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WINTER RESEARCH PROJECT REPORT ON Comparative analysis of market share of Pepsi &Coke

For the partial fulfillment of the requirement of Master of Business Administration (MBA- 2008- 2010)

Submitted To: Dr: Krishna Gopal Chaubey (H.O.D)

Submitted By: Anjani Yadav Roll No: - 0844070004

Naraina Vidya Peeth Management Institute Gangaganj, Panki, Kanpur- 208020


Date: ..

To Whom It May Concern

This is to certify that Mr. Amit Kumar student of MBA course (2010 -211) at Naraina Vidya Peeth management Institute with dual specialization in Finance & the summer research Marketing has satisfactorily completed report on study on customer

satisfaction with special reference of j.k white cement

This study is done under the guidance of the undersigned by partial fulfillment for the award of MBA. I wish him/her all the best for bright future ahead.

Supervisor Director

Head of Department


I am honored to express my gratitude to all the people who were always a great help to me in achieving this milestone. I could have never completed this task without valuable contributions from my teachers and faculty. I express my heart full ineptness and owe a deep sense of gratitude to all of them including my guides I am extremely thankful to Dr: Krishna Gopal Chaubey (H.O.D) for his valuable guidance throughout this project. Above all I extend my sincere thanks to all my colleagues and friends without whom it was never possible to complete this assignment. .



Marketing is too important to be left to the marketing department .David Packard of Hewlett Packed. The Indian market is getting to be

consumer-led. This is the reason behind the unprecedented boom in advertising. Below the line marketing activities, fast distribution system and more sophisticated consumer research. On the media front, satellite proliferation has trigged of a new genre of media research, which is highly viewer ship based. Consumer satisfaction has become research worthily Multinationals are pouring in precisely because of this new chapter in Indian consumerism.

The dilemma that all marketers are facing is getting the maximum done in the minimum possible time. And with brand loyalty becoming a thing of the past, given the choice available to the consumer pull. The consumer could be a purchaser of end products, or financial investor, or even an industrial purchaser. Everywhere, there is a new thrust on marketing and advertising. The hyper activity in the market place is seeing a boom in support services, with a number of independent agencies mushrooming to provide them. Co-related to the market book, services are well on their becoming a major industry. The creative leap is increasingly being governed by market realities and consumer research. And Clint interface is no longer limited to the Clint service people, but including all specialists in agencies.

The entry multinational products in to the country are seeing more mphasis aid orld- class quality. This along with the loosening of regulations is seeing3export gaining ground. From thinking along the lines of merely exporting spares and raw material the exporters and now looking towards finished products. A multiplier to this are the joint venture companies looking at becoming export manufacturing bases. The scene has moved beyond the threshold of global presence, inward and out ward. However, there are certain issue still dogging an unhindered move forward something bound to happen when the economy is just opening up. These need to be addressed. Nonetheless, India has taken the irrevocable step

forward in becoming a part of the global family. And in the process of growth, there are already and will be in future, quantum jumps in progress.



I do hereby declare that this project entitled with Comparative analysis of market share of Pepsi &Coke in Kanpur Area is my own and original work. This is for fulfilling the requirement of Master of Business Administration as a winter training project. It has never been submitted nor been published else where.



Sl. Number Number From



to Institutes Acknowledgement Preface 1. About the topic Objective of the study Methods employed Significance of the study certificate 4 5 Introduction 7 8 9 10 11-19 20-48 49-62 63-68 69-78 79-80 81-81 82-82 83-83 84-84 Questionnaires 2. 3. Final statement of the company 87 85-86 Sample information

2. 3. 4. 5. 6. 7. 8. 9. 10. 11.

Industry Profile Company Profile Financial analysis of the company Data analysis Interpretation of data Findings Conclusion Suggestion Limitation of the study Appendices 1.




THE battle over market shares between the two cola majors has taken a fresh turn. Coca-Cola India (CCI) has issued a statement announcing 23 per cent growth in carbonated soft drinks (CSDs), claiming leadership in four of the top five soft drink brands in the country. The communiqu also announced that the company's CSD sales volume for the year ended December 31, 2002 was 61 per cent, up from 57 per cent in the calendar year 2001. The statement also said that during the year, Kinley became the leading water brand with 37 per cent market share, and that by the end of the year, the company's network of retailers had topped the one-million mark. In a written statement, CCI's Division President, Mr Alex von Behr, said, "Our company has got connected with consumers through a number of fresh measures taken during the year. Rural initiatives for CSDs, driving affordability through lower price points and strengthening distribution to make products available in new markets have proved to be a great success, expanding the consumer base. The Coke brand has the highest brand preference amongst CSDs, while Thums Up is poised to become the largest CSD in the country.'' On investments, Mr von Behr's statement said, "We are investing over $100 million in our operations in India during the current year.'' Meanwhile, a Pepsi India release stated Brand Pepsi as being the largest soft drink brand in India. "Brand Pepsi ended the year 2002 with 24 per cent share of the overall soft drinks market in the country. Overall, PepsiCo brands ended with 47.6 per cent share of the domestic soft drinks market.''


To find out the market plan of the company over the competitors. To analyze the market share of COKE. To study the consumer preference about COKE. To study the effect of Advertisement on the buying decision of the Consumer.


Research methodology is a methodology for collecting all sorts of information & data pertaining to the subject in question. The objective is to examine all the issues involved & conduct situational analysis. The methodology includes the overall research design, sampling procedure & fieldwork done & finally the analysis procedure. The methodology used in the study consistent of sample survey using both primary & secondary data. The primary data has been collected with the help of questionnaire as well as personal observation book, magazine;

Journals have been referred for secondary data. The questionnaire has been drafted & presented by the researcher himself. Sample Size:

Sample of 200 people was taken into study, and their data was collected

Sampling Technique:

To study the Project, a Simple Random Sampling technique is used.

Data Collection:

Collection of data is done by Secondary Data & through Questionnaire i.e., Primary data was collected through Questionnaire.


The geographical scope of the study is restricted to Kanpur only with sample size

of 100people. All the analysis and suggestions are based on the analysis of the both primary and secondary data. Therefore the scope of the study revolves around the following aspects:-

Consumer perception towards the use of pepsi&coke Consumer awareness about of pepsi&coke and its use. .


In the modern urban culture consumption of soft drinks particularly among younger generation has become very popular. Soft drinks in various flavors and tastes are widely patronized by urbane population at various occasions like dinner parties, marriages, social get together, birthday calibration etc children of all ages and groups are especially attracted by the mere mention of the word soft drinks.

With the growing popularity of soft drinks, the technology of its production, preservation, transportation and or marketing in the recent years has witnessed phenomenal changes. The so-called competition for this product in the market is from different other brands. Mass media, particularly the emergence of television, has contribute to a large extent of the ever growing demand for soft drinks the attractive jingles and sport make the large audience remember this product at all times. It is expected that with the sort of mass advertising, reaching almost the entire country and offering various varieties annual demand for the products expected to rise sharply in the times to come.

9In any marketing situation, the behavioral / environmental variables relating to consumers, competition and environment are constantly influx. The competitors in a given industry may be making many tactical maneuvers in market all the time. The may introduce or initiate an aggressive promotion campaign or announce a price reduction. The marketing man of the firm haste meet all these maneuver and care of competitive position of his firm and his brand in the market. The only route open to him for achieving this is the manipulation of his marketing tactics. In todays highly competitive

market place, three players have dominated the industry; The New York based Pepsi Company Inc. The Atlanta based coca- cola and U.K. based Cadbury Schweppes. Through the globe, these major players have been battling it out for a bigger chunk of the ever growing soft drink market. Now this battle has been evolved up to India too with the arrival of these three giants. Soft drink industry is on amazing growth; ultimately these are only one-person who will determine their fortunes. The Indian consumer. The rearward to quench his thirst has just begun.10


It all began in 1886, when a tree legged brass kettle in Hohn StythPalmertons backyard in Atlanta was brewing the first P of marketing legged. Unaware the pharmacist has given birth to a caramel colored syrup, which is now the chief ingredient of the worlds favorite drink. The syrup combinedWith carbonated the soft drink market. It is estimated that this drink is served more than one thousand million times in a day.Equally oblivious to the historic value of his actions was Frank Ix.Robinson, his partner and bookkeeper. Pemberton & Robinson laid the first foundation of this beverage when an average nine drinks per day to begin with, upping volumes as sales grew. In 1894, this beverage got into bottle, courtesy a candy merchant fromMississippi. By the 1950s Colas was a daily consumption item, stored in-house hold fridges. Soon were born other non- cola variants of this product like orange & Lemon.Now, the soft drink industry has been dominated by three major player

(1)The New York based Pepsi co. Inc. (2) The Atlanta based coca cola co. (3)The United Kingdom based Cadbury Schweppes.

Though out the glove these major players have been battling it. Out for a bigger chunk of the ever-growing cold drink market. Now this battle has begun in India too. India is now the part of cold drink war. Gone are days of Ramesh Chauhan, Indias one time cola king and his bouts of pistol shooting. Expect now to hear the boon of cannons when the Coca Cola &11Pepsi co. battle it out for, as the Jordon goes a bigger share of throat. By buying over local competition, the two American Cola giants have cleared up the arena and are packing all their power behind building the Indian

franchisee of their globe girdling brands. The huge amount invested in fracture has never been seen before. Both players seen an enormous potential in his country where swigging a carbonated beverage is still considered a treat, virtually a luxury. Consequently, by world standards Indias per capita consumption of cold drinks as going by survey results is rock bottom, less than over Neighbors Pakistan & Bangladesh, where it is four times as much. Behind the hype, in an effort invisible to consumer Pepsi pumps in Rs 3000 Corers (1994) to add muscle to its infrastructure in bottling and distribution. This is apart from money that companys franchised bottles spend in upgrading their plants all this has contributed to substantial gains in the market. In colas, Pepsi is already market leader and in certain cities like Banaras, Pepsi outlets are on one side & all the other colas put together on the other. While coke executive scruff at Pepsis claims as well as targets, industry observers are of the view that Pepsi has definitely stolen a march over its competitor coke. Apart from numbers, Pepsi has made qualitative gains. The foremost is its image. This image turnaround is no small achievements, considering that since it was established in 1989, taking the hardship route prior to liberalization and weighed down by export commitments. Now, at present as there are three major players coke, Pepsi and Cadbury and there is stiff competition between first two, both Pepsi and coke have started, sponsoring local events and staging frequent consumer promotion campaigns. As the mega event of this century has started, and the marketers12are using this event world cup football, cricket events and many more Other events. Like Pepsi, coke is picking up equity in its bottles to guarantee their financial support; one side coke is trying to increase its popularity through.

Eat Food, enjoy Food. Drink only coca cola. Eat cricket, sleep cricket. Drink only coca cola. Eat movies, sleep movies. Drink only coca cola.

On the other side of coin Pepsi has introduced AMITABH BACHHAN for capturing the lemon market through MIRINDA Lemon with zor kajhatka dhere se lage. But no doubt that UK based Cadbury is also recognizing its presence. So there is a real crush in the soft drink market. with launch of the carbonated organize drink Crush, few year ago in Banaras ., the first in a series of a launches , Cadbury Schweppes beverage India (CSBI)


The world third largest soft drink marketers all over the country. CSBI wholly owned subsidiary of the London based $ 6.52billion. CadburySchweppes is hoping that crush is going well and well not suffer the same fate as the Rs. 175 crore Cadbury Indias apple drink Paella. CSBI is now with orange (crush), and Schweppes soda in the market.As orange drinks are the smallest of non-cola categories that is Rs. 1100crore market with 10% market share and cola heaving 50% is followed by Lemon segment with 25%.13The success of soft drink industry depends upon 4 major factors viz.

Availability Visibility Cooling Range


Availability means the presence of a particular brand at any outlet. If a product is now available at any outlet and the competitor brand isAvailable, the consumer will go for the at because generally the Consumption of any soft drink is an impulse decision and not predetermined one.


Visibility is the presence felt, if any outlet has a particular brand of soft drink sayPepsi cola and this brand is not displayed in the outlet, then its availability is of no use. The soft drink must be shown off properly and attractively so as to catch the attention of the consumer immediately Pepsi achieves visibility by providing glow signboards, hoarding, calendars recto the outlets. It also includes various stands to display Pepsi and other flavors of the company.


As the soft drinks are consumed chilled so cooling them plays a vital role in boosting up the sales. The brand, which is available chilled, gets more sale then the one which is not, even if it is more preferred one.


This is the last but not the least factor, which affects the sale of the Products of a particular company. Range availability means the availability of all flavors in all sizes.


Keeping in view of tapping the Indian soft drink market and also developing soft drinks as a drinking product among Indians. The Coca-Cola in India has setup an independent organizations which is H.C.C & B.C.C with a capital of 350 U.S.$ each by virtue of sellout decision of the passed managing director Sh. S. C. Agawam.

Hindustan Coca-Cola bottling (N-W) Pvt. Ltd. Naziabad took the complete possession of this plant, land, machinery, & intellectuals on February 14 1998 and since then H.C.C, looking after all its affairs under company owned bottling plant to establish integrated marketing system in the area.


Coca-Cola: Developed in a brass pot in 1886, coca-cola is the most Recognized and admired trademark around the globe. Not to mention the best selling soft drink in the world.

Sprite: In 1961, a citrus-flavored drink made its U.S debut, using Sprite Boy as inspiration for its name. This elf with silver hair and a big smile was used in 1940s advertising for Coca-Cola. Sprite is now the fastest growing major soft drink in U.S and the worlds most popular lemon-lime soft drink.

Fanta : The name fanta was first registered as a trademark in Germany in 1941 ,when it was used for a few year for a soft drink created from available materials and flavors . The name was then revived in 1955 in Nepal, Italy, when it was used for the: fanta orange drink we know today. It is now the trademark name for a line of flavored drinks around the world.

Diet coke: The extension of the coca-cola name began in 1982 with the introduction of diet coke (also called coca-cola light in some countries). Diet coke quickly becomes the number one selling low calorie soft drink in the world.


GOLD SPOT: this orange carbonate soft drink was introduce in the early 1950c, and acquired by the coca-cola company in 1993, its tangy taste has been popular with Indian teenagers

LIMCA: It is thirst-quenching beverage features a fresh and light lemon-lime taste and lighthearted attitude. The limca brand was introduced in 1971 and acquired by the coca-cola company in 1993.

MAAZA: Maaza, launched in 1984 and acquired by the coca-cola company in 1993, is a non carbonated mango soft drink with a rich, juice & natural mango taste.

THUMPS UP: in 1993, the coca-cola company acquired this brand, which was originally introduced in 1977. Its strong and fizzy taste makes it unique carbonated Indian cola.


1936 - Its The Refreshing Thing to Do. 1942 - Its The Real Thing. 1943 - Global High Sign. 1959 - Be Really Refreshed. 1962 - Thing Go Better With Coke. 1969 - Its the Real Thing. 1970 - I`D Like To Buy The World A Coke. 1976 - Coke Add Life. 1982 - Coke Is It. 1986 - Catch The Wave. 20 1989 - You Cant Beat the Feeling. 1993 - Always Coca-Cola

1998 - Eat Music, Sleep Music, and Drink Only Coca-Cola. 1999 - Jo Chaho Ho Jaye Coca-Cola Enjoy. 2000 - I Want Hritik And I Want Coke. 2002 - Thanda Matlab Coca-Cola 2003 - Jiyo Thanda Piyo Thanda.


1. The worlds largest spherical coca-cola sign is in Nagoya, Japan atop the dial Nagoya building in front of the Nagoya railway station. The sing is a double sphere constructed from more then 46 tone of Steel, more 940meter of neon tubing, and more then, 879 light bulbs. The outer shape features the coca-

cola logo and contour bottle, while the inner sphere portrays a comic scene with twinkling planets and Stars. 2. One of the worlds largest signs for coca-cola is located on a hill Called ELHACHA in America, Chile. It is 400 feet wide and 131Feet high and is made from 70,000, 26 ounce bottles. 3. The first out door paint sign advertising coca-cola still exists. It was painted in 1894 in Cartersville, Georgia. 4. Coca-cola is one of the worlds most recognizable trademarks Recognized in countries that account for 98 percent of the worlds Population. 5. If all the coca-cola ever produced were in 8- ounce bottles. And these bottles were distributed to each person in the world. There would be 678 bottles or over 42 gallons for each person. 6. If all the coca-cola ever produced were in 8 ounce bottles, placed side by side and end to end to from a lane highway, it would wraparound the earth 82 times. 7. If all the coca-cola ever produced were flowing over Niagara fall at its normal rate of 105 million gallons per second instead of water, the falls would flow for about a day and a half 38 hours and 46minutes. 8. the largest representation of the worlds best known package 100foot tall glass contour bottle is located at world of coca-cola, LAS VEGAS


Jon Smyth Pemberton first introduced the refreshing taste of Coca-Cola in Atlanta, Georgia it was May 1861 when the pharmacist concocted a caramel colored syrup in threelegged brass kettle in his backyard. He first distributed the new product by carrying Coca-Cola in a jug crown enjoys in a glass of CocaCola at the soda fountain. Whether by design or accident, carbonated water was teamed with the new syrup, producing a drink that was proclaimed Delicious and Refreshing.

Dr. Pembertons Partner and bookkeeper, Mr. Frank Robinson, suggested the name and penned as Coca-Cola in the unique flowing script that is still famous worldwide today.

Dr. Pembertons sold 25 gallons of syrup, shipped in bright Red wooden kegs. Red has been a distinctive color associated with the No.1 soft drink brand ever since. For his efforts, Dr. Pemberton grossed $ 50 and spent $ 73.96 on advertising, by 1891, Atlanta chemist as a G.Canler had acquired complete ownership of the Coca-Cola business. He purchases it from the Dr.Pemberton family for $ 2300. With in 4 year his merchandising flair helped to expand the consumption of Coca-Cola to over $25 million. Robert W. woodruff become the president of the Coca-Cola company in 1923 and his more than six decades of leadership took the business of commercial success making Coca-Cola an institution the world over. Coca-Cola begins as a never tonic, but candy merchant Joseph A. Biedenharn of Mississippi was looking for awry to serve refreshing

beverages. He responded to this demand began offering bottle Coca-Cola using syrup shipped from Atlanta, during a hot summer in


The coca-cola company reintroduced coca-cola in India on October23, 1993, after an absence of 16 years. The coca-cola company received approval from the government in July 1996 to set up a holding company to invest US $ 700 million in downstream operation of beverages, In July 1997 the holding company was permitted by the government to operationally its bottling subsidiaries. The bottling subsidiary currently owns and operates twenty-six bottling plants and sixty distribution centers across India. In addition, it uses 20 contract packers to augment its production capacity and cater to the increasing demand for its wide portfolio of beverage.


The coca-cola company exists to benefits and refreshes every one it touches. 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 brand, particularly coca-cola. That is the key to fulfilling our ultimate obligation to provide consistently attractive to the owner so four business. More then a billion times every day, thirsty people around the world reach for coca-cola products for refreshment. They deserve the highest Quality every time. Our promise to deliver that quality is the most important promise we make. And it involves a world-wide, yet distinctively local, network of bottling partner, supplier, distributor and

retailers whose success is paramount to our own. Our investment in local communities in over 200 countries totals billions of dollars in jobs, facilities, marketing, the purchase of local good and services, and local business partnership. Always and every where , we pursue continuous innovation in the products we offer the processes we use to make them, the package we develop and the way we bring them to market .


PepsiCo is one the largest companies in the U.S. It figures amongst the largest 15 companies worldwide according to the number of employees hired. Its has a U.S. Fortune rank of 50.The company profits for 1997 were $2.14 billion on revenues of $20.92 billion and Pepsi is bottled in nearly 190 countries.

PepsiCo is a world leader in the food chain business. It consists of many companies amongst which the prominent once are Pepsi-Cola, Frito-Lay and Pepsi Food International. The group is presently into two of the most profitable and profitable and growing industries namely, beverages and snack foods. It has scores of big brands available in nearly 150 countries across the globe. The group has established for itself once of the strongest brands in various segments of its operations.

The beverages segment primarily markets its Pepsi, Diet Pepsi, Mountain Dew and other brands worldwide and 7-UP outside the U.S. markets. These are positioned in close competition with Coca-Cola Inc. of USA. A point which is

worth a mention is that Coca-Cola gets 80% of its profits for International operations while the same figure for PepsiCo stands at 6%. The segment is also in the bottling plants and distribution facilities and also distributes the ready to drink tea products of Lipton in North America. In a joint venture with orient spray juice products PepsiCo also manufactures and distributes fruit juices.

The snack food division manufactures and distributes and markets chips and other snacks worldwide. The international operations of this segment extends to the markets of Mexico, the UK and Canada. Frito-Lay represents this segment of PepsiCo. The restaurant segment earlier primarily consists of the operations of the worldwide Pizza Hut, Taco Bell and KFC chains. PFS. Pepsi Cos restaurant distribution operation, supplies company owned and franchise restaurants in

the U.S. The company ventured into restaurant business with Taco Bell,KFC, Pizza Hut ended last year when they were spanned off from the company. A packaged goods company comprised of Pepsi-Cola Company and Frito-Lay will continue to bear the PepsiCo name. The move should enhance both corporations ability to prosper with their own fully dedicated structure and management team.



Research is a common language refers to a search of knowledge. Research is scientific & systematic search for pertinent information on a specific topic, infect research is an art of scientific investigation. Research Methodology is a scientific way to solve research problem. It may be understood as a science of studying how research is doing scientifically. In it we study various steps that are generally adopted by researchers in studying their research problem.

It is necessary for researchers to know not only know research method techniques but also technology.

The scope of Research Methodology is wider than that of research methods.

The research problem consists of series of closely related activities. At times, the first step determines the native of the last step to be undertaken.

Why a research has been defined, what data has been collected and what a particular methods have been adopted and a host of similar other questions are usually answered when we talk of research methodology concerning a research problem or study. The project is a study where focus is on the following points:


A research design is defined, as the specification of methods and procedures for acquiring the Information needed. It is a plant or organizing framework for doing the study and collecting the data. Designing a research plan requires decisions all the data sources, research approaches, Research instruments, sampling plan and Contact methods.

Research design is mainly of following types: -

1. Exploratory research. 2. Descriptive studies 3. Casual studies


The major purposes of exploratory studies are the identification of problems, the more precise Formulation of problems and the formulations of new alternative courses of action. The design of exploratory studies is characterized by a great amount of flexibility and ad-hoc veracity.


Descriptive research in contrast to exploratory research is marked by the prior formulation of specific research Questions. The investigator already knows a

substantial amount about the research problem. Perhaps as a Result of an exploratory study, before the project is initiated. Descriptive research is also characterized by a Preplanned and structured design.

CASUAL OR EXPERIMENTAL DESIGN A casual design investigates the cause and effect relationships between two or more variables. The hypothesis is tested and the experiment is done. There are following types of casual designs:

After only design Before after design Before after with control group design Four groups, six studies design After only with control group design. Consumer panel design Exposit facto design

B) DATA COLLECTION METHOD PRIMARY SECONDARY Direct personal Interview Indirect personal Interview Information from correspondents Govt.publication Mailed questionnaire Report Committees & Commissions Question filled by enumerators. Private Publication

PRIMARY DATA These data are collected first time as original data. The data is recorded as observed or encountered. Essentially they are raw materials. They may be combined, totaled but they have not extensively been statistically processed.

For example, data obtained by the peoples.

Published Sources Unpublished Sources


Sources of Secondary Data

Following are the main sources of secondary data:

1. Official Publications: Publications of the PEPSI & COKE and by the corporate office of PEPSI & COKE.

2. Publications Relating to Trade: Publications of the trade associations, stock exchange, trade union etc.

3. Journal/ Newspapers etc.: Some newspapers/ Journals collect and publish their own data, e.g. Indian Journal of economics, economist, Economic Times.

4. Data Collected by Industry Associations: For example, data Available with PEPSI & COKE..

5. Unpublished Data: Data may be obtained from several companies, organizations, working in the same areas. For example, data on

PEPSI & COKE magazines. Period of Study: This study has been carried out for a maximum period of 8 weeks.

Area of study: The study is exclusively done in the area of marketing. It is a process requiring care, sophistication, experience, business judgment, and imagination for which there can be no mechanical substitutes.

Sampling Design: The convenience sampling is done because any probability sampling procedure would require detailed information about the universe, whichs not easily available further, it being an exploratory research.

Sample Procedure: In this study judgmental sampling procedure is used. Judgmental sampling is preferred because of some limitation and the complexity of the random sampling. Area sampling is used in combination with convenience sampling so as to collect the data from different regions of the city and to increase reliability.

Sampling Size: The sampling size of the study is 100 users.

Method of the Sampling:

Probability Sampling It is also known as random sampling. Here, every item of the universe has unequal chance or probability of being chosen for sample. Probability sampling may be taken inform of:

Simple Random Sampling

A simple random sample gives each member of the population an equal chance of being chosen. It is not a haphazard sample as some people think! One way of achieving a simple random sample is to number each element in the sampling frame (e.g. give everyone on the Electoral register a number) and then use random numbers to select the required sample.

Random numbers can be obtained using your calculator, a spreadsheet, printed tables of random numbers, or by the more traditional methods of drawing slips of paper from a hat, tossing coins or rolling dice.

Systematic Random Sampling

This is random sampling with a system! From the sampling frame, a starting point is chosen at random, and thereafter at regular intervals.

Stratified Random Sampling

With stratified random sampling, the population is first divided into a number of parts or 'strata' according to some characteristic, chosen to be related to the major variables being studied. For this survey, the variable of interest is the citizen's attitude to the redevelopment scheme, and the stratification factor will be the values of the respondents' homes. This factor was chosen

because it seems reasonable to suppose that it will be related to people's attitudes

Cluster and area Sampling

Cluster sampling is a sampling technique used when "natural" groupings are evident in a statistical population. It is often used in marketing research. In this technique, the total population is divided into these groups (or clusters) and a sample of the groups is selected. Then the required information is collected from the elements within each selected group. This may be done for every element in these groups or a sub sample of elements may be selected within each of these groups.

Non Probability Sampling

It is also known as deliberate or purposive or judge mental sampling. In thistype of sampling, every item in the universe does not have an equal, chance of being included in a sample. It is of following type: Convenience Sampling A convenience sample chooses the individuals that are easiest to reach or sampling that is done easy. Convenience sampling does not represent the entire population so it is considered bias.

Quota Sampling In quota sampling the selection of the sample is made by the interviewer, who has been given quotas to fill from specified sub-groups of the population.

Judgment Sampling

The sampling technique used here in probability > Random Sampling. The total sample size is 100 profiles.

Data Collection: - Data is collected from various customers through Personal interaction. Specific questionnaire is prepared for colleting data.

Data is collected with mere interaction and formal discussion with different respondents and we collect data in PEPSI & COKE and face to face contact with the persons from whom the information is to be obtained (known as informants). The interviewer asks them questions pertaining the survey and collects the desired information. Thus, the we collect data about the working conditions of the workers of COKE; I worked at COKE contact the workers and obtain the information. The information obtained are first hand or original in character.

COKE COMES TO INDIA Coca-Cola come to India with fanfare in the fifties. For a number of days, The Hindustan Times and other newspapers of New Banaras carried full-page advertisement showing a big boy in uniform with a soft-drink crown as the

cap. There was no indication of the product. After a few days, Coke was introduced. It was an entirely new drink which fascinated people. It soon became the national drink. For the first time, a soft-drink was available from one corner of the country to another. The person who brought Coca-Cola to India was the father of late Vardar Carangid Singh, Vardar Mohan Singh. Practical man Mohan Singh realized that to popularize Coca-Cola, and make it a best seller it was necessary to catch them young. So he focused on youngsters in the society. The company realized that to become a mass consumption product, one ha to go to the village. They gave much importance to the distributive network. The company trucks supplied coke to even the remotest village. Few products appears to be more similar than soft drinks, yet the Cola wars that mark the competition between Coke and Pepsi show how even organizations with highly similar product can be differentiated by their business strategies. Then came battles over the issue of bottle size standardization. Coke the arch rival tried to offering more Cola at a lower price. Pepsi which had some of its early investment tied up in 250ml bottles, went the fountain way. The General bottle size freed has settled at 300 ml. , 100 ml more than the pre MNC standard. Fountain mix dispensers, carry home bottles, even 1.50 plastic bottle with caps good enough to keep them lying down and still preserve the fizz.

It poured in vast sums to whip up its visibility at the retail level, so that Consumers were greeted virtually at every street corner by Pepsis blue, red and white colors, because they have perception the thing on display sells more.. Coca-Cola is, finally, redoing the real thing to the replicate the success that its arch rival, PepsiCo. Has achieved with its fast and furious marketing. But to win them, Coke is copying Pepsi.


A) PRODUCT Coke was launched in India in Agra, October 24, in '93', soon after its Traditional all Indian launch of its Cola. at the sparking new bottling plants at Hahira, near Agra. Coke was back with a bang after its exit in 1977. Coke was planning to launch in next summer the orange drink, Forth with the clear lemon drink, sprite, following later in the year. Coke already owns more brands than it will over need, since it has bought out Ramesh Chauhan. Coke just needs to juggle these brands around dexterously to meet its objectives, to ensure that Pepsi does not gain market share in t Today, Coke's product line includes, Coca-Cola, Thumps Up,Fanta, Gold Spot, Maaza, Citra, Sprite, Bisleri Club Soda and Diet Coke.

PACKAGING Coca-Cola India Limited (CCIL) has bottled its Cola drink in different sizes and different packaging i.e., 200 ml bottle, 300 ml. Bottle, 330 ml. Cans, 500 ml.Bottle fountain Pepsi, and bottles of 1 and 2 ltr.


One important thing must be noticed that Thums Up is a strong branding western and southern India, while Coca Cola is strong in Northern and Eastern India. With volumes of Thums Up being low in the capital, there are likely chances of Coca Cola slashing the prices of Thumps Up to Rs. 5 and continue to sell Coca Cola at the same rate. Analysts feel that this strategy may help Coke since it has 2 Cola brands in comparison to Pepsi which has just one. Thumps Up accounts for 40% of Coca Cola Companys turn over, Followed by Coca Cola which has a 23% share and Limca which accounts for 17% of the turn over of the company. (Thumps up being the local drink, its share in the market is intact, forcing the company to service the brand, as it did last year Mr. Donald short CEO, Coca Cola India, said that, " we will be absolutely comfortable if Thumps Up is No. 1 brand for us in India in the year 2000. We will sell whatever consumers want us to".

Coca Cola India has positioned Thumps up as a beverage associated with adventure because of its strong taste and also making it compete with Pepsi as even Pepsi disassociated with adventure, youth.

B) PRICE The price being fixed by industry, leaving very little role for the Players to play in the setting of the price, in turn making it difficult for Competitors to compete on the basis of price. The fixed cost structure in Carbonated Soft Drinks Industry and the intense competition make it very difficult to change or alter the prices. The various costs incurred by the individual company's are almost unavoidable. These being the costs of concentrates, standard bottling operations, distributor and bottlers commissions, distribution expenses and the promotional and advertising expenditure (As far as Coke is concerned, it had to incur a little more than Pepsi as Pepsi paved its way to India in 1989 while Coke made a come back in 1993.)Currently a 300 ml. Coke bottle is available for Rs. 6 to8

The 330 can was initially available for Rs. 13 and now, since the price has gave up to Rs. 18 per can. The prices of 500 ml. 1 liter. and 2ltr being Rs. 15 Rs. 23 and Rs. 40 respectively( according to the current survey).Dating back to 93', when Pepsi hiked the price of Pepsi - Cola from Rs. 5 to Rs. 6 per 250 ml. bottle in some parts of the country-including Agra. Coke penetrated the market with price of Rs. 5 for a 300 ml. bottle, making it cheaper by Rs. 1 and 50 ml. than Pepsi. Coke's strategy at that time being able to expand the availability of soft drinks even in rural India. Coke's priority being to first increase the number of drinks per drinker, and then the number of drinkers itself. Pepsi also tried this but was trapped by a series of competitive price increase and changes in bottle sizes by Parle. But the prices of soft drinks have shot up since Pepsi's arrival and the current prices are being mentioned as under.


Name Bottle Size MRP (in Rs.) Coke Per Bottle 200 ml 8 Coke 500 ml (Plastic / Glass) 22 Coke 2 litre 58 Diet Coke (Can) 330 ml Can 25 Coke (Can) 330 ml Can 30 However, the trends may have been in the early '90's, now the prices of Pepsi and Coke are the same making it difficult in future and present to compete on the basis of price.

C) PLACE Coke may have gained an early advantage over Pepsi since it took over Parle in 1994. Hence, it had ready access to over 2,00,000 retailer outlets and 60 bottlers. Coke was had a better distribution network, owing to the wide network of Parle drinks all over India. Coke has further expanded its distribution network. Coke and its product were available in over 2, 50,000 outlets (in contrast with Pepsi's 2,00,000). Coke has a greater advantage in terms of geographical coverage. But Coke has had problems with its bottlers as the required profits for the bottlers have not been forthcoming. This is more so because Coke has hiked the price of its concentrate by Rs. 8 Further, Coke's operations in India are 100% Fobs. Now, it plans to convert then into COBOs. This is straining the relationship between the Coke and its bottlers. The company had decided to create a fund to reimburse performing bottlers moor the extra costs incurred on account of the hike in prices of soft drink concentrates. Mr. Short also realized that India is a price sensitive market and the company would have to absorb in the increase in excise duty and said that in the long run Coke will have to slash prices for the benefit of the consumers and said that they were considering a cut in the prices of their fountain soft drinks. Coke and Pepsi have devised strategies to get rid of middlemen in the distribution network. However, 50% of the industry unfortunately depends on these middlemen. As of now, around 100 agents are present in Banaras .

Bottlers of the 2 multinationals have strongly felt the need to remove these middlemen from the distribution system, but very little success has been achieved in doing so.


It must be remembered that soft drinks purchases are an "impulse buy low involvement products" which makes promotion and advertising an important marketing tool. The 2 arch rivals have spent a lot on advertising and on promotional activities. To promote a brand and even to spend a lot on advertising, the company must be aware of the perceived quality of the brand, its brand power (if at all there is) since consumers make purchase decision based on their perceptions of value i.e., of quality relative to price. According to Paul Stobart, Advertising encourages customers to recognize the quality the company offers. Price promotions often produce short-term sales increases. Coca Cola has entered new markets and also developing market economics (like India) with much-needed jobs.

Coke attributes its success to bottlers, the Coca Cola system itself, i.e., its executive committees, employees, BOD, company presidents but above all from the consumer. Cokes red color catches attention easily and also the Diet Coke which it introduced was taking the Cake, as Pepsi has not come out with this in India. Ever since Coke's entry in India in 1993, Coke made a come back(after quitting in 1977), in October 24 in Agra, the city was flooded by trucks, there wheelers, tricycle cards-all with huge red Coke-emblazoned umbrellas. Retailers were displaying their Coke bottles in distinctive racks, also with specially-designed iceboxes to keep Coke bottles cold. This was one big jolt to Pepsi



The Pepsi Process: Despite being a global brand, Pepsi has built its success on meeting the Indian consumers needs, particularly in terms of making the brand synchronize with localized events and traditions. Instead of harping on its global lineage, ergo, it tries to plug into ethnic festivals, use the vernacular indifferent part of the country, and blend into the local fabric. Pepsi is using both national campaigns-such as the Drink Pepsi, Get Stuff scheme, which offers large discounts on other products to Pepsi-buyers as well as local. The Coke Copy: Instead of creating a bond with the customers through small but high-impact events, Coca-Cola chose to associate itself with national and international mega events like the World Cup Cricket, 1996, and world cup football 1998. But now coke is also entering into local actions. Coke is also trying to make their brand synchronize with localized events traditions and festivals. Coca-Cola new tag line in this advertisement is Real shopping, Real refresher. In this way Coke is copy Pepsi.


The Pepsi Process: Once of the strongest weapons in Pepsis armory is the flexibility it has empowered its people with. Every manager and salesperson has the authority to take whatever steps he, or she, feels will make consumers aware of the brand and increase its consumption. The Coke Copy: Flexibility is the weapon that Coca-Cola, fettered as it is by the need for approvals from Atlanta for almost everything. In the past, this has shown up in its stubborn insistence on junking the franchisee network it had acquired from Parle; in its dependence on its own feedback mechanism over that of its bottlers; and on its headquarters-led approach.

PRICE The Pepsi process: Pepsi has consistently wielded its pricing strategy as in invitation to sample, aiming to turn trial into addiction. It launched the 500 ml bottle in 1994 at Rs. 8 versus Thums Ups Rs. 9, in April, 1996, its 1.5 liter bottle followed Coke into the marketplace at Rs. 30 Rs 5 less than Cokes .But it couldnt continue the lower price positioning for long. The Coke Copy: Initially, coke carbon-copied the strategy by introducing its 330ml cans in January 1996, at an invitation price of Rs. 15 before raising it to Rs. 18. By this time, it had realized that the Coca-Cola brand did not hold enough attraction for customers to fork out a premium. The 200ml Coke, launched so far in parts of eastern, western, and northern India, is priced at Rs. 5, lowering the entry-barriers. To really drive the market, as Coke wants to you must go down to Rs. 3.





COLA: 60% CLEAR LEMON: 4% Pepsi: 26.5 7-UP: 2.5% Thums-up: 17.5% Citra: 0.5% Coke: 10% ORANGE: 16% OTHERS: 8% Mirinda: 7.5% Other Brands: 16.5% Fanta: 6% Gold Spot: 1% Crush: 1% CLOUDY LEMON: 12% Limca: 9% Mirinda lemon + Dukes: 1.5%

Schweppes lemon: 0.5%



There's little doubt that the most spirited and intense competition in the beverage world is between Coca-Cola and Pepsi. These two American companies long ago took their battle worldwide, and although there are other colas in the market, these giants occupy this high-stakes arena by themselves. The impact of Coke and Pepsi on popular culture is indisputable, and I have observed in my time managing this web site that America has not become jaded about the cola wars. The memorabilia, the jingles, the trivia - all still popular. So I am offering this page in an attempt to assuage a wee bit of the Coke and Pepsi thirst that is thriving on our planet.

IT ALL STARTED . . . . Coca-Cola was invented and first marketed in 1886, followed by Pepsi in1898. Coca-Cola was named after the coca leaves and kola nuts JohnPemberton used to make it, and Pepsi after the beneficial effects its creator, Caleb Braham, claimed it had on dyspepsia. For many years, Coca-Cola had the cola market cornered. Pepsi was a distant, no threatening contender. But as the market got more and more lucrative, professional advertising became more and more important. These soda companies have been leading the way in advertising ever since.


Pepsi has definitely leaned towards the appeal of celebrities, popular music, and young people in television commercials, while Coke relies more heavily on images of happiness and togetherness, tradition, and nationalism, perpetually trying to cash in on its original lead. In a simplified sense, you could sum up the strategies as Coke: Old, Pepsi: New. In fact, as we will see, when Coca-Cola tried something new, it was disaster.






Coca-Cola to appear

appeared on








andstreetcars.Soon there were serving trays with images of people enjoying Coca-Cola, and glasses with the cola's name on them. At this time, CocaCola and Pepsi were served in drugstore soda fountains.

In 1909, Pepsi used its first celebrity endorser, automobile race driverBarney Oldfield, in newspaper ads. In 1921, Pepsi went bankrupt, but continued to appear on the scene, although not nearly so successfully as Coca-Cola. In 1931, Pepsi went bankrupt again, but the new owner, RoyMegargel, would hit upon an idea that would finally give Coca-Cola some competition. In 1934, he marketed Pepsi in a 12-ounce bottle for a nickel. At the time, CocaCola was sold in a 6ounce bottle for ten cents. Voila! Profits for Pepsi51.Pepsi racked up another first by airing the first radio jingle in 1939. It was so popular that it was played in jukeboxes and became a hit record Coca-Cola hit the airwaves in 1941.In 1946, inflation forced Pepsi to increase prices. And in 1950, Pepsi offered larger 26-ounce bottle to court the young American housewife. In the 1960's, the cola ad wars moved to television. Coca-Cola employed a host of celebrity singers to promote the product, including Connie Francis, Tom Jones, the New Beats, Nancy Sinatra, and The Supremes. As we moved through the years, both colas incorporated some of their best slogans ("Pepsi Generation" and "the Real Thing") into subsequent commercials. In the 1970s, market research showed that consumers preferred the taste of Pepsi over Coke. The Pepsi Challenge is still being conducted today. But Coke came up with what is arguably the best of all cola commercials, the1971 I'd like to buy the World a Coke ad. This landmark was recalled in Christmas versions in 1983 and 1984, and a 1990 Super Bowl ad, which was enough to make some Baby Boomers weep with nostalgia. In the 1980's, Pepsi lined up the celebrities, starting with Michael Jackson, then Madonna, Michael J.

Fox, Billy Crystal, Lionel Ritchie, Gloria Estefan, Joe Montana, and others. Coke signed on Michael Jordan, New Kids on the Block, Aretha Franklin, Elton John, and Paula Abdul. In 1985, responding to the pressure of the Pepsi Challenge taste tests, which Pepsi always won, Coca-Cola decided to change its formula. Bill Cosby was the pitchman. This move set off a shock wave across America. Consumers angrily demanded that the old formula be returned, and Coca-Cola52responded three months later with Classic Coke. Eventually, New Coke quietly disappeared. Pepsi, meanwhile, had its own flop, Crystal Pepsi, which was supposed to catch the strange wave of the times when everything colorless was clean and desirable (Zima, bottled water). And then there was Pepsi Liter with the lemony flavor and one calorie, introduced in 1975. Remember that one? Apparently they didn't expect us to because later they gave us Pepsi One, idea even further, we are now getting Pepsi Twist, a new product with a twist of lemon flavor. In 1991, Ray Charles sang, "You got the right one baby, uh-huh!" Also in the 1990s, Cindy Crawford and the Spice Girls pitched Pepsi. And then Pepsi aired commercials featuring the aggravating little girl (HallieEisenberg) with her troubling male voice. In the new century, both colas continue to battle it out on the television screen. And celebrities continue to be important promoters. Recently, Pepsi has had commercials by Bob Dole and Faith Hill, among others.


It's clear in looking at the slogans over the years that Coke and Pepsi have very different targeting strategies. Coke is touting itself as the original, the authentic, and appealing to a sense of tradition, positioning itself as any integral part of daily American life. Pepsi, on the other hand, is promoting itself as something new, young, and hip, which seems a little odd after over100 years. But Coke was first, after all. Pepsi has always targeted the youth market more aggressively than Coke. COCA-COLA 1886 - Drink Coca-Cola 1904 - Coca-Cola Satisfies 1904 - Delicious and Refreshing 1905 - Coca-Cola Revives and Sustains 1905 - Good All the Way Down 1906 - The Drink of Quality 1906 - The Great National Temperance 1907 - Delicious Coca-Cola, Sustains, Refreshes, Invigorates 1907 - Cooling . . . Refreshing . . . Delicious 1908 - Sparkling - Harmless as Water, and Crisp as Frost 1909 - Delicious, Wholesome, Refreshing

1910 - It Satisfies 1910 - Quenches Thirst as Nothing Else Can 1911 - It's Time to Drink Coca-Cola 1911 - Real Satisfaction in Every Glass 1912 - Demand the Genuine - Refuse Substitutes 1913 - The Best Beverage Under the Sun 1913 - A Welcome Addition to Any Party - Anytime - Anywhere 1914 - Exhilarating, Refreshing 1914 - Demand the Genuine by Full Name 1914 - Pure and Wholesome 1916 - Just One Glass Will Tell You 1917 - Three Million A Day 1919 - Quality Tells the Difference 1920 - Drink Coca-Cola with Soda 1922 - Thirst Knows No Season 1922 - Thirst Can't Be Denied 1922 - Thirst Reminds You - Drink Coca-Cola 1923 - Refresh Yourself 1924 - Pause and Refresh Yourself 1925 - Six Million A Day

1925 - The Sociable Drink 1926 - Stop at the Red Sign 1927 - Around the Corner from Anywhere 1928 - A Pure Drink of Natural Flavors 1929 - The Pause that Refreshes 1930 - Meet Me at the Soda Fountain 1932 - Ice-Cold Sunshine 1933 - Don't Wear a Tired, Thirsty Face 1934 - Carry a Smile Back to Work 1935 - All Trails Lead to Ice-Cold Coca-Cola 1936 - What Refreshment Ought to Be 1936 - The Refreshing Thing to Do 1937 - America's Favorite Moment 1937 - So Easy to Serve and So Inexpensive 1938 - The Best Friend Thirst Ever Had 1938 - Pure Sunlight 1938 - Anytime is the Right Time to Pause and Refresh 1939 - Coca-Cola Goes Along 1939 - Make Lunch Time Refreshment Time 1939 - Makes Travel More Pleasant

1939 - The Drink Everybody Knows 1939 - Thirst Stops Here 1940 - Bring in Your Thirst and Go Away Without It 1941 - Completely Refreshing 1942 - Refreshment That Can't Be Duplicated 1942 - Whoever You Are, Whatever You Do, Wherever You May Be, When You Think of Refreshment, Think of Ice-Cold Coca-Cola. 1943 - The Only Thing Like Coca-Cola is Coca-Cola Itself. It's the Real Thing 1943 - A Taste All Its Own 1943 - That Extra Something 1944 - How About a Coke 1945 - Passport to Refreshment 1945 - Whenever You Hear "Have a Coke," You Hear the Voice of America 1947 - Coke Knows No Season 1947 - Serving Coca-Cola Serves Hospitality 1948 - Where There's Coke, There's Hospitality 1949 - Coca-Cola . . . Along the Highway to Anywhere 1950 - Help Yourself to Refreshment

1951 - Good Food and Coca-Cola Just Naturally Go Together 1952 - What You Want Is a Coke 1953 - Dependable as Sunrise 1954 - For People on the Go 1955 - America's Preferred Taste 1956 - Coca-Cola - Making Good Things Taste Better 1956 - Feel the Difference 1957 - Sign of a Good Taste 1958 - The Cold, Crisp Taste of Coke 1959 - Be Really Refreshed 1960 - Relax With Coke 1961 - Coke and Food - Refreshing New Feeling 1962 - Coca-Cola Refreshes You Best 1963 - Things Go Better With Coke 1965 - Something More Than a Soft Drink 1966 - Coke . . . After Coke . . . After Coke 1970 - Its the Real Thing 1971 - I'd like to buy the World a Coke 1974 - Look Up, America 1976 - Coke Adds Life 1979 - Have a Coke and a Smile

1982 - Coke Is It! 1984 - Just For the Taste of It (Diet Coke) 1985 - Just For the Free of It (Caffeine Free Coke) 1985 - We've Got a Taste For You (New Coke) 1985 - America's Real Choice (Coca-Cola Classic) 1986 - Catch the Wave (New Coke) 1986 - Red, White and You (Coca-Cola Classic) 1987 - You Can't Beat the Real Thing 1989 - Can't Beat the Feeling 1990 - Can't Beat the Real Thing 1993 - Always Coca-Cola 1993 - Taste it All PEPSI-COLA 1903 - Exhilarating, Invigorating, Aids Digestion 1907 - Original Pure Food Drink 1909 - Delicious and Healthful 1915 - For All Thirsts - Pepsi-Cola 1919 - Pepsi-Cola - It Makes You Scintillate 1920 - Drink Pepsi Cola. It will satisfy you. 1928 - Peps You Up!

1932 - Sparkling, Delicious 1934 - Refreshing and Healthful 1939 - Twice As Much For A Nickel Too 1943 - Bigger Drink, Better Taste 1949 - Why take less when Pepsi's best? 1950 - More Bounce to the Ounce 1950 - The Light Refreshment 1954 - Refreshing Without Filling 1958 - Be sociable, have a Pepsi 1961 - Now It's Pepsi, For Those Who Think Young 1963 - Come Alive! You're In the Pepsi Generation 1967 - Taste That Beats the Others Cold 1967 - Pepsi Pours It On 1969 - You've Got a Lot to Live and Pepsi's Got a Lot to Give 1973 Join the Pepsi People Feeling' Free 1975 - Have a Pepsi Day 1978 - Catch That Pepsi Spirit 1981 - Pepsi's Got Your Taste For Life! 1983 - Pepsi Now! 1984 - Pepsi, the Choice of a New Generation

1992 - Gotta Have It 1993 - Be Young, Have Fun, Drink Pepsi 1995 - Nothing else is a Pepsi 1999 - The Joy of Cola





Arch rivals plan salvos of new diet colas, Pepsi ONE and Coca-Cola Zero. March 22, 2005: NEW YORK (CNN/Money) - The beverage aisle is about to get more Crowded as Pepsi and Coca-Cola debut new diet colas.

Coca-Cola is adding a fourth diet cola to its line this June with Coca-Cola Zero, with no calories, the company announced Tuesday. And this spring Pepsi is replanting its one-calorie Pepsi ONE with Splendid sweetener rather than aspartame.

Reformulated Pepsi One, available on shelves and coolers in late March, is part of Pepsi's focus on diet soft drinks this year, said Katie Lacey, Pepsi-Cola North Americas vice president of carbonated beverages, in a statement While for Coke, "Coca-Cola Zero is exactly what young adults told us they wanted," said Dan Dillon, vice president, Diet Portfolio, Coca-Cola North America, in a statement.

Apparently America's youth wanted a cola sweetened with sugars UBS aspartame and aciculae potassium. The new cola will not replace Diet Coke, favored by a different group of cola swaggers, according to the company. Both Pepsi's (up $0.08 to $52.64, Research) and Coke's (up $0.06 to $41.66, Research) new diet brews are aimed young adults, mostly male, according Apparently, more men are gulping reduced-calorie and zero calorie beverages to stay trim, the article says. Along with Diet Coke and the new Zero, Coke's diet selection includes splendid-sweetened Diet Coke, Diet Coke with lime and C2, launched last year. For the curious, Coca-Cola Zero will auction off a sample pack of the cola on eBay in April.

Coke vs. Pepsi: the new cola wars NEW YORK (CNN/Money) - The Beatles or the Backstreet Boys? Star Trek or Star Wars? Yankees or Mets? They say you must like either one or the other.

Shares of Coca-Cola (KO: Research, Estimates) and PepsiCo (PEP: Research, Estimates) have been on a tear this year, with each posting solid gains in an otherwise dismal market. Coke has surged 20.3 percent year today while Pepsi is up 7.2 percent. The two currently are trading just a hair

off their 52-week highs. But some analysts and fund managers think the trendier Pepsi has more fizz left in its stock than Coke. Coca-Cola is launching a new product, Vanilla Coke, next week (May 15) while Pepsi recently announced that it will start selling a berry flavored cola, Pepsi Blue, in August. With Vanilla Coke, the company seems to be banking on nostalgia. (John Travolta character in "Pulp Fiction" ordered vanilla Coke at a 50's themed diner, for example.)Pepsi Blue, on the other hand, seems to be a concerted attempt to reach outdo the hipper, younger demographic that drinks Pepsi's Mountain Dew. And embracing that demographic has worked. The launch of Code Red, a cherry flavor aversion of Mountain Dew, last year helped Pepsi increase its market share. According to the Beverage Market Corporation, unit volume for all of Pepsi's soda brands (including Diet Pepsi and Mountain Dew for example)increased 1.3 percent in 2001 while volume for Coke's carbonate beverage brands (Diet Coke, Cherry Coke and Sprite among others)declined by .2percent.

"This is a mistake for Coke. Pepsi is going after the right market. Younger audiences are going to buy more of Pepsi Blue. I don't see any edge in vanilla," says Ted Parrish, co-manager of the Hensley Equity Fund. As of April 30, Pepsi was the fund's second-largest holding. The fund does no town Coke.


PEPSI IS NOT AS PRICEY Regardless of which soda you like better though, Pepsi seems the better value than Coke right now. Coke is trading at a nearly 20 percent premium to Pepsi based on 2002 P/Es even though the two companies' earnings growth rates are nearly identical. (Pepsi's are actually a shade higher.)And when you look at revenues, the gap is even more dramatic. Coke is trading at 7 times estimated 2002 sales while Pepsi is trading at 3.5 times2002 revenue estimates. Both companies are expected to post slight declines in sales this year and an increase of about 4 percent in 2003. Due to this disparity in valuation, Jeff Kantar, an analyst with Prudential Securities, says he has a "buy' rating on Pepsi and "hold" on Coke. Prudential does not do investment banking. To be sure, Coke is still the market share leader in soft drinks.

One of the main reasons the stock has outperformed Pepsi this year was because it reported a better than expected gain in unit volume in the first quarter. And the company has taken steps to cement its carbonated beverage lead as well gain ground in the bottled water market. (Coke and Pepsi both have their own brands of water, Dasani and Aquarian, respectively.)On Tuesday, Coke announced that it was acquiring the Seagram's line of mixers, tonic, ginger ale and seltzer from Diageo and

Period Record. And last month, Coke entered into an agreement with Group Danone to distribute Evian bottled water in North America.

Some pretzels with that soda? But while Coke relies solely on beverages for growth, another factor in Pepsis favor is its diversity. "What attracts me to Pepsi is I have more faith in their ability to grow earnings. Not only are they successful on the beverage side but they are successful with salty snack foods," says Crit Thomas, director of growth equity for National City Investment Management Co., the sub advisor for Armada Funds. As of March 31, Pepsi was the seventh-largest holding in the Armada Tax Managed Equity Fund and the tenth-largest holding in the Armada Equity Growth Fund. In fact, Pepsi's carbonated beverages are not even the biggest generator of sales and earnings for the company. Pepsi's Frito-Lay brand of snack foods, which include Fritos, Doritos and Role Gold, accounted for 61.2 percent of revenue and 65.3 percent of operating profits in the first quarter. Pepsis soft drink business made up 19 percent of sales and 23.2 percent of operating profit. Pepsi also owns Gatorade and Quaker Foods, having acquired Quaker Oats last year. One potential risk for both Pepsi and Coke is the economy. No, not if it goes back into a recession. If the economy continues to improve, the stocks could fall victim to what is known as sector rotation, the selling of defensive companies like food and beverages in order to buy more economically sensitive companies in the financial services and technology sectors. To that end, shares of Pepsi and Coke fell slightly on Wednesday during the Cissoids remarket rally. Still, Thomas says signs that the dollar is starting to weaken compared toothier currencies should prop up both stocks. That's because a weaker dollar helps boost the profits of international subsidiaries, since profits made in foreign currency are converted back to dollars. The majority of Coke's sales are from its international operations, with just 38 percent of revenue coming from the U.S. last year. Pepsi is not as big globally but currency fluctuations are still a factor, as international sales accounted for 29 percent of revenue in2001.

More than just two soda stocks But if you're not a fan of either Pepsi or Coke, there actually are several other beverage stocks out there. And they're trading at lower valuations. Cadbury Schweppes (CSG: Research, Estimates), the British confectioner, owns the Dr Pepper, 7 Up, A&W and Royal Crown brands of soda. It too is joining the new round of cola wars, introducing Red Fusion, fruit flavored version of Dr Pepper, Friday. Red Fusion will hit the market in July. Cadbury Schweppes' stock trade sat a sizable discount to Coke and Pepsi, with a P/E of 16.7 based on 2002 earnings estimates. Earnings are expected to increase 12.5 percent this year. Cot (COTT: Research, Estimates), the largest maker of private label sodas, trades at 26 times 2002 earnings estimates but it's growth prospects for this year and next are better than Coke and Pepsi. Analysts expect Cot 'searing to increase 34.5percent this year and 23 percent in 2003.Finally, for you Shasta fans out there (we know there are some), there is National Beverage (FIZ: Research, Estimates), which owns Shasta and Fargo, a brand of carbonated beverages popular in the Midwest. The stock is thinly traded and has no analyst coverage, but for what it's worth it is trading at less than one times last year's sales.

PRODUCT The term soft drink was originated to distinguish the flavored refreshment from hard liquor. Soft drink was flavored to change the habits of earlier Americans who used to have hard liquor. The fruits and vegetable juices are not considered soft drinks. Pepsi is a pure soft drink, which is enjoyed in our 195 countries. It is made of artificial flavors and contains no fruit juice or fruit pulp.

How soft drinks are made:

Soft drink consists of carbonated water and syrup. Adding carbonated gas to water under pressure produces carbonated water. The gas makes the water bubble and fizz in most cases. Syrup is made of a concentrate and sweetener. A concentrate is a blend of flavor and acid. In concentrate for most soft drinks also include coloring. The concentrate contains a unique blend of ingredients, which give Pepsi its distinctive flavor. Syrup can be also being prepared directly from individual ingredients. Carbon dioxide gas gives beverage its sparkle and tangy taste and prevents spoilage. While it has not been conclusively proved that carbonation offers a direct medical benefit, carbonated beverage are also used to alleviate post operative nausea when no other food can be tolerated. Carbon dioxide is supplied to soft drinks by manufactures in a liquid form maintained under approximately 1,200 pounds per square inch pressure in heavy steel containers. Many of the flavorings found in soft drinks come from natural sources such as fruits juices and oils obtained from roots, citrus fruit peels, and leaves of various plants. Some flavoring are artificial, but a similar to natural flavoring in taste. Citric acid and phosphoric acid give soft drink a tart taste. Caramel is usually used as coloring in cola drinks. The sweeteners may come from maize, sugar beet or sugarcane. Artificial sweetener, such as saccharine and aspartame is used in Diet Pepsi and Diet Coke. The mixing is carried out under the highest standards of quality control and accordingly to precise instructions in order to insure that every consumer always receives a product of the same trusted quality. The bottling of Pepsi in modern plants such as there are in India is carried out at the rate of 600 bottles a minutes. Pepsi is approved by the National Health Authorities of every country in which it is sold.


Pepsi is supplied in

Returnable glass bottles (200 ml, 250 ml, 300 ml, 500 ml, 1 lt.)which is supplied in molded plastic shells. 1.5 liter PET bottles, 330 ml of cans, PMX machines (Fountain Pepsi)

Fountain Pepsi (F P) Dispenses soft Drinks in plastic cups. There are two Methods of vending soft drinks.

1. Pre-mix system - In the premix system, the finished beverage is prepared by the soft drink manufacturers and filled into 5 to 10 gallon70 stainless steel tanks. The tanks of the beverage are attached to the vending machine where the beverage is cooled and dispensed.

2. Post-mix system - In post-mix system the vending machine has its own water and carbon dioxide supply. The water is supplied through Aqua Guard purifier ands carbonated as required by carbon dioxide cylinder. It is then mixed with concentrate or flavored syrup which is kept in BIB (Bag inbox) as it is dispensed into the cup. Pepsi has post mix vending machines and coke has pre mix vending machines.

Cans & Bottles - Among the different packages in the market in the next couple of years could be cans and pet bottles - apart from the standard glass bottles. One of the standard packages that one is likely to see in the coming years is buying more at lower price. Pepsi introduced 200 ml bottles of Pepsi at the price of Rs.6. It was an instant hit while packages of those kinds are also being worked out keeping in view of the rural market. But it could also lead to the killing of the standard 300 ml size bottles that is in vogue now. The consumer would get a choice of soft drink at a cheaper and unaffordable price - even if it means breaking of certain standards shapes and sizes of the packages. The broad strategies of both penetrating the market are still being made. And the amount of thought that is going into it can be made out from the very fact that the manufacturers are thinking of such innovations as the picnic packages of the brand for those on holiday trip. The battle will be engrossing as packages will be brought to the market and be pulled by the competing rivals. There would be price wars and competitions on qualities. In the US, 55% of the carbonated soft drink (CSD) is sold today in returnable bottles, 30% on one-trip containers and 15% through vending machines and fountain. In other parts of the would, Pepsi are sold mainly in returnable bottles. Pepsi in cans are more popular in countries such as US, Canada, Australia, Philippines and England. Canned Pepsi is also sold in India.

Brands The current Indian market consists of seven-flavor segment. Cola segment is by far the most widely consumed soft drinks.



ORANGE MIRANDA CLOUDY LIME MIRANDA LEMON CLEAR LIME 7-UP SODA EVERESS MANGO SLICE In addition to these segments, Pepsi has developed wide range of soft drinks such as Diet Pepsi, Caffeine Free Pepsi and low sodium Pepsi, Sugar Free -Pepsi Max.


These are some of the unique characteristics of the products: 1. Package is returnable and vulnerable to breakage. 2. Weight of package is twice as much as that of the product. 3. Has a seasonal demand resulting in partial idling of the distribution network. 4. Demands highlight intensive availability of the product with very low dealer index essential on account of impulse demand. 5. Occupies more shelf space (or cooler space) per a rupee worth of investment than most other brand product. This factor, coupled with the return ability of the container, involves a very high level of service frequency. 6. Ratio of distribution costs to selling price is higher than for any other branded mass consumption product. All these point to the fact that a penetrating

distribution network coupled with efficient feeding are the only means to higher sales.

PRICE Maximum retail price of 300 ml bottles is controlled by the Central Government. The other size and packs are priced keeping factors like competition, internal costs, external costs, and the corporate objective of the company in the mind. PRODUCT SELLING PRICE MAX.RETAIL PRICE (Per crate) (Per crate) 300 ml bottles 168 192 500 ml bottles 264 288 1 Liter bottles 466 480 Soda 300 ml 144 168 Cans 312 312 1.5 Liter PET 34* 36*bottles Price per bottles the empty bottles are priced at Rs 120 per crate and the shell at Rs 100.


Pepsi 44% Coke 51% Local Brand 5%


In a survey done by A & M magazines on the best marketing companies in India. Pepsi and Coca-Cola were also entered. The results were as follows: This shows that both the companies are paying more attention to the marketing of their products. Pepsi is higher up on the scale than Coca-Cola. We can see that by the brilliant advertising done by Pepsi, which can be seen on every hook and corner of Banaras. The consumers also prefer Pepsi advertisements and other activities of Pepsi, to that of Coca-Cola.



Total numbers of respondent were 85 out of which 5 questionnaires is rejected. So final date interpretation is done on the basis of only 80 questionnaires.

Total respondent were 80 Gender male Number 67



84 % 16%

M le a

Fem ale

Profile of respondent

Total respondent were 80 Profile Student Service Housewife Professional Businessman others Number 39 18 5 6 8 4

5% 10% 8% 6%
Student Professional


Service Housewife Businessman Other


Beverage product can be divided in two types: Cola drinks

Soft drinks

Pepsi Products: Pepsi 7UP Mirinda Dew Slice (cola drink) (cola drink) (soft drinks) (cola drink) (soft drinks)

Coke Products: Coke (cola drink)


(soft drinks)


(cola drink)


(cola drink)


(soft drinks)

Thums up

(cola drink)


Company Pepsi Coke

Total respondent80 No of respondent 37 43

Market share

46% 54%
Coke Pepsi

On the basis of above data coke is leading with 54% market share


Product Line Pepsi 7up Mirinda Dew Slice

Total respondent of Pepsi 37 No of Respondent 11 6 7 6 7

22% 29%

16% 19%
Pepsi 7up Mirinda Dew



Total respondent of Coke 43 Product Line No of Respondent Coke 9 Mazza 10 Limca 3 Sprite 6 Fanta 3 Thums up 12



7% 14%
Coke Sprite Mazza Fanta

23% 7%
Limca Thums up


Total respondent 80 Product Line Pepsi 7up Mirinda Dew Slice Coke Mazza Limca Sprite Fanta Thums up No of Respondent 11 6 7 6 7 9 10 3 6 3 12

1% 4 4 % 8 %

1% 3 8 %

4 % 1% 2 1% 1
Ppi es s e lic S [r p ite 7p u Ck oe Fn a ta M in a ir d Mz a az T u su hm p

9 % 8 % 9 %
Dw e L c im a


Total respondent 80 Preferences Taste Advertisements Schemes Easy availability People Like Others No of Respondent 61 8 5 4 1 1

1% 6% 5% 1% 10%

Taste Advertisment easy availibility People like schemes other


Total respondent 80 Influence of Advertisements Yes No

No of Respondent 30 50





62% respondent said that Advertisements Influence their buying decision, While 38% said that it doesnt influence them for buying

If the desired verity of beverage is not available at particular shop, how does consumer respond?

Total respondent 80 Respond Take another verity Visit next shop Suggest to have same verity Postpone decision No of Respondent 26 35 13 6


7% 32%

Take another verity visit next shop Suggest to have same verity Postpone decison


Total respondent 80 Respond Fully disagree Agree to some extent Fully agree No of Respondent 32 43 5

6% 40%

Fully disagree Fully agree Agree to some extent


How often people consume beverages?

Total respondent 80 Respond Once a week Twice a week More than twice a week Once in two week When ever you required No of Respondent 19 20 14 3 24



4% 18% 25%

once a w eek more than tw a w ice eek w hen ev you need er

tw a w ice eek once in a w eek


On the basis research the facts which have come out are: Coke is leading the market with 54% market share in Meerut, while Pepsi is covering only 46% market in Meerut. Under the brand name of Pepsi, Pepsi is the capturing highest market share with 29% in Meerut, while slice is second market leader of Pepsi with 22% market share. Under the brand name of coke Thums up is market leader with 28% market share and Fanta is second largest with 23% market share. The population between 12- 30 year prefer the cola products, while population above to 50 and below 12 prefer soft drinks, and population prefer both in Meerut. Only 38% population only influenced by advertisement, rest 62% population belies that Advertisements are not much effective. 45% population are loyal to words there product. 54% population beliefs there cold drink have pesticide up to some extent. Instead of that they are using cold drinks. 77% of population is being influenced by taste only, while 10 % population by Advertisements only.


As it was 1st research Project of my life, so it gave my lot of experience which will be very helpful in my life as well as in my summer training. On the basis of that research we find that in case of beverages people are much influenced by taste rather than Advertisements and other things. I come to know that Young generation is the biggest consumer of cold drinks than any other. By this research we analyze that male prefer cola dinks, while female prefer soft drinks. Frequency of consume to cold drinks is higher of male than female. By combining all the beverage verities I come to know that Thums up is the market leader with 14 % total market share while Pepsi is the second highest market leader with 13% market share.

If the Buying decision of consumer is rated 1. 1st preference will go to Taste, 2. 2nd will go to Brand, 3. 3rd preference will go to schemes, 4. 4th preference will go to Price, 5. 5th preferences will go to Packaging.

Though the coke is enjoying about 54% of the total market share and it is market leader in Indian beverage industry. While with the 46 % market share Pepsi is on the second step. If we are analyzing properly then we find Pepsi is small product portfolio than coke, which is responsible for its second position.

Pepsi should increase its product portfolio to capture the Cokes market share. Companies should focus on the taste of the product because 77% population is influenced by taste only. Young generation is the potential consumer so companies should more focus on them.

As we find that 40 % population consumes 200ml cold drinks. This comes in glass
bottles, these bottles are being retuned back for refilling to companies. This incurred again cost of re-transportation. If company start to supply 200 ml cold drinks in pet bottles (plastid bottles) it will be good for company because 40% of population is using only 200ml.

It was my 1st research project so due to curiosity I put my whole heart on this project. But still are certain limitations while doing the research work. Some of the limitations are as follows.

One of the biggest limitations with this project work is the time factor. As we did
our project in Meerut, which is not well known to me. So it become difficult to conduct survey in Meerut

The sample size of 80 respondents is too small to find out the consumer perception. Because I was covering Pepsi & Coke both.

There might have been tendencies among the respondents to amplifying or filter their responses under the testing.

In some cases, the respondent was not giving me the proper reply. He/she might think that this is only wastage of time or this might create some problem etc. And as a result he/she has given some fake answers and fills the questionnaire very casually.

The area of study is limited and confined to certain limitation.

It is possible that some potential source might have remained untapped.

Since the result has been drawn on the basis of the information provided by the respondents therefore there is a chance of error.

The questioners were in English so many people were avoiding to fill the questioners

After the completion of project I have seen the different aspects of this Winter Training Project. Also I have gained some new experience about the consumer research. While surveying I have met a large number people, with different perceptions, with different nature, and as a result of this I have learnt a lot of things like how to talk with the different people with different behavior. I am benefited a lot and this will definitely help me a lot in my summer training as well as in the future.

Also the outcome that came out from this research work is that in city Meerut coke is the market leader with 54% market share. Pepsi is having only 46% market share. I come to know that Pepsi is the leading brand of Pepsi co. with 29% market share of its total market share and Thums up is the leading brand of coke with 28% market share of itself. Through this research I also come to know that young generation is the potential market for beverage industry, taste is the 1st preference to choosing the product and one more important factor that below 12 years and above to 50years people like the soft drinks while people between 12- 30 year prefer cola drinks and rest people who comes in between 30 -50 year have common.


1. Which brand of cold drink you like the most? a) Pepsi d) Dew g) Mazza i) Fanta b) 7up e) Slice g) Limca j) Thums up c) Mirinda f) Coke h) Sprit

2. What is the reason behind choosing your Brand? a) Taste c) Easily available b) Advertisement d) People like

3. How many times in a week, you take cold drink. a) Once b) twice c) thrice d) More than three time

4. Which quantity of your cold drink you often purchase? a) 200ml b) 300ml c) 500ml d) 2Lt

5. What is your Age? Please specify ( )

6. What is your income per month? a) 0-10 thousands ( ) b) 10-15 thousands ( )

c) 15-20 thousands

( )

d) more than 20 thousands ( )

7. What is your profile? a) Student c) Working b) Professional d) Any other Specify

8. Since how much time you are using your brand? a) 1-6 month b) 6-12-month c)1-2 year d) more than 2 year

9. If your desired brand of cold drink is not available at particular shop a) Take any other brand c) Suggest to have that brand b) visit next shop d) dont take any brand

10. How many members in your family are? Please specify ( )

11. Which brand of cold drinks often comes in your family? Pepsi Sprit 7up Fanta Mirinda Mazza Dew Slice Coke Thums up Limca

Name Age Occupation :-




:Contact No (If any) :-


Internet: www.pepsicenter,com Books:

Solomon, Michael R. (2002), Consumer Behavior: Buying, Having, Being. 5th Ed. New Jersey: Prentice Hall on A. (2003), Marketing Research: An Integrated Approach Naresh Ku. Malhotra, Marketing Research: An Applied Orientation, Fifth Edition