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Chapter 1 Introduction

The main objective of this project was to get an exposure to the working environment in an organization. This was an opportunity for me to relate concepts learned by me to the practical application in the organization. It helped me in interacting with a highly experience managers which helped me to improve my practical knowledge. Coca-Cola the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886.Coca-Cola Company is the worlds leading manufacturer , marketer and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands .It sells beverage concentrates and syrups to bottling and canning operators, distributors fountain wholesalers and retailers. Coca-Cola was first introduced by John Syth Pemberton,a pharmacist, in the year 1886 in Atlanta, Georgia when he concocted Carmel colored syrup in a three-legged brass kettle in his backyard he first distributed the product by carrying it in a jug down the streets to Jacobs pharmacy and customers bought the drink for five cents at the soda fountain. Carbonated water was teamed with the new syrup, whether by accident or otherwise, producing a drink that was proclaimed delicious and refreshing, a theme that continues to echo today whenever Coca-Cola is enjoyed. Coca-Cola is originated as a as a soda fountain beverages in 1886 selling for five cents a glass. Early growth was impressive, but it was only when a strong bottling system developed that Coca-Cola become the world famous brand it is today. Coca-Cola was the leading soft drink brand in India until 1977, when it left rather than foreign regulation act (FERA) which governed the operations of foreign companies in India. In the new liberalized and deregulated environment in 1993, Coca Cola made its reentry into India through its 100% owned subsidiary, HCCBPL, the Indian bottling arm of Coca-Cola Company. The main objective of this study lies in understanding the organization, studying and understanding the consumers perception and opinion about the product in rural market. Thus in a large rural economy like Indias, rural marketing has emerged as an important distinct internal sub-division within the marketing discipline. This sub-division clearly highlights the importance of rural marketing.

Chapter 2 Industry Profile

Industry Profile
2.1 The FMCG Industry in India Fast moving consumer Goods (FMCG), also known as Consumer Packaged goods (CPG) are products that have a quick turnover and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products. The Indian FMCG industry witnessed significant changes through the 1990s.Many players had been facing severe problems on account of increased competition from small and regional players from slow growth across its various product categories. As a result, most of the companies were forced to revamp their product, marketing, distribution and customer service strategies to strengthen their position in the market. By the turn of the 20th century, the face of the Indian FMCG industry had changed significantly. With the liberalization and growth of the Indian economy, the Indian customers witnessed an increasing exposure to new domestic and foreign products through different media, such as television and the internet. Apart from this, social changes such as increase in the nuclear families and the growing number of working couples resulting in increased spending power also contribute to the increase in the Indian consumers personal consumption. The realisation of the customers growing awareness and the need to meet changing requirements and preferences on account on changing lifestyles required the FMCG producing companies to formulate customer-centric strategies. These changes had a positive impact, leading to the rapid growth in the FMCG industry. Increased availability of retail space, rapid urbanization, and qualified man power also boosted the growth of the organised retailing sector. HLL led the way in revolutionizing the product, market, distribution and service formats of the FMCG industry by focusing on rural markets, direct distribution, creating new product, distribution and service formats. The FMCG sector also received a boost by government led initiatives in the 2003 budget such as the setting up of excise free zones in various parts of the country that witnessed firms moving away from outsourcing to manufacturing by investing in the zones.

Though the absolute profit made on FMCG products is relatively small, they generally sell in large numbers and so the cumulative profit on such products can be large. Unlike some industries, such as automobiles, computers, and airlines, FMCG does not suffer from mass layoffs every time the economy starts to dip. A person may put off buying a car but he will not put off having his dinner. Unlike other economy sectors, FMCG share float in a steady manner irrespective of global market dip, because they generally satisfy rather fundamental, as opposed to luxurious needs. The FMCG sector, which is growing at the rate of 9% is the fourth largest sector in the Indian Economy and is worth Rs.9300 crores. It is predicted that in the year 2015, the FMCG sector will be worth Rs.143000 crores. The sector being one one of the biggest sector of the Indian Economy provides up to 4 million jobs. The FMCG sector consists of the following categories:

Personal care- Oral care, Hair care, Wash (soaps), Cosmetics and Toiletries,
Deodorants and perfumes, Paper products (Tissues, Diapers, Sanitary products) and Shoe care; the major players being; Hindustan Lever Limited, Godrej Soaps, Colgate, Marico, Dabur and Procter & Gamble.

Household care- Fabric wash (laundry soaps and synthetic detergents), Household cleaners (Dish/utensil/floor/Toilet cleaners), Air fresheners, Insecticides and Mosquito repellents, Metal polish and Furniture polish; the major players begai; Hindustan Lever Limited, Nirma and Ricket Colman.

Branded and Packaged foods and beverages- Health beverages, Soft drinks, Staple/cereals, Bakery products (Biscuits, Breads, Cakes), snack foods, Chocolates, Ice-crmes, Tea, Coffee, Processed Fruits, Processed Vegetables, Processed meat, Branded flour, Bottled water Branded rice Branded sugar, juices; the major players being; Hindustan Lever Limited, Nestle, Coca-Cola, Cadbury, Pepsi and dabur.

Spirits and tobacco- The major players being ITC, Godfrey Phillips and UB group.

2.2 Beverage industry in India

In India, Beverages form an important part of the lives of people. It is an industry, in which the players constantly innovate, in order to come up with better products to gain more consumers to satisfy the existing consumers.

The beverage industry is vast and there various ways of segmenting it, so as to carter the right product to right person. The different ways of segmenting it are as follows:

Alcoholic and non-alcoholic and sports beverages Natural and synthetic beverages In-home consumption and out of home on premises consumption. Age wise segmentation i.e. beverages for kids, for adults and for senior citizens

Segmentation based on the amount of consumption i.e. high levels of consumption and low levels of consumption.

If the behavioural patterns of consumers in India are closely noticed, it could be observed that perceive beverages in two different ways i.e. Beverages are a luxury and that beverages have to be consumed occasionally. These two perceptions are the biggest challenges faced by the beverage industry, it is important to address this issue

so as to encourage regular consumption as well as and to make the industry more affordable. Four strong strategic elements to increase consumption of the products of the beverage industry in India are; The quality and the consistency of beverages needs to be enhanced so that consumers are satisfied and they enjoy consuming beverages. The credibility and the trust need to be built so that there is a very strong and safe feeling that the consumers have while consuming the beverages. Consumer education is must to bring out benefits of beverage consumption whether in terms of health, taste, relaxation, stimulation, refreshment, wellbeing or prestige relevant to the category. Communication should be relevant and trendy so that consumers are able to find an appeal to go out purchase and consume. The beverage market has still to achieve greater penetration and also a wider spread of distribution. It is important to look at the entire beverage market, as a big opportunity, for brand and sales growth in turn to add up the overall growth of the food and beverage industry in the economy. Coca-Cola the product that has given the world its best-known taste was born in Atlanta, Georgia, on May 8, 1886. Coca-Cola Company is the worlds leading manufacturer, marketer and distributor of non-alcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. It sells beverage concentrates and syrups to bottling and canning operators, distributors, fountain retailers and fountain wholesalers. The companys beverage concentrates, syrups and not ready to drink powder products. In addition to this it also produces and markets sports drinks, tea and coffee. The Coca-Cola Company began building its global network in the 1920s. Now operating is more than 200 countries and producing nearly 400 brands, the. Coca-Cola system has successfully applied a simple formula on a global scale; Provide a moment of refreshment for a small amount of money-a billion times a day. The. Coca-Cola Company and its network of bottlers comprise the most sophisticated and pervasive production and distribution system in the world. More pervasive production and distribution system in the world. More than

anything, that system is dedicated to people working long and hard to sell the products manufactured by the company. This unique world-wide system has made The Coca-Cola Company the Worlds premiere soft drink enterprise. From Boston to Beijing, from Montreal to Moscow, Coca-Cola, more than any other consumer product, has brought pleasure to thirsty consumers around the globe. For more than 115 years, Coca-Cola has created a special moment of pleasure for hundreds of millions of people every day. The company aims at increasing shareowner value over time. It accomplishes this by working with its business partners to deliver satisfaction and value to consumers through a worldwide system of superior brands and services, thus increasing brand equity on a global basis. They aim at managing their business well with people who are strongly committed to the Company values and culture and providing an appropriate controlled environment, to meet business goals and objectives. The associates of this company jointly take responsibility to ensure compliance with the framework of policies and protect the Companys assets and resources whilst limiting business risks.

Chapter 3 Organization Profile

Organization Profile

3.1 History COCA COLA Pvt. Ltd Coca-Cola originated as a soda fountain beverage in 1886 selling for five cents a glass. Early growth was impressive, but it was only when a strong bottling system developed that CocaCola became the world-famous brand it is today.

1894 A modest start for a bold idea

In a candy store in Vicksburg, Mississippi, brisk sales of the new fountain beverage called Coca-Cola impressed the store's owner, Joseph A. Biedenharn. He began bottling Coca-Cola to sell, using a common glass bottle called a Hutchinson.

Biedenharn sent a case to Asa Griggs Candler, who owned the Company. Candler thanked him but took no action. One of his nephews already had urged that Coca-Cola be bottled, but Candler focused on fountain sales.

1899 The first bottling agreement

Two young attorneys from Chattanooga, Tennessee believed they could build a business around bottling Coca-Cola. In a meeting with Candler, Benjamin F. Thomas and Joseph B. Whitehead obtained exclusive rights to bottle Coca-Cola across most of the United States -for the sum of one dollar. A third Chattanooga lawyer, John T. Lupton, soon joined their venture.

1900-1909 Rapid growth

The three pioneer bottlers divided the country into territories and sold bottling rights to local entrepreneurs. Their efforts were boosted by major progress in bottling technology, which

improved efficiency and product quality. By 1909, nearly 400 Coca-Cola bottling plants were operating, most of them family-owned businesses. Some were open only during hot-weather months when demand was high.

1916 Birth of the Contour Bottle

Bottlers worried that Coca-Cola's straight-sided bottle was easily confused with imitators. A group representing the Company and bottlers asked glass manufacturers to offer ideas for a distinctive bottle. A design from the Root Glass Company of Terre Haute, Indiana won enthusiastic approval. The Contour Bottle became one of the few packages ever granted trademark status by the U.S. Patent Office. Today, it's one of the most recognized icons in the world - even in the dark!

As the 1920s dawned, more than 1,000 Coca-Cola bottlers were operating in the U.S. Their ideas and zeal fueled steady growth. Six-bottle cartons were a huge hit starting in 1923. A few years later, open-top metal coolers became the forerunners of automated vending machines. By the end of the 1920s, bottle sales of Coca-Cola exceeded fountain sales.

1920s and '30s International expansion

Led by Robert W. Woodruff, chief executive officer and chairman of the Board, the Company began a major push to establish bottling operations outside the U.S. Plants were opened in France, Guatemala, Honduras, Mexico, Belgium, Italy and South Africa. By the time World War II began, Coca-Cola was being bottled in 44 countries.

1940s Post-war growth

During the war, 64 bottling plants were set up around the world to supply the troops. This followed an urgent request for bottling equipment and materials from General Eisenhower's base in North Africa. Many of these war-time plants were later converted to civilian use, permanently enlarging the bottling system and accelerating the growth of the Company's worldwide business.

1950s Packaging innovations

For the first time, consumers had choices of Coca-Cola package size and type-the traditional 6.5 ounce Contour Bottle, or larger servings including 10-, 12- and 26-ounce versions. Cans were also introduced, becoming generally available in 1960. 1960s New brands introduced Sprite, Fanta, Fresca and TAB joined brand Coca-Cola in the 1960s. Mr. Pibb and Mello Yello were added in the 1970s. The 1980s brought diet Coke and Cherry Coke, followed by POWERaDE and Fruitopia in the 1990s. Today scores of other brands are offered to meet consumer preferences in local markets around the world.

1970s and '80s Consolidation to serve customers

As technology led to a global economy, retail customers of The Coca-Cola Company merged and evolved into international mega-chains. Such customers required a new approach. In response, many small and medium-size bottlers consolidated to better serve giant international customers. The Company encouraged and invested in a number of bottler consolidations to assure that its largest bottling partners would have capacity to lead the system in working with global retailers. 1990s New and growing markets Political and economic changes opened vast markets that were closed or underdeveloped for decades. After the fall of the Berlin Wall, the Company invested heavily to build plants in Eastern Europe. As the century closed, more than $1.5 billion was committed to new bottling facilities in Africa.

21st Century

The Coca-Cola bottling system grew up with roots deeply planted in local communities. This heritage serves the Company well today as consumers seek brands that honor local identity and the distinctiveness of local markets. As was true a century ago, strong locally based relationships between Coca-Cola bottlers, customers and communities are the foundation on which the entire business grows.

3.2 Manifesto for growth

Values: Coca -Cola is guided by shared values that both the employees as individuals and the Company will live by; the values being: Leadership: The courage to shape a better future. Passion: Committed in heart and mind. Integrity: Be real. Accountability: If it is to be, its up to me. Collaboration: Leverage collective genius. Innovation: Seek, imagine, create and delight. Quality: What we do, we do well.

Mission Everything we do is inspired by our enduring mission: To Refresh the World... in body, mind, and spirit. To Inspire Moments of Optimism... through our brands and our actions. To Create Value and Make a Difference... everywhere we engage.

There is much in our world to celebrate, refresh, strengthen and protect. The Coca-Cola Company is a vibrant network of people, in over 200 countries, putting citizenship into action. Through our actions as local citizens, we strive every day to refresh the marketplace, enrich the workplace, protect the environment and 0strengthen our communities. We are a local employer, with responsibility to enable our people to tap into their full potential; working at their innovative best and representing the diversity of the world we serve. We are an investor in local economies and a driver of marketplace innovation, with a responsibility to act as a good steward of our natural environment. And we are a local citizen, understanding our responsibility to contribute to an improved quality of life in our communities.

3.3 Values and Commitments at The Coca-Cola Company

The reputation of The Coca-Cola Company is built on trust and respect. Our employees and those who do business with us around the world know we are committed to earning their trust with a set of values that represent the highest standards of quality, integrity, excellence, compliance with the law, and respect for the unique customs and cultures in communities where we operate. Our Company has always endeavored to conduct business responsibly and ethically. We respect international human rights principles aimed at promoting and protecting human rights Our acknowledgment of these international principles is consistent with our dedication to enriching the workplace, preserving the environment, strengthening the communities where we operate.

Supplier Guiding Principles

The Supplier Guiding Principles (SGP) are a vital pillar of The Coca-Cola Company's workplace accountability programs. These programs are driven by the belief that good corporate citizenship is essential to our long-term business success and must be reflected in our relationships and actions in our workplaces and the workplaces of those who are authorized to directly supply our business. Recognizing that there are differences in laws, customs, and economic conditions that affect business practices around the world, we believe that shared values must serve as the foundation for relationships between The Coca-Cola Company and its suppliers. The Supplier Guiding Principles communicate our values and expectations and emphasize the importance of responsible workplace policies and practices that comply, at a minimum, with applicable environmental laws and with local labor laws and regulations. The principles outlined below reflect the values we uphold in our own policies, and we expect our direct suppliers to follow the spirit and intent of these guiding principles.

1. Freedom of Association and Collective Bargaining

Respect employees' right to join, form, or not to join a labor union without fear of reprisal, intimidation or harassment. Where employees are represented by a legally recognized union, establish a constructive dialogue with their freely chosen representatives and bargain in good faith with such representatives.

2. Prohibit Child Labor

Adhere to minimum age provisions of applicable laws and regulations.

3. Prohibit Forced Labor and Abuse of Labor

Prohibit physical abuse of employees and prohibit the use of all forms of forced labor, including prison labor, indentured labor, bonded labor, military labor or slave labor.

4. Eliminate Discrimination
Maintain workplaces that are free from discrimination or physical or verbal harassment. The basis for recruitment, hiring, placement, training, compensation, and advancement should be qualifications, performance, skills and experience. Compensate employees relative to the industry and local labor market. Operate in full compliance with applicable wage, work hours, overtime and benefits laws, and offer employees opportunities to develop their skills and capabilities, and provide advancement opportunities where possible.

6. Provide a Safe and Healthy Workplace

Provide a secure, safe and healthy workplace. Maintain a productive workplace by minimizing the risk of accidents, injury, and exposure to health risks.

7. Protect the Environment

Conduct business in ways which protect and preserve the environment. Meet applicable environmental laws, rules, and regulations.

8. Compliance with Applicable Laws and Standards

Suppliers to The Coca-Cola Company and suppliers authorized by The Coca-Cola Company are required to meet the following standards, at a minimum, with respect to their operations as a whole:

9. Laws and Regulations

Supplier will comply with all applicable local and national laws, rules, regulations and requirements in the manufacturing and distribution of our products and supplies and in the provision of services.

10. Child Labor

Supplier will comply with all applicable local and national child labor laws.

11. Forced Labor

Supplier will not use forced, bonded, prison, military or compulsory labor.

12. Abuse of Labor

Supplier will comply with all applicable local and national laws on abuse of employees and will not physically abuse employees.

13. Freedom of Association and Collective Bargening

Supplier will comply with all applicable local and national laws on freedom of association and collective bargaining.

14. Discrimination
Supplier will comply with all applicable local and national discrimination laws.

15. Wages and Benefits

Supplier will comply with all applicable local and national wages and benefits laws.

16. Work Hours and Overtime

Supplier will comply with all applicable local and national work hours and overtime laws.

17. Health and Safety

Supplier will comply with all applicable local and national health and safety laws.

18. Environment
Supplier will comply with all applicable local and national environmental laws.

19. Demonstration of Compliance

Supplier must be able to demonstrate compliance with the Supplier Guiding Principles at the request and satisfaction of The Coca-Cola Company These minimum requirements are a part of all agreements between The Coca-Cola Company and its direct and authorized suppliers. We expect our suppliers to develop and implement appropriate internal business processes to ensure compliance with the Supplier Guiding Principles. The Company routinely utilizes independent third-parties to assess suppliers' compliance with the SGP. The assessments generally include confidential interviews with employees and on-site contract workers. If a supplier fails to uphold any aspect of the SGP requirements, the supplier is expected to implement corrective actions. The Company reserves the right to terminate an agreement with any supplier that cannot demonstrate that they are upholding the SGP requirements.

We ensure the quality and safety of our beverages through The Coca-Cola Quality System (TCCQS), our integrated approach to managing quality, environment, health and safety. We continuously review TCCQS to ensure it meets the most stringent and up-to-date global requirements related to food safety, as well as quality management methods, industry best practices and marketplace conditions. In our ingredient evaluation laboratories, for example, we perform precise analyses of fruit juices and other ingredients sent to us by our suppliers, to ensure and to improve product quality. Our processes, too, undergo constant scrutiny, to safeguard the water we use in our products and the packaging that carries them to our consumers. We inform and educate our business partners about our standards so that they meet the highest quality requirements. Under TCCQS, quality is our highest business objective and our enduring obligation. The Coca-Cola Quality System: a worldwide initiative involving every aspect of our business. Everyone who works for or with Coca-Cola is empowered and expected to maintain the highest standards of quality in products, processes and relationships. TCCQS mandates in-depth self-assessment throughout our operations, by all our business units. This enables us to continually raise our standards.

The latest version of our system-Evolution 3, launched in 2004-has been externally benchmarked against international quality standard ISO 9001. It also incorporates the Hazard Analysis Critical Control Point system.

Value Chain:

Our Suppliers
Our suppliers include those business partners who supply our system with materials, including ingredients, packaging and machinery as well as goods and services. At a minimum, all authorized and direct suppliers must comply with all applicable laws and regulations, including those concerning child labor, forced labor, abuse of labor, freedom of association and collective bargaining, discrimination, wages and benefits, working hours and overtime, health and safety, and environmental practices. All our new agreements with suppliers require compliance with our Supplier Guiding Principles.

Our Customers
Our customers include large, international chains of retailers and restaurants, as well as small, independent businesses. Some of our customers are major corporations as globally familiar as the name Coca-Cola; others are the corner market or the local pushcart vendor.

Whether customers are large or small, we work with them to create mutual benefit. Helping them to grow their businesses helps to grow ours, too. Together with our bottling partners, we serve our customers through account management teams, providing services and support tailored to their needs. Customer Development and Training: We provide support to smaller customers to help make their businesses more efficient and profitable. These centers provided training in general management, marketing, finance, inventory management and customer service-at no cost-to more than 21,000 independent retailers in 2005. We also work with customers to broaden the range of beverages they offer, provide nutritional information and ensure our beverages are marketed responsibly.

Packaging - Why It Matters

Far from being a burden and waste, packaging adds value to products by extending the shelflife of goods, minimizing breakage, reducing transportation and handling costs, safeguarding public health and providing product-use information and convenience to the consumer. The negative perceptions of packaging simply as a troublesome byproduct are at direct odds with the significant role it plays in society. Recognizing the role of packaging in no way diminishes the need to further minimize its impact on the environment. In fact, in an emerging era of scarcer natural resources, rising energy costs and greater global environmental awareness, companies focused on long-term success are moving beyond simply limiting impacts and are working toward competitive packaging solutions that maximize social and environmental value.

3.4 About Bottling

One of our great strengths is our ability to conduct business on a worldwide scale while maintaining a local approach. At the heart of this approach is our bottling system. Before any of our 2,400 beverage products is consumed by anybody around the world, it has to be produced, packaged and distributed. Since we reach 6 billion consumers in over 200 countries, our bottling system has to be the best. Our business opportunities are enormous and our commitment to our consumers and communities is great.


PLANET: We act as a responsible global citizen, focused on our environment efforts and making a difference wherever we engage. PEOPLE: We inspire to be a great workplace where people are inspired to be the best they can be. PROFIT: We maximize returns to our shareowners while being mindful of our overall responsibilities. PORTFOLIO: We bring the global market place beverage brands that anticipate and satisfy peoples desires and needs. PARTNERS: We actively nurture a winning network of beverages and bottling parterns building mutual loyalty Our bottling partners are local companies so they are rooted in their communities, thinking and acting locally. They are employers, purchasers of local goods and services, good neighbors, and, of course, producers of the world's most popular beverages. It's a big job, and sometimes it's done quite creatively. In Indonesia, for instance, boats transport Coca-Cola and our other brands between the many hundreds of islands that make up that nation. In the Amazon, where the main road is often the river itself, water-borne distribution is also common. In some of the higher elevations of the Andes, Coca-Cola is sometimes transported by four-legged power. Across much of Africa, bottlers deliver to thousands of family-run kiosks and home-based stores on which local economies depend.

Our System: How We Operate

Coca-Cola is often thought to be one brand made by one company. In reality, it is a vibrant business system, in more than 200 countries around the world, made up of The Coca-Cola Company and more than 300 Coca-Cola bottlers. Most of our bottlers are independently owned and not controlled by our Company. Together with our bottling partners, we operate the most extensive beverage distribution system in the world. Known informally as the Coca-Cola system, this network of 848 plants, approximately 200,000 vehicles and more than nine million coolers and vending machines helps us to manufacture and distribute our products to customers and consumers around the world, where our beverages are consumed at a rate of more than 1.3 billion servings each day.

The Coca-Cola System

The Coca-Cola Company

Owns the global Coca-Cola brand and owns or licenses over 400 other brands. Manufactures and sells beverage concentrate and syrup to bottling and canning operations, distributors, fountain wholesalers and some fountain retailers. Manufactures noncarbonated. and sells some finished beverages, both carbonated and

Our Bottling Partners

Combine our syrup with carbonated water or combine our concentrate with sweetener and water and/or carbonated water (depending on the product) to produce a finished beverage. Place beverages in cans or bottles and then transport the finished beverages to warehouses or to customer locations. Our bottling partners operate the majority of Coca-Cola bottling and canning operations, producing and distributing more than 80 percent of our worldwide volume. The Coca-Cola Company also operates a limited number of bottling and canning facilities.

Bottling partners range from international and publicly traded businesses to small, familyowned operations. Although we invest in the majority of bottling companies, we have a controlling ownership interest in only a small number, meaning that the vast majority of bottlers operate with separate governance and management structures, and in accordance with applicable laws and customs. Our relationship with these partners is one of collaboration and support, based on mutual self-interest, common goals and shared values. We make every effort to positively influence environmental activities and policies throughout our bottling system and to provide information from both our Company-owned operations and our broader system.

We live and work in more than 200 countries and have deep roots in communities around the world. We are connected to the lives and livelihoods of those communities. And we are intensely committed to the economic success and continued growth of these communities. We contribute to economic success through our day-to-day business, by providing jobs in our own operations as well as jobs in businesses we touch along the way. We call it the multiplier effect, where we not only positively affect those directly employed by our business but also create and expand businesses that do business with us. In addition to economic impact, we invest in local economies through substantive and locally relevant community programs. Wherever we operate, we work with local leaders, businesses and governments to identify community needs and aspirations. The resulting partnerships and programs are an important part of how we contribute to the well-being of the communities where we operate. Economic Impact The Coca-Cola business is essentially a local one. With our bottling partners, we produce our products in more than 800 plants around the world. In those plants and other facilities, we employ local people, pay taxes to governments, pay suppliers for goods, services and capital equipment, and support community investment programs. We support socioeconomic development in developing and emerging markets through economic opportunities and wealth creation as well as technology and knowledge transfer; local entrepreneurship; and other international investment.

Local Initiatives
The Company and our bottling partners contribute to a wide range of community causes in countries around the world. In keeping with the local nature of our business and the differing needs of individual communities, our approach is primarily a local one, with community investment priorities determined on a market-by-market basis. We work with people in communities and governmental organizations and NGOs to create and support projects most relevant to communities. Responding to Local Needs: We support a wide range of initiatives that respond to specific local needs:

Health: Tackling such health issues as polio, tuberculosis, hepatitis, and malnutrition and hygiene education. HIV/AIDS: Educational campaigns, condom distribution, HIV/AIDS orphanages, hospices Micro enterprise: Supporting self-help groups, establishing funds, providing training Cultural heritage and the arts: Promoting the arts and artists, preserving heritage

The Coca-Cola Company offers a wide range of products to the customers including beverages, fruit juices and bottled mineral water. The company is always looking to innovate and come up with, either complete new products or new ways to bottle or pack the existing drinks. The Coca-Cola Company has a wide range of products out of which the following products are marketed by HCCBPL:

In the cola section

In the lemon section

In the orange section

In the juice section

In the soda water and Bottled mineral Water section:

Packaging Details: Coca-Cola, Thumps Up, Fanta, Limca and Sprite: 330 ml can, 300 ml and 200 ml
returnable glass bottles; 500+100 ml free,1.25 liter and 2 liter PET bottles

Diet Coke:330 ml can and 500 ml PET bottle Maaza: 200 ml 250 ml returnable glass bottle;500+100 ml free and 1 litre +200 ml
free pet bottles and the newly introduced 200 ml Tetra Pack

Minute Maid 400 ml and 1 liter PET bottles Schweppes: soda water 300 ml returnable glass bottles,500+100 ml free PET bottles Schweppes Mineral Water: 750 ml PET bottles Schweppes Tonic water 330 ml can Kinley Soda Water: 300 ml returnable glass bottles,500 ml+100 ml free and 1.5 Liter
pet bottles.

Kinley Water: 200 ml,500ml and 1 liter PET bottles.

3.6 Organization Structure of Coca-Cola in India







TYPES OF OPERATIONS UNDERTAKEN BY THE COMPANY Coca-Cola India Holding, the intermix of the company-owned bottling operations (COBOs) and franchisee owned bottling operations (FOBOs) . COMPANY-OWNED BOTTLING OPERATIONS (COBOS): COBO refers to the operations directly carried by the company. These COBOs have to work under the guidelines by the Coca-Cola Co.

FRANCHISEE OWNED BOTTLING OPERATIONS (FOBOS): FOBOs refers to the operations carried out by the FRANCHISERs

Criteria for selecting the distributors: The company looks at the prospects before permitting/Authorizing for distributor. Therefore the criterias are as follows, He should have a godown Vehicles Manpower Deposit for cases/crates at the rate of 200 each Liquid value

Number of units possessed by distributors: In season 14 units, in off seasons 6 units.

*Units refers to the vehicles possessed by the distributor for local logistics
Factors influencing the assignment of areas to distributors salesman 1. An average number of outlets the salesman effectively works on. A salesman can handle 60 outlets on an average effectively in a day 2. Depending on the frequency of a particular route. The distributors follow three types of frequencies they are: Daily Alternative days Once a week

Note: Once in a week is only followed for the up country areas

Working of distributors
The distributor first has to maintain the following The Brand pack separately after unloading the vehicle i.e. the brand order in the following sequence: Cola Lime Orange Juice Water

5 days stock to meet the demand. The company gives target to the distributors and these distributors with help of sales executives break the target into 1. Daily 2. Weekly 3. Brand wise 4. Sales wise Here the distributor focuses on weaker brands and tries to push maximum number of these weaker units into the mixed cases ordered by the retailers. For Ex: The sales of Fanta are considered to be low then the distributor adds more number of Fanta units in a mixed case. The distributor have to maintain a four (4) day stock with them which will become the reorder level once when the order is placed at the depot the stock comes up the next day but an important point to note here is unless and until the empty bottles reach the depot the new stock will not reach the distributor.

Distributors route Planning: Distributors identify two routes they are, Potential route Non Potential route Note: For Potential the vehicle goes daily and for non-potentials it goes once in a week The potential routes are those routes in which the distributor gets maximum business as the number of outlets will be more and therefore the vehicle goes daily to meet the market demand. Ex: If a distributor has 400 outlets in his area he has to plan accordingly as per his route wherein he has to visit 60 outlets per route. OPERATIONAL PLANS FOR THE YEAR Distributors have two plans a year 1. First plan from January 1st to June 15th 2. Second Plan from June 15th to December 31st FIRST PLAN: This plan is considered as yielding season where maximum business will be earned. The 70% of the target needs to be achieved during this season SECOND PLAN: Here in this plan there will be minimum business and during this season there will be lot of promotional activities undertaken The role of distributor in market: The distributors salesman is trained properly with respect to his behavior with the retailers. As soon as the vehicle goes to the outlet it is the duty of the sales person to

1. Greet the retailer and have a look at the cooler/refrigerator. 2. He has to suggest the retailer about the stock needed 3. Convince him for purchase 4. Place the products in the cooler as per brand order 5. Look at the warm displays 6. Follow up and handle complaints Support from the company to the distributor The company supports the distributors in terms of incentives during the off season i.e. during the second plan in order to retain the distributor. EXAMPLE FOR CALCULATION OF ROI (RETURN ON INVESTMENTS) FOR DISTRIBUTORS: The deposit of 1500 cases at the rate of 200 Rs per case = 3,00,000 Liquid Value on an average including all mini, 300 ml, half litre and 2 litre = 2,00,000 Godown deposit = 20,000 Vehicle = 4,80,000 Therefore the total investment is Rs. 10, 00,000

Now to calculate the ROI = ({Volume X Case rate} Expenses) / Investment If a distributor has 50,000 volume, 11 Rs per case and Other Expenses 35,000 then, 50,000 X 11 =55,000 35,000 =20,000 Rs+ Therefore ROI = 20,000 /10,00,000 = 0.20 = 20% Hence the ROI is favourable.

3.8 Competitors to HCCBPL The competitors to the product s of the company mainly lie in the non-alcoholic beverage industry consisting of juices and soft drinks. Pepsi Co: the Pepsi Co challenges, to keep up with archrival, the Coca-Cola company never ends for the Worlds #2, carbonated soft drink maker. The companys soft drinks include Pepsi, Mountain Dew and Slice. Cola is not the companys only beverage; Pepsi Co sells Tropicana orange juice brands, Gatorade sports drink, and Aquafina Water. PepsiCo also Dole juices and Lipton ready to Coca-Cola drink tea. PepsiCo and Coca-Cola hold together, a market share of 95%out of which 60.8% is held by Coca-Cola and the rest belongs to Pepsi. Nestle: Nestle does not give that tough competition to Coca-Cola as it mainly deals with milk products, Baby foods and chocolates. But the iced tea that is Nestea which have been which has been introduced to into the market by Nestle provides a considerable amount of competition to the products of the company. Iced tea is one of the closest substitutes to the Colas as it is thirst quencher and it is healthier when compared to fizz drinks. The flavored milk products also have become substitutes to the products of the of company due to the growing health awareness among people. Dabur: Dabur in India, is one of the most trusted brands as it has been operating ever since times and people have laid all their trust in the Company and the products of the company. Apart from the food products, Dabur has introduced into the market Real Juice which is packaged fresh juice. These products give a strong competition to Maaza and the latest products of Minute Maid.

Chapter 4 Literature review

Literature review
Coca Cola was established in 1886, and through all of the rough times and competition, is still one of the top refreshment brands today. They own 4 of the worlds top 5 non-alcoholic sparkling beverage brands, they operate in 200+ countries, they serve nearly 1.6 billion consumers a day, and they have more than 3,000 products. (Coca Cola Company, 2009). Why would a company this big and this successful upgrade their status, and start using social media? Because they are smart. Their Coca-Cola mission is to refresh the world, to inspire moments of optimism, and to create value and make a difference. If not anything else, the steps that Coke has taken this past year should have given them many moments of optimism. In case study presented by Adam Brown of Coca-Cola, he stated, back in the day you would have heard me say, our home page isnt just, its now its,, He also stated in his presentation that CocaColas strategy is to Review, Record, Respond, and Redirect. (Brown, 2009) Coca-Cola has done an amazing job at not only reaching out to the new media era audience, but also the people who followed them in the past. Coca-Cola has an official blog called Coca-Cola Conversations which is written and updated by a man by the name of Phil Mooney, who has served as the historian/archivist for Coca-Cola for the last 30 years. The blog contains a wide variety of topics, ranging from our role in pop culture to brand history to Coke collectibles. (Mooney, 2009). It reaches out to a wide variety of audiences, and encourages people to write back and give their input, something Coke probably couldnt have gotten this far without. Besides a blog, Coke also has an individual Twitter page for each product, a LinkedIn profile, a Facebook Fan page, and their pawn person widget, Coke Tag. Coke Tag was released because they believe that connecting people and giving them a way to share what matters is one of the many things that helps define The Coke Side of Life. (Coke Tag, 2009). The Facebook fan page was created by two users who liked Coke. What started as a fan page for fun, turned out to be the largest product fan page on Facebook. Coca Cola, instead of taking over the page and making it their own, rewarded the fans by bringing them to Atlanta and giving them a tour of the Coke facility. The fan page remains theirs, but now they have the blessing and help of Coca Cola. By empowering the fans to keep their fan page, Coke ensures a passionate page owner. The Coca Cola marketing team was also smart enough to realize that letting others know what happened here would work in their favour. The fan page creators were told to make a video of the history behind the fan page, and how Coke had reached out to them and rewarded them for this. (Balwani, 2009)

Part of the Action Plan for Harnessing the Power of the New Rules states that you should define your organizations goals first, then based on the goals decide whether or not you want to provide the content for free and without registration. It is also stated that you should write for your audience using examples and stories, and of course make it interesting. (Scott, 2007). Throughout this year, Coke has done an amazing job of launching new items, keeping a close eye on their followers, rewarding those that give them press, and continuing on based on their target audiences reactions. Coke has made this new media campaign come full circle, and they dont seem to be anywhere near done yet.

Chapter 5 Scope and Objectives of the study


The study is confined to the retailers in villages of the blocks Punpun, Fatwah, Daniawan and Khusrupur of rural Patna. Due to the time constraint the study is restricted only to the retailers of Punpun, Fatwah, Daniawan and Khusrupur. The coverage of the objective of the study is limited to the extent of the information given by the company.

In spite of the above mentioned limitations, every effort has been made and the report is prepared to the best of my knowledge.

5.2 Objective of the study The prime objective was to analyse and enhance the market opportunities for Coca-Cola in the rural area of Patna. Availability and visibility analysis of Coca-Cola in rural patna. The performance level of the existing distribution channel. The cover area. Problems related to the existing channel. Satisfaction level of the customers (retailers) towards the existing distribution channel. To find the reasons from the retailers for not selling coke products. To create awareness among new retailors about the company, brand value, product line and profit ratio. To find out the reasons behind their unawareness. To find out new ways to make them aware about different offers. To maximise the market share of coke in rural areas by making agreements with new dealers & retailers. Ratio of exclusive type of outlets selling different brands. Try to form and convert existing outlets as coke Monopolists by explaining them the profit story and providing them with special discounts and schemes. To formulate the strategies for targeting the retailers effectively.


The study will confront me the following: The culture of the company Their distribution channel Satisfaction level of the customers Handling customer complaints on field

Chapter 6 Research Methodology

Research Methodology

Type of research: Exploratory and descriptive Research Type of data collected: 1. Primary data 2. Secondary data Research instrument: Printed Questionnaire was used as the research instrument to collect the required information. Area of surveys: The survey was conducted in Following Blocks and their rural areas of Punpun, Fatuha, Daniawan and Khusrupur areas of Patna District.

1. Primary data collection methods General observation methodThe retailers were observed to have an insight about the mind set and preference for a particular brand. Personal interaction method:

Made interactions with some retailers during market survey, who want to give some extra information other than questionnaire and who were busy and not ready to fill the questionnaire. This was conducted without the help of any questionnaire. The objective was to draw a general understanding about their problems, performance of the distributer, their preferences and other useful information. This technique helped to clear doubts arising due to observation method. 2. Secondary data collection methods: Secondary data was collected from various websites, Coca-Cola India, Beverage Marketing Corporation, company records etc. to have a comprehensive knowledge about the beverage industry and Hindustan Coca Cola Beverages Pvt. Ltd.

Time dimension: The time dimension of the study was Two months as provided by the company guidelines during summer training period.

Sampling unit:

The retailers of Grocery shop, E & D, Convenience Shop, Medicine store and juice corners were selected from different places Sampling size: 550 Outlets. Sampling procedure: As Coca-Cola has mainly three types of modules of customers as: Grocery store, Convenience store & E&D with different grades so sampling size was divided according to area, type of store & VPO of the store. Sampling method: Data were collected by retailer survey. The retailers were directly contacted and interviewed at their retail counter.


The study was restricted to 4 regions of rural Patna only, with sample size of 550 (350 new outlets & 200 new outlets) so, the interpretations & findings are accordingly to it only. The time period of 2 months was the major limitation. Due to the financial and time constraints the study was not able to include more retailers. To convince the retailer for a proper interviewing process was also difficult. Retailers some time give wrong data. The reluctance on the part of the retailers was also a major setback. The analysis of project was based on observations and interpretation on the basis of sample survey. Another limitation could be lack of knowledge. Being a student I undertake this project as a learning experience. I have made many mistakes and then learned from them. I have tried my best to be as authentic and as accurate as possible in the research analysis taking the help of my project guide on relevant primary and secondary data. The secondary data was not easily available. Limited knowledge of the researcher in the field of research may lead to interpretation errors. Certain retailers were not comfortable divulging the figures and data, as they want to keep it confidential. The respondents may be based or influence by other factor. A busy schedule of dealers/distributors/retailers had made my collation of information very difficult. The projection is purely based on verbal meetings and may be influenced by unprecedented factors. Non -co -operative behaviour of respondent was a big problem in this survey & it is the important fact which should be taken into consideration.

The minor concept & techniques at the marketing management are used significant in the project concern. The research was based on primary collection of data so there may be chances of human error and biasness.

Chapter 7 Data analysis

Data Analysis

Figure: 1 Analysis based on availability


63 Villages having outlets villages having no outlets 121

Above chart shows that of 184 villages Coca Cola products are available in 121 villages. It indicates that Coca Colas brand prevalence in rural market of Patna. Patch of villages is lacking distributors attention, brand awareness among retailers and consumers.

Table 1 Availability in no. of villages Available Not available Total No. of outlets 121 63 184

65.76 34.24


Figure: 2 Status of outlets covered for sample size

Sample size

168 existing new 383

Out of sample size of 551 outlets-old retailors were 382 and new retailers were 168

For first part of the survey (existing retailers) location was decided according to sales (data from Hindustan Soft Drinks) area having more sales was given more part of the sample size for existing outlets, in order to understand the psychology of existing outlets, as shown in figure.

Table 2 No. of retail outlets Existing retail outlets New retail outlets Total No. of outlets 383 168 551 % 69.50 30.50 100

Figure: 3 Location of existing outlet:

160 140 120 100 number of outlet 80 60 40 20 0


96 76 Fatwah 69 Daniawan Khusrupur Punpun

location of outlet

Each route under HDS was analysed with delivery vehicle & complete knowledge was taken from respective market developer of each area. So, distribution of sample size for type of outlets (existing) was according to the route plan of delivery vehicle as shown clearly in figure.

Figure: 4 type of existing outlets

180 160 140 120 Grosery 100 no. of outlets 80 60 40 20 0 Figure:Type of Existing Outlets 27 9 48 Medical Stores E&D Convenience Juice Corner 153 145

As clear from the graph of existing outlets the most of the outlets approached were Grocery stores, E&D outlets and convenience stores. It makes clear that Coca Cola having very less business with Medical stores and juice this part needs more attention. There is huge potential in this area so must be targeted effectively.

E & D existing outlets covered were 48 as 28 were E & D 1 & 20 E & D 2. It signifies that company is lacking in sales for E & D 2.

Table: 3 Cross tabulation of type of outlet and reasons for doing business with Coca Cola.

Reasons for doing business with Coca Cola Sr. No Types of outlets B BS HD GS HP GQ AO


Grocery Stores(142) % within type Medical Stores(27) of busiE&D stores (48) ness

79.5 0

29.5 8




78.8 47.8 7 9

16.6 7

33.3 3

16.6 7



85.1 4

24.3 2 38.2 8

48.6 5 88.2 8 0

74.3 2 57.8 0 0

29.7 3 29.6 9 0

78.3 66.2 8 1


Convenience Stores(145)


76.5 60.9 6 0 3 0


Juice Corner(9)

33.3 3

Total %/100 total No. for each one then sum of all.








B-Brand value , BS-Better Scheme, HD-High Demand, GS-Good Supply, HP-High Profit, GS-Good service quality, AO-Any other

From this table it is clear that maximum retailers want to do business with Coca Cola because of brand value. High demand and good service also shows that: The major reason for keeping Coca Cola products by grocery store are brand value, high demand and good service quality, but less population is satisfied with schemes and discounts provided by the company. After analysing market it was found that Pepsi is providing more schemes and discounts as compared to coke.

Sale of products in medical stores is very less so huge potential is there. Company should make effective schemes to motivate them to sell their products. The major reasons for selling coke products by E&D outlets are brand value, Demand and good supply quality.

But after analysing the E&D outlets E&D type 1 are 32 and type 2 only 16. E&D type 2 outlets were selling more Pepsi as company is providing them selling assets like chairs, tables, rack etc. After studying Convenience store market it came to know that this sector was most satisfied and they are enjoying lot of reasons for doing business with coke. If discussing juice corners, Coca Cola is having very less reach to them. There is major gap which needs to be bridged.

This sector is almost untapped so lot of potential of increasing business is there

Figure: 5 locations of new outlets

Location of new outlets

80 70 60 50 no. of outlets 40 30 20 10 0 fatwah daniawan khusrupur punpun 15 45 36 fatwah daniawan khusrupur punpun 72

For distribution of the sample size for new location and new outlets it was decided that the areas and type of outlets which were giving less sales must be having more part of sample size, in order to smudge the reasons for less sales in particular area and type of outlet.

Figure: 6 Type of new outlets

Type of new outlets

60 50 40 33 no. of outlets 30 20 10 0 33 48 39 Grocery Store Medical Store E&D Convenience 15 Juice Corners

As clear from the graph of new outlets approached were grocery stores, E&D outlets and convenience stores. It makes clear that new E&D outlets were less approached. outlets at juice corner and medical stores were increased.

Table: 4 Type of outlet and reasons for not doing business with Coca Cola

The reason for not doing business with Coca Cola was segmented into 9 major factors. The major reason was that retailers were not satisfied with company policies as clear from the table too. The major factors are: Selling Goods Assets (SGA). It means those assets which help a retailor to sell goods. As refrigerator was an important SGA for a retailor and every retailer was demanding it, so it was becoming impossible for the company to satisfy every need of every retailer. Second major factor was company never approached and according to company too, they have only covered 13%FMCG outlets, while FMCG giant HUL has covered 82% FMCG outlets thus lot of scope for company to expand business. Thirdly in rural Patna distribution is indirect (manufacturer to dealer then to market) and retailers have commented a lot on this factor and effect of this is shown in table too. Fourthly Coca Cola is providing less commission, schemes and discounts as compared to its follower Pepsi and retailers are only interested in profit. Non suitability was another reason as medical stores and juice corners were resisting for doing business with coke. Company need to make special policies to tap this untouched market

Any other factors include Providing selling goods assets (S.G.A.) to retailers at the initial stage was impossible for the company so to satisfy needs of every retailer, company gives the priority level to them, which depends on location, sale of products etc. The major reason for not entering in soft drink sector by grocery store is that they find lot of problem when customers take RGB bottle and dont return back. Lack of knowledge about the product line.

Chapter 8 Observation and findings

Observation and findings

Pricing of the product as 200 ml for Rs. 11 & 600 ml for Rs.27 it becomes difficult for the retailer to pay back the balance money. Competition with local drink like Fruit juice, lemon water, sharbat, lassi and tea. Competition with local drink brands. Most of the retailors are having problem with timing and frequency of the delivery van. Dealers should increase the frequency or add more vehicles where required. Impurity of Coca Cola visi cooler. Brand order is not maintained in coolers. The marketing strategy of Coca Cola is better than its main competitor. The sales promotion strategy like discount to monopoly retailers and schemes on products is better than the competitors. The market share of Coca cola products is higher than the other products. Thumps-up is the leading brand of Coca Cola in different regions. Sale of product is largely based on display. Company investing more focus now in retailers in retailers of rural areas. Aggressive advertising campaigns of Coca Cola in rural areas helped it a lot to increase in sales. I found the proper display of products in racks and in coolers. Sales of coke are increasingly rapidly in rural Patna market where I do work study mostly. Retailers play an important role while selling products as they can divert the desire of a customer by providing same thing of other brands. Found many good outlets that wants Visi coolers from Coca-Cola. Also found dead & useless coolers. Some retailers complain about the service & repair of coolers. Retailers want if company want to change schemes daily delivery people should come with written orders from concerned authorities as they are cheated. The most popular flavour in the market is Thums Up.

From the Coca-Cola products Thums Up and the pepsi product Dew is the highest selling in the market. Coca-Cola is the market leader in overall market. In the case of the packaged drinking water Aquafina (pepsi) is selling more than Kinley(coke). I have found that a retailer gives more preference to the Coca-Cola products like Thums-Up, Mazaa , Sprite Limca and Fanta. Minute Maid, pulpy orange is sellable more in Fatwah market. If discussing schemes & discounts, Pepsi is providing more schemes than the CocaCola. Sales have increased after locating Visi cooler outside of outlet. The companies new concept pre-sale is welcomed in market. Few retailers do not get the companys actual scheme. Products are sold out of assigned areas by distributors in order to increase sales. If retailers complaints regarding discounts and trade scheme then they are not responded properly. There is a communication gap in distribution channel so retailers are not getting advantages of discounting and trade scheme.

Chapter 9 Suggestions


The company should measure retailers satisfaction regularly. Company can increase the sales if it will consider more on retailers, their suggestions or complaints about service and products so the necessary actions can be taken. Review meeting should be often held so that the working pattern of the sales people can be checked and improved if needed Company representative should visit retailers and should make a long term liaison with retailors so that they can push the product. Since brand value of Coca Cola and expectation of retailors from the brand is high. As the brand images show their quality is supervene so the company should also take the feedback time to time. By this they can maintain their brand loyalty in their consumers. Distributors should be convinced to pass the information incentives to the retailers so that they are motivated to promote this brand. Increase the number of dealers and retailers as this will help in making high sales volume. Cash discount should be given and be competitive and luring. Try to maintain the good image of the monopoly outlets in market by developing the image i.e. by glow boards, sign boards, and point of sales material (P.O.S.M.) and by providing good quality service. By this the monopoly of the retailer will continue and it will promote other retailers to adopt Coca Cola monopoly. Company should also attain to small outlets so that there sales can increase. Company should diverse its business in related part of F.M.C.G. sector like icecreams, butter and chocolates as company has well established system in every.

Now company should launch new taste of soft drinks like recently launched Minute maid and also launch new products in another flavours. Company representative should search new areas for increasing sales. In winter Season Company should give more discount and schemes to the retailors so they sell more products. Company should make aggressive strategy to fight with major competitors and major local cold drink brands. If possible try to give more discounts and schemes where ever required. Supply and distribution system should improve in rural and remote areas.

The company should work out in their complaints regarding to the visi coolers. Company should take the problems of cut off rates seriously. Illegal distribution done by some distributors should be minimised.

Chapter 10 Conclusion

Working with such an organisation on ground level gave a rich experience about the ground retailors of beverage market. Understanding the organisation and moulding the novice thoughts to their benefit is another experience. The ground level is as real and harsh side revels at times, when talking to retailers or buyers really turns into an argument. Many a times I had to deal with harsh people politely too, but diplomacy in that was a learning. Understanding working culture and witnessing the change in system during my work period includes high value of organisation into us. The study makes us conclude that Coca-Cola has the biggest consumer market against any other beverage producing company. It is the number one brand just because people love it and those who love it, they love it by all means I.e. brand loyalty. It has a big market share because of demand and this is the way the bargaining power of suppliers is weak. And consumers love it so much so that prices hardly matters for them. But in many rural and remote areas we are yet to cover the gap. Thus looking at the challenges and the opportunities which rural markets offer to the marketers it can be said that the future is very promising for those who can understand the dynamics of markets and exploit them to their best advantage. A radical change in attitude of marketers towards the vibrant and burgeoning consumers rural markets is called for, so they can successfully impress on the 230 million rural consumers spared over approximately six hundred thousand villages in rural India. Rural market has an untapped potential like rain but it is different from the urban market so it requires the different marketing strategies and marketer has to meet the challenges to be successful in rural market.

Chapter 1 1 Bibliography


Internet site

Advertisement on Coca Cola products. Consulted Books

Research for marketing decision by P.Green, D.S. Tull, G.Albaum Marketing Management- Phillip Kotler

Chapter 12 Annexure

Annexure Questionnaire Work format

Questionnaire for Existing Outlets: Hindustan Coca Cola Beverages Pvt. Ltd. Disclaimer: This survey is being carried out to in compliance of the course curriculum of the Summer Trainee, by filling out this questionnaire you accept and provide the permission to use the data in the survey. The questionnaire will take 5-6 mins. to fill out (result of the pilot test). Just tick () whichever is applicable in the appropriate questions. Questionnaire: Q1. Name of Outlet:

Q2. Location:

Q3. Type of Outlet a. Grocery store e. juice Corner T1 b. Medical Store T2 c. E & D outlets d. Convenience Store

Q4. Deal with beverages, packaged juices and packaged water a. yes b. No c. Not all

Q5. If yes, which brands? a. Pepsi b. Coca-Cola c. Parle d. Dabur

e. Any others

Q6. Retailers VPO (Volume Per Outlet)

a. Coke

b. Pepsi

c. For


Q7. How often do u order?

Q8. If you do business with Coke, give reasons for keeping it. a. Brand Value c. High Demand d. Good Supply f. Good Service b. Better Scheme c. High Demand e. High Profit Margin g. Any Other

Q9. Any problem do you face while doing business with Coca-Cola. a. Timing and frequency of stock vehicle b. Sales mans attitude e. Complete information and daily schemes g. Any other b. sales mans ability d. Daily in orders f. Delivery mans professionalism

Suggestions if any:



Questionnaire for New Outlets:

Hindustan Coca Cola Beverages Pvt. Ltd. Disclaimer:

This survey is being carried out to in compliance of the course curriculum of the Summer Trainee, by filling out this questionnaire you accept and provide the permission to use the data in the survey. The questionnaire will take 5-6 mins. to fill out (result of the pilot test). Just tick () whichever is applicable in the appropriate questions. Questionnaire Q1. Name of Outlet: Q2. Location: Q3. Availability of Coca-Cola products (yes/no) Q5. Criteria no.7 (criterias for a new outlet) of the retailer? Q6. Type of Outlet a. Grocery Store d. Convenience store b. Medical Store e. Juice Corner T1 T2 c. E & D Outlets

Q7. Reasons for not doing business with Coca-Cola? a. Never approached by the company d. Company Policies g. lack of space in shop i. Any other Suggestions, if any: b. Less Demand c. Profitability f. Distribution system h. Non Suitability



New outlet opening form: