Analysis of Horizontal Expansion Strategy of Coca-Cola Company in Ghaziabad

HINDUSTAN COCA-COLA BEVRAGES PVT.LTD.
TABLE OF CONTENTS
1. Acknowledgement 2
2. Declaration 3
3. Objective of the study 4
4. Company Profile 5
5. Company Name 5
6. Few words about company 6
7. History 7
8. Bottlers 8
9. COBO 9
10. R.E.D. 10
11. Products and Brands 11
12. Channels 27
13. What is Horizontal Expansion 28
14. Reasons 29
15. How to do Horizontal Expansion 30
16. Benefits 32
17. Outcome of the project 35
18. Research Methodology 36
19. Data Interpretation 37
20. Findings 46
21. Suggestions and Recommendations 48
22. Conclusion 50
23. Limitations 51
24. Bibliography 52
25. Questionnaire 53
Page 1 of 59
Acknowledgement
Co-operation and building up of moral are the essence of success. These are
two factors that go a long way in achieving it. It is a Herculean task, which
lacks these two determinants of success. Summer training was an exposure to
corporate environment. It was an opportunity and great pleasure for me to be
in such an environment and having interaction with concerned people.
I express my heartily respect and profound thanks to Mr. Alok Agarwal

(A.S.M.) and Mr. Vishal Sharma (S.E.) for their enlightening and
meticulous guidance for the consummation and evaluating of this project.
I am also very thank full to Mr. Prashant Chauhan (M.D.) and Mr.
Kavinder Choudary (M.D.) for their corporation while doing the research
on topic.
Prof. Deepak Singh, Faculty, INMANTEC, Ghaziabad, who was in the

role of my Faculty Guide, left no stone unturned in guiding me along the
course of my Summer Training Project work.
I am grateful to them those given me this opportunity to work on such type of
project, without their, it is not possible for me to complete the project.
Finally, to my parents, for all the tea and care with which they overwhelmed
me
through these long months of creation.
I sincerely hope that my first venue in this field is appreciated.
Offering thanks,
Ravi Kumar
.
.
Page 2 of 59
Declaration
I hereby that I have worked on the topic “ Analysis of Horizontal

Expansion Strategy of Coke in Ghaziabad” from 15th April 2009 to 15th
June 2009
All the information that has been collected, analyzed and documented for the
project is authentic possession to me.
I would like to categorically mention that the work here has neither been
purchased nor acquired by any other unfair means. The data and information
existing in this report are accurate and update to the current data, to the best
of our knowledge.
However, for this purpose of the project, information already compiled in

many sources has been utilized.
All information in this report is true representation oh what I have

experienced during the project.
Ravi Kumar
Page 3 of 59
Objectives of the study:
Primary Objective:
1. To understand & explain the Horizontal Expansion Concept with
respect to HCCB operations at retail end.
2. To enlist the benefits of Horizontal Expansion for the company at retail
end.
3. To enlist the roles and responsibilities for Horizontal Expansion at
retail end.
Secondary Objectives:
1. To identify if there exists any training requirement for the
improvement of sales to its sales team?
2. To understand how to make The Horizontal Expansion Process more
effective
3. To study the distribution system of the company.
4. To study the behavior of sales man and distributer towards shopkeeper.
5. To develop the business, expand the market coverage, acquisition of
retailers, retention strategies and maintaining customer relations.
Page 4 of 59
Company Name
HINDUSTAN COCA COLA BEVRAGES PVT.
LTD.
Industry: Consumer product / FMCG products HINDUSTAN COCA COLA
BEVRAGES PVT. LTD.
Types of Company: Private Limited Company, Foreign Based Company
Location:
Sales Office: A-164, SECTOR 63NOIDA {NCR}
Plant: 5th K.M. Milestone, Masuri – Gulaothi Road, Distt. Ghaziabad

Utter Pradesh PIN: 201009
Page 5 of 59
FEW WORDS ABOUT THE COMPANY
Every person who drinks a Coca-Cola enjoys a moment of refreshment and

shares an experience that millions of others have served. All of those
individual
experiences combined have created a worldwide phenomenon – a truly
global
brand. On the distribution front, 10-tonne trucks, open-bay three wheelers
that can navigate the narrow alleyways of Indian cities, ensure availability of
our brands in every nook and corner of the country. The company-owned
Bottling arm of the Indian Operations, Hindustan Coca-Cola Beverages
Private
Limited is responsible for the manufacture, sale and distribution of beverages
across the country. A career at Hindustan Coca-Cola Beverages Pvt. Ltd. is
truly
a one-of-a-kind experience. Come taste life at Coca- Cola .
Page 6 of 59
HISTORY
Coca-Cola Company, nourishing the global community with the world’s

largest
selling soft drink since 1886, returned to India in 1993 after a gap of 16 years
giving a new thumbs-up to the Indian Soft Drink Market. In the same year,
the
Company took over ownership of the nation's top soft-drink brands and
bottling
network. No wonder, our brands have assumed an iconic status in the minds
of
the consumers. Coca-Cola serves in India some of the most recalled brands
across the world including names such as Coca-Cola, Diet Coke, Sprite,
Fanta,
Thums Up, Limca, Maaza and Kinley (packaged drinking water), Minute
Maid
Pulpy Orange.
Page 7 of 59
Bottlers
In general, The Coca-Cola Company (TCCC) and/or subsidiaries only

produces
(or produce) syrup concentrate which is then sold to various bottlers
throughout
pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand
was bought in 1889 by Asa Candler who incorporated The Coca-Cola
Company
in 1892. Besides its namesake Coca-Cola beverage, Coca-Cola currently
offers
nearly 400 brands in over 200 countries or territories. The company operates
a
franchised distribution system dating back to 1889 where TCCC only
produces
syrup concentrate which is then sold to various bottlers throughout the world
who hold an exclusive territory. The Coca-Cola Company is headquartered in
Atlanta, Georgia. Its stock is listed on the NYSE and is part of DJIA and
S&P
500
Page 8 of 59
All India Division COBO’s are now ISO 14001

certified
All 25 of the Divisions Company-owned bottling plants have gained the

international standard ISO 14001 Environment Management System
certificate.
The ISO 14001 certificate is the internationally recognized standard of

Environmental Management.
A company must demonstrate management commitment, the total

involvement of all employees and a compliance with applicable regulatory
and internal company standards.
Strict division compliance with eKO system ensured that the bottling plants
were ready to meet the tough evaluation criteria and standards of the ISO
auditors.
Page 9 of 59
RIGHT EXECUTION DAILY (R.E.D.)

R.E.D. is the survey method that company started earlier. For the survey of
R.E.D., Company had hired the person A.C. Nielson one of the best survey
company. This survey gets done once in a month. R.E.D. is the set of norms
divided into outlet wise.
ABOUT THE R.E.D. SURVEY

• The survey named as R.E.D. (Right Execution Daily).
• The survey has been conducted to check the cooler management,

availability of products & activation of coca-cola in various outlets.
THE SURVEY WAS BASED ON THREE TOPICS

• Firstly, I have to check the cooler management i.e. the customer, are
properly managed/working or not. And lastly the most important
aspect of cooler management was the brand order.
• Secondly, I have to check the availability of the product i.e. whether

the product is available to the customer or not.
• 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 sign. DPS, Flanges and Combo Boards. Mostly combo
boards are given to the E & D outlets. And is very helpful in attracting
the customers. Racks with header is provided to the Grocery outlet,
which should be fully charged.
Right Execution Daily (R.E.D.) is the diversification of outlets as Channel,

Class. Let us know what are the Channel and Class respectively.
Page 10 of 59
PRODUCTS AND BRANDS
Page 11 of 59
Diet Coke
It was introduced in 1982 to offer an alternative to dieters worried about the

high number of calories present in regular Coca-Cola.
The Coca-Cola Company offers nearly 400 brands in over 200 countries,
besides its namesake Coca-Cola beverage. This includes other varieties of
Coca-Cola such as:
• Diet Coke (introduced in 1982), which uses aspartame, a synthetic

phenylalanine-based sweetener in place of sugar
• Diet Coke Caffeine-Free
• Cherry Coke (1985)
• Diet Cherry Coke (1986)
• Coke with Lemon (2001)
• Diet Coke with Lemon (2001)
• Vanilla Coke (2002)
• Diet Vanilla Coke (2002)
• Coca-Cola C2 (2004)
• Coca-Cola Black Cherry Vanilla (2006)
• Diet Coca-Cola Black Cherry Vanilla (2006)
• Coca-Cola BlāK (2006)
• Diet Coke Plus (2007)
• Coca-Cola Orange (2007)
Tab was Coca-Cola's first attempt to develop a diet soft drink, using
saccharin
as a sugar substitute. Introduced in 1963, the product is still sold today,
however its sales have dwindled since the introduction of Diet Coke.
Page 12 of 59
Thums Up
Type Cola
Manufacturer The Coca-Cola Company
Country of origin India
Introduced 1977
Related products Coca-Cola, Pepsi, Campa Cola
Thums Up is a carbonated soft drink (cola) that is very popular[citation

needed] in India, where its bold, red thumbs up logo is common. It is similar
in flavor to other colas but has a unique taste reminiscent of betel nut.
Introduced in 1977 to offset the expulsion of The Coca-Cola Company and
other foreign companies from India, Thums Up, Limca, and Campa Cola
gained nationwide acceptance. The brand was bought out by Coca-Cola who
later re-launched it to fight against Pepsi after unsuccessful attempts at brand
killing.
Background
During late 1970s, the American cola giant Coca-Cola was banned by the
Indian government. Following this, the Parle brothers, Ramesh Chauhan and
Prakash Chauhan, along with then CEO Bhanu Vakil, launched Thums Up as
their flagship drink, adding to their portfolio of older brands Limca (lime
flavour) and Gold Spot(orange flavored). Thums Up was basically a cola
drink, but the company never claimed it as such. The formula was just as
closely guarded as the famous Coke formula. During the same time, the
owners of Coca-Cola’s bottling plant, Pure Drinks Ltd., launched Campa
Cola and Campa Orange, both of which had a higher dose of carbon dioxide.
The Thums Up logo was a logo showing a red thumbs up hand gesture
with a slanted white serif typeface. This would later be modified by Coca-
Page 13 of 59
Cola with blue strokes and a more modern-looking typeface. This was mainly
done to reduce the dominant red color in their signage.
The picture shows the thums up mountain or thums up pahaad(in
Hindi)manmad hills which has a natural top like thums up logo and is a
popular sight from trains .Its famous caption until the early `80s was, “Happy
days are here again”, coined by then famous copywriter Vasant Kumar,
whose father was spiritual philosopher U. G. Krishnamurti. Later it was
changed to "Taste the thunder!”.
Market
Thums Up enjoyed a near monopoly with a much stronger market share often
overshadowing its other rivals like Campa cola, Double seven and Dukes, but
there were many small regional players had their own market. It even
withstood liquor giant United Breweries Group (makers of Kingfisher Beer)
Mcdowell's Crush, which was another Cola drink and one more Double Cola.
It was one of the major advertisers throughout the 80’s. In mid-80’s it
had a brief threat from a newcomer Double Cola which suddenly disappeared
within a few years.
In 1990, when Indian government opened the market to multinationals,
Pepsi was the first to come in. Thums Up went up against the international
giant for an intense onslaught with neither side giving any quarter. With
Pepsi roping in major Indian movie stars like Juhi Chawla, to thwart the
Indian brand, Thums Up increased its spending in the Cricket sponsorship.
Then the capacity went from 250ml to 300ml, aptly named MahaCola. This
nickname gained popularity in smaller towns where people would ask for
"Maha Cola" instead of Thums Up. The consumers were divided where some
felt the Pepsi’s mild taste was rather bland.
In 1993 Coca-Cola re-entered India after prolonged absences from
1977 to 1993. But Coca-Cola’s entry made things even more complicated
and the fight became a three-way battle. That same year, in a move that
baffled many, Parle sold out to Coke for a meagre US$ 60 million
(considering the market share it had). Some assumed Parle had lost the
appetite for a fight against the two largest cola brands; others surmised that
the international brands seemingly endless cash reserves psyched-out Parle.
Either way, it was now Coca-Cola’s, and Coke has a habit of killing brands
in its portfolio that might overshadow it. Coca-Cola soon introduced its cola
in cans which was all the rage in India, with Thums Up introduced alongside,
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albeit in minuscule numbers. Later Coca-Cola started pulling out the Thums
Up brand which at that time still had more than 30% market share.
Re-launch
Despite its strong overall equity, the brand was losing its popularity among
the core cola drinking age group of 12 to 25 year olds, partly due to nil
advertising.
Coca-Cola apparently did try to kill Thums Up, but soon realized that
Pepsi would benefit more than Coke if Thums Up was withdrawn from the
market. Instead, Coke decided to use Thums Up to attack Pepsi. The Coca-
Cola
Company by this time had about 60.5% share of the Indian soft-drink market
but much to its dismay found out that if it takes out Thums Up, it would
remain with only 28.72% of the market (according to a report by NGO
Finance&Trade in India), hence again dusted out the Thums Up brand and
re-launched targeting the 30 to 45 year olds.
The brand was re-positioned as a “manly” drink, drawing on its strong
taste qualities. Known to be a strong drink with more power packed into it
than other colas, it was a favorite in Rum based Cocktails and the byword
“rum and Thums Up.” Hence Thums Up kick-started an aggressive campaign
directly attacking Pepsi’s television advertisement, focusing on the strength
of the drink hoping that the depiction of “adult” drink would appeal to young
consumers.
“Grow up to Thums Up” was a successful campaign. The brand’s market
share and equity soared northwards. The brand was unshakeable and Coca-
Cola’s
declaration that Thums Up was India’s premier cola brand in terms of market
share did not surprise many.
Other campaigns from Thums Up’s build on the “strength” of its cola
and
build associations as a macho drink. Ads showing the Thums Up man, riding
through the desert in search of a cantina that sells Thums Up rather than
drink another cola, stick in the minds of many Indians and caught the
imagination of youngsters who want to be seen as men.
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Sponsorship and Souvenirs

Thums Up was one of the major sponsors in the Cricket Matches. In early
80’s it came out with several postcards featuring Sunil Gavaskar and Imran
Khan. Parle’s southern bottler was a major sponsor in the Indian motorsport
scene in 80’s, to several Indian track drivers in Sholavaram races and also to
several regional Car and Bike rallies. Today old Thums Up souvenirs and
stickers have become
Page 16 of 59
Limca
Limca is a lemon and lime flavored carbonated soft drink made in India and
certain parts of the U.S. It is less bubbly than its American counterparts like
Seven Up and Sprite, and it has a slight flavor of ginger.
In 1992, when the government allowed Coca-Cola to return, at the same time
as it admitted Pepsi for the first time, Coca-Cola bought Limca, Thums Up,
Maaza and other drink brands.
Like other sodas, Limca is generally sold in glass bottles within India, which
Type Lemon-lime soda
Introduced 1977
Limca is a lemon and lime flavored carbonated soft drink made in India and
certain parts of the U.S. It is less bubbly than its American counterparts like
Seven Up and Sprite, and it has a slight flavor of ginger.
In 1992, when the government allowed Coca-Cola to return, at the same
time as it admitted Pepsi for the first time, Coca-Cola bought Limca, Thums Up,
Maaza and other drink brands.
Like other sodas, Limca is generally sold in glass bottles within India, which
are returned to the store or restaurant after the contents have been drunk. The bottles
are sent back to the manufacturer, washed and reused, because they are more
expensive than the soda itself.
Rates and sizes
2 ltr. plastic bottles cost Rs.55
600ml plastic bottles cost Rs. 22
300ml glass bottles cost Rs. 10
200ml glass bottles cost Rs. 8
350 ml pet bottles cost Rs. 15
Page 17 of 59
Limca also publishes the Limca Book of Records, a record book similar to
the
Guinness Book of Records. The Limca Book of Records details feats, records
and other unique statistics from an Indian perspective.
One of Limca's original and very popular taglines was "Limca. It's veri
veri Lime & Lemoni." In India reigning top Hindi film actress and actors are
generally chosen as models for the product.
Page 18 of 59
Sprite
Type Lemon-lime
Country of origin Germany
Introduced 1961
Sprite is a clear soda, lemon-lime flavored, caffeine free soft drink, produced
by the Coca-Cola Company. It was introduced to 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 green and blue can or a
green transparent bottle with a primarily green and blue label.
History
Originating in Germany as Fanta Klare Zitrone ("Clear Lemon Fanta"),
Sprite was introduced to the United States in 1961 to compete against 7-Up.
In the 1980s, many years after Sprite's introduction, Coke pressured its large
bottlers that distributed 7 Up to replace the competitor with the Coca-Cola
product. In large part due to the strength of the Coca-Cola system of bottlers,
Sprite finally became the market leader position in the lemon-lime soda
category in 1989
Global naming Sprite, as a lemon-lime soda, is referred to by consumers
around the world in a variety of ways. It is called lemonade in Australia and
New Zealand. In Ireland and Canada, Sprite and 7-up are interchangeable
and, when asked, a person may say Sprite or 7-up to mean the same drink. In
South Africa, Sprite and Schweppes Lemonade are almost interchangeable.
In some parts of Switzerland, Sprite (or any other type of lemonade) is also
known simply as citra.
Page 19 of 59
Fanta
Type Soft drink
Country of origin Germany
Introduced 1940
Fanta is a global brand of fruit-flavored soft drink from the Coca-Cola

Company. There are over 115 flavors world-wide; however, most of them are
only available in some countries. The brand was originally introduced in
Germany in 1940, and was purchased by Coca-Cola in 1960. Today it is
available in 180 countries.
History
In 1940 Fanta was created by the German chemist Schetelig during
World War II in Germany, by the German Coca-Cola bottling company in
Essen. Due to war time restrictions on shipping between Germany and the
United States, the German bottling plant could not get Coca-Cola syrup. The
CEO of the plant, Max Keith, needed a product to keep the plant in operation
and devised a fruit flavored drink made from available ingredients.
Using apple fiber remaining from cider pressing and whey, a byproduct
from cheese manufacture,
Fanta was created and became quite popular. The original German
Fanta had a yellow color and a different flavor from that of Fanta Orange.
The flavor varied throughout the war, depending on the ingredients used.
The name 'Fanta' was coined during an employee contest to name the
new beverage. Keith told them to let their Fantasie (German for
"imagination") run wild. On hearing that, salesman Joe Knipp spontaneously
arrived upon the name Fanta.
After World War II, Fanta was introduced to the United States by
Coca-Cola, and in 1960 they bought the trademark. Fanta Orange is the most
Page 20 of 59
popular Fanta flavor, available in 180 countries. In terms of volume, Brazil is

the largest consumer of Fanta in the world. Fanta remains more popular in
Europe and South America than in the United States.
Primary competitors to Fanta have included Tango, Orangina,
PepsiCo's Slice and Tropicana Twister.
In some markets, Coca-Cola also has spun off various diet Fanta
varieties including Fanta "Z" and Fanta Zero Orange.
Ingredients
The composition of Fanta, for the same flavor, varies from country to
country. For example, the European Fanta Orange has orange juice (in
variable percentages), whereas the US formulation does not. The Australian
version contains 5% fruit juice, and South American formulations also have
orange juice, especially in Brazil, where it contains 10% of orange juice.
These differences mean the taste of Fanta differs greatly from country to
country, more so than regular Coca Cola, and may in part explain why the
drink's popularity varies so much between different countries.
Fanta in other countries
Billboard promoting Guarana Fanta in Guadeloupe

There are over 70 different flavors world-wide. For example, in Romania
(and some other countries), there is "Fanta Shokata" based on the traditional
Romanian and Balkan drink Socata made from elderflower ( a wordplay
between "soc"- elderberry in Romanian- and "shock"). In Switzerland and the
Netherlands the local fruit, blackcurrant is used to produce Fanta as well.
Some identical flavors have different names in different markets. The classic
orange, for example, was rebranded "Fanta Funky Orange" in 2003 for the
Nordic countries and Belgium, and to 'Fanta Original Orange' in the
Netherlands while other countries retain the older "Fanta Orange" brand. As
of the year 2005, the Fanta brand has been connected with the word
Bambaacha (or Bamboocha), which is often seen in the Fanta commercials.
TaB diet Cola was originally produced by the Fanta division of Coca-cola
and was, at one time, available in a variety of non-cola flavors as well. Later
in 2005, Fanta branched out into new Fanta Zero (diet versions) varieties in
Great Britain. In Great Britain, the new Fanta logo is introduced.
Page 21 of 59
maaza
Type Fruit juice
Introduced 1976
Variants Maaza Orange, Maaza Pineapple
Related products Slice, Frooti
Maaza is a Coca-Cola fruit drink brand marketed in India and

Bangladesh, the most popular drink being the mango variety, so much that
over the years, the Maaza brand has become synonymous with Mango.
Initially Coca-Cola had also launched Maaza in orange and pineapple
variants, but these variants were subsequently dropped. Coca-Cola has
recently re-launched these variants again in the Indian market.
Mango drinks currently account for 90% of the fruit juice market in
India. Maaza currently dominates the fruit drink category and competes with
Pepsi's Slice brand of mango drink and Frooti, manufactured by Parle Agro.
While Frooti was sold in small cartons, Maaza and Slice were initially
sold in returnable bottles. However, all brands are also now available in small
cartons and large PET bottles. Of late, the Indian market is witnessing the
entry of a large number of small manufacturers producing only mango fruit
drink.
Maaza has a distinct pulpy taste as compared to Frooti and tastes
slightly sweeter than Slice. Maaza claims to contain mango pulp of the
Alphonso ariety, which is known as the "King of Mangoes" in India.
History
Maaza was launched in 1976 in India. The Union Beverages Factory, based
in the United Arab Emirates, began selling Maaza as a franchisee in the
Middle East and Africa in 1976. By 1995, it had acquired rights to the Maaza
brand in these countries through Maaza International Co LLC Dubai. In India
, Maaza was acquired by Coca-Cola India in 1993 from Parle-Bisleri along
with other brands such as Limca, Citra, Thums Up and Gold Spot. As for
North America, Maaza was acquired by House of Spices in 2005.
Page 22 of 59
Minute Maid
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 was the first company to market orange juice
concentrate, allowing it to be distributed throughout the United States and
served year-round.
The Minute Maid company is now owned by The Coca-Cola Company, and
is he world's largest marketer of fruit juices and drinks. It is headquartered in
Houston, Texas, and employs 2,200 people. In 2002 the Houston Astros
baseball team sold the naming rights for their venue, subsequently anointed
Minute Maid Park, and the company now owns 8.5% of the team.
History
The National Research Corporation (NRC) of Boston, Massachusetts,
developed a method of concentrating orange juice into a powder using a
"high-vacuum process" in 1945. The US Army had a need for 500,000 lb
(227,000 kg) for the war, so NRC created a new branch, the Florida Food
Corporation. Led by John M. Fox, the company won the government contract
for $750,000.
The war ended and the contract was canceled before the factory could
be built, but with investment, the company moved forward with a product.
Rather than selling powder to the public market, the company decided
to create frozen orange juice concentrate. A Boston marketing firm came up
with the name Minute Maid, like Minutemen, implying the juice was quick
and easy to prepare.
With limited funds for advertising, Fox himself went door to door
giving free samples, until demand skyrocketed. The ability to purchase fresh-
tasting orange juice at any time of year, far from where oranges are grown,
proved popular, and led to the company's national success.
The Minute Maid company was purchased by Coca-Cola in 1960.
In 1973, the company released the first ready-to-drink, chilled orange
juice product in the United States.
Products
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Brazil:
 Minute Maid Mais - Ready-to-drink juice drink.
 Apple, Cashew, Cashew Mango, Orange, Grape, Guava, Mango, Orange,
Passion fruit, Peach
Germany
 Fruitopia Juices:
 Minute Maid Fruitopia Juices - available in 4 different variations:
 Frühstück (Breakfast) TO GO - Multifruit Juice (Passion Fruit) and
Multifruit Juice (Berry Flavor)
 Original Fruit Juices:
 100% Orange Juice - Orange Juice drink with 100% orange juice
 100% Multifruit Juice - Passion/Exotic Fruit
(Orange/Banana/Apple/Maracuja) with 100% exotic fruit juices
 100% Apple Juice with Acerola with 100% apple juice
 Multifruit Probiotic Juice (Apple/Banana flavor)
 Multifruit Probiotic Juice (dietary juice)
 Multifruit Antioxidant Juice
 Multifruit Juice with Green Tea and Grape Seed extracts (Berry/Melon
flavor)
India:
 Minute Maid Pulpy Orange Drink- Orange juice
Japan:
 Minute Maid Fruit Plus - Juice drink.
 Apple Guava, Lemon Lime, Orange Peach
Mexico:
 Minute Maid Forte - Fruit Juices and Nectars.
 Apple, Orange, Grape, Peach, Pineapple, Mango, Tomato, 100%
 Orange Juice, 100% Apple Juice, Fibramix (Apple, Pineapple and Pear
mix) and Fruits (Strawberry, Banana, Guava, Pineapple, Mango and
Orange mix)
 Minute Maid Revita - Fruit Drink.
 Limoné (Lemon), Marandú (Apple, Orange and Peach) and Melondía
(Watermelon and Cantaloupe)
 Minute Maid Nutri+ - Fruit Juice.
 Apple, Orange, Grape, Peach
 Minute Maid Nutri+ - Flavored milk drink.
 Chocolate, Chocolate Banana, Strawberry
Page 24 of 59
KINLEY
Water, a thirst quencher that refreshes, a life giving force that washes all the
toxins away. A ritual purifier that cleanses, purifies, transforms. Water, the
most basic need of life, the very sustenance of life, a celebration of life itself.
The importance of water can never be understand. Particularly in a nation

such as India where water governs the lives of the millions, be it as part of
everyday ritual or as the monsoon which gives life to the sub-continent.
Kinly water understands the importance and value of this life giving force.
Kinley water thus promises water that is as pure as it is meant to be. Water
you can trust to be truly safe and pure.
Kinley water comes with the assurance of safety from the Coca- Cola
Company. That is why they introduced Kinley with reverse-osmosis along
with latest technology to ensure the purity of their product. That’s why they
go through rigorous testing procedures at each and every location where
Kinley is produced. Because they believe that right to pure, safe drinking
water is fundamental. A universal need, that can not be left to chance.
Page 25 of 59
GEORGIA
In the company’s journey towards the vision “Leading the beverage

revolution in India”, now even Garam matlab Coca-Cola…. A hot new
launch from Coca-cola in India.
Georgia, quality tea and coffee served from state of the art vending machines
is positioned to tap into the nations biggest beverage category.
Georgia, which promises a great testing, consistent, hygienic and affordable

cuppa is available in a range of 7sizzing flavours, adrak, elaichi, masala and
plain tea cappuccino, mochaccino and regular coffee.
Georgia is currently in the roll out stage after a suessful launch in Delhi &
Kolkata. Georgia aims to become the consumer preferred choice of hot
beverage when he is on the go, the brand is well on course to achieving its
vision.
While Georgia is a mass market offering, Georgia Gold is the premium brand
which caters to the connoisseur. Made from freshly roasted and ground
coffee beans, Georgia Gold is delicious tasting aroma with the tantalizing
aroma of fresh coffee. Currently available exclusively at McDonalds outlets
across the country Georgia Gold has driven coffee sales through the roof.
The success of hot beverages from Georgia Gold has resulted in extension
into the cold category, with the introduction of Ice Tea and Cold Coffee.
Page 26 of 59
Channels
Grocery – Outlet primarily engaged in retailing of food & various
household items. It includes Grocers (Outlets dealing mainly in grains,
provisions, spices, edible oil, vanaspati etc.) and General Stores (Outlet
selling items of day to day requirements & stocking a variety of branded
products)
E&D types 1 – Outlet selling items of eat which are being consumed
primarily standing in the outlet or being taken away for Future Consumption.
Does Not Have Place To Sit. It includes bakery / sweet shops/ QSR / juice
centers / soft drink shops/ Tea shops etc.
E & D type 2 – Outlet selling items of eats which are being cooked/made
within outlet possibility of consuming those products within the outlet. The
Outlet Should have A Place To Sit. It includes Sit down restaurants /
Bars / Dhabas / Cafes etc.
Convenience- includes outlets which are small stores, generally accessible

locally. These are often located alongside busy roads. It includes Chemists /
STD Booths / PAN – Beedi shops, etc.
Class
Bronze- Those outlets, which sells <= 200 carets per year.
Silver- Those outlets, which sells 201 - 499 carets per year.
Gold- Those outlets, which sells 500-799 carets per year.
Diamond- Those outlets, which sells more than 800 carets per year.
Page 27 of 59
What is Horizontal Expansion?
Expansion of business capacity through the absorption of facilities or

buildings as well as through the acquisition of new equipment to handle an
increased volume in sales in which the business is already engaged. In
microeconomics and strategic management, the term Horizontal Expansion
describes a type of ownership and control. It is a strategy used by a business
or corporation that seeks to sell a type of product in numerous markets.
Horizontal Expansion in marketing is much more common than Vertical
Expansion is in production. Horizontal Expansion occurs when a firm is
being taken over by, or merged with, another firm which is in the same
industry and in the same stage of production as the merged firm, e.g. Pepsi
has adopted strategy of Vertical Expansion by which Pepsi wants to improve
it’s sale from Coke monopoly outlets, means Coke’s monopoly outlets are
being taken over by Pepsi now in this condition to improve it’s sale Coke
need to open new outlets which is called Horizontal Expansion Strategy. A
monopoly created through Horizontal Expansion is called a Horizontal
Monopoly.
This is the expansion of a firm within an industry in which it is already active

for the purpose of increasing its share of the market for a particular product
or service.
Page 28 of 59
Reason Of Horizontal Expansion?
The ultimate objective of coke is to acquire more customer and serve them
properly. While doing Horizontal Expansion take care to the competitor’s
strategy. The main competitor is PEPSI, who has opted Vertical Expansion to
generate more sell however Coke do not believe on Vertical Expansion
because Vertical Expansion has limited preview so COKE is great believer in
Horizontal Expansion and this strategy helped to the company to maintain its
leadership in the soft drink industry.
India is a big country having diversified taste and appearance and same
character is reflected in their demography. Horizontal Expansion helps the
company to serve the more people and more customers touch point because
in the waste country many customers commutes.
Page 29 of 59
How to Do Horizontal Expansion

To do Horizontal Expansion more efficiently we made a profit story and talk to the
shopkeepers according to that story.
Story
Salesperson – hello sir, I am from Coke and I have a proposal that will surely
increase your income. May I present you?
Shopkeeper – yes please present it
Salesperson - Sir if you will start to sell coke then your overall sale will be
increased and it is not tough to sell coke because Coke is the leader in beverage
industry and a very well known brand.
Shopkeeper- yes, but how it can increase my overall sale?
Salesperson - Sir, you are selling Chips, Pastry and snacks. And these products
have a very good combination with cold drink. If a person wants to purchase any
of these products then it is quite possible that he will purchase Coke and vice
versa.
Shopkeeper – But how Coke can increase my profit?
Salesperson – Sir if you are really interested to explore through Coke, you may be
able to sell 2 cases of 200ml, 1 case of 300ml, 1 case of 6oo ml and 1 case of 2
liter. And for start selling Coke you need to invest only Rs. 420. We will provide
you 3 empty carets
Weight of Product Rate of QT M.R.P. Revenue(Rs Profit(Rs.)

(ML) case(Rs.) Y. (Rs.) .)
200 168 24 8 192 24
300 214 24 10 240 26
600 488 24 22 528 40
2000 455 9 55 495 40
Sir your daily profit from coke (in Peak season) = Rs. 154
Profit per month (in Peak season) = Rs. 4620

Page 30 of 59
Profit of whole season = Rs. 13860
(Because the peak season for Coke is only of 3 months)
Profit of rest of the 9 months = Rs. 20790
(Because as per the Coke assumption income in the off season is decreased by
half in comparison to the Peak season)
Profit of whole year = Rs.34650
Your investment = Rs. 1913
Your ROI = 34650 * 100/1913
= 1811.29%
Shopkeeper – But I do not think this much will work what about those stuffs that
needs to support trading of Coke and I have to provide them like electricity, ice etc.
Salesperson – Sir that’s a really nice question, we can understand your anxiety and
we have to offer much more for this. We have minimum Rs. 10 offer on 200 and
300 ml and Minimum Rs. 20 on Pet bottles. More over if you are keeping your
refrigerator for the storage purpose of Coke if will be all right as the refrigerator
can work by consuming power as low as 2 units per day which will cost you Rs. 8
per day.
So, what you have to say about our offer?
Shopkeeper – Yes, I think it will be a nice idea to accept your offer.
Salesperson – Thank you sir and Congratulation (Shaking Hands) I will be

dropping my products within 10 minutes as I have the carrying vehicle with me
and within next 15 minutes you are all set to go for selling Coke.
On some shops we set refrigerators and to keep a refrigerators we need to collect 1

photo copy of Voter ID card or Rashen Card, 1 photo copy of electricity bill and 1
passport size photo of shopkeeper.
Page 31 of 59
Benefits of horizontal expansion:
• Provides Incremental Volume & Revenue for Business
• By horizontal expansion there will be more outlets of our product In

the market which will sell our product in more quantity. This will
generate incremental revenue for the business.
• Helps Improve Route Productivity
• There are pre determined routes through which product is transported

and delivered at the coke outlets. If we open more outlets on the routes
it will increase the productivity because more outlets will be covered
and more product will be delivered with a negligible increase in time
and efforts. Hence it will improve productivity of the route
• Improves Profitability of Our Distributors Expenses on routes and

delivery of product are incurred by the distributers. Opening new
outlets will give more revenue to our distributors also. With the
increase in route productivity will improve profitability of the
distributors.
• Reduced Dependence on Large Customers, We know that coke

products have a very good demand. To comply with this we have to
provide large amount of supply. In case we have few outlets a large
amount of stock is gathered at few retailers. In this case they become
monopolistic and demand many things like coolers refrigerators
discounts margins etc. from the company. So it is very necessary to
reduce dependence on large retailers by opening new outlets.
Page 32 of 59
• Increase market visibility Selling at more outlets give more market

visibility of the product which gives higher product recognition and
brand value to the products.
• Economies of scale
• Economies of scope
• Increase in market power over supplier and downstream market

channels
Advantage of horizontal expansion over vertical

expansion:
Both expansion techniques are meant for increasing sales volumes. But in
horizontal expansion company can earn more profits by spending less. Let’s
see the profit story of horizontal expansion
Page 33 of 59
Page 34 of 59
Above tables clearly indicate the importance of opening new outlets. By

doing vertical expansion only growth in profit was not very effective but
because of opening just 200 new outlets sales increased to a large extent.
Total profit margin and return on investment also increased.
Page 35 of 59
OUTCOME OF THE PROJECT

Apart from the other benefits of horizontal expansion, its main benefit is to
generate incremental revenue for the company. During the project I studied
strategies and analyzed the market. My major job was to use different tools
provided by the company for horizontal expansion like refrigerator, ice box
etc. and to open outlets for coca cola products. With my other team mates I
targeted the market of Ghaziabad and our outcome is as follows:-
No. of New outlets in Nandgram = 22
No. of New outlets in Meerut road = 5
No. of New outlets in other areas = 15
INCREMENTAL REVENUE GENERATED FOR

THE COMPNAY:
Avg. Sales at each outlet = 3 cases per outlet
Total Sales = 54*3 = 162 cases per day
Avg price per case = 300 Rs( assumed)
Total Revenue = 300*162
= Rs. 48600 per day
(Note: see appendices for the list of outlets)
Hence we can see the huge revenue generated by the horizontal Expansion.
It also increased the visibility and market share of the coca cola products.
Page 36 of 59
Research Methodology:
The study is based on Primary data and Secondary data. Secondary Data
was collected from the Company’s website and MD’s Sales Presenter as well
as Primary Data was collected through structured questionnaire. The
questionnaire was designed by keeping all the objectives of the study in
mind.
The type of research which is used to conduct survey was.
Sample Unit:
Sampling units are outlets owners/ shopkeepers selling soft drinks.
Sample Size:
Sample Size of 50 outlets.
Sample Technique:
Sample Technique is Simple Random Technique.
Method of data collection:
Method of data collection is survey method.
Universe:
Ghaziabad
Data Interpretation
(1) What Type of Channel do you hold?
Page 37 of 59
a) E & D
b) Grocery
c) Convenience
d) Other
E&D 20
Grocery 10
Convenience 20
Other, Please specify 0
(2) What Type of outlet are you in?
a) Pepsi Exclusive
b) Coke Exclusive
c) Never sell cold drinks
d) Both a & b
Pepsi Exclusive 10
Coke Exclusive 10
Never sell cold drinks 10
Both a & b 20
Page 38 of 59
(3) What is the chilling equipment you are using?
a) Coca cola Fridge
b) Pepsi Fridge
c) Own your Assert Fridge
d) Ice Box
e) Both (A & B).
Coca cola Fridge 10

Pepsi Fridge 10
Own your Assert Fridge 5
Ice Box 7
Both (A & B). 18
(4) Kindly rate the level of satisfaction on Communication from the company
a) Highly satisfied
b) Quite satisfied
c) Neither satisfied nor dissatisfied
Page 39 of 59
d) Quite dissatisfied
e) Highly dissatisfied
Highly satisfied 6
Quite satisfied 19
Neither satisfied nor dissatisfied 8
Quite dissatisfied 13
Highly dissatisfied 4
(5) If a brand which you prefer is not delivered to you properly, then what do you do?
a) Go for other brand
b) Call to distributer
c) Call to company’s sales person
d) Stop selling that brand
e) Other actions
Go for other brand 32

Call to distributer 0
Call to company’s sales person 13
Stop selling that brand 5
Other actions 0
Page 40 of 59
(6) Which of the following promotions affect the sale mostly?
a) Scheme
b) Case refund
c) Price pack
d) Under Crown Scheme
e) Any Other
Scheme 21
Case refund 7
Price pack 4
Under Crown Scheme 18
Any Other 0
(7) While COKE does not take empty bottles of PEPSI, latter does. Is there any affect of
it on sales?
a) No
b) Yes
c) Can’t Say
No 12
Yes 28
Can’t Say 10
Page 41 of 59
(8) I. Is there any effect of mega events (eg. IPL) on sale of COKE (In peak season, like
Summer)?
a) Increase
b) Decrease
c) No effect
d) Can’t say
Increase 7
Decrease 6
No effect 22
Can’t say 15
II. Is there any effect of mega events on sale of COKE (In non-peak season)?
a) Increase
b) Decrease
c) No effect
Page 42 of 59
d) Can’t say
Increase 14
Decrease 5
No effect 23
Can’t say 8
Delivery (timeliness)
(9) I. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied
B) Satisfied
C) Neither satisfied nor dissatisfied
D) Dissatisfied
E) Highly dissatisfied
Highly satisfied 0
Satisfied 13
Dissatisfied 7
Communication
Page 43 of 59
II. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied
B) Satisfied
D) Dissatisfied
Highly satisfied 14
Satisfied 12
Dissatisfied 5
Visit Frequency
(9) III. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied
B) Satisfied
D) Dissatisfied
Highly satisfied 0
Satisfied 13
Dissatisfied 7
Page 44 of 59
(9) IV. Kindly rate the behavior of sales man (Peak Season) towards:
A) Highly satisfied
B) Satisfied
D) Dissatisfied
Highly satisfied 0
Satisfied 7
Dissatisfied 15
Communication
(9) V. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied
B) Satisfied
Page 45 of 59
D) Dissatisfied
Highly satisfied 16
Satisfied 13
Dissatisfied 5
Visit Frequency
(9) VI. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied
B) Satisfied
D) Dissatisfied
Highly satisfied 0
Satisfied 7
Dissatisfied 9
Page 46 of 59
(10) Kindly rate the behavior of distributer (Overall year) towards:
A) Satisfied
B) Dissatisfied
D) Don’t Know Distributer
Satisfied 8
Dissatisfied 13
Don’t Know Distributer 23
Communication
A) Satisfied
B) Dissatisfied
Satisfied 6
Dissatisfied 13
Page 47 of 59
Involvement
A) Satisfied
B) Dissatisfied
Satisfied 3
Dissatisfied 17
Findings:
Page 48 of 59
1. It is felt that outlet owner are more concern about schemes like offers
on cases, under crown schemes etc and Pepsi is providing them better
schemes then Coke.
2. It is felt that distributor is not doing his work honestly, he is not

sending route in the market properly. When the salespersons generate
orders with retailer, due to problem like salesman is on leave, vehicle
is not available etc they delay the order and retailer cancel the order
with the distributer that affects the sales volume.
3. Distributer is more concern about Wholesaler rather than Retailer.
4. As per policy, both companies are not entitled to collect competitor

empty bottles from the shops but Pepsi is not adhering to it. Therefore
this hampering the business of coca-cola in the market as Pepsi is more
preferable to carry on the business in a suave manner.
5. The distributor in its area is facilitating sales by establishing monopoly

of offers and schemes that do not reach to the outlet.
6. Due to infiltration from Moon Beverages (FOBO) in Ghaziabad from

Delhi, difference in the rates for the shopkeepers has been perceived as
a major problem in the market. The disparity is being created due to
COBO and FOBO.
7. Distributor rarely keeps any interest to work and communicate with the
customer which results in of the company’s sales as well as image are
getting adversely affected.
8. It has been found that the shopkeepers has strongly responded to the
option of switching to the another brand (Pepsi) when it has been
inquired that what will they do in order to continue trading at the time
when their preferred brand is not been delivered properly
Page 49 of 59
9. The shopkeepers have nodded to the view that schemes offered to them
as per the policies of the company plays a significant role in increasing
profitability.
As per the notes taken apart from the data in the questionnaire it
has been discovered that PEPSI offers more schemes to the
shopkeepers which is vindictive for the company
Suggestions and Recommendations
Page 50 of 59
1. It is suggested that the company should embark upon improved

marketing strategies with special importance to the following
a. Sales person should be provided with all the facilities that will
help them in reaching shops that are generally inaccessible due
to factors like distance, time etc. For this purpose, the company
should enable its marketing wings in such a way that they can
facilitate communication and accessibility to penetrate into
markets devoid of sales person services. A suggestion can be
forwarded to the company if they can afford to supply carrying
vehicles (delivery vans) to the sales persons in order to extend
markets.
2. Another problem that must be taken care of is rival’s competitive edge
over company’s performance. Pepsi is going brilliantly with its
strategy of bottle collection in an unbiased way. This is actually getting
detrimental to the company’s hold of overall market share of the area.
So Coke is also suggested to stop Pepsi for collecting Coke’s bottles.
3. A major problem has been detected in the area surveyed. This problem
can be ranked in the first order as it is related to the distribution
channel itself the problem lies with the distributor who, in executing a
strange dictate, has established a monopoly in its business and not
letting several critical factors to be considered. These include pricing
policy as a primary factor where the distributor is setting the price on
its own will and taking care of its own business profitability. If Coke
does not pay attention towards the matter, not only it will affect its
market populism in an ill way, also will it pave the way for Pepsi to
capture its lost market.
4. It is necessary for the company to resist FOBO of its vandalism of
market infiltration to save the image of the company in Ghaziabad and
to maintain controlled rates as well. For this purpose, two things need
to be considered; awareness in the market about distinction between
COBO and FOBO and to set an easily understandable demarcation to
recognize the distinction. It is suggested to the company to introduce
code system which can exclusively identify both COBO and FOBO.
With it, shopkeepers should get the acknowledgement from the
company’s side about checking the products before keeping them to
their stores.
5. A strange feedback from the market has, however, paused
comprehension about Coke’s market. The survey has shown that the
practice of delay for supplying products in the market can create a
Page 51 of 59
compelling situation for the shopkeepers to change or switch over from

COKE. It is humbly recommended that, in order to win over problems
in the prospective market of Ghaziabad, Coke should always step
forward to verify and maintain its supply chain system in striking a
balance between ‘what is produce’ and ‘how much is sold’.
6. The final round of question, however, revealed that schemes and offers
will always trigger shopkeeper’s enthusiasm in selling the product.
Coke should find out a cost effective solution so that it could extend
favor to the shopkeepers in keeping beverages from the company along
with competitor’s products. A round of preliminary survey about
shopkeeper’s preferred schemes could be solicited that can excavate an
alternative that best balances both of the company’s cost factors and
shopkeeper’s selling spree as well.
Conclusion:
Page 52 of 59
Coca - Cola beverage pvt. ltd. is world’s largest beverage company and as we
know that the coca-cola company is on that stage because of its large number
of products and by giving the customer complete satisfaction regarding taste
and quality.
Now a day it’s necessary to show customer and to make believe them that
our product is better than others in the aspects which can be done in a better
way through merchandising the products.
As far as journey with the company, I grasped lots of knowledge within two
months. Because many of the company officials has assisted and given me
the valuable notes and experience of their life.
The primary objective of the my research is to analyze the horizontal
expansion strategy of Coke and at the end of the research I found that there is
requirement of changing the strategy for acquiring new customer for Coke
but company should take care of its existing customer because they are the
main instrument of promotion for any company so old customer should be
fully satisfied with the company.
Page 53 of 59
Limitations
1. The training was for shorter period of time that is why it was not
possible to carry out a detail study.
2. The sample size was limited.
3. The strategies of the company changes very frequently it is difficult to

make exact recommendation.
4. Behavior of many retailers was not co-operative.
Page 54 of 59
Bibliography
Reference:
www.coca-cola.com
www.coca-colaindia.com
Books:
Market Research (Naresh K. Malhotra)
QUESTIONNAIRE
Page 55 of 59
I am the student of Inmantec Ghaziabad undertaking a summer project on the topic “Analysis of
Horizontal Expansion Strategy of Coke in Ghaziabad District”. I would like to see your views and
opinions on the same. Could you kindly spend a few minutes helping me complete this questionnaire?
(1) What Type of Channel do you hold?
e) E&D
f) Grocery
g) Convenience
h) Other, Please specify ___________________________________________________
(2) What Type of outlet are you in?
e) Pepsi Exclusive
f) Coke Exclusive
g) Never sell cold drinks
h) Both a & b
(3) What is the chilling equipment you are using?
f) Coca cola Fridge
g) Pepsi Fridge
h) Own your Assert Fridge
i) Ice Box
j) Both (A & B).
(4) Kindly rate the level of satisfaction on Communication from the company
f) Highly satisfied
g) Quite satisfied
h) Neither satisfied nor dissatisfied
i) Quite dissatisfied
j) Highly dissatisfied
(5) If a brand which you prefer is not delivered to you properly, then what do you do?
f) Go for other brand
g) Call to distributer
h) Call to company’s sales person
Page 56 of 59
i) Stop selling that brand
j) Other actions, please specify __________________________________________.
(6) Which of the following promotions affect the sale mostly?
f) Scheme
g) Case refund
h) Price pack
i) Under Crown Scheme
j) Any Other, Please Specify ________________________________________________.
(7) While COKE does not take empty bottles of PEPSI, latter does. Is there any affect of it on sales?
d) No
e) Yes
f) Can’t Say
(8) I. Is there any effect of mega events (eg. IPL) on sale of COKE (In peak season, like Summer)?
e) Increase
f) Decrease
g) No effect
h) Can’t say
II. Is there any effect of mega events on sale of COKE (In non-peak season)?
a) Increase
b) Decrease
c) No effect
d) Can’t say
(9) I. Kindly rate the behavior of sales man (Overall year) towards:
A) Highly satisfied B) Satisfied C) Neither satisfied nor dissatisfied
D) Dissatisfied E) Highly dissatisfied
a) Delivery (timeliness) _____________________________________________________
A B C D E
Page 57 of 59
b) Communication _____________________________________________________
A B C D E
c) Visit Frequency _____________________________________________________
A B C D E
II. Kindly rate the behavior of sales man (Peak season) towards:
A) Highly satisfied B) Satisfied C) Neither satisfied nor dissatisfied
D) Dissatisfied E) Highly dissatisfied
a) Delivery (timeliness) _____________________________________________________
A B C D E
b) Communication _____________________________________________________
A B C D E
c) Visit Frequency _____________________________________________________
A B C D E
A) Satisfied C) Neither satisfied nor dissatisfied
B) Dissatisfied D) Don’t Know Distributer
d) Delivery (timeliness) ______________________________________________
A B C
e) Communication ______________________________________________
A B C
f) Involvement _______________________________________________
A B C
_____________________________________________________________________________________
PERSONAL DETAILS:
i. Name Of Outlet: _____________________________________________________________
Page 58 of 59
ii. Contact number: _________________________ iii. Age_____________________________
iii. Address:____________________________________________________________________
___________________________________________________________________________
Page 59 of 59

Analysis of Horizontal Expansion Strategy of Coca-Cola Company in Ghaziabad

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Analysis of Horizontal Expansion Strategy of Coca-Cola Company in Ghaziabad

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HINDUSTAN COCA-COLA BEVRAGES PVT.LTD.

I express my heartily respect and profound thanks to Mr. Alok Agarwal

Prof. Deepak Singh, Faculty, INMANTEC, Ghaziabad, who was in the

I hereby that I have worked on the topic “ Analysis of Horizontal

However, for this purpose of the project, information already compiled in

All information in this report is true representation oh what I have

Objectives of the study:

Plant: 5th K.M. Milestone, Masuri – Gulaothi Road, Distt. Ghaziabad

FEW WORDS ABOUT THE COMPANY

Every person who drinks a Coca-Cola enjoys a moment of refreshment and

Coca-Cola Company, nourishing the global community with the world’s

In general, The Coca-Cola Company (TCCC) and/or subsidiaries only

All India Division COBO’s are now ISO 14001

All 25 of the Divisions Company-owned bottling plants have gained the

The ISO 14001 certificate is the internationally recognized standard of

A company must demonstrate management commitment, the total

RIGHT EXECUTION DAILY (R.E.D.)

ABOUT THE R.E.D. SURVEY

• The survey has been conducted to check the cooler management,

THE SURVEY WAS BASED ON THREE TOPICS

• Secondly, I have to check the availability of the product i.e. whether

• Lastly, I have to check the activation, which is a very important

Right Execution Daily (R.E.D.) is the diversification of outlets as Channel,

PRODUCTS AND BRANDS

It was introduced in 1982 to offer an alternative to dieters worried about the

• Diet Coke (introduced in 1982), which uses aspartame, a synthetic

Thums Up is a carbonated soft drink (cola) that is very popular[citation

Sponsorship and Souvenirs

Fanta is a global brand of fruit-flavored soft drink from the Coca-Cola

popular Fanta flavor, available in 180 countries. In terms of volume, Brazil is

Billboard promoting Guarana Fanta in Guadeloupe

Maaza is a Coca-Cola fruit drink brand marketed in India and

The importance of water can never be understand. Particularly in a nation

In the company’s journey towards the vision “Leading the beverage

Georgia, which promises a great testing, consistent, hygienic and affordable

Convenience- includes outlets which are small stores, generally accessible

What is Horizontal Expansion?

Expansion of business capacity through the absorption of facilities or

This is the expansion of a firm within an industry in which it is already active

Reason Of Horizontal Expansion?

How to Do Horizontal Expansion

Shopkeeper – yes please present it

Shopkeeper- yes, but how it can increase my overall sale?

Shopkeeper – But how Coke can increase my profit?

Weight of Product Rate of QT M.R.P. Revenue(Rs Profit(Rs.)

Profit per month (in Peak season) = Rs. 4620

(Because the peak season for Coke is only of 3 months)

Profit of rest of the 9 months = Rs. 20790

Profit of whole year = Rs.34650

Your investment = Rs. 1913

Your ROI = 34650 * 100/1913

So, what you have to say about our offer?

Shopkeeper – Yes, I think it will be a nice idea to accept your offer.

Salesperson – Thank you sir and Congratulation (Shaking Hands) I will be

On some shops we set refrigerators and to keep a refrigerators we need to collect 1

Benefits of horizontal expansion:

• Provides Incremental Volume & Revenue for Business

• By horizontal expansion there will be more outlets of our product In

• Helps Improve Route Productivity

• There are pre determined routes through which product is transported

• Improves Profitability of Our Distributors Expenses on routes and

• Reduced Dependence on Large Customers, We know that coke

• Increase market visibility Selling at more outlets give more market