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A RESEARCH REPORT

ON

RED

RIGHT EXECUTION DAILY

SUMMER
TRAINING
Project Report
For
WAVE BEVERAGES Pvt. Ltd.

UNDER GUIDANCE OF SUBMITTED BY

Mr. Vishal Mehra Harish Kalia

GLOBAL INSTITUTE OF MANAGEMENT


AMRITSAR
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ACKNOWLEDGEMENT

The word at our command are very less to render our gratitude to all who help me
Nothing is a single man’s effort. Cooperation and coordination of various people go into
the successful implementation. It is a great pleasure to have the opportunity to extent
our heart-felt thank to everybody who helped me through the successful completion of
the research report. .First of all I would like to thank my project guide Mr.Ankit Garg
who kindled my path towards the completion of research project I offer appreciation to
my parents and all my friends for their ever-willing cooperation and moral support. And
at last but not the least, I thank the Almighty who is always with me.

INDEX

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TITLE PAGE NO.
ACKNOWLEDGEMENT
CHAPTER 1:
1.1 INDUSTRY PROFILE 4-11
1.2 COMPANY PROFILE 12-21
1.3 MISSION AND VISION OF COCA COLA COMPANY 22
1.4 PRODUCTS 25-30
1.5 ORGANIZATION STRUCTURE 43
1.6 WBPL PROFILE 46
1.7 SWOT ANALYSIS 50
CHAPTER 2:
2.1 INRODUCTION AND OBJECTIVES 53-59
2.2 RESEARCH METHODOLGY 60-61
2.3 REVIEW OF LITERATURE 62-65
CHAPTER 3:
3.1 ASSIGNMENT-1 66
3.2 MARKET SEGMENTATION 67-70
3.3 ASSIGNMENT-2 71
CHAPTER 4:
4.1 DATA ANALYSIS AND INTERPRETATION 72-82
4.2 EXECUTIVE SUMMARY 83
4.3 CONCLUSION 84
4.4 FINDINGS, SUGGESTIONS, RECOMMENDATIONS 85-87
4.5 LEARNING EXPERIENCE 88
REFERNCES
SCORING SHEET

CHAPTER 1

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1. INDUSTRIAL PROFILE

1.1 SOFT DRINKS INDUSTRY IN INDIA


Soft drinks can trace their history back to the mineral water found in
natural springs. Bathing in natural springs has long been considered a healthy thing to
do; and mineral water was said to have curative powers. Scientists soon discovered that
gas carbonium or carbon dioxide was behind the bubbles in natural mineral water.

The first marketed soft drinks (non-carbonated) appeared in the 17th century. They
were made from water and lemon juice sweetened with honey. In 1676, the Compagnie
de Limonadiers of Paris were granted a monopoly for the sale of lemonade soft drinks.
Vendors would carry tanks of lemonade on their backs and dispensed cups of the soft
drink to thirsty Parisians.

JOSEPH PRIESTLEY

In 1767, the first drinkable man-made glass of carbonated water was created by
Englishmen Doctor Joseph Priestley. Three years later, Swedish chemist Torbern
Bergman invented a generating apparatus that made carbonated water from chalk by the
use of sulfuric acid. Bergman's apparatus allowed imitation mineral water to be
produced in large amounts.
Soft drinks by definition are carbonated drinks that are non-alcoholic.
Carbonated soft drinks are also refereed to as soda, soda pop, pop, or tonic.

• 1798 The term "soda water" first coined.


• 1810 First U.S. patent issued for the manufacture of imitation mineral waters.
• 1819 The "soda fountain" patented by Samuel Fahnestock.
• 1835 The first bottled soda water in the U.S.
• 1850 A manual hand & foot operated filling & corking device, first used for
bottling soda water.
• 1851 Ginger ale created in Ireland.
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• 1861 The term "pop" first coined.
• 1874 The first ice-cream soda sold.
• 1876 Root beer mass produced for public sale.
• 1881 The first cola-flavored beverage introduced.
• 1885 Charles Aderton invented "Dr Pepper" in Waco, Texas.
• 1886 Dr. John S. Pemberton invented "Coca-Cola" in Atlanta, Georgia.
• 1892 William Painter invented the crown bottle cap.
• 1898 "Pepsi-Cola" is invented by Caleb Bradham.
• 1899 The first patent issued for a glass blowing machine, used to produce glass
bottles.
• 1913 Gas motored trucks replaced horse drawn carriages as delivery vehicles.
• 1919 The American Bottlers of Carbonated Beverages formed.
• 1920 The U.S. Census reported that more than 5,000 bottlers now exist.
• Early 1920's the first automatic vending machines dispensed sodas into cups.
• 1923 Six-pack soft drink cartons called "Hom-Paks" created.
• 1929 The Howdy Company debuted its new drink "Bib-Label Lithiated Lemon-
Lime Sodas" later called "7 up". Invented by Charles Leiper Grigg.
• 1934 Applied color labels first used on soft drink bottles, the coloring was baked
on the face of the bottle.
• 1952 The first diet soft drink sold called the "No-Cal Beverage" a gingerale sold
by Kirsch.
• 1957 The first aluminum cans used.
• 1959 The first diet cola sold.
• 1962 The pull-ring tab first marketed by the Pittsburgh Brewing Company of
Pittsburgh, PA. The pull-ring tab was invented by Alcoa.
• 1963 The Schlitz Brewing Company introduced the "Pop Top" beer can to the
nation in March, invented by Ermal Fraze of Kettering, Ohio.
• 1965 Soft drinks in cans dispensed from vending machines.
• 1965 The resealable top invented.
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• 1966 The American Bottlers of Carbonated Beverages renamed The National
Soft Drink Association.

1. 1970 Plastic bottles are used for soft drinks.

BEVERAGES

Alcoholic Non-Alcoholic

Carbonated Non-Carbonated

Cola Non-Cola Non-Cola

Since the early 1990’s Coca-Cola Corporation and PepsiCo have been
combating on what is known as the “Beverage Battlefield” in India. Today India is one
of the most sought after countries for foreign investments because of their continually
growing market opportunities. However during Coca-Cola and Pepsi’s attempts to
broaden their global consumer bases both companies encountered several obstructions
on their pursuits of conquering the Indian soft drink market.

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1.2 MARKET GROWTH
Soft drink market size for FY00 was around 270 m.n cases (6480mn bottles). The
market witnessed 5- 6% growth in the early‘90s. Presently the market growth has
growth rate of 7- 8% per annum compared to 22% growth rate in the previous
year. The market size for FY01 is expected to be 7000 mn bottles.

1.3 SOFT DRINK PRODUCTION AREA


The market preference is highly regional based. While cola drinks have main
markets in metro cities and northern states of UP, Punjab, Haryana etc. Orange
flavored drinks are popular in southern states. Sodas too are sold largely in
southern states besides sale through bars. Western markets have preference
towards mango flavored drinks. Diet coke presently constitutes just 0.7% of the
total carbonated beverage market.

1.4 GROWTH PROMOTIONAL ACTIVITIES


The government has adopted liberalized policies for the soft drink trade to give
the industry a boast and promote the Indian brands internationally. Although the
import and manufacture of international brands like Pepsi and Coke is enhanced
in India the local brands are being stabilized by advertisements, good quality and
low cost.

The soft drinks market till early 1990s was in hands of domestic players like
campa, thumps up, Limca etc but with opening up of economy and coming of
MNC players Pepsi and Coke the market has come totally under their control.

The distribution network of Coca cola had6.5 lakh outlets across the country in
FY00, which the company is planning to increase to 8 lakhs by FY01. On the
other hand Pepsi Co's distribution network had 6 lakh outlets across the country
during FY00 which it is planning to increase to 7.5 Lakh by FY01.

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1.5 TYPES OF AVAILIBILITY PACKS OF SOFT DRINKS
Soft drinks are available in glass bottles, aluminum cans and PET bottles for
home consumption. Fountains also dispense them in disposable containers Non-
alcoholic soft drink beverage market can be divided into fruit drinks and soft
drinks. Soft drinks can be further divided into carbonated and non-carbonated
drinks. Cola, lemon and oranges are carbonated drinks while mango drinks come
under non carbonated category.

The market can also be segmented on the basis of types of products into cola
products and non-cola products. Cola products account for nearly 61-62% of the
total soft drinks market. The brands that fall in this category are Pepsi, Coca-
Cola, Thumps Up, diet coke, Diet Pepsi etc. Non-cola segment which constitutes
36% can be divided into 4 categories based on the types of flavors available,
namely: Orange, Cloudy Lime, Clear Lime and Mango.

1.6 INTIAL DIFFICULTIES


From a historical standpoint, Coca-Cola and Pepsi were facing obstructions even
before entering the market in the late 1980’s. Coca-Cola’s past venture in India had
ended on bad terms with the Indian government when they refused to offer up their
trade secrets. During the absence of foreign investment in the soft drink industry in
India a local company, Parle, became the market leader. Parle invested a great deal into
their leading brand, Thums Up, and played a dominant role in the soft drink industry
until the liberalization of the Indian economy in 1991. After this time many of the
political and legal obstacles facing Coca-Cola and Pepsi were lessened.

1.7 POLITICAL CHALLENGES


Other political challenges hindered the success of Coca-Cola and Pepsi in India as well.
In 2003, when the United States and Britain invaded Iraq, the All-India Anti-Imperialist
Forum called a boycott on goods from America and India. Indian’s protested American
companies for the war and specifically targeted Coca-Cola and Pepsi products. While

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the war was beyond control for these two companies, management perhaps could’ve
done more to not only attempt to predict the backlash from Indian consumers due to the
war, but also could’ve created advertisement campaigns to address the situation.
While political and legal factors produced problems for Coca-Cola and Pepsi, both
Coca-Cola and Pepsi did a lot of things to prevent that situation from happening. Both
companies heavily participated in the cultural festival of Navratri in western India to
promote their products and create brand awareness in a culturally traditional setting.
The companies also produced television and print advertisements that linked important
Indian themes to their products by “building a connect using the relevant local idioms”
Coca-Cola and Pepsi both utilized popular Indian sporting events, athletes, and
celebrities to endorse their products. Both companies could’ve made the mistake of
using American celebrities or already made American commercials to advertise their
products in India, but instead made the right move by making advertisements to
specifically target their foreign market.

1.8 PRICING POLICY FOR INDIAN MARKET


Coca-Cola and Pepsi also made the right moves by adapting to cultural barriers in India.
One such barrier was the affordability of products for Indians. Because India is a
country where people are known to live on very little a day, the idea of getting people to
spend what little they have on a soft drink could be quite a stretch. However Coca-Cola
India went with an aggressive pricing policy and reduced the price of their soft drinks in
2003 from 15% to 25% nationwide. To compete competitively in the market, Pepsi
reduced their prices as well. This move allowed both companies to offer products that
were affordable to the target market in India but also encouraged more Indians to
consume Pepsi and Coca-Cola products.
Both companies also created smaller sized bottles to allow for lower prices for Indian
consumers. Coca-Cola and Pepsi created bottles ranging in size from 200 ml to 500 ml
to adapt to cultural needs and increase their sales. By offering smaller sized bottles
many consumers also increased the frequency in which they were purchasing the soft
drinks.

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1.9 COCACOLA IN INDIA
Coca-Cola was the leading soft drink brand in India until 1977 when it left rather than
reveals its formula to the government and reduces its equity stake as required under the
Foreign Exchange Regulation Act (FERA) which governed the operations of foreign
companies in India. After a 16-year absence, Coca-Cola returned to India in 1993,
cementing its presence with a deal that gave Coca-Cola ownership of the nation's top
soft-drink brands and bottling network. Coke’s acquisition of local popular Indian
brands including Thums Up (the most trusted brand in India21), Limca, Maaza, Citra
and Gold Spot provided not only physical manufacturing, bottling, and distribution
assets but also strong consumer preference. This combination of local and global brands
enabled Coca-Cola to exploit the benefits of global branding and global trends in tastes
while also tapping into traditional domestic markets. Leading Indian brands joined the
Company's international family of brands, including Coca- Cola, diet Coke, Sprite and
Fanta, plus the Schweppes product range. In 2000, the company launched the Kinley
water brand and in 2001, Shock energy drink and the powdered concentrate Sun fill hit
the market.
From 1993 to 2003, Coca-Cola invested more than US$1 billion in India, making it one
of the country’s top international investors.22 by 2003, Coca-Cola India had won the
prestigious Woodruf Cup from among 22 divisions of the Company based on three
broad parameters of volume, profitability, and quality. Coca-Cola India achieved 39%
volume growth in 2002 while the industry grew 23% nationally and the Company
reached breakeven Profitability in the region for the first time.23 Encouraged by its
2002 performance, Coca-Cola India announced plans to double its capacity at an
investment of $125 million (Rs. 750 crore) between September 2002 and March
2003.24 Coca-Cola India produced its beverages with 7,000 local employees at its
twenty-seven wholly-owned bottling operations supplemented by seventeen franchisee-
owned bottling operations and a network of twenty-nine contract-packers to
manufacture a range of products for the company. The complete manufacturing process
had a documented quality control and assurance program including over 400 tests

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performed throughout the process. The complexity of the consumer soft drink market
demanded a distribution process to support 700,000 retail outlets serviced by a fleet that
includes 10-ton trucks, open-bay three wheelers, and trademarked tricycles and
pushcarts that were used to navigate the narrow alleyways of the cities.25 In addition to
its own employees, Coke indirectly created employment for another 125,000 Indians
through its procurement, supply, and distribution networks.

CHAPTER 2

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2. COMPANY PROFILE
2.1 INTRODUCTION OF THE COCA COLA COMPANY

Coca-Cola touches the lives of millions of people each and everyday from special
occasion to exceptional moments in everyday life, Coca-Cola is there. The brand has
become very special part of people’s life.

There is much in our world to celebrate, refresh, strengthen and protect. The Coca-Cola
Company is a vibrant network of people, in over 200 countries, putting citizenship into
action. Through their actions as local citizens, they strive everyday to refresh the
marketplace, protect the environment and strengthen over communities.

The Coca-Cola company is on a journey, it is a bold journey, inspired by their simple


desire for sustainable growth of fueled by deep conviction that collectively can create
anything the company desires.

World of coca cola encompasses the rich history and process of the refreshing beverage
that was created here in ATLANTA over 110 years ago. While coca cola was first
served at a small pharmacy soda foundation near underground Atlanta, soft drink is now
being purchased in over 200 countries across the globe. In fact, it is now severed nearly
1 billion times a day. You might say that when the world wants refreshment the world
turns to Coca-Cola.

World of Coca-Cola capture all the excitement of this world famous product, not only
through its exhibits, but also through its unique architecture style. Visitors pass under an
enormous three-dimensional Coca-Cola globe suspended 18 feet over the entrance, then
step in to a three story sky lit atrium from there visitors move at their own pace through
an easy to follow series of fun and fascinating exhibit galleries.

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At the late 1930s Barnes soda jerk will demonstrate how an early Coca-Cola was
prepared. Move ahead into the International Video Lounge and the “Taste of the world”
an international sampler of cold soft drinks distributed by the Coca-Cola company but
not available in U.S.

2.2 BELIFS OF THE COMPANY

We're paying attention to what the world wants to drink.

We're proud to say that we market four of the top-five soft drinks in the world and rank
No. 1 in sales of carbonated soft drinks globally. Did you know that globally we also
rank No. 1 in juice and juice drinks, No. 2 in sports drinks and No. 3 in bottled water?

We believe in creating beverages for life.

In the past two years, we have expanded our portfolio of beverages that provide
vitamins, nutrients and other beneficial ingredients. We now have more than 400 brands
that include nearly 2,400 beverage products.

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We believe in preserving and protecting water resources.

Protecting and improving access to and the availability of water remains one of our
long-term goals. We partner with many organizations, governments and local
communities to develop and implement sustainable water initiatives around the world.

We are committed to supporting our communities.

The Coca-Cola system (the Company and our bottling partners) has a comprehensive
HIV/AIDS health care program in Africa, covering nearly 60,000 employees, their
spouses and their children. We have also reached millions of people in Africa through
our HIV/AIDS community awareness programs

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We are a part of local businesses around the world.

The Coca-Cola system's customers are the grocers, retailers, street vendors and store
owners who sell our products to our consumers. We have millions of these partners in
the more than 200 countries where we operate.

We have room to grow profitably.

Approximately 50 billion times a day, someone drinks a beverage. Our beverages are
enjoyed more than 1.3 billion of those times. That means there are over 48 billion
beverage choices to capture.

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2.3 HISTORY OF THE COMPANY

In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist from
Atlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged
brass kettle in his backyard. The name was a suggestion given by John Pemberton's
bookkeeper Frank Robinson.

John Stith Pemberton

John Stith Pemberton


January 8, 1831
Born
Georgia
Died August 16, 1888 (aged 57)

Resting place Linwood Cemetery in Columbus, Georgia

Nationality United States


Occupation Druggist
Known for Coca-Cola

The first Coca-Cola recipe was invented in a drugstore in Columbus, Georgia by John
Pemberton, originally as a coca wine called Pemberton’s French Wine Cola in 1885.He
may have been inspired by the formidable success of Vin Mariani, a European coca
wine.
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In 1886, when Atlanta and Fulton County passed prohibition legislation, Pemberton
responded by developing Coca-Cola, essentially a non-alcoholic version of French
Wine Cola. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8,
1886. It was initially sold as a patent medicine for five cents a glass at soda fountains,
which were popular in the United States at the time due to the belief that carbonated
water was good for the health. Pemberton claimed Coca-Cola cured many diseases,
including morphine addiction, dyspepsia, neurasthenia, headache, and impotence.
Pemberton ran the first advertisement for the beverage on May 29 of the same year in
the Atlanta journal.

By 1888, three versions of Coca-Cola—sold by three separate businesses—were on the


market. Asa Griggs Candler acquired a stake in Pemberton's company in 1887 and
incorporated it as the Coca Cola Company in 1888. The same year, while suffering from
an ongoing addiction to morphine, Pemberton sold the rights a second time to four more
businessmen: J.C. Mayfield, A.O. Murphey, C.O. Mullahy and E.H. Bloodworth.
Meanwhile, Pemberton's alcoholic son Charley Pemberton began selling his own
version of the product.

John Pemberton declared that the name "Coca-Cola" belonged to Charley, but the other
two manufacturers could continue to use the formula. So, in the summer of 1888,
Candler sold his beverage under the names Yum Yum and Koke. After both failed to
catch on, Candler set out to establish a legal claim to Coca-Cola in late 1888, in order to
force his two competitors out of the business. Candler purchased exclusive rights to the
formula from John Pemberton, Margaret Dozier and Woolfolk Walker. However, in
1914, Dozier came forward to claim her signature on the bill of sale had been forged,
and subsequent analysis has indicated John Pemberton's signature was most likely a
forgery as well.

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Old German Coca-Cola bottle opener

In 1892 Candler incorporated a second company, The Coca-Cola Company (the current
corporation), and in 1910 Candler had the earliest records of the company burned,
further obscuring its legal origins. By the time of its 50th anniversary, the drink had
reached the status of a national icon for the USA. In 1935, it was certified kosher by
Rabbi Tobia Geffen, after the company made minor changes in the sourcing of some
ingredients.

Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoor
wall advertisement was painted in the same year as well in Cartersville, Georgia. Cans
of Coke first appeared in 1955. The first bottling of Coca-Cola occurred in Vicksburg,
Mississippi, at the Biedenharn Candy Company in 1891. Its proprietor was Joseph A.

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Biedenharn. The original bottles were Biedenharn bottles, very different from the much
later hobble-skirt design that is now so familiar. Asa Candler was tentative about
bottling the drink, but two entrepreneurs from Chattanooga, Tennessee, Benjamin F.
Thomas and Joseph B. Whitehead, proposed the idea and were so persuasive that
Candler signed a contract giving them control of the procedure for only one dollar.
Candler never collected his dollar, but in 1899 Chattanooga became the site of the first
Coca-Cola bottling company. The loosely termed contract proved to be problematic for
the company for decades to come. Legal matters were not helped by the decision of the
bottlers to subcontract to other companies, effectively becoming parent bottlers.
quantities, as an over-the-counter remedy for nausea or mildly upset stomach.

2.3.1 BIRTH OF COCA COLA

Being a bookkeeper, Frank Robinson also had excellent penmanship. It


was he who first scripted “Coca Cola” into the flowing letters which has become the
famous logo of today.

The soft drink was first sold at the public soda fountain in Jacob’s Pharmacy in Atlanta
on May 8, 1886.

About nine servings of the soft drink were sold each day. Sales for that first year added
up to a total of about $50. The finny thing was that it cost John Pemberton over $70 in
expenses, so the first year of sales were a loss.

Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well as
the caffeine rich kola nut.

2.3.2 ASA CANDLER

In 1887, another Atlanta pharmacist and business, Asa Candler bought


the formula for Coca Cola from inventor John Pemberton for $2,300. by the late 1890s,
Coca Cola was one of America’s most popular fountain drinks, largely due to Candler’s

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aggressive marketing of the product. With Asa Candler, now at the helm, the Coca Cola
Company increased syrup sales by over 4000% between 1890 and 1900.

Advertising was an important factor in John Pemberton and Asa Candler’s success and
by the turn of the century, the drink was sold across the United States and Canada.
Around the same time, the company began selling syrup to independent bottling
companies licensed to sell the drink. Even today, the US soft drink industry is organized
on this principle.

2.3.4 DEATH OF SODA FOUNTAIN-RISE OF BOTTLING INDUSTRY

Until the 1960s, both small town and big city dwellers enjoyed
carbonated beverages at the local soda fountain or ice cream saloon. Often housed in the
drug store, the soda fountain counter served as a meeting place for people of all ages.
Often combined with lunch counters, the soda fountain declined in popularity as
commercial ice cream, bottled soft drinks, and fast food restaurants became popular.

2.3.5 21st CENTURY

On February 7, 2005, the Coca-Cola Company announced that in the


second quarter of 2005 they planned to launch a Diet Coke product sweetened with the
artificial sweetener sucralose ("Splenda"), the same sweetener currently used in Pepsi
One. On March 21, 2005, it announced another diet product, "Coca-Cola Zero",
sweetened partly with a blend of aspartame and acesulfame potassium. Recently Coca-
Cola has begun to sell a new "healthy soda": Diet Coke with vitamins B6, B12,
Magnesium, Niacin, and Zinc, marketed as "Diet Coke Plus."

On July 5, 2005, it was revealed that Coca-Cola would resume operations


in Iraq for the first time since the Arab League boycotted the company in 1968.

In April 2007, in Canada, the name "Coca-Cola Classic" was changed


back to "Coca-Cola." The word "Classic" was truncated because "New Coke" was no

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longer in production, eliminating the need to differentiate between the two. The formula
remained unchanged.

In January 2009, Coca-Cola stopped printing the word "Classic" on the


labels of 16-ounce bottles sold in parts of the southeastern United States. The change is
part of a larger strategy to rejuvenate the product's image.

2.3.6 THE MEN WHO MADE COCA-COLA

1885 John Pemberton created coca cola


1886 Frank Robinson arrived and instantly devoted all his time to manufacture and
promote the drink.
1887 Asa Candler buys the rights of the secret Coca Cola formula and along with
Charlie Pemberton and wool folk walker files for the incorporation of the
Coca Cola Company
1888 Benjamin Thomson and Joseph Whitehead began to the now famous drink,
this was a success.
1903 Sam Dabbs takes charge of sales.
1909 Harold Hirsh assumes charge of the legal affairs.
1910 Earl Dean designs and produces the unique “hobble skirt” bottle.
1916 Horward Candler takes over as president.
1917 Archie Lee revolutionizes the Coca-Cola advertising.
1923 Robert Woodruff becomes the president.
1939 Arhur Acklin assumes charge as president
1954 Frank Harrold brings Coca Cola in India.
1955 Bill Robinson is appointed president.
1972 Roberto Goizueta is appointed president.
1994 Dough Lvester is appointed president
1999 Douglas Daft is appointed president.
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2.4 COCA COLA VISION & MISSION
2.4.1 COCACOLA: VISION
Provide exceptional strategic leadership in Coca-Cola India System resulting in
consumer and customer preferences and loyalty through Coca-Cola’s commitment to
them and in highly profitable Coca cola branded beverage system.

2.4.2 COCACOLA: MISSION


Create consumer products services and communications customers service and bottling
system strategy process and tools in order to create competitive advantage and deliver
superior value to-
 Consumers as a superior beverage experience.
 Consumers as an opportunity to grow profit through the use of finished drinks.
 Bottlers as an opportunity to make reasonable to grow profits and value added
 Suppliers as an opportunity to make reasonable when creating real value added
in environment of system wide teamwork, flexible business system and
continuous improvement.
 Indian society in form of contribution to economic and social development.

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2.5 POSITION IN THE LIFE CYCLE

Coca-Cola is currently going through the maturity stage. This maturity stage lasts
longer than all other stages. Management has to pay special attention to products during
this stage of the product life-cycle.

Since its beginning in the spring of 1886 Coca-Cola has become the most popular and
biggest-selling soft drink in history, as well as the best-known product in the world.
Created in Atlanta, Georgia by Dr. John S. Pemberton, Coca-Cola was first offered as a
fountain beverage by mixing Coca-Cola syrup with carbonated water. The Coca-Cola
Company is the world's leading manufacturer, marketer, and distributor of non-
alcoholic beverages in the world. The Company and its subsidiaries employ nearly
31,000 people around the world. Its headquarters is in Atlanta, Georgia. During the
maturity stage, products usually go through a slowdown in sales growth. According to
Coca-Cola's 2001 annual report, sales have increased by 1.02% compared to last year.
This percentage has no comparison to the high level of growth Coca-Cola enjoyed
during its growth stage.

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BUSINESS CHAIN OF COCA-COLA INDIA

Manufactures
Coca-Cola India Concentrate,
division, Gurgaon Beverage base and
Syrup

Manufactures
Regional Bottlers finished Bottles/
COBO/FOBO Cans/ Fountain
Syrup

Customers

Consumers

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 Brand Name: Coca-Cola
Drink Type: Soft Drink

Coca-Cola: Coca-Cola is the most popular and biggest-selling soft drink in


history, as well as the best-known product in the world. Created in Atlanta,
Georgia, by Dr. John S. Pemberton, Coca-Cola was first offered as a fountain
beverage by mixing Coca-Cola syrup with carbonated water. Coca-Cola was
introduced in 1886, patented in 1887, registered as a trademark in 1893 and by
1895 it was being sold in every state and territory in the United States. In 1899,
The Coca-Cola Company began franchised bottling operations in the United
States. Coca-Cola might owe its origins to the United States, but its popularity
has made it truly universal. Today, you can find Coca-Cola in virtually every
part of the world.

 Brand Name: Thums Up


Drink Type: Soft Drink

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Type Cola
Manufacturer The Coca-Cola Company
Country of origin India
Introduced 1977
Related products Coca-Cola, Pepsi, Campa Cola

 Brand Name: Limca


Drink Type: Soft Drink

Limca: This thirst-quenching beverage features a fresh, light lemon-lime taste


and fun-loving attitude. It's a home-grown, national treasure in India, where it
was acquired by The Coca-Cola Company in 1993. Limca continues to build a
loyal following among young adults who love the lighthearted way it
complements the best moments of their lives.

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Available in the following flavor: Lemon Lime.

Available in the following locations: India, Nigeria, United Arab Emirates and
Zambia.

 Brand Name: Sprite


Drink Type: Soft Drink

Sprite is a transparent, lemon-lime flavored, caffeine free soft drink,


produced by the Coca-Cola Company. It was introduced in the United States in 1961.
This was Coke's response to the popularity of 7 Up, which had begun as "Lithiated
Lemon" in 1929. It comes in a primarily silver, green, and blue can or a green
transparent bottle with a primarily green and blue label.

 Brand Name: Fanta


Drink Type: Soft Drink

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Fanta: Available in Europe since the 1940s, Fanta was introduced in the United
States in 1960. Consumers around the world, particularly teens, fondly associate Fanta
with happiness and special times with friends and family. This positive imagery is
driven by the brand's fun, playful personality, which goes hand in hand with its bright
color, bold fruit taste and tingly carbonation.

Beginning in 2009, the U.S. markets will see Fanta Regular Orange, Fanta Zero Orange,
Fanta Apple and Fanta Grapefruit in 100% natural flavors.

 Brand Name: Maaza


Drink Type: Juice/Juice Drink

Maaza: With the real fruit taste kids love, plus added calcium, Maaza's tagline,

29
"Yaari-Dosti Taaza Maaza," means "friendship moments with fresh Maaza" in
Hindi.

Available in the following flavors: Mango, Orange and Pineapple.

Available in the following location: India

 Brand Name: Kinley


Drink Type: Water

Kinley: Kinley is high quality bottled water processed with added minerals
popular among adults who seek a better quality of life and a healthy lifestyle.

Available in the following flavor: Unflavored.

Available in the following locations: Afghanistan, India, Maldives and Pakistan

30
 Brand Name: Minute Maid Pulpy orange
Drink Type: juice

Minute Maid Pulpy Orange: Minute Maid is a product line of beverages, usually
associated with lemonade or orange juice, but now extends to soft drinks of many kinds,
including Hi-C. Minute Maid is sold under Cappy brand in Central Europe and under
Fruitopia in Germany

 Brand Name: Georgia


Drink Type: Coffee
Georgia: A ready-to-serve canned coffee, Georgia’s flavor blends are a favorite
among hard-working people.

31
2.6 COMPETETIVE AREA
Competitive area among Coke & Pepsi

Coca-Cola India Pvt Ltd maintained its leading position in soft drinks in India, followed
by PepsiCo India Holdings Pvt Ltd in 2006. Whilst the retail volume shares of Coca-
Cola India and PepsiCo India slipped in 2006, as a result of the growing health concerns
caused by the aftermath of the pesticides controversy, both maintained a comfortable
lead over the other manufacturers. Parle, Bisleri Ltd has steadily gained shares from the
carbonates giants over the review period, to emerge as the third ranked company in
2006. The battleground for beverages has moved from carbonates to bottled water and
fruit/vegetable juice, with manufacturers turning their attention towards these healthier
beverages, as consumer interest continues to surge forward. A number of new players
have entered fruit/vegetable juice and bottled water, vying for a slice of the growing pie.

While cricket had always been the most popular sport in India, with new
technology coming into cricket from coverage to sports gear to day/night versions of the
game, it was set to acquire the status of a religion in the sub-continent. Pepsi picked up
the opportunity early on by not only contracting the rights to all Tests and One Day
32
Internationals (ODIs) played in India, but also signing up top performers early such as
Sachin Tendulkar and Rahul Dravid and creating some very cutting edge and
memorable advertising campaigns with them.

The distribution network of Coca cola had 6.5 lakh outlets across the country, which the
company is planning to increase to 8 lakhs. On the other hand Pepsi Co's distribution
network had 6 lakh outlets across the country which it is planning to increase to 7.5
Lakh.

2.6.1 ADVERTISING

Advertising is a non promotion of goods & services by sponsor who can identify and
who has paid for his communication. Their purpose of advertisement is to sell
something goods or services, idea, person or place.

BRAND AMBASSDORS & TV COMMERCIALS

33
COLA WAR (neck to neck)

Bollywood rising stars Asin (left) for Pepsico’s Mirinda, Genelia D’souza (Right) for
coca cola’s Fanta

34
Tennis star Sania Mirza for Sprite

Bollywood star Aamir Khan for Coke

35
Bollywood star Akshay kumar for Thums up

Sprite “seedhi baat” TV add

36
Limca “fresh ho jao” TV add

Minute maid pulpy orange TV add

37
Bollywood superstar Shahrukh Khan new Brand Ambassador of Sprite

PROMOTION BY THE COMPANY


Promotional strategy during IPL matches

Lucky Coupon Dinner with kings XI Punjab

38
Sprite “kholega toh bolega” IPL Season 2

Riding on the passion of T20 cricket amongst consumers, Brand Sprite, Official Pouring
Partner of Kolkata Knight Riders (KKR) had announced the launch of a Special edition
‘Sprite Kolkata Knight Riders’ bottle. The latest initiative was a part of brand Sprite’s
larger consumer engagement program to leverage the second season of DLF IPL, 2009.

Independent research reports have shown, out of the 230 million mobile phone users in
the country, the youth continues to be the largest users of mobile phones. Combining
this key insight with the passion of T20 cricket, company had launched a special edition
‘Sprite Kolkata Knight Riders’ bottle with insignia of key players.

Complimenting the innovation, Sprite was also rolling out a special ‘Kholega Toh
Milega’ digital initiative in association with KKR and Nokia.

In the offer consumers just need to drink Sprite and look out for a unique 9 digit code
under the crown and SMS the code. Lucky consumers get once-in-a-lifetime
opportunity to meet Shahrukh Khan and members of the KKR team. In addition,
consumers also get a chance to win a Nokia mobile phone every hour. The entire
initiative was applicable RGB and also on all PET packs of Sprite.

To create awareness about ‘Kholega Toh Milega’ digital initiative, the company had
launched a mass media campaign featuring Shahrukh Khan, owner KKR, to be telecast
on all the leading TV channels across India.

39
2.6.2 PROMOTION DURING OFF SEASON

Limca Launches ‘Laptop Ki Barish’ Consumer Initiative

Coca-Cola India has announced the launch of its innovative ‘Limca ‘Laptop Ki Barish’
consumer initiative nationally. As part of this unique initiative a computer generated
lucky draw would provide consumers a chance to win “HP Mini Laptop” every hour for
the next 45 days. The initiative is applicable to 200ml, 300ml returnable glass bottles
(RGB) and also on 500 ml, 600 ml 1.25, 1.5, 2 & 2.25 liters PET bottles of Limca. As
part of the under the crown initiative consumers just need to SMS “LIMCA” followed
by a 9 digit unique code to 58558 from their GSM / CDMA mobile phones.

The national initiative is designed to leverage the popularity of digital media like
mobile phones (Both GSM & CDMA & IVRS), internet and laptops amongst soft drink
consumers and would run from 1st August to 14th September, 2009

40
2.6.3 COMPARISON OF PRODUTS OF COCA-COLA WITH THAT OF PEPSI

41
42
43
2.7 ORGANISATION STRUCTURE IN COCA COLA, INDIA

Vice President
Supply Chain

Chief Finance
Officer

HR director

CHIEF
EXECUTIVE
OFFICER
Vice President
BSG

Regional Vice
President (north)

Regional Vice
President (central)

44
2.7.1 SALES DEPARTMENT

45
AWARDS & RECOGNITION
 Corporate Social Responsibility Awards, Coca-Cola India (May 2009).
 Most Socially Responsible Company 2008, Coca-Cola Nigeria Limited, Social
Enterprise Reports and Award (SERA) 2008, (August 2008)
 Foods and Beverages Most Socially Responsible Company in Nigeria 2008,
Coca-Cola Nigeria Limited, Social Enterprise Reports and Award (SERA) 2008,
(August 2008)
 One of Ten "Most-Admired" Companies in Germany, The Coca-Cola Company,
Manager Magazin (February 2008)
 Philanthropist of the Year, Coca-Cola Ukraine, World of Child, Ukrainian Fund
of Philanthropists and Ukraine 3000 (December 2007)
 Named Strategic Partners in Poland's Responsible Business Forum, Coca-Cola
Poland Services (CCPS) and Coca-Cola HBC Polska (CCHBCP), Responsible
Business Forum (FOB) (December 2007)
 No. 2, 2007 Corporate Social Responsibility Study, Coca-Cola Mexico,
Excélsior (December 2007)
 World's Most Accountable Corporations, One World Trust 2007 Global
Accountability Report (December 2007)
 Asia Society Leadership Award (November 2007)
 No. 2, India's Most Respected Fast Moving Consumer Goods Company, and No.
7, Most Respected Multinational Corporation in India, Coca-Cola India,
BusinessWorld, in conjunction with the Indian Market Research Bureau
(November 2007)
 No. 13, World's Most Respected Companies survey, Barron's (September 2007)
 No. 1, Food and Beverage Industry Category, Best Ethical Quote Progress and
Best Reported Performance Categories (July 2007)
 No. 2, Leaders Across All Sectors for Best Reported Performance, Ethical Quote
(July 2007)
 FTSE4Good Index of Socially Responsible Companies (July 2007).

46
2.9 WAVE BEVERAGES PRIVATE LIMITED (WBPL)
(Franchise of coca cola at Amritsar)
2.9.1 INTRODUCTION

The company was established by late S. Teja Singh Kandhari and his son S. Abhinash
Singh Kandhari, in 1969 under the name of Amritsar Bottling Company as a Franchise
of Parle (Export Pvt. Ltd.)

In 1997, this name was changed to Amritsar Beverage Ltd. Initially only two flavors
were introduced, Gold Spot and Kismat. Limca was introduced in 1972 and Cola
flavored Thums Up in 1978 due to the exit of Coca-Cola in 1973. With the re-entry of
Coca-Cola, this company added Coca-Cola in the product range so Coca-Cola joined
hands with Parle. Coca-Cola is the most selling brand in Amritsar among the categories
of soft drinks. In 2005, Wave Beverages Pvt.Ltd. (WBPL) was formed to carry on the
business. It became a part of the Chadda Group of Industries. The company has two
manufacturing units ACCP1 and ACCP2. ACCP1 manufactures in RGB and has a
capacity of 220bpm. ACCP2 manufactures CSD with the capacity of 600bpm. In the
year 2007 the company added 120bpm PET manufacturing unit keeping in view the
changing trend of consumption. It manufactures 2ltr and 600ml bottles. Since 2005
WBPL has accomplished so many targets and has become one of the most respected
franchisee of Coca-Cola. It has won many accolades for parent company year after year.

47
48
2.9.2 DISTRIBUTION PROCESS

WBPL has a very wide and well managed distribution system in which
salesmen have a full responsibility to distribute the product to different and diverse part
of the Amritsar City. The distribution system is well structured in such a way that it will
fulfill the demands of retailers and customer at the right time and at the right place.
The typical distribution system of WBPL is:

PRODUCTION

PLANT
WARE HOUSE CUSTOMER

DEPOT
WARE HOUSE
RETAIL
SHELF

RETAIL
STOCK 49
2.9.3 SUPPLY CHAIN OF THE COMPANY

Manufacturing Plant,
JANDIALA

Sales and
Distribution
Operations

Distributors Outlets

Outlets
50
CHAIN FOLLOWED FROM MANUFACTURE TO DISTRIBUTION

2.9.4 VISICOOLER PROVIDING COMPANIES


• Whirlpool India Limited
• Godrej Appliances
• Western refrigerator limited
• Rockwel Industries

2.8 SWOT ANALYSIS OF THE COMPANY

1. STRENGTHS:-
• DISTRIBUTION NETWORK: The Company has a strong distribution
network consisting of a number of efficient salesmen, 700,000 retail outlets and
8000 distributors. The distribution fleet includes different modes of distribution,
from 10-tonne trucks to open-bay three wheelers that can navigate through
narrow alleyways of Indian cities and trademarked tricycles.
• STRONG BRANDS: The Coca-Cola has been named the world's top brand for
a fourth consecutive year in a survey by consultancy Interbrand. It was
estimated that the Coca-Cola brand was worth $70.45billion. People all over the
world enjoy coca cola products more than 1.3 billion times per day.
• COST OF OPERATIONS: The production, marketing and distribution systems
are very efficient due to forward planning and maintenance of consistency of
operations, which minimizes wastage of both time and resources, leads to
lowering of costs.

2: WEAKNESSES:

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• LOW EXPORT LEVELS: The brands produced by the company are brands
produced world wide thereby making the export levels very low. In India, there
exists a major controversy concerning pesticides and other harmful chemicals in
bottled products including Coca-Cola .Therefore, people abroad, are
apprehensive about Coca-Cola products from India.
• SMALL SCALE SECTOR RESERVATIONS LIMIT ABILITY TO
INVEST AND ACHIEVE ECONOMIES OF SCALE: The Company’s
operations are carried out on a small scale and due to Government restrictions
and ‘red-tapism’, the Company finds it very difficult to invest in technological
advancements and achieve economies of scale.

3: OPPORTUNITIES:
• LARGE DOMESTIC MARKETS: Coca-Cola India claims a 60.1 per cent
share of the soft drinks market; this includes a 42 per cent share of the cola
market. Other products account for 18.1 per cent market share, chiefly led by
Limca.
• EXPORT POTENTIAL: The Company can come up with new products,
which are not manufactured abroad, like Maaza etc and export them to foreign
nations. It can come up with strategies to eliminate apprehension from the minds
of the people towards the Coke products produced in India.
• HIGHER INCOME AMONG PEOPLE: Development of India as a whole
has lead to an increase in the per capita income thereby causing an increase in
disposable income. The beverage industry can take advantage of such a situation
and enhance their sales.

4: THREATS:
• IMPORTS: As India is developing at a fast pace, the per capita income has
increased over the years .If consumers shift onto imported beverages rather than
52
have beverages manufactured within the country, it could pose a threat to the
Indian beverage industry as a whole in turn affecting the sales of the Company.
• TAX AND REGULATORY SECTOR: The tax system in India is
accompanied by a variety of regulations at each stage on the consequence from
production to consumption. Therefore, this can limit the growth of the Company
and pose problems.
• SLOWDOWN IN RURAL DEMAND: Low per capita disposable income,
large number of daily wage earners, poor roads; power problems; and
inaccessibility to conventional advertising media. All these problems might lead
to a slowdown in the demand for the company’s products.
• CHANGING OF CONSUMERS PREFERENCE: The Company should keep
an eye on the changing preferences of the consumers.

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CHAPTER 3
3. PROJECT PROFILE
3.1 INTRODUCTION OF RED (RIGHT EXECUTION DAILY)
RED (RIGHT EXECUTION DAILY) is a tool to measure sales team and distributors’
performance in the outlets with respect to all parameters of execution.

 Red lays down standards of visicooler, brand norms, and in-outlet activation
elements.
 It lays down specific norms and elements for enhanced in-outlet Brand
execution.
 It allows for development of short, mid and long term execution strategies,
tactics and action plans.
 It tracks brands and brand pack penetration in outlets.
 Due to the audit characteristic of RED, each brand can be measured against its
specific execution goals, and can be precisely monitored.

COOLER
SPECIFICATION

54
ACTIVATION AVAILABILITY
3.2 RED CONCEPT (RIGHT EXECUTION DAILY)
ELEMENTS BRAND PACKS &
ORDER
RED CONCEPT

RED is the tool to measure the performance of the distributors in the outlets of setting
up some standards or parameters of execution. It adds value to customers and
consumers through Excellence in Execution at the point of sale.
The main function of RED is “what can be done” in an outlet and what
all should be done. It lays down standard for visicoolers, brand norms and activation
element. RED is the set of norms divided into outlet wise.
1. Firstly, I have to check the cooler management i.e. the cooler that was
provided by the company to the customer, are properly
managed/working or not. And lastly the most important aspect of cooler
management are:
. Purity

. Brand order

2. Secondly, I have to check the availability of the product i.e. whether the
product is available to the customer or not.
3. Lastly, I have to check the activation, which is a very important because
activation helps to boost the sales. Activation is done through boards i.e.
glow signs flengs, combo, boards, OBM. Mostly combo boards are given

55
to the E&D outlets. And is very helpful in attracting the customers. Rack
with header is provided to the Grocery outlet, which should be fully
charged.
Survey has done in the four topics-
 Impurity
 Brand Order
 Availability
 Activation
3.2.1 IMPURITY
There should be no impurity in the visi cooler of the company. Impurity here refers to
that brand which is presented in the visi cooler other than coke’s product. Therefore not
other product of any other company may not be in the cooler.

3.2.2 BRAND ORDER


The company has given a brand order to the market developers to arrange the different
brands in a specific order in the cooler. The order should be in such a way-
 Thums up
 Coca cola
 Sprite
 Limca
 Fanta
 Maaza
 Kinley
 Pet & Juice

3.2.3 AVAILABILTY

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Availability is done according the type of outlet. There are four type of outlet
mentioned below. According to this market developer has to ensure the availability of
the products in the particular outlet.

3.2.4 ACTIVATION
Activation is important because it helps to boost the sales of the company. it is done
through the Glow sign, DPS, flanges. Combo boards, Table tops .This boards usually
gives to the E&D outlets .It helps to attract the customers. Rack with header is provided
to the grocery stores.

Activation Elements
Market developer must ensure that all these activation elements must available at all the
outlets. Detail of activation elements must available at GROCERY STORES:
1. WARM DISPLAY RACK
2. SHELF DISPLAY

SHELF DISPLAY

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DISPLAY OF RACK VISI COOLER
3.3 BRAND NORMS AS PER STANDARD
COLOJK
Most Selling Cola, 2nd Cola, Most Selling Lime, 2nd Lime, Most Selling Orange,
Most Selling Juice, 2nd Juice, Kinley.
In simple way it can be described as:

58
3.3.1 BRANDS TAGLINE

Thumsup - Taste the thunder


Coca cola - Open happiness
Sprite - Seedhi baat no bakwaas, clear hai
Limca - Fresh ho jao
Fanta - Go bite
Maaza - Bina guthli wala aam
Kinley - Khud pe tu vishwas kar

3.3.2 BRAND AMBASSDORS

Thumsup -Akshay Kumar


Coca cola -Aamir Khan
Sprite -Shahrukh Khan

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Fanta -Genelia D’souza
Limca -Riya Sen

3.4 OBJECTIVES OF THE STUDY:

 To find out the impact of brand order and purity on customers.


 To study the impact of activation element on customers.
 To know the distribution and marketing strategy of the company.

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CHAPTER 4

4.1 RESEARCH METHODOLOGY:


4.1.1 RESEARCH DESIGN:
The research design for this study employed a descriptive survey method.

4.1.2 DATA COLLECTION:


4.1.2.1 PRIMARY DATA COLLECTION:
Primary includes the following ways-
• Observation
• Experiment
• Survey
Here we include the primary method of survey
Research Instruments-
• RED scoring sheet
• Area of Survey- Amritsar City.

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4.1.2.2 SECONDARY DATA COLLECTION:

For background information, we used secondary data from the internet.


And Website of Coca Cola Company and it is taken from company records. We will
also ask the management at company, where I can get the training, for their records and
files to get the required information.

4.2 SAMPLING DESIGN:

4.2.1 UNIVERSE:

The universe of research is the outlets under the RED project of India.

4.2.2 POPULATION:

All outlets which are come under RED in Amritsar city.

4.2.3 SAMPLING UNIT:

The sampling unit is owners of the retail outlets in Amritsar city.

4.2.4 SAMPLE SIZE:

Size of sample in research will be 120 RED outlets of Amritsar.

4.2.5 SAMPLING TECHNIQUES:

Sampling technique which can be used is random sampling.

4.3 LIMITATIONS

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Although all efforts have been taken to make the results of survey as accurate as
possible but the survey suffers from the following limitations:
1) The time period of study was only for two month so it was not possible to
cover all the areas and go into the depth of the problem and make analysis.

2) The area of survey was Amritsar and it was concentrated on urban area only.

3) The psychological condition varies from place to place because in many


places outlet owner was not supportive.

4) The training was carried on in the peak season so market developer was not
so supportive.

5) Some respondents left some of the questions unanswered either due to


inability to put a strain on mind or they did not know the answer.

CHAPTER 3

REVIEW OF LITERATURE

29 Ciao members (2000)


Throughout the world, there can only be a handful of people who haven’t heard of Coca
Cola – even the poorest countries have Coca-cola. Although the recipe and the taste will
slightly vary from one country to the next, the taste is pretty similar throughout the
world.

Philadelphia (1995)
The plaintiff is John Bibby. The defendants are the Philadelphia Coca Cola Bottling
Company (TPCCBC) and nine individual officers or employees of the TPCCBC.
Founded in 1902, TPCCBC is considered the United States' third-largest black-owned
63
corporation. TPCCBC is the sixth largest Coca-Cola bottling company in the United
States.

Ramanvenkatamani (2009)
This review not only for Coca Cola, but for other carbonated drinks like PEPSI too.
These drinks contain Carbonic ACID (Carbon di-oxide and water) which slowly
destroys our inner system .he said that Coca Cola-A Coal (Carbon, Carbonic ACID)

Hermit (2008)
In that study it is said to coca-cola a slow poison. History of Coke - 123 years back,
John Pemberton was working on a coca wine (an alcoholic beverage consisting of coca
and wine). His solution was a mix of coca, cola nuts and damina - and the beverage is
not good for human being.Coke is probably the unhealthiest fizzy drink on the market
and that is why I very rarely drink it. Though don't start drinking gallons of Sprite
instead as all fizzy drinks are unhealthy and should not be drunk often.

Golffer (2007)
Coke the really thing love it really cold and fizzy no pepse, it is easy to find some do
drink too much brush your teeth after drinking it though not good for teeth. great on a
hot summers day and for parties. Coca-Cola has been brilliantly marketed over the years
and it's created a good image of itself. Coke has created a cool and sleek image of its
drink over the years. Coke also has a "happy family" image. The adverts always show
happy, laughing friends drinking a Coke, or a cozy image of the whole family enjoying
a glass of Coke each.

Patrick Paul Walsh (August 2002)


Using brand-level retail data, the firm size distribution in carbonated soft drinks is
shown to be an outcome of the degree to which firms have placed brands effectively

64
(store coverage) across vertical (flavors, packaging, diet attributes) segments of the
market. Regularity of the firm size distribution is not disturbed by the nature of short-
run brand competition (turbulence in brand market share) within segments. Remarkably,
product differentiation resulting from firms acquiring various portfolios of product
attributes and stores in market evolution determines the limiting firm size distribution.

Matthew Hartogh (2008)

No other country has as high of a soft drink consumption rate as the U.S.; however,
many international areas have been targeted as potential areas for expansion. The
strategy of overseas expansion involves similar use of the differentiation and
consolidation methods that are used in the U.S., but are often geared toward specific
foreign populations, e.g. PepsiCo's introduction of a unique Guava-Flavored Slice in
India. Selling soft drinks internationally is advantageous to soft beverage companies
because they are able to sell their products overseas at a lower price since local bottling
companies produce the drinks. The major competitors, therefore, are essentially
responsible for selling brand names and the image that goes with them.

Mark E. Parry (1993)


In the first quarter of 1993, Coca-Cola's share of mass-merchandise soft-drink sales fell
6.6 percent, while private-label soft drinks' shares in the same channel rose 16.8
percent. Much of this increase reflected the success of the Cott Corporation, which had
achieved a 10 percent share in the mass-merchandise channel by selling private-label
and store-brand soft drinks to Wal-Mart and other U.S. retailers. In a March 1993
interview, Cott CEO Gerald Pencer stated: "We make a product that is at least as good
as, if not better than, Coke or Pepsi." He expected Cott's sales to double in the next year.
Coca-Cola executives must decide how to respond to Cott's initiatives.

Subhasis Ray (2008)

65
The soft drink industry is yet to find its niche market in India. Despite strong marketing
efforts, the penetration level of soft drinks industry in India is still below par, even
when compared to its neighboring countries, like Pakistan, Thailand, Sri Lanka, let
alone the US or the UK. The present state of economic growth in the sub-continent
makes it a lucrative destination for the consumer goods sector, including the major
players in the soft drink industry. The factors that are instrumental in making India a
lucrative destination include an emerging economy with continuously increasing (i)
gross domestic product; (ii) annual disposable income; (iii) population; and (iv) literacy
rate (ensuring more education, more job opportunity and more purchasing power). All
these factors offer a great prospect for any company to flourish. This paper explores the
feasibility of selling soft drinks through the channel of educational institutions by
examining one of Kolkata’s most densely populated areas. This study has revealed that
the popularity and consumption of soft drinks among the younger generation (age group
16-24 years) in India is way higher than the overall average soft drink consumption
among Indians. Although the ill effect of soft drinks on health is widely known, yet it is
seen that the young Indian (age group 16-24 years) is not shying away from it. The
paper studies the preference and habits of students. It also tries to analyze the
preferences and willingness of the educational institutes (higher secondary and
onwards) to sell soft drinks. The paper concludes that in India, there is a huge potential
for this industry to flourish through the channel of educational institutions.

Matthew Hartogh (2002)


In its core competency, the Coca-Company has only one serious competitor, the
PepsiCo Company, maker of Pepsi-Cola. Current market share of the two companies in
the United States stands at 43.7% for Coca-Cola against 31.6% for PepsiCo. British
firm Cadbury Schweppes comes in third in the American market with its 7UP and Dr.
Pepper brands but does not have a head to head cola competitor for Coca-Cola.
Supermarket "private label" cola brands are a substitute beverage for the big two but in
terms of dollar sales, they do not cut greatly into their market share. According to the
Beverage Digest 2001 survey, the top 4 brands continue to be Coke Classic, with a U.S.

66
market share of 19.9%, Pepsi-Cola, with 13.2%, followed by Diet Coke with 8.8% and
Mountain Dew (a PepsiCo product) with 6.9%.

CHAPTER 5

5.1 ASSIGNMENT – 1
On the day of joining WBPL on June 7, 2010; a basic idea about RED ( Right
Execution Daily) was given just to understand the market on the surface such as RED is
basically a tool of the company to measure the performance of the outlets and keep a
check on them according to certain norms. The proper execution of program helps the
company in maintaining the market share and increasing the sales volume. Its proper
execution is assessed by AC Nielson who does a regular monthly survey in order to
bring to light the systematic working of WBPL. RED lays down norms for:

a. Visi-Cooler
67
b. Availability
c. Activation

Visi-Cooler
The visi-cooler should contain products related to Coke only. If there is anything wrong
which is not manufactured by Coca-Cola then the visi-cooler is considered as impure
and it’s the duty of the MD and the outlet owner to make it pure. The products in the
visi-cooler should be arranged in the particular order. The order is known as COLOJK.
CO- Cola products which includes Coca-Cola and Thums Up.
L – Lemon products which includes Limca and Sprite.
O- Orange products which includes Fanta.
J- Juices that includes Maaza and MMPO.
K- It includes Kinley water and soda.
The visi-cooler has to be in the working condition with the light always kept on.
Activation
The activation elements make the outlet look attractive and make people aware about
the products and hence increase the sale. These elements include Flange, Table Top,
Racks, and Shelf Display etc.
5.2 MARKET SEGMENTATION

The company has divided their outlets on the basis of the following criteria-
 Volume
 Channel

5.2.1 OUTLET VOLUME


There are four types of outlets according to the volume of sales of the outlet-

DIAMOND - 800 crates & above


GOLD - 500-799 crates
SILVER - 200-499 crates

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BRONZE - <200 crates

5.2.2 CHANNEL CLUSTER

(A) GROCERY STORE

Grocery (customer profile): Store stocking a variety of regular uses household items.
The channels provide an opportunity for penetration as it propels home consumption.
It includes all kirana stores, juice stall, cold drink stall, departmental stores,
supermarkets, provision stores etc.
Necessary Availability - 2 liter and 300ml

(B) EATING & DRINKING CHANNEL 1

Eating and Drinking Channel: Outlets range from the high-end restaurants to the smaller
dhabas. These outlets offer multiple
Opportunity to effect sales as people usually order something to drink along with food.
It includes
- Restaurants
- Bars and Pubs
- Dhabas
- Sweet shop
- Quick service restaurants

(C) EATING & DRINKING CHANNEL 2


It includes minimum 5 set table & chair outlets.

(D) CONVENIENCE CHANNEL

69
Pan/bidi shops (customer profile): This segment includes PAN BIDDI outlets that stock
cigarettes, mint, and confectionary. It covers STD/ISD phone booths, travel channel etc.
Small outlets that mainly sell 200ml or 300ml bottles. They may also sell 600ml.

Outlets visited with Mr. Ravi Kumar


On a very first day of observation I just saw what, why, how a
Market Developer (MD) works. How he maintain the market i.e. he goes to the each
and every outlet and maintain the relation with the shopkeepers and try to convince the
shopkeepers to set the visicoolers according to the RED norms. I just noted down the
things that I saw.

Outlets visited with Mr. Ravi Sharma

70
Under his guidance, another remarkable thing that happened was
the experience to work in an atmosphere where high society customers are come. Here
we experience the different type of attitude and working of the market.

Outlets visited with Mr. Achal


With him I got the chance to work in a market where the outlet owners
cooperated to the fullest extent with the MD to maintain purity in the visi-cooler.

Outlets visited with Mr. Ravi Kant


With his help, a step forward was taken towards the approach of
RED by assessing the outlets and tries to know more about execution of RED.

Outlets visited with Mr. Manish

With his help, I was able to add more knowledge about RED
execution. While visiting these outlets the main problem is about purity because of the
city side area

SCORING SHEET OF THE RED ACCORDING TO THE RULES AND NORMS


OF THE RED.

E&D1 E&D2 Grocery Conve.


RED Parameter
D G S D G S D G S D G S
Visicooler 1 Is a coca cola cooler present
2 Is the cooler as per standard 6 6 6 6 6 6 6 6 6 6 6 6
3 Is the cooler in prime location 5 5 5 5 5 5 5 5 5 5 5 5
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4 Is the visicooler in a working condition 2 2 2 2 2 2 2 2 2 2 2 2
5 Is the visicooler light working 1 1 1 1 1 1 1 1 1 1 1 1
6 Is the cooler 100% pure 10 10 10 10 10 10 10 10 10 10 10 10
7 Is the cooler brand order compliant 6 6 6 6 6 6 6 6 6 6 6 6
Total 30 30 30 30 30 30 30 30 30 30 30 30
1 RGB-CSD 20 20 22 36 36 40 6 6 16 20 20 22
2 RGB-Maaza 6 6 6 9 9 10 3 3 6 6 6 6
3 Mobile-CSD 16 16 16 - - - 12 12 12 16 16 16
4 Mobile-Maaza 6 6 6 - - - 6 6 6 6 6 6
5 LARGE PET-CSD - - - - - - 15 15 10 - - -
Availability 6 LARGE PET-Maaza - - - - - - 6 6 - - - -
7 Water 2 2 - 5 5 - 2 2 - 2 2
Total 50 50 50 50 50 50 50 50 50 50 50 50
1 Combo/menu board 10 10 10 10 10 10 - - - - - -
2 Flange/glow sign board 3 3 3 3 3 3 - - - - - -
3 Three tier rack/two tier rack - - - - - - 8 8 8 - - -
4 Shelf display - - - - - - 5 5 5 - - -
5 Shelf display/table top - - - - - - - - - 10 10 10
Activation
6 Flange/glow sign - - - - - - - - - 3 3 3
7 OBM/drinking shot 3 3 3 3 3 3 3 3 3 3 3 3
8 Price communication 4 4 4 4 4 4 4 4 4 4 4 4

Total 20 20 20 20 20 20 20 20 20 20 20 20

5.3 ASSIGNMENT – 2

After the one week of observation period, I was assigned the task to cover the routes of
6 ASMs (Area Sales Manager). Each ASM had around 3 MD’s with whom I covered
the market of EATING & DRINKING CHANNEL 2 viz.

 Mr. Harsharan Singh

 Mr. Ashwani Vaid

 Mr. S. S. Bedi

72
CHAPTER 6
6.1 DATA ANALYSIS & INTERPRETATION
Data analysis is based upon the survey that I had conducted during my training time
through visiting each and every outlet. In this analysis different things that I observe
about the overall east market of the Amritsar is firstly shown that the market share,
leading brand, size of visicooler in the market, different channels of coca cola Company
etc.
SIZE OF VISICOOLER

73
8% 2% 1% 7%

20c/s
9c/s
7c/s
4c/s
82% 2c/s

Fig.1
LEADING BRAND OF COCACOLA

Brand share
8%
7%
THUMSUP
6%
COKE
SPRITE

14% LIMCA
63%
2% FANTA
MAAZA

Fig.2

CHANNEL OF COKE

74
5%
29%

E&D

CONVENIENCE

66% GROCERY

Fig.3

OUTLET BELONG TO WHICH CLASS

CLASS OUTLET
19
DIAMOND
92
83 GOLD

SILVER

BRONZE
56
Fig. 4

MARKET SHARE
75
MARKET SHARE

29%
COKE

PEPSI

71%
Fig. 5
DIVISION OF MARKET

div ision of market

20% Fig. 6

COKE
PEPSI
50%
OTHERS
30%

It is just the over view of the market which clear from our survey, observation and
visiting in the market. So the main data analysis and interpretation will start from the
ASM MR. HARSHARAN SINGH.
6.1.1 THE DETAIL STUDY OF Mr. HARSHARAN SINGH’s ROUTE:

76
On 16th July, I began conducting the survey of the market by covering
the route of Mr. Harsharan Singh with the MDs named ACHAL SHARMA, SATBIR
SINGH and RAVI SHARMA. They all have the different markets and routes like
Lawrence road; Ajnala road, Green avenue market, Ranjit Avenue and Rani Ka Bagh
having 53 E&D2 outlets which are fall under the RED.

1. VISICOOLER IN THE OUTLETS:

number of visicooler

AS PER
STANDARD
PRIME POSITION
44 51 WORKING
CONDITION
31 LIGHT WORKING

100% PURE

52 BRAND ORDER

48
53

Fig. a
INTERPRETATION:

From above data it is simply clear that there almost the equal shares of all
the parameters of visicooler like out of 53 outlets most of the visicoolers are as per
standard, at prime position etc. but the main concern is about the purity. This is the
problem that I ever seen in many of the outlets and also the brand order.
AVAILIBILITY

2. AVAILIBILTY LEVEL IN THE OUTLETS:

47 49
CSD 300ml
MAZZA RGB
WATER

77

46
Fig. b
INTERPRETATION:

The above figure clearly shown that the availability is round about full and
it is satisfactory because it is not a big problem and it can be resolve on route riding.

3. ACTIVATION ELEMENT PRESENT ON THE OUTLETS:

NUMBER

COMBO/MENU
42 CARD/BOARD
49
FLENGE/GLOW SIGN
BOARD
OBM

PRICE COMMUNICATION
47
48

Fig. c
INTERPRETATION:

78
The figure clearly shown that the activation element is quit satisfactory
on the Harsharan’s route. So, there is no need for worrying but try to maintain and
increase that level.

6.1.2 THE DETAIL STUDY OF S. S. BEDI’s ROUTE:

On 21st July, I began conducting the survey of the market by covering the
route of Mr. S. S. Bedi with the MDs named AKASH and SANDEEP SURI. They all
have the different markets and routes like Golden Temple Market, Lohgarh Market
having only 8 E&D2 outlets which are fall under the RED.

VISICOOLER IN THE OUTLETS:

number of visicooler

AS PER
STANDARD
PRIME
8 7 POSITION
WORKING
1 CONDITION
LIGHT
8 WORKING
8 100% PURE
8
BRAND
ORDER

Fig. d
INTERPRETATION:

The above figure shown that the other parameters are satisfactory but the
problem is about the purity. Here the purity problem is more because this market is
inside the city where outlet owners are not much aware about the convenience of the
customers and also the waiters are not much aware about it.

79
AVAILIBILTY LEVEL IN THE OUTLETS:

AVAILIBILTY

7
CSD 300ML
MAZZA RGB
8

Fig. e
INTERPRETATION:

From the above figure it is clear that the availability is full. There is no
need to worry about the availability factor.

ACTIVATION ELEMENT PRESENT ON THE OUTLETS:

ACTIVATION

COMBO/MENU
7 8 BOARD
FLENGE

OBM

PRICE
8 7 COMMUNICATION

Fig. f
INTERPRETATION:

80
From the figure it is clear that the activation element is quit satisfactory, but
the work has to be done to reach at the 100% level.

6.1.3 THE DETAIL STUDY OF ASHWANI VAID’s ROUTE:


On 16th July, I began conducting the survey of the market by covering the
route of Mr. ASHWANI VAID with the MDs VIKAS, JASPAL, RAVI KUMAR They
all have the different markets and routes like Hall Bazaar, Shrifpura Market, Durgaina
Mandir Market having 49 E&D2 outlets which are fall under the RED.

VISICOOLER IN THE OUTLETS:

visicooler

30 47 As per standard
18
Prime position
Working condition
Light w orking

45 49 100% purity
Brand order
49
Fig. g
INTERPRTATION:

From the figure it is clear that all the parameters are quite satisfactory except
the purity and brand order. Their areas are more preferred area by the outsiders and also
by the insiders for eating and shopping. In spite of this there is a big problem of purity
this totally disposes the reputation of the company. So, the MDs have to work on that.

81
AVAILIBILTY LEVEL IN THE OUTLETS:

AVAILIBILTY

7
CSD 300ML
MAZZA RGB
8

Fig. h
INTERPRETATION:
From the above figure it is clear that the availability is full. There is no need to worry
about the availability factor.

ACTIVATION ELEMENT PRESENT ON THE OUTLETS:


ACTIVATION

COMBO/MENU
7 8 BOARD
FLENGE

OBM

PRICE
8 7 COMMUNICATION

Fig. i

82
INTERPRETATION:

From the figure it is clear that the activation element is quit satisfactory, but
the work has to be done to for installing flenge, combos, and menu boards to reach at
the 100% level.

6.1.4 ASM’ EXECUTION


COMPARISON OF HARSHARAN SINGH’S MARKET

87.29
88 86.56
86
84

82
80 78.46
78

76
74
ACHAL SATBIR RAVI SHARMA

Fig. j
COMPARISION OF S. S. BEDI’S MARKET

%AGE

AKASH

86 86.5 SANDEEP
SURI

83
COMPARISON OF ASHWANI VAID’S MARKE

78
77.21

77

76

75
Jaspal
73.47 73.42 Ravi Kumar
74
Vikas
73

72

71
Jaspal Ravi Kumar Vikas
Fig. l

CHAPTER 7

8.1EXECUTIVE SUMMARY

Over the last few years hundreds of companies have greatly improved their performance
&the graph of growth through superior sales promotion services. Today many
companies are building on these foundations and are tuning their products in Soft drink
segment into a formidable competitive weapon. Sales Promotion services have become
a subject of huge interest in recent years.
Sales Promotion Services is growing because:
84
 In the face of ever increasing competition in organizations feel it is important to
build reliable & sustainable processes with focus on strong relationships with
customers.

 Significant revenue & profit gains can be made from successful Sales Promotion
Activities that improve efficiency & help serve customers better & faster.

The different distribution channels are as follows:"


1. Eating & Drinking 2. Convenience 3. Grocery

 Activation is the key part of coca-cola marketing strategy

 Company believes that soft drink sell is not a planned sell it's a impulse buying,
and activation create impulse for buying

 For improvement of Coca-cola market, a proper research work has done.

Sales Promotion Strategies are offering new & better ways of addressing industries
objectives.

Coca-Cola has developed a unique sales promotion strategy that offer a unique way to
increase the sales of the soft drink.

8.2 CONCLUSION
RED is a worldwide project of COCA COLA Company. This project is playing a very
important role for the company. With the help of this project, sale of the company has
been increased. Because in this project there is one market developer who has to ensure
that Visicooler must be on prime location, all brands must available, all brands must
displayed in brand order i.e. COLOJK. All the activation elements like warm display

85
rack, table top rack, standees etc must be available at all outlets come under RED. All
these elements help the company in increasing the sales because
“JO DIKHTA VO BIKTA HAI “
Definitely when sales increase then profits also
increases. With the help of this project company has increased its sale in Amritsar
region and also company can measure or check the performance of each retailers
working all over the world with COCA COLA COMPANY.

8.3 FINDINGS

 76% outlet from the sample of 250 outlets which have sufficient activation
elements but remaining 24% outlets are not fully activated.

86
 In our study it is revealed that 67% from the selected outlet follow the Brand
Order COLOJ-K, but remaining 37%are not following the brand order.

 69% of visited outlet, visi cooler are pure i.e. in visi cooler only the product of
Coca cola are placed and 31% of outlets don’t keep visi cooler pure.

 67% of visi cooler are at prime position where consumer can see our product
and choose as per there need.

 83% outlets are convenience store, 11% are under the E&D and remain under
6% are glossary shop.

 41% of outlets are having 7vc, 41% of the total outlets having 9vc, 4% outlets
have 11vc, and few outlets have 2vc and 20vc.

 54% market cover under the silver categories where as remaining 23%, 22%,

 1% are under diamond, gold, bronze respectively.

 91% outlets don’t have a sufficient number GOD that they can create stock pile
according to the visi coolers provided to them and 9% are those outlets which
have sufficient number of GOD.

8.4 SUGGESTIONS:

87
 We must visit all RED outlets where the activation elements are missing and it
must be activated immediately.

 We must visit all those outlets and arrange the product according to COLOJ-K
where are products are not placed in the visi cooler according to COLOJ-K.

 All the MD needs to visit all the red outlets regularly to keep the visi cooler
pure.

 Prime position of visi cooler enhances the visibility of the product which help
consumer to choose the product and some times it influences the customers to
switch over from similar product.

 We should try the increase sell of outlets so that maximum outlets convert into
upgrade class.

 We need to put effort to increase the required number of GOD as per the visi
cooler size that they can keep 3day stock to meet the demand.

88
8.5 RECOMMENDATION:

We can sum the recommendations in brief as follows:


 Aggressive Marketing

 Regular visit to distributors

 Sales promotion and advertising to be made more frequent for brand building.

 Communications should be improved. Fulfill the Demand of product by


company. In the field’s sales situation. Sales persons work independently and
away from the office.

 Good communication requires interaction between those preparing and those


receiving reports. A good sales reporting system provides both for
communication from the field to office and form office to the field.

 Sales reports provide data for evaluating performance.

 Company should make plans for better performance to the sales man.

 Company should be implementing the customers’ suggestions and complaints


about products, service policies, price changes, advertising companies etc.

 Company should gather information of competitor’s activities. Transportation


confers time utility and place utility to the product. It determines the company’s
customer service; it has also crucial bearing on the other elements of physical
distribution and marketing.

89
8.7 LEARNING EXPERIENCE
• The first thing that I come to know is to work in the market i.e. the way of doing
the things in the market.
• The second thing is that, to know about the RED execution. And also learn the
impact of visicooler and activation on the sales.
• I also come to know the working of the Coca Cola Company i.e. how the
company do their jobs successfully.
• I can also do some practical work at the outlets like to set the brand order in the
visicooler, complete the activation element etc.
• I can also learn the working of MDs and sales person in the market.
• Also the relationships of the company with the outlet owners and customer are
very good.

90
8.8 REFERENCES

www.agriculture-industry-india.com/agricultural-commodities/soft-drinks.html
wiki.answer.com/q/what_are_product_life_cycle_of_coca_cola
en.wikipedia.org/wiki/coca-cola
www.coca-colaindia.com

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8.6 SCORE SHEET OF COCA COLA COMPANY

92
93
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