge, (2014) the aspects associated with distinctive languages, customs and health
and safety laws and regulations also considered being as important step to capture a large market
size within any country. As Coca-Cola does not follow the work safety laws and regulations
while keeps first the health and safety of people.
The above case studies illustrate successfully the concepts of language, culture and importance
of ethical, environmental and legal considerations while performing in an international context.
In this sense, the difficulty of translating text from one language to another and conveying the
original sense and context so that it could be acceptable across different cultures seems to be
important for all companies, otherwise the true meaning of product would losses its worth and
value like Coca-Cola losses its market share within USA market.
14
Turnbull & Valla, (2013) identified that political factors including the stability of government
and its policies, the trend of political reform, the development of economic and legal systems,
and the efficiency of governmental agencies all have a vast impact on the decisions and
operations of all businesses. Hence, the establishment of a business legal system, consumer’s
level of confidence and actual income increase, may boost up or decline the brand image of a
company. Therefore, all factors need a closer watch for future investment and operational
decisions within a business.
Above all, it seems essential to look on the environment changes while to analyze the threats of
the business along with searching and offering massive opportunities for business enterprise
within any specific market (Verbeke, 2013). Hence a successful business always does business
with people, for people and in front of people by recognizing the different elements in the
environment.
Recommendations:
Young, (2014) suggested that the main responsibility of an efficient manager is to recognize,
understand, create, select, implement and modify strategies as per the environmental conditions
whether it is regional or international environment. In this sense, managers decide on the
informational requirements and on the strategic choices and actions taken, namely seeking
towards a better fit to the international environment.
According to Hastings & Domegan, (2013) the managers of Coca-Cola have to understand the
language and cultural barriers while operating its business in China. They have to make such a
strategy that best suits to the culture of USA as it adopted slogan that best suits to USA people.
Specifically, due to a population of around 72 million and per capita GDP of US$5,259, Hebei
province could be the most important growth market for coca-cola (Young, 2014).
Although the advertisement and marketing campaigns of Coca-Cola along with its products
seems to be successful but it will be worthwhile when the advertisement will be in native
language (Beamish, 2012). As much as the company realizes this issue, it will better enhance its
position within the USA market.
15
According to Doole & Lowe, (2012) the decisions and actions have to be taken immediately and
coherently as Coca-Cola losses an important position in USA market. In this sense, manager has
to take initiative and efficient steps as government passed the regulation. In this way, not only
the company was safe from a huge dealing cost but it would be able to capture large market size
(Briscoe, Schuler & Tarique, 2011). Therefore any delay even a minute within a business
decision may take up or down an organization. Consequently, Coca-Cola needs to make an
effective strategic planning while introducing brands in USA.
According to Cummings & Worley, (2014) Coca-Cola needs to prepare guidelines and training
programs for its workers to minimize their business operations that impact on the environment,
so that these guidelines will be beneficial to aware the responsibility of workers to adopt the
mandatory environmental management systems within their business operations.
Hence, by imposing this system within the company, it would attempt to tackle pollution and to
ensure that its products are environmentally safe and sound. As Coca-Cola do that by passing
daily emission of gases report to the concerned people and fulfils the rules and regulations
imposed by USA and Chinese government (Kodama & Shibata, 2014). Hence successfully meet
up the ethical and legal considerations of UK government.
According to Beamish, (2012) in order to best cope up with environmental issues and taking its
initiative actions and implementations, the environmental model seems to be beneficial.
16
Source: Beamish, 2012
In this sense, adaptation seems to be a determinant factor for each of the three components i.e.
structure, strategy and performance of the organization (Doole & Lowe, 2012); hence, firm’s
performance largely based on its ability to monitor and respond to environmental changes within
surroundings.
Conclusion:
Above all, the study called attention towards the importance of business operations and functions
within international business scenario. It further intended to shift the orientation from a more
economic view of the firm and its actions to a more business strategy-based view. However, to
act strategically is to search for the better position and image over the landscape, which requires
a continuous evaluation and selection of strategies with the potential to generate a competitive
advantage.
Specifically for MNC’s, a better fit will only be achieved when the MNC adapts to the
international environment standards and refresh its infrastructure as per the revolution of
businesses, globally. Firms’ adaptation to the environment plays such a crucial role that it could
not be separated from other aspects of business operation.
The future of the multinational corporations (MNC’s) seems likely to be environmentally
sensitive given it a large international experience, the knowledge accumulated and value
incorporated in its human resource infrastructure. Therefore, the fundamental strategic resource
for MNC’s would certainly be to involve itself with the international systems of business.
17
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Appendix:
SWOT Analysis of Coca-Cola:
Strengths
The best global
brand
World’s largest
market share.
Extensive beverage
distribution
channel
Customer
loyalty.
Corporate Social
Responsibility
(CSR)
Weakness
Sluggish
Performance
in North
America.
Focus on
carbonated
drinks.
Dropping
Sales
Negative
publicity.
health issues
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Opportunities
Introduce
Energy Drinks.
Increase the
distributuion
network
Increasing
demand
Bottled water
consumption
growth.
Popularize less
known
products
Threats
Decreasing gross
profit and net
profit margins
Competition
from PepsiCo
Taxes
Saturated
carbonated
drinks market
Inflation
PEST Analysis of Coca-Cola:
Political Factors:
 The USA Government has complete control over Coke manufacturing activities through
a by standard set of laws and regulations
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 Amendments in taxation and laws associated with environment.
 Political conditions, restrictions and civil disturbance affect on the ability to transfer
capital across borders in China.
Economic Factors:
 A change in consumer spending habits.
 Consumers are now cut down their spending due to economic crisis in China and
Pakistan.
 Inflation.
 Huge economic crisis after 9/11.
Social Factors:
 Culture impact over the preferences and perception of people.
 Almost all of the U.S.A citizens now moving towards healthier lifestyle trends.
 An organized racing family exists in North America.
 Language must be take care of in China as the aspects of culture has a vast impact.
Technological Factors:
 Invention of new machineries daily.
 Latest technologies of internet and television by using special effects for advertising
through media.
 Speed of delivery as Wakefield factory has technology to manufacture cans of Coke
faster as much as a bullet from a machine gun.
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