Coca Cola Viet Nam

1.The company
a) Finance:
- Initial investment capital in Vietnam is 163 million USD.
- In September 2010: Coca-Cola invested another 200 million USD in the Vietnamese
market
- Annual revenue is about 38,500 million USD.
b) Organization structure
According to Coca Cola Jouner, in 2017, Coca Cola Vietnam Company has about 2,500
employees, of which more than 99% are Vietnamese. It has 3 large factories located in
Hanoi, Da Nang and Ho Chi Minh City. Each factory has enough capacity to meet the
consumption demand of the market in the North, Central and South regions respectively.
c) Products development
Coca-Cola operates in the beverage sector including purified water, non-alcoholic drinks
and carbonated drinks. The company has created many types of drinks with different
flavors and designs to meet the diverse needs of customers, such as: Low-gas Coke,
Sprite, Fanta, Vanilla-flavored Coke,etc. ... The company has constantly researched and
developed many new products to serve Vietnamese consumers such as Joy bottled water,
Samurai energy drink, Sunfill fruit powder. The Coca-Cola Company continues to
commit to long-term business in Vietnam and innovate to meet the increasing demand in
the dynamic and potential beverage market in Vietnam.
2. Suppliers
a) Ingredients suppliers
- CO2, food coloring, phosphoric acid, caffeine are purchased by the company, but to
ensure competitive prices, the company does not disclose it publicly.
- Sugar is supplied from the KCP Sugar Company
- Natural Flavors: The essence of Coca Cola's secret recipe is a blend of natural flavors.
This is the most protected of the recipe. So it is supplied from the Coca Cola Parent
Corporation
- Water is supplied from the water plants in the area where the factory is located.
- Coca Cola leaves are provided by the Stepan processing company in Illinois, USA.
b) Packaging suppliers
- Supply of bottles: Dynaplast Packaging (Vietnam) Co., Ltd. provides high quality
bottles for Coca Cola.
- Supply of packing boxes: Bien Hoa Joint Stock Company provides high-class cartons
and paper boxes for preservation and domestic consumption to the Coca Cola Vietnam
beverage company
c) Delivery suppliers
3. Market intermediaries
- Channels to supply Coca Cola products to consumers:
+ Producer-consumer.
+ Producer - retailer - consumer.
+ Manufacturer - wholesaler - retailer - consumer.
- According to the most recent data, in 2012, Coca Cola had 50 major distributors in all 3
regions, thousands of agents across the country and presented in most of the wholesale
supermarkets nationwide.
Some major distributors
+ North: Vân Vân Coca Cola beverage distributor, Nguồn sống Việt Co, Ltd
+ Central: Thiên Chấn Hưng Coca Cola beverage distributor , Phúc Thiên Trang Coca
Cola beverage distributor
+ South: Đăng Khôi Coca Cola beverage distributor, Hoàng Cơ Office
- Retailers
Coca Cola's products are available on all retail channels including: restaurants,
commercial centers, shopping malls, retail stores, beverage shops, etc. Forecast to 2020,
Vietnam retail market of Coca Cola consists of about 1,200 -1,500 supermarkets, 180
commercial centers, 157 shopping malls.
4. Competitors
a) Direct
- PepsiCo Viet Nam
+ In the carbonated drinks market: Pepsi
+ In the energy drinks market: Sting
- Tribeco
- Redbull
b) Indirect
- Coffee companies
- Tea companies
- Beer companies
c) Potential
Vietnam's beverage market is currently quite attractive, attracting many large domestic
and foreign companies to participate. Many companies in beverage in Korea, Japan….
want to enter the market, as well as domestic beverage businesses, which are developing
strongly. Coca-Cola also faces counterfeit brands on product packaging and flavors,
affecting sales and brand reputation of Coca-Cola.
5. Publics
6. Customer market
a) Consumer market
Coca Cola's products are suitable for all ages: children, teenagers, offices, households,
etc.
b) Reseller market
Forecast to 2020, Vietnam retail market of Coca Cola consists of about 1,200 -1,500
supermarkets, 180 commercial centers, 157 shopping malls.