INTRODUCTION

The Coca-Cola Company was first

established in 1886 by Dr John Styth
Pemberton. Today, the company is
the world's leading manufacturer in
the beverage industry, operating
globally in more than 200 countries
with its head office located in
Atlanta, USA. It produces more than
300 beverage brands and over 1.06
billion drinks are consumed per day.

In India, Coca-Cola was the leading

soft-drink till 1977 when govt.
policies necessitated its departure. Coca-Cola returned to
India in 1990 and over the past nineteen years has captured
the imagination of the nation, building strong associations
with cricket, the thriving cinema industry, music etc. Coca-
Cola has been very strongly associated with cricket,
sponsoring the World Cup in 1996 and various other
tournaments, including the Coca-Cola Cup in Sharjah in the
late nineties.
1
THE MISSION STATEMENT OF THE COCO COLA
COMPANY

Our mission statement is to maximize shareowner value

over time.

In order to achieve this mission, we must create value for all

the constraints we serve, including our consumers, our
customers, our bottlers, and our communities. The Coca
Cola Company creates value by executing comprehensive
business strategy guided by six key beliefs:

1. Consumer demand drives everything we do.

2. Brand Coca Cola is the core of our business
3. We will serve consumers a broad selection of the
nonalcoholic ready-to–drink beverages they want to
drink through out the day.
4. We will be the best marketers in the world.
5. We will think and act locally.
6. We will lead as a model corporate citizen.

The ultimate objectives of our business strategy are to

increase volume, expand our share of worldwide
nonalcoholic ready to drink beverages sales, maximize
our long-term cash flows, and create economic value
added by improving economic profit.

2
The Coca Cola system has more than 16 million customers
around the world that sells or serves our products directly to
consumers. We keenly focus on enhancing value for these
customers and helping them grow their beverage businesses.
We strive to understand each customer’s business and
needs, whether that customer is a sophisticated retailer in a
developed market a kiosk owner in an emerging market.

There are nearly 6 million people in the world who are

potential consumers of our company’s product. Ultimately,
our success in achieving our mission depends on our ability
to satisfy more of their beverage consumption demands and
our ability to add value for customers. We achieve this when
we place the right products in the right markets at the right
time.

3
 COCA COLA INTERNATIONAL

HISTORY:
Coca-Cola Enterprises, established in 1986, is a young
company by the standards of the Coca-Cola system.
Yet each of its franchises has a strong heritage in the
traditions of Coca-Cola that is the foundation for this
Company.

The Coca-Cola Company traces it’s beginning to 1886,

when an Atlanta pharmacist, Dr. John Pemberton ,
began to produce Coca-Cola syrup for sale in fountain
drinks. However the bottling business began in 1899
when two Chattanooga businessmen, Benjamin F.
Thomas and Joseph B. Whitehead , secured the
exclusive rights to bottle and sell Coca-Cola for most
of the United States from The Coca-Cola Company.

The Coca-Cola bottling system continued to operate as

independent, local businesses until the early 1980s
when bottling franchises began to consolidate. In 1986,
4
The Coca-Cola Company merged some of its company-
owned operations with two large ownership groups that
were for sale, the John T. Lupton franchises and BCI
Holding Corporation's bottling holdings, to form Coca-
Cola Enterprises Inc. The Company offered its stock to
the public on November 21, 1986, at a split-adjusted
price of $5.50 a share. On an annual basis, total unit
case sales were 880,000 in 1986.

In December 1991, a merger between Coca-Cola

Enterprises and the Johnston Coca-Cola Bottling Group,
Inc. (Johnston) created a larger, stronger Company, again
helping accelerate bottler consolidation. As part of the
merger, the senior management team of Johnston assumed
responsibility for managing the Company, and began a
dramatic, successful restructuring in 1992.Unit case sales
had climbed to 1.4 billion, and total revenues were $5
billion.

5
PRODUCT LINE:

The Coca-Cola Company has a no of brands like Thums up,

Sprite, etc. But if we talk about Coca Cola as a product it
has sub products like Diet Coke, Caffeine Free Coke,
Cherry Coke Coca-Cola Zero, Vanilla Coke and special
editions with lemon and with lime, and even with coffee.
Coca Cola Company deals mainly in soft drink industry
and these are some of its major brand. It also deals in soda
and mineral water through the brand name Kinley.

6
Multi branding is the is the branding strategy used by Coca
Cola company for its different products.
Know the most recognized word on the planet after “OK”!

Among the soft drinks Fanta and Sprite become successful

along with the major brand Coca Cola and Diet Coke. In
key markets, the company has created new packaging sizes
to satisfy consumer demands.

7
STRATEGIC PLANNING:

In the year 2002, the company had a great success, as the

strategy worked which resulted in making Coca Cola
Company the world’s leading company. In 2001, company
accomplished the crust of it’s strategy as

• Worldwide volume increased by 4 percent with strong

international growth of 5 percent and clear signs that
our North American business is growing solidly and
predictable.
• Earnings per share grew by 82 percent, as we delivered
on our commitment to create volume growth while
aggressively
• Return on common equity grew from 23 percent in
2000 to 38 percent this year.
• Return on capital increased from 16 percent in 2000 to
27 percent in 2001.
• The company has generated free cash flow of $3.1
billion, up from $2.8 billion in 2000, a clear indication
of its underlying financial strength.

8
The strategy for the future of the company is very
straightforward. The marketing strategy for the year 2002
is as follows,

• Accelerate carbonated soft-drink growth, led by Coca-

Cola.
• Selectively broaden the family of beverage brands to
drive profitable growth.
• Grow system profitability and capability together with
our bottling partners.
• Serve customers with creativity and consistency to
generate growth across all channels.
• Direct investments to highest potential areas across
markets.
• Drive efficiency and cost-effectiveness everywhere

9
 .
MAJOR COMPETITOR
(PEPSI INTERNATIONAL):

HISTORY

PepsiCo is a world leader in convenient foods and

beverages, with revenues of about $27 billion and over
143,000 employees. The company consists of the snack
businesses of Frito-Lay North America and Frito-Lay
International; the beverage businesses of Pepsi-Cola North
America, Gatorade/Tropicana North America and PepsiCo
Beverages International; and Quaker Foods North America,
manufacturer and marketer of ready-to-eat cereals and other
food products. PepsiCo brands are available in nearly 200
countries and territories.
Many of PepsiCo's brand names are over 100-years-old, but
the corporation is relatively young. PepsiCo was founded in
1965 through the merger of Pepsi-Cola and Frito-Lay.
Tropicana was acquired in 1998 and PepsiCo merged with
The Quaker Oats Company, including Gatorade, in
2001.would entertain the listener with the latest musical
selections rendered by violin or piano or both. The new
name, “Pepsi Cola”, is derived from the two of the principle
ingredients, Pepsin and Kola Nuts. It was first used on the
August 28. At that time, Bradham’s advertising praises his
drink as “Exhilarating, invigorating, aids digestion”.
10
1990-2002

The advertisement of the Pepsi changes to, “You got the

right one baby, Uh-Huh!”.With the extensive usage of the
stars in the adds, the popularity of Pepsi increase. In 1992
Pepsi-Cola formed a partnership with Thomas J. Lipton Co.
Today Lipton is the biggest selling ready-to-drink tea brand
in the United States. Outside the United States, Pepsi-Cola
Company's soft drink operations include the business of
Seven-Up International. Pepsi-Cola beverages are available
in more than 190 countries and territories.
In Asia, they selected Lahore to make their regional office.
This was done in 1970. This regional office is monitoring
all the operations carried out in South West Asia. As in
India, they only entered beverage industry. They have
eleven bottlers covering whole India.

11
 COCA COLA INDIA

The Coca-Cola Company began operating in India in 1949.

All the brands of Coca Cola are available in India. The
Coca-Cola System in India operates through eight bottlers,
four of which are majority-owned by Hindustan Coca-Cola
Beverages Private Limited (HCCBPL). The HCCBPL
plants are present in almost all the states of India, The Coca-
Cola System in India serves 70,000 customers/retail outlets.
The Coca-Cola System in India employs 1,800 people.
During the last two years, The Coca-Cola System in India
has invested over $130 million (U.S.)

12
PROMISE OF COKE

The basic proposition of our business is simple, solid and

timeless. When we bring refreshment, value, joy and fun to
our stakeholders, then we successfully nurture and protect
our brands, particularly Coca-Cola. That is the key to
fulfilling our ultimate obligation to provide consistently
attractive returns to the owners of our business.

TARGET MARKET

Coke’s commercials basically based on young generations,

so, the young generation is the target market of Coke
because they want to represent Coke with the youth and
energy but they also consider about the old people they take
then as a co-target market.

MAJOR SEGMENTS
Major segments are basically those people who take this
drink daily and those areas where the demand is higher then
the other areas. There are so many people who take this
drink daily and those people who take weekly and those
who take less often are always there as well. So, their basic
segments are those people who take this drink regularly.

13
 FACTORS AFFECTING SALES

There are so many factors, which affect the sale of coke.

Here we are discussing two major factors which effects
coke.
• Per capita income
• Weather

Per Capita Income

First we will discuss about “Per capita income”. This is

major factor that affects the sale of this soft drink. Because
which every passing year budgets are becoming very strict
and tight in order to purchase things. So the disposable
incomes of the people are coming down. They spend
heavily on rents, utilities, and education and basic
necessities and after that when they get extra money they
think about this soft drink .So the decreasing per capita
income effects badly in selling and production of this soft
drink.
And to get through with this difficulty there is need to
increase the level of per capita income of India because it is
much lesser than the rest of the countries.

14
Weather

Weather is the third major factor in effecting the Coke’s

selling. This is underdeveloped market so the coke’s
consumption in summers is 60% and in winters is 40%.

THREATS FROM COMPETITORS

Threats are well planned. Price is the major threat. When

price goes certain beyond the exact price whether come
down or go higher its effects the consumption of soft drink.
Because when the prices go higher people go for the
substitute of “coke” i.e. Pepsi.
And when price goes down they think that there is must be
some thing wrong in it.
In short it all depends on customer’s perception.

15
BGG MATRIX OF COCA-COLA COMPANY

Currently, Thums Up and Maaza are the STARS of Coca

Cola Company. The market shares of Fanta and Sprite are
quite low even though they are growing at a good rate. They
are QUESTION MARKS for the company. Limca and
Kinley are the CASH COWS for the company and do not
need promotions to bulk up their sales. Coca Cola is a DOG
for the company and need to be removed out of the market
or a new strategy has to be adopted for the same.

16
TARGETS THAT THE COMPANY WOULD LIKE TO
ATTAIN

Every organization runs on the bases of profit maximization

so Coke is also looking for a high profit margin.

There are three major ways of making money

• Over night profit

• Windfall profit

Over Night Profits

They could be over night profit that is for the number 1

brand for the year. This could be got my increasing sales
volume

Windfall Profit

Can be windfall profit. They are the extras profit. When the
consumption the consumption is on boom. So, there is
different kind of profits.

Some profits stays for some time like “over night profits”
and some just come and go like “wind fall profits”. And
they can also get profit through different approaches
17
 EXPANDING TARGET MARKET

In last 2 years Coke has come back in aggressive manner.

• Attractive brand name
• Brand differentiating

Attractive Brand Name

Now the consumers know the Name of Coke, because Coke

is the name, which is the most popular after the word “ok”.
So people can better differentiate brands with each other.

Brand Differentiation

Now different companies have got different brand names.

So, people can distinguish between brands. Two major
brands “coke” and “Pepsi” also have brand names.

Coca Cola’s Brand

Coca cola is “US” brand. Because they believe in the

togetherness, being people together and friends are being
together. Coca Cola strongly believes that the Indian
temperament is “US” not “ME”

18
 MARKETING STRATEGY

Our local marketing strategy enables Coke to listen to all the

voices around the world asking for beverages that span the
entire spectrum of tastes and occasions. What people want
in a beverage is a reflection of which they are, where they
live, how they work and play, and how they relax and
recharge. Whether you're a student in the United States
enjoying a refreshing Coca-Cola, a woman in Italy taking a
tea break, a child in Peru asking for a juice drink, or a
couple in Korea buying bottled water after a run together,
we're there for you. We are determined not only to make
great drinks, but also to contribute to communities around
the world through our commitments to education, health,
wellness, and diversity. Coke strives to be a good neighbor,
consistently shaping our business decisions to improve the
quality of life in the communities in which we do business.
It's a special thing to have billions of friends around the
world, and we never forget it.

19
 MARKET POSITIONING

Product Range

The total range of Coca Cola Company in India includes:

• Coke.
• Sprite.
• Fanta.
• Diet Coke
• Maaza
• Kinley Soda
• Limca
• Minute Maid Pulpy Orange
• .Thums Up

And company offers their products in different bottle sizes

these include:

• SSRB (standers size returnable bottle)

• LRB (litter returnable bottle)
20
• NRB (no return bottle) or disposable bottle
• PET 1.5 (1.5 litter plastic bottle)
• CANS (tin pack 330 ml)

21
 PRODUCT LIFE CYCLE:

To be able to market its product properly, a firm must be

aware of the product life cycle of its product. The standard
product life cycle tends to have five phases: Development,
Introduction, Growth, Maturity and Decline. Coca-Cola is
currently in the maturity stage, which is evidenced primarily
by the fact that they have a large, loyal group of stable
customers.

Furthermore, cost management, product differentiation and

marketing have become more important as growth slows
and market share becomes the key determinant of
profitability. In foreign markets the product life cycle is in
more of a growth trend Coke's advantage in this area is
mainly due to its establishment strong branding and it is
now able to use this area of stable profitability to subsidize
the domestic "Cola Wars".
Whilst Coca-Cola manages to increase global sales through
entry into additional markets, many of its core products
have remained the same over significant periods; it has just
been their branding that has changed.

22
 MARKETING MIX- THE 4 P’S:

1. PRODUCT:
Quality:-

Water

Since water is a key component of the beverages, care is

taken that the quality of water is very good. And, since
public water quality varies around the world, each plant
further treats the water it uses. This means that before water
is added to any of the beverages; it's rigorously filtered and
cleansed. Then they continuously sample the water to ensure
it meets the standard. Apart from that the company ensures
quality by making significant investments to build and
continually consolidate its business in the country, including
new production facilities, waste water treatment plants,
distribution systems and marketing channels. Coca cola has
been rated three stars for quality and packaging.

After the pesticide matter coca cola was given a

certificate that it is safe to be consumed.
23
 Certificate is as shown below.

“Quality Is Our Highest

Business Objective”

This is the statement given by the

company.

Brand Name:-

Proved in a survey

In 'blind' taste tests, people prefer the taste of Pepsi over

the taste of Coke. However, if the test is not 'blind' and the
tasters know which beverage is which, they prefer the taste
of Coke over Pepsi! That is the emotional power of a brand.
The Coca-Cola brand has the power to actually change an
individual's taste!

Coca-cola is the no.1 brand in the world.

24
 Coca-Cola is recognized by 94% of the world’s
population. Guinness World Record ranked coca cola as the
most popular soft drink.
Coca-Cola had signed on various celebrities including
movie stars such as Karishma Kapoor, cricketers such as
Srinath, Sourav Ganguly, southern celebrities like Vijay in
the past. Today, its brand ambassadors are Aamir Khan and
Hrithik Roshan.

Logo:-

The famous Coca-Cola logo was created by John

Pemberton's bookkeeper, Frank Mason Robinson, in 1885.
It was Robinson who came up with the name, and he also
chose the logo’s distinctive cursive script. Coca cola has
two registered trade marks as shown below.

Packaging:-

As we have visited Coca Cola Company

personally we have seen that for pet
bottles it is produced on the spot when
production and packaging work is also
25
done and the bottles are not reused. The glass bottles
production unit is not at the place of production but it is
brought till there and even the used bottles are used after
cleaning it through many processes. The cans are imported
from foreign countries as it is not produced here.

The packaging of have been always very attractive

and different from others, as we can also see in the
bottles below. Even the 600 ml bottle has a
different kind of packaging.

The first shape that was registered was of the

coca cola bottle. Once the filled beverages
have passed final inspection, they are ready to
be packaged for delivery. Generally, packing
can refer to everything from the unique
"BOTTLE" and "CAN" designs, to label
designs, to cardboard boxes and containers, to
plastic rings. Because the needs and tastes of
our consumers are so diverse, packaging varies
depending on where the beverages are being sent.

26
 2. PRICE

Trade Promotion:

Coca Cola Company gives incentives to middle men or

retailers in way that they offer them free samples and free
empty bottles, by this these retailers and middle man push
their product in the market. And that’s why coca cola seen
more in the market. And they have a good sale in the market
because according to the expert which product seen more in
the market that sells more.
“Seen as sold”

They do agreements with a shop keepers and stores to

exclusive sale in those stores. These stores are called as
KEY accounts in their local language.
And coke also invest heavy budget on these stores and
offers them free samples and free bottles and some time
cash incentives.

Different Price in Different Seasons

Some times Coca Cola Company changes their product

prices according to the season. Summer is supposed to be a
good season for beverage industry in India.
So in winter they reduce their prices to maintain their sales
and profit. But normally they reduce the prices of their pet
bottles or 1 litter glass bottle.

27
 3. PLACE
Coca-Cola is distributed to more than 200 countries, with
more than 450 brands consisting of 2800 beverage products.
Each of these products is packaged and formulated to meet the
consumer needs and preferences of its region or country.
Coca-cola produces the product, but relies on its
Distribution channel to get the product to the consumer, by
working with bottling companies and retailers. Coca-cola
does not have control over the entire distribution channel,
but has strong governing principles for all of its suppliers to
ensure they adhere to Coca-Colas guidelines

28
 4. PROMOTION

SALES PROMOTION ACTIVITIES

Coca-Cola Cricket

Cricket the most sought after; watched & played game in

India. Coca-Cola signed a sponsorship agreement with eight
of India’s National cricket players. Coca-Cola realizing the
fact that cricket is a very strong element by which it can
reach it consumers & masses invested in the opportunity
and launched a massive campaign on mass media showing
all these cricket stars endorsing & complimenting Coca-
Cola brand. The Coca-Cola Company developed three TV
commercials & four testimonial ads with the player & ran
them on the national net work during various cricket
matches. These bold steps taken by the Coca-Cola
marketing unit acclaimed them many acknowledgements
across the board. This campaign helped Coca-Cola to
establish its association with the game & the player.

Coca-Cola Food Mela

With a splash of food, fun & prizes to be won, the Coca-

Cola food mela treated the people of Delhi, to a festive food
festival comprising of 50 restaurants, spread out all over the
29
bustling city’s map. The promotion saw the avid families &
friends enjoying the delicacies at the restaurants; all
resiliently upholding the Coca-Cola identity.
Coca-Cola Party in a Park

In June 2000, Coca-Cola created an experiential musical

evening in Mumbai, where various musicians performed.
This program was recorded and one-hour program shown in
the national TV for free.10 million households saw Coca-
Cola ‘Party in a Park’ while 10 thousand people attended
the event.

Coca-Cola Shopping Festival

Coca-Cola hosted “The Coca-Cola Shopping Festival”;

Delhi’s first shopping festival, a resounding success with
tempting discounts, live music, great prizes & fire works.
Liberty marketing was a hive of activities during the
weeklong shopping extravaganza. The in augural event
proved so popular that it is now set to become an annual
fixture.

Coca-Cola Pet Promotion

In 1996, Coca-Cola launched 1.5 liter Pet contour bottle for

the first time in India. Targeting house wives & family
home, Coca-Cola’s 1.5 liter Pet bottle, took the limelight &
gained momentum with a campaign promoting the unique
packaging and its numerous consumer benefits .A treat for
30
the family, Coca-Cola’s PET was offered through a “price-
off” promotion that said……….Go out & get some

Coca-Cola Wonder of the World Promotion

In July 2000, Coca-Cola set the stage of the grand UTC

promotion. Coca-Cola went ahead with the idea of giving
consumer chances to win fabulous, magical “dream
vacation” to numerous “wonder destination” throughout the
world on every purchase of a 250 ml RGB bottle of Coca-
Cola, Sprite, & Fanta. The promotion gave consumers a
chance to win free drink, a trip to PARIS, HOLLYWOOD,
NEWYORK, SINGAPORE & CAIRO along with airfare &
four nights free stay in these dream lands. The promotion
saw avid consumer collecting Coca-Cola ‘Crown caps’ &
sparked a keen response from the public , rendering an
outstanding testimonial campaign in the second phase,
highlighting the winners over whelmed in the magical
delight of their favorite beverage Coca-Cola.

Coca-Cola & Nokia

In August 2001, the new under-the-crown promotion “Nikla

Kya?”(What have u won) was launched in collaboration
with Nokia.The promotion gave consumer a chance to win
thousand’s of Coca-Cola branded Nokia 3310 cellular
phones on every purchase of 750ml RGB bottle of Coca-
Cola ,Sprite, & Fanta.The other highlight of promotion was
31
the “Caught Red Handed” campaign. Branded Coca-Cola
with ‘caught red handed’ team in them went to Delhi,
Mumbai Kolkata and Bangalore for three days, with target
that anyone being caught drinking Coca-Cola will be
awarded a nokia 3310 mobile phone & if someone is caught
talking on a nokia mobile will win free supply of Coca-
Cola. Caught red handed become a huge success among the
masses as it was one to one interaction between the Coca-
Cola brand & the consumers. This activity helped billed
confidence and brand loyalty among core consumers.

Coca-Cola & Mc Donald’s

Coca-Cola & key account of MC Donald’s launched the

“we go together” joint promotion to reinstate amongst
consumers a real sense of the affinity that, both shares
globally. The promotion kicked off with pos material
(Danglers, Bunting etc) displayed at all MC Donald’s
restaurants along with a special offer for coke & fries.

Diet Coke

After the acquisition of the individual local franchise

bottling facilities in 1996, the company successfully
launched its first new product, diet coke, for the first time in
almost 3 years.

32
Advertisement

Advertising The Coca-Cola Company uses advertising as its

main source of increasing consumer awareness. It mainly
uses television for advertisement. There are many television
advertisements on Coca-Cola products. This source allows
the company's products to reach a large audience. The latest
television advertisement for Coca-Cola soft drinks was
Aamir khans ` hum same same' advertisement. One of the
older one are `thanda matlab coca cola' & ‘Manu bhabhi’.
The company also uses the radio as another source of
advertisement. This is a cheaper source of approach
compared to the television. But in television the insertion
time per capita is very low compared to radio. The business
had substantial advertising and promotions of the company's
brands. The Coca-Cola Company when advertising has a
primary target market of those who are of age 13-24, and a
secondary market of age 10-39. These are some of the TV
commercials of coca cola.

33
Radio advertisement

Other from this it also advertises on radio for e.g. “thanda

matlab coca cola”, “life ho toh aisi” and many other.
For radio advertisement they mainly use the proverbs only.

Print advertisement

If we talk about print ads there are hoardings of coke. Some

of the hoardings are as shown below:-

34
These are some of the hoardings of vanilla coke a product of
coke.

SWOT
(Strength, Weakness, Opportunities, Threats)
Analysis

STRENGHT:

1. STRONG BRAND NAME The world's most valuable

brand. Its brand value at $70.45. It is the most
recognizable word across the world after Ok is Coke.
Extremely recognizable branding is one of Coca-Cola’s
35
 greatest strengths. Coca-Cola’s brand name is known
well throughout by 90% of the world today.

2. CORPOARATE IDENTITY it has a very strong

corporate identity as it is very recognized company in
all the parts of the world and it is in existence since
1880’s.

3. GLOBAL DISTRIBUTION coca cola is available in

each and every part of the world as it is operating
globally in more than 200 countries with its head office
located in Atlanta, USA and daily more than 1.06
billion dollar are consumed around the world.

4. ADVERTISEMENT of coke is very attractive and they

use big stars like Aamir Khan, Aishwarya Rai &
Hrithik Roshan in it.

5. INNOVATION it always launches innovative products

like diet coke, vanilla coke and many other.

6. LOCAL APPROACH it conducts business on a global

scale while at the same time maintain a local approach
which is purely visible from its advertisement.

7. STRONG R&D coke has a very strong R&D.

8. BACKWARD INTEGRATION is one of its biggest

strength as it has wholly company owned bottling
36
 operations and that’s why it also has a chance to work
on is price. Also according to Bettman Coca-Cola’s
bottling system is one of their greatest strengths.

9. “THANDA MATLAB COCA COLA” campaign

worked really well in India.

10. BRAND LOYALTY Coca cola enjoys the brand

loyalty from the customers

11. FINANCIAL STABILTY is their in company as it

is a very old and prestigious brand.

WEAKNESS:

1. NOT NO. 1 IN INDIA... In every part of the world

coke is at the first position in terms of sales leaving its
competitors far behind. But in India it is at the third
position behind its biggest competitor Pepsi at first
place and coke owned company ThumsUp at the second
place.

2. MARKET SHARE its market share in India as a

product is very less as compared to others.

3. UNDER UTILIZATION OF CAPACITY is one of its

weakness
37
 4. SALES IN INDIA its sale in India is 6 bottles per
capita per year which is very low compared to other
western countries like Mexico which has a total sale of
533 bottles per person per annum.

5. PESTICIDE SCANDAL in India decreased its sale and

created a doubt in minds of people about pesticide.

OPPORTUNITIES:

1. POSSIBLE GROWING DEMAND in a country like

India the per capita consumption of coca cola per year
is the lowest in the world that is only 6 per person.

2. DEVLOPING A GLOBAL BRAND

3. COCA COLA’S BOTTLING SYSTEM also allows the

company to take advantage. It can work on its price.
Most of the bottling companies are under the control of
coke which gives that much of flexibility for its
modulations in the pricing strategy which cannot be
exercised by the rival cola giant pepsico because it does
not own its own bottling companies hence it does not
38
 enjoy that much of flexibility in modulating the pricing
strategy of PepsiCo.

4. SUFFICIENT CAPITAL gives it significant growth

opportunities.

5. HAS A POTENTIAL to innovate and differentiate the

company's products to sustain a competitive advantage

6. EXPANSION INTO NEW MARKET other than soft

drink market. As coke is enjoying so good brand name,
then if they enter in any other industry with same brand
name it can also succeed in that industry.

7. MERGE with other global business is another option in

front of them to expand their business.

THREATS:

1. COMPETITION PEPSI its competition from Pepsi is a

big threat to the company as the market share of Pepsi
is more than coke in India

2. Coca-Cola can be SUBSTITUTED by other soft drink

products made by its competitors.

39
 3. The soft drink industry is very strong, but consumers
are NOT NECESSARILY MARRIED to it. Possible
substitutes that continuously put pressure on both Pepsi
and Coke include tea, coffee, juices, milk, and hot
chocolate.

4. PESTICIDE MATTER after the pesticide matter the

sales of coke felled tremendously and it happened twice
and company has to get a permanent solution to it.

5. Other threat which the companies possess is of

CHANGE OF TASTE of their consumers.

CONCLUSION OF SWOT ANALYSIS:

After thorough research, we come to the conclusion that the

marketing strategy of Coca Cola is working for them and
the product is gaining popularity among youth day by day.

RECOMMENDATIONS:

40
After completing our project we have concluded some
recommendation for the coca cola company, which are
following.

• Coca Cola Company should try to emphasis more on

providing their infrastructure in the market to facilitate
their customers.
• According to the survey, conducted by the international
firm India people like little bit sweeter cola drink. So
for this coca cola company should produce their
product according to the local demand.
• Marketing team should try to increase the availability of
Coke in rural areas.
• They should also focus the old people.
• Now young generation has a trend to drink a coke 2
regular bottles at same time, so providing more
satisfaction to them company should introduce ½ liter
disposable bottle.

41
42
 PEST ANALYSIS OF COCA-COLA:

There are four variables, which we will discuss in our

report, they are:

POLITICAL VARIABLES

Political Strongly Some No Some Strongly

variables Effected what Effect what Effected
++ Effected + − Effected −−
+ −
Effects of NE
government
regulations &
deregulations
Effect of YES
environmenta
l protection
laws if any
Import and NE
export
regulations
Effect of NE
political
conditions in
certain
countries of
Coke
43
Conclusion of Political Analysis:

As far as the above table is concerned it could be seen that

there are very little chances of “political variables” to effect
the coke’s production and selling behavior.
In the “political variables” most of the things are related to
Governmental activities. So, they don’t leave any good or
bad impact in the Industry of coke.

And there are some exceptional things like: “environmental

protection laws” they some what effect the industry of
Coke. From last two years Government is going to be really
very much conscious about the environment. But after
making the adjustments in plants and applying the proper
way of wastage the chances of being affected by the
“protection laws” are going to be diminished. So it impact
good for the Coke’s reputation. And the second thing in
political variables which effects Coke is “elections”
Because in the days of elections, a country’s production in
any field is declined. So it affects slightly the revolution of
Coke.

So “political conditions” are over all leave neutral effects

on coke’s industry.

44
 ECONOMICAL VARIABLES

Economical Strongly Some No Some Strongly

Variables Effected what Effect what Effected
++ Effected + − Effected −−
+ −
Do soaring YES
interest rates
make business
task any
harder
Any effect due YES
to inflation
Anything done YES
to reduce
unemployment
Any effect of NE
11th September
2001, incident
at Coke in
India

45
Conclusion of Economical Analysis
It could be seen that “economical variables” highly affects
the Coke’s resolution. Economic factors are those actors
who effect the production of any industry. So, Coke is not
the out of question. If the economic conditions of the
country is not that strong and Coke increases its Price in this
situation. Then it would impact highly negative. And
inflation is also not a good position for any country’s
production point of view. It also impacts highly negative in
the Coke’s production.

And as a country concerned like “India” where the

unemployment rate is very much high. The Coca-Cola
system in India employs 1,800 people. During the last 2
years, the Coca-Cola system in India has involved over
$130 million (U.S).
When we draw the conclusion of “economic variables”.
Then we come to know that if economic variables are in the
favorable position of country then they impact good other
wise the impact highly bad.

46
 SOCIAL VARIABLES

Social Strongly Some No Some Strongly

variables Effected what Effect what Effected
++ Effected + − Effected −−
+ −
Effects of YES
advertisement
of Coke on
Public
popularity
How will do YES
Coke’s
contribution
affect charity
organizations
of India
Has rising YES
consciousnes
s of natural
resources in
people
effected your
“save
environment
activities.

47
Conclusion of social analysis:

EDUCATION

The Coca-Cola Company has always believed that

education is a powerful force in improving the quality of life
and creating opportunity for people and their families
around the world.
The Coca-Cola Company is committed to helping people
make their dreams come true. All over the world, we are
involved in innovative programs that give hard-working,
Knowledge-hungry students books, supplies, places to study
and scholarships. From youth in Brazil to first generation
scholars, educational programs in local communities are our
priority.

ENVIRONMENT

A large part or our relationship with the world around us is

our relationship with the physical world. While we have
always sought to be sensitive to the environment, we must
use our significant resources and capabilities to provide
active leadership on environmental issues, particularly those
relevant to our business. We want the world we share to be
clean and beautiful. We are always innovating to bring you
different delicious beverages. This same spirit of innovation
comes alive in our environment programs. We’re committed
to preserving our environment, from use of more than $ 2

48
billion (U.S) a year in recycling content and suppliers, and
environment

Management initiatives, down to very local neighborhood

collection and beautification efforts. Here’s a sample of
what we’re doing in different communities around the world
regarding the conservation of water and natural resources,
climate changes, waste environment education.
The Coca-Cola system in India operates through eight
bottlers. Four of which are majority-owned by Hindustan
Coca-Cola Beverages Private Limited (HCCBPL).

49
 TECHNOLOGICAL VARIABLES

Technological Strongly Some No Some Strongly

variables Effected what Effect what Effected
++ Effected + − Effected −−
+ −
Have business YES
innovations
effectively
promoted your
business
Has the YES
government’s
regulations
ever hindered
in importing
technical
equipment
Does Coke YES
help in
promoting
paperless
environment

Conclusion of Technological Analysis

50
Of course business innovation leaves highly good impacts in
the business of Coke. As coke use more advance technology
in its production process. It will resulted in increment of
their production through out the country.

As far as the “governmental hindrances” are concerned the

impacts highly bad on coke’s production. Ever year when
budget in announced government taxes rates always shoot
up. This approach of government decreases the profit
margin of Coke.

As the coke helping in promoting “paperless

environment” .it impacts good, because computers are the
basic need of any person now a days. And though it’s a big
industry so it is promoting the trend of paperless
environment. And it is giving the way of other industries to
come to new technologies and into a new world of business.
Through computers coke can increase the efficiency of its
business and can have up –to-date data about their
productions.

51
OVER ALL RESULTS OF PEST ANANYSIS

After our studies and analysis of HCCBPL (Hindustan

Coca-Cola Beverages Private Limited), we came up with the
very interesting report of facts and figures. Coca-Cola is no
doubt one of the most popular beverage companies. They
spend billion of dollars on their advertisement, promotions
and recreational campaign.

Coca-Cola is a close competitor of Pepsi and it certainly

gives its rival a tough time. Coca-Cola is a 27% shareholder
in the India market and they don’t want to stop here!! Its
target market is to achieve a much higher %age. Coca-Cola
has about 2000 employees at Indian plants. Wada plant of
Coca-Cola is one of the biggest plants in Asia,
Coca-Cola has always had a close consumer and supplier
relationship with its customers. Its entertaining and colorful
advertisements have always and will always rock the media.
Indian rock stars, sportsmen and actors have played a very
vital role in making Coca-Cola such a popular beverage.

52
 CONCLUSION:

Coca-Cola no doubt come the heart beat of India. Coca-Cola

is one of the leaders in sponsoring the most important,
thrilling events. E.g. Cricket matches concerts and many
other social occasions.

So…

“ Jo chaho ho jaye coca-cola enjoy ”

53