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Micro Analysis of Aava Bottle Water

Micro Analysis of Aava Bottle Water

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Published by priyank shah

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Published by: priyank shah on Apr 28, 2009
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02/25/2013

 
MANAGEMENT RESEARCH PROJECT II ON “AAVA BOTTLED WATER”
CHAPTER - 1INTRODUCTION
Only three decades ago few knew about mineral or spring water, and fewer still thought thatone day most Canadians would spend a lot of money to buy it!Water forms an essential part of every human being. After air, water is the most importantnecessity for life. Water plays a number of functions for the body. It serves as the body’stransportation system, it acts as a lubricant, it regulates the body temperature etc.The eulogy for water is an unending thing. In fact, more than 2/3
rd
of the human body ismade of water. The importance of water for human body can be well accessed from the factthat if the amount of water is our body is reduced by just 1-2%, we feel very thirsty. If it’sreduced by 5%, our skin will shrink and we will have difficulty moving our muscles and if it’s reduced by 10%, we will die.Moreover with this commodity being a human necessity it makes best sense to do businessin. As a normal human being requires on an average needs 2-3 liters of water everyday andworld population is more than bn (growing at 2-3% annually), the business opportunity ishumongous and the potential is largely untapped.Since ancient time people have used water from mineral spring, especially hot springs, for  bathing due to its supposed therapeutic value for rheumatism, arthritis, skin diseases, andvarious other ailments. Depending on the temperature of the water, the location, the altitude,and the climate at the spring, it can be used to cure different ailments. This started the trendof using mineral water for drinking purpose to exploit the therapeutic value of the water. Thistrend started gaining momentum in mid 1970s and since then large quantities of bottled water from mineral springs in France and other European countries are exported every year.The bottled water industry is estimated to be a whopping Rs 1600 crores business. It hasgrown at a rate of 38-40% annually over the past four years. Initially pitched at the well-
S.V. INSTITUTE OF MANAGEMENT, KADI 2007-091
 
MANAGEMENT RESEARCH PROJECT II ON “AAVA BOTTLED WATER”
heeled, bottled mineral water brands like the French-manufactured Danone were promoted atclubs, fitness centers, cinemas, department stores, malls, ice-cream parlors, cafes and retailsports outlets, besides restaurants, hotels and supermarkets, with a price tag of Rs 70 for a 1liter bottle. Other brands later began pitching for the larger middle class and lower-middleclass markets.
S.V. INSTITUTE OF MANAGEMENT, KADI 2007-092
 
MANAGEMENT RESEARCH PROJECT II ON “AAVA BOTTLED WATER”
1.1 ABOUT BOTTLE WATER INDUSTRY
The Water shortage around the world and particularly in third world countries has openednew avenues for bottled water Industry. If we compare the growth and status of IndianBottled Industry with western or Asian market, we are far behind in terms of quantum,infrastructure, professionalism & standards’ implementation.My experience over more than 10 years in Bottled water industry has given me an insightinto the working style, problems and approach of Indian processors. This WEBSITE is a platform to provide necessary information to plan, set operate, maintain & grow under  prevailing marketing conditions.Multinationals have entered Indian Shores, making rapid strides in Indian Market and haveeroded market share, image and infrastructure of leaders and small players alike. My belief isthat through methodical approach, Indian companies CAN withstand this onslaught, which isthreatening to gobble up the competition & eventually, the Market. Though in a way, thisentry has provided a semblance of professionalism to the market and Indian firms HAVEnoted the same. Unless a matching product, not necessarily coming from huge infrastructurematching them, is brought in the market, it would be reduced to NO COMPETITION.My wishes to present Indian entrepreneurs and those who are planning to take the plunge. If one has general perception that bottled water in India is a saturated Market now, take mywords: it is just the beginning and thirsting for more, day by day…
DEMAND OF WATER WOULD NEVER GO DOWN… & WATER WOULD NEVER BE OUT OF BUSINESS
S.V. INSTITUTE OF MANAGEMENT, KADI 2007-093

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Hi, Thanks for the article u posted. Would u pls send me this article for my working referrence as a development worker in Bangladesh. Pls feel free to contact at mahfuz_asks@yahoo.com

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