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Pakola (Mehran Bottlers Ltd.

) Business Policy

PAKOLA
[Mehran Bottlers Ltd.]

Section 1:
VISION AND MISSION
“A TASTE OF THINGS TO COME”

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Pakola (Mehran Bottlers Ltd.) Business Policy

VISION AND MISSION STATEMENTS (ACTUAL)

Quality Policy
Vision
To be SECOND TO NONE in exceeding customer expectations for Taste and Flavor, Product
Safety, Quality and Price Competitiveness.

Mission
To develop, implement and continuously improve the Integrated Management Systems in a
culture of continuous improvement which:
 Directs the continual up-gradation for efficient and environment friendly manufacturing
technology.
 Monitor and improve the efficiency and effectiveness of all business processes.
 Promotes professional and flexible work environment, teamwork and innovation through
employee participation and process ownership.
 Drives customer orientation at all levels within the organization.
 Monitor and economize the Cost of Quality.

Environmental Policy
Vision
To be SECOND TO NONE in protecting OUR SHARED environment, as EARTH MATTERS for our
future generation.

Mission
To support this vision, we will continually:
 Comply with applicable local and other environmental regulations and strive to secure
fundamental reforms that will improve their environmental effectiveness and reduce the cost
of compliance.
 Improve the environmental performance of our products and processes by minimizing the
negative impact on the environment and adopting where practical cleaner production and
recycling method.
 Protect the health and safety of our employees and the surrounding human communities and
ecosystems.
 Use natural resources, including raw materials, energy, and water, as efficiently as possible.
 Take into account the principles of sustainable development in conducting its administrative,
manufacturing, marketing and social activities.
Participate in initiatives to improve the Quality of the environment.

Food Safety & Hygiene Policy
Vision
No comprise on consumer health by maintenance and improvement of Soft Drink and Drinking
Water safety and workplace hygiene conditions.

Mission
To develop, implement and improve the Integrated Food Safety and Quality Management
Systems in a culture of continual improvement which:
 Provides framework based on HACCP, CODEX Alimentarius and CGMP for safeguarding the
consumer health.
 Supports the use of scientific knowledge, risk analysis and controls in the enhancement of
hygiene conditions and practices.
 Educates people on Good Manufacturing and sanitization practices.

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Pakola (Mehran Bottlers Ltd.) Business Policy

VISION STATEMENT (PROPOSED)

It is our vision to be the best and leading provider of food and beverage products in Pakistan,
and among the top ten food and beverage companies in the world, by continually challenging present
conventions and always staying a step ahead of the competition.

MISSION STATEMENT (PROPOSED)

It is Mehran Bottlers’1 mission to be the number one food and beverage company in Pakistan by
providing our customers with the highest product quality in terms of taste, experience, and
satisfaction. We will ensure this through an unwavering dedication to the continuous development of
our products and processes ensuring that we remain best in class. We will strive to hire the most
competent and dedicated employees whose work ethic will set the standard in the industry. We will
be paymasters, as we strongly believe that human resource is the only asset that truly appreciates over
time. We will also be a responsible social corporate citizen, and strive to enhance the quality of life in
the markets we serve.

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Throughout the duration of this report, unless otherwise specified, we will be using the name Pakola to signify the
company Mehran Bottlers Limited, and not the specific brand.

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Pakola (Mehran Bottlers Ltd.) Business Policy

PAKOLA
[Mehran Bottlers Ltd.]

Section 2:
EXTERNAL AUDIT
“A TASTE OF THINGS TO COME”

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to obtain? 12. distribution channels? 8.Pakola (Mehran Bottlers Ltd. but because Pakola is a wholly owned subsidiary of Mehran Bottlers. YES NO A THREAT OF NEW ENTRANTS ~ (+) (–) Do large firms have a cost or performance advantage in your 1. Can the newcomer expect strong retaliation on entering the market? 5 . from the perspective of Pakola. Is serviceable used equipment expensive? Does the newcomer to your industry face difficulty in accessing 7. Ltd. segment of the industry? 2. we are referring to not only the concentrate manufacturing concern.) Business Policy EXTERNAL ENVIRONMENT Porter’s Five Forces Applying Porter’s five forces to the Pakistani beverage industry allows us to garner a retrospective view of the potential attractiveness in terms of profitability of the industry. We first must analyze the industry through the five-force template. skilled people. Therefore. we are also including the bottling industry. Are there any proprietary product differences in your industry 3. Are there any established brand identities in your industry? 4. give you lower costs? Are there any licenses. Do your customers incur any significant costs in switching suppliers? 5. materials or supplies? Does your product or service have any proprietary features that 10. are in fact just one industry: the beverage industry. insurance or qualifications that are difficult 11. Does experience help your to continuously lower costs? Does the newcomer have any problems in obtaining the necessary 9. Is a lot of capital needed to enter your industry? 6. When discussing the beverage industry. which will allow us to more accurately gauge the industry in terms of its potential. all our analytical studies will follow that both the concentrate and bottling industries.

9. The customer will incur costs in switching to a substitute. purchases? 3. 4. Your product is unique to some degree or has accepted branding. each with relatively small 2. Does the buyer need a lot of important information? 5. function in-house? 7. 3. offset their lowest price. in the business? Do you have a large number of customers.) Business Policy YES NO B BARGAINING POWER OF BUYERS ~ (+) (–) Are there a large number of buyers relative to the number of firms 1. Does the customer face any significant costs in switching suppliers? 4. YES NO C THREAT OF SUBSTITUTES ~ (+) (–) Substitutes have performance limitations that do not completely 1. 6 . Your customer is not likely to substitute.Pakola (Mehran Bottlers Ltd. Your customer has no real substitute. 8. You provide incentives to the decision makers. 10. Your customers’ businesses are profitable. Is the buyer aware of the need for additional information? Is there anything that prevents your customer from taking your 6. Or. their performance is not justified by their higher price. Your customers are not highly sensitive to price. 2.

costs. My customers would incur significant costs in switching to a 7.) Business Policy YES NO D BARGAINING POWER OF SUPPLIERS ~ (+) (–) My inputs (materials. 5. 9. I have many potential suppliers. It would not be hard to get out of this business because there are no 6. The industry is not cyclical with intermittent overcapacity. There are significant product differences and brand identities 4. My business is important to my suppliers. costs. etc. specialized skills and facilities or long-term contract commitments. customers would find it difficult to perform my function in-house. The competitors are diversified rather than specialized. My product is complex and requires a detailed understanding on the 8. between the competitors. My competitors are all of approximately the same size as I am. services. My cost of purchases has no significant influence on my overall 7. 6. labor. rather than unique or differentiated 2. I can substitute inputs readily.Pakola (Mehran Bottlers Ltd. competitor. 2. I can switch between suppliers quickly and cheaply. The fixed costs of the business are a relatively low portion of total 3. 4. 7 . 5. supplies.) are standard 1. part of my customer. The industry is growing rapidly. YES NO E DETERMINANTS OF RIVALRY AMONG EXISTING COMPETITION ~ (+) (–) 1. etc. My suppliers would find it difficult to enter my business or my 3.

making it a favorable point for this industry. 0 4 5 competitors.Pakola (Mehran Bottlers Ltd. and that is because in recent times a health craze has taken over all respects of life. 5 1 1 suppliers. it would be quite a daunting task to change the hard and fast perception of millions of consumers. we can see that this industry is reasonably attractive. worldwide. it gets an unfavorable rating when it comes to this regard. 8 2 2 very low Bargaining power of Bargaining power of buyers 2. and these buyers often purchase this industry’s relatively low priced products on a habitual. or convenience basis.) Business Policy Un- F OVERALL INDUSTRY RATING Favorable Moderate favorable Implications Threat of new entrants is 1. impulse. it is considerably difficult and costly to set up the factories and bottling plants required. Threat of substitutes. suppliers is considerably low Intensity of rivalry among Intensity or rivalry is 5. The following analysis of each external force will allow us to further corroborate our findings. it would signify a heavy reduction in the consumption of sugary 8 . thus making it favorable for the industry. Also. Therefore. Threat of new entrants. still poses a considerable threat to the overall profitability of the industry. extremely high A thorough investigation of the five-force template shows us that the industry is highly favorable when it comes to threat of new entrants. Yet because of a cutthroat rivalry between existing players. for a new entrant. 5 3 2 buyers. Furthermore. 1 2 1 mediocre Bargaining power of Bargaining power of 4. Threat of new entrants In this industry. although mediocre. Bargaining power of buyers There are an extremely large number of buyers as compared to companies in the industry. Threat of substitutes The threat of substitutes. Therefore when aggregating these results. is considerably low Threat of substitutes is 3. the beverage industry has scored favorably. In the remaining three forces. it would be extremely difficult if not impractical to infiltrate the established distribution network of the current players like Pepsi and Coke.

glass bottles. Yet even with approximately 5% of the total market share. In Pakistan the market is dominated by the two international giants.) Business Policy and carbonated cola based beverages. 9 . Bargaining power of suppliers Most of the raw materials required in the beverage industry are non-specialized commodity products. leaving little room for others to grow. and energy drinks. high-fructose corn syrup. it is also considerably difficult for any one supplier of the beverage industry to integrate forward into the concentrate manufacturing and bottling businesses. and instead prompt consumers to opt for healthier drinks such as fruit juices. This indicates that suppliers are non-specialized.Pakola (Mehran Bottlers Ltd. Furthermore. plastic bottles and cans. Pakola can still manage to be profitable in a cutthroat industry. and we plan to position it strategically in order to do so. with market shares respectively of 77%. carbonated water. allowing companies in the industry to switch between suppliers without losing any strategic alliance or significant cost advantage. Pepsi and Coke. Rivalry among existing players The players in the beverage industry have one of the most competitive rivalries in any industry. such as sugar. and 16%.

and with its 55 years of established presence. Potential Entrants +++ Threat of New Entrants The Industry Bargaining Bargaining Power of Suppliers –– Power of Customers Suppliers Buyers ++ + Rivalry among Existing Firms Threat of Substitute Products or Services Substitutes – 10 . that stems from its history of centralized power base and tall and unprofessional organizational structure.Pakola (Mehran Bottlers Ltd. Pakola is well positioned to leverage that history so as to attain a competitive edge. Mehran Bottlers’ current focus is one of a lackluster “if it ain’t broke.) Business Policy The beverage industry is a reasonably attractive industry to be in. then don’t fix it” attitude.

as it is not heavily dependant on technological advancements like the consumer electronics industry. and ecommerce applications. towards cold drinks. is the government’s policy of banning the serving of food at wedding receptions. This pressure mostly arises from a high levy of taxes. or the software industry.Pakola (Mehran Bottlers Ltd. Such economic factors have a resounding impact on related industries. yet the result is positively in favor of beverage companies. This has prompted an increase in the consumption rates of soft drinks and carbonated beverages. and fruit juices. there has been a crisis in the production of sugar in Pakistan. however this time positively. Social A major social trend in the rural areas of Pakistan has been a shift from presenting guests with drinks such as lassi. This trend has spurned more from impressive distribution networks and less from increased advertising. Recently. Technological Technology plays a secondary role in this industry. Because beverage products are non-tech based in nature. For one. technology in this industry is therefore limited to function as a catalyst to improve production capacities. This extremely high double taxation rate greatly deters the players in the industry from charging premium prices for perceived value addition. some were affected by the agri-based crisis. Another political factor that impacts the beverage industry.) Business Policy PEST Analysis Political There is significant political pressure on the beverage industry in Pakistan. inventory management. with prices skyrocketing. and although most companies in this industry have switched from sugar to high-fructose corn syrup. there have been complaints from several quarters regarding the excess wastage of water in the production of aerated beverages. Economic There are several implications of the economic situation of Pakistan upon the beverage industry. which totals up to about 36% of retail prices. 15% central excise duty. as well as 18% sales tax. speed of product manufacturing cycles. red sherbet. which for a population compounded with astounding poverty levels raises points for concern. 11 .

) Business Policy PAKOLA [Mehran Bottlers Ltd.Pakola (Mehran Bottlers Ltd.] Section 3: INTERNAL AUDIT “A TASTE OF THINGS TO COME” 12 .

and Raspberry are all examples of Pakola’s internal ability to create different and previously unheard-of drinks successfully. the company has at its disposal 56 vans from where it serves both the rural and urban markets in Karachi and its surrounding feeder markets. Thus because Pakola is a differentiator.) Business Policy Internal Resources Value chain Suppliers Mehran Bottlers Distribution Retail End Customer Channels Channels According to our analysis. For companies opting for a low cost strategy it is necessary to focus instead on purchasing. distribution. Another pothole in Pakola’s distribution is that they have not been able to infiltrate the restaurant industry with their beverages like Pepsi and Coke have done. Apple Sidra. Pakola’s stagnant market share figures are in part a result of its poor distribution setup. It is through this that they have managed to 13 . Lychee. the company has foregone on the huge urban markets. Yet although a major focus is placed on serving the rural markets. From a logistics standpoint. One saving grace is that even with such poor distribution. Pakola should concentrate on driving its core competencies to create differentiation in product research and development.Pakola (Mehran Bottlers Ltd. Such unique flavored soft drinks such as Ice-cream Soda. This core competence leads to its competitive advantage of being a beverage manufacturer of unique flavored drinks. their product’s quality is commendable in that it has maintained a steady base of loyal customers. Presently Pakola has three unique tastes which is currently absent in the other beverage companies. Mc Donalds. Pakola is forced to suffer with a low market share. KFC and other fast food restaurants. By failing to act on serving this potential goldmine. it should communicate this differentiation. The product’s quality. One of the main drawbacks of Pakola’s current strategy is that it hardly conveys its message to its consumers. advertising and marketing efforts all become insignificant when the product is not available in a wide number of retail outlets. and marketing. production R&D. This ‘fountain’ business segment makes up a large and highly profitable part of cola companies businesses. This will be further discussed in later sections. and manufacturing activities. It has missed such big markets like Pizza Hut. Therefore this is a major point of concern for the company because it will dictate its success in the short run. we have found that the major flaw in Mehran Bottlers’ value chain is its distribution network. Distinctive Competence The distinctive competence of Pakola is its ability to create unique tasting flavors which none of its competitors are able to do.

Strategic Cost Management As per our analysis Pakola. 14 . This trend can be immensely improved by focusing on weak areas like distribution and marketing. because it is a unique taste that consumers demand for when they choose a drink. whereas FMCG companies like Unilever have a significantly lesser number of vans even though they have much better market reach. Pepsi has managed to create such an impressive and unmatchable distribution network setup that it has become their distinctive competence and competitive advantage. and oftentimes when Pakola’s ice-cream soda is not available. In the beverage industry. a company following a differentiation strategy should instead aim to manage cost strategically in order to optimize resources and internal efficiencies.) Business Policy build brand loyalty with consumers. and will only serve to lessen the competitiveness of the company itself. being a Seth-owned company. with an estimated 4% share. As stated in their current mission statements. They do not publish any kind of financial information and instead guard as a closely held secret. we deduce that Pakola makes about Rs. Yet according to our own estimates. is not effectively managing its costs. Pakola’s revenues seem lackluster at best.2. selling 8 million cases of cola per year. along with costs that arise in a bureaucratic organization with little formal structure. where Pepsi and Coke combined have nearly 95% market share. This mindset is highly limiting in its nature.Pakola (Mehran Bottlers Ltd. This is a misinterpretation of what is required for a differentiator.58 billion per annum of the cola Industry. Financial Trends Pakola is privately owned concern with a highly centralized authority base that results in a tall organization structure. Considering that another Pakistani company. brand loyal consumers will settle for anything. one of their focus is to reduce costs so as to be a low cost operator. distribution is of vital importance. Pakola needs to reduce this unnecessary expense. Mehran Bottlers has 56 vans with which it supplies its products. PSO makes 4. Rather than reducing costs seeking to be a loss leader.3 billion per annum in revenues. From the gross revenue of Rs.2Bn in after-tax profits. In an increasingly growing industry. this figure is not impressive in the least bit. As discussed earlier. Pakola has 4% market share of the cola-market.

Pakola (Mehran Bottlers Ltd.] Section 4: COMPANY AND COMPETITOR ANALYSIS “A TASTE OF THINGS TO COME” 15 .) Business Policy PAKOLA [Mehran Bottlers Ltd.

25 4 1. Advertising programs that are basically demand-building exercises are useless if the product has little market reach and is not meeting the created demand.00 1. The areas where Pakola has taken a beating are in market share and distribution.) Business Policy Competitive Profile Matrix Pakola Pepsi Coke Critical Success Weighted Weighted Weighted Weight Rating Rating Rating Factors Score Score Score Market Share 0.60 3 0.30 4 1.50 2.30 1 0. In due time the company should build up its own sales teams so as to make distribution a core competency of theirs. This low figure is representative of Pakola’s inability to leverage its competitive advantage of unique tasting flavors successfully. with the expertise in how to effectively increase a company’s reach into the market.45 Product Quality 0.80 2 0.40 Total 1.30 4 0. before concentrating on marketing activities in the hopes of increasing market share.30 4 0. This is one of the major mistakes companies make when following a differentiation strategy.65 Pakola received a score of 1. This inability stems from the company’s lack of effective communication of their offering and its uniqueness.00 2 0.40 2 0.10 3 0.30 3 0.25 1 0.20 4 0.95 in the competitive profile matrix. From a strategic viewpoint however.40 Financial Position 0. This is exactly the mistake that Pakola has made. Yet they should trust an established distribution company in the short-run to improve its product availability.20 3 0. Pakola needs to strategically outsource their distribution setup to a distribution company such as Muller and Phipps. they assume that consumers will recognize the difference that they offer.15 2 0. distribution is the area which Pakola should target in the short run if they hope to achieve any type of success. 16 .95 3. Therefore.Pakola (Mehran Bottlers Ltd.90 Distribution 0.50 Customer Loyalty 0.

Online order booking system 5. Ineffective marketing 3. Increase in foreign imports of beverages 3. Extremely brand loyal customers 3. Automated bottling plant 4. 55 years established presence 2. Rising prices of sugar and sugar substitutes 4. Centralized decision making process 5. Health conscious trend in lifestyles 2. High growth rate of food industry 3. Increased demand in rural markets Threats 1. Engro’s entry into the food and beverage (milk) industry 2. No formal organization structure 4. Main competitors are international giants of the industry 17 . Public perception of being an innovator Weaknesses 1. Weak distribution setup 2.Pakola (Mehran Bottlers Ltd. Lack of professional employees Opportunities 1.) Business Policy SWOT Analysis Strengths 1.

18 .08 2 0.24 Weaknesses Weak distribution setup 0.04 Public perception of being an innovator 0.12 Extremely brand loyal customers 0. One is the formation of a structured and competent distribution network through the enabling of sales force teams.16 Lack of professional employees 0. This signifies that the company has a weak internal system and is not able to effectively manage any of their strengths in a meaningful manner.10 2 0.08 3 0. and over time develop the organization required for an internal distribution setup.04 1 0.14 Ineffective marketing 0.12 Centralized decision making process 0. An alternate path would be to outsource the function to an existing distribution company like Muller and Phipps in the short-run.86 in the internal evaluation.86 Pakola received a total score of 1.12 1 0.20 No formal organization structure 0.14 4 0.12 1 0. from our internal factor analysis we can form two possible strategies.10 2 0.56 Automated bottling plant 0.20 Online order booking system 0. it is worthy to note that their weak distribution setup had the most weightage. Also of their weaknesses.00 1. Therefore.08 1 0.14 1 0.) Business Policy Internal Factor Evaluation Weighted Key Internal Factors Weight Rating Score Strengths 55 years established presence 0.Pakola (Mehran Bottlers Ltd.08 TOTAL 1.

and pure clean milk.44 High growth rate of food industry . Of the key external factors. This mistake coupled with ineffective marketing has put Pakola in this situation. Pakola is not catering to this potential gold mine of a market.30 Total 1.14 3 .12 2 . Therefore.22 2 . 19 . when the name stood mainly for their ice-cream soda cola drink in the minds of consumers. they create a mental conflict in users.12 2 .12 Increased demand in rural markets .00 1. This means that they are not currently well equipped to take advantage of opportunities in the external environment. between fizzy carbonated colas.24 Main competitors are international giants of the industry . nor defend against potential threats. 2 For Mehran Bottlers’ complete Brand Portfolio please see the appendix.10 3 . Launched a little after Pakola launched its line of milk products.12 1 .42 Threats Engro’s entry into the food and beverage (milk) industry .Pakola (Mehran Bottlers Ltd.) Business Policy External Factor Evaluation Key External Factors Weighted Weight Rating Score Opportunities Health conscious trend in lifestyles .18 1 .94 Pakola received a score of 1.94 in the external factor evaluation. The company stretched its Pakola brand name to its UHT milk as well as to its flavored milks2. the opportunity of health conscious trend in lifestyles got the highest rating because this has become a huge market which most major players in the industry are already tapping into with their diet products. Apart from Diet Bubble-up.24 Rising prices of sugar and sugar substitutes . Pakola’s weak branding choices regarding its milk products reflect this ineffectiveness in communicating to end-users.18 Increase in foreign imports of beverages . Olper’s had the backing of a massive marketing and advertising campaign that clearly communicated their position and proposition to consumers. Engro’s entry into the food and beverage market with Olper’s milk has presented Pakola with a competitive challenge. by stretching the brand name to milk.

Automated bottling plant 4. Increase in foreign imports 2. Rising prices of sugar and marketing opportunities sugar substitutes 4. Online order booking system process 5. By tapping into this market they would be able to hit two birds with one stone. Health conscious trend in 1. Hire Muller and Phipps to lifestyles current products handle distribution 2. Increased demand in rural 3. Pakola can instead focus its short-term resources towards the structuring of its organizational setup. Weak distribution setup presence 2. Introduce line of 1. Public perception of being 5. and also they would be targeting adults who wish not to drink extremely sweet sugary drinks. Introduce diet versions of current products By allowing an experienced distribution expert like Muller and Phipps to handle its distribution. Instate a proper human of beverages to take advantage of direct resource division 3. 55 years established 1. High growth rate of food 2. Conduct an aggressive and beverage (milk) customizable drinks and marketing and advertising industry orders campaign targeting youth 2. Ineffective marketing 2. Introduce diet versions of 1. Extremely brand loyal 3. 20 .) Business Policy TOWS Matrix Strengths Weaknesses 1. They would be targeting those consumers whose lifestyles revolve around healthiness. and must be addressed before the company can expect extended success and profits. Lack of professional an innovator employees Opportunities S-O Strategies W-O Strategies 1. 1. Engro’s entry into the food 1. No formal organization customers structure 3.Pakola (Mehran Bottlers Ltd. Centralized decision making 4. Initiate push-cart program 2. we will now focus our discussions towards two of the main strategies that should be undertaken in the near future. Line extend into fruit juices markets Threats S-T Strategies W-T Strategies 1. Hire Muller and Phipps to handle distribution concerns 2. The issues with Pakola’s management setup are the root cause of its lackluster strategic business performance. Main competitors are international giants of the industry Of the several strategies detailed above. Diversify into food (candy) concerns in the short-run industry manufacturing 3. The second strategy that they can enforce is the introduction of diet versions of their current product portfolio.

4 Industry strength +5.2 + (-2.0 + (-1.6) = 3.) Business Policy Space Matrix y-axis Financial strength +2.4) = -0.Pakola (Mehran Bottlers Ltd. 21 .6 -6 worst to –1 best X axis: 5.0 +1 worst to +6 best FS Conservative Aggressive CA IS Defensive ES Competitive Pakola is positioned towards a competitive approach due to its unique competitive advantage and the strength of the industry it is operating in.8 -6 worst to –1 best x-axis Competitive advantage -1.2 Environmental stability -1.2 +1 worst to + 6 best Y axis: 2.

99 1.0 to 3.99 Medium IV V VI The EFE 2.Pakola (Mehran Bottlers Ltd.0 2.99 PAKOLA 22 .99 High I II III 3.) Business Policy Grand Strategy Matrix Rapid Market Growth Quadrant II Quadrant I PAKOLA Weak Strong Competitive Competitive Position Position Quadrant III Quadrant IV Slow Market Growth I-E Matrix The IFE Total Weighted Score Strong Average Weak 3.0 to 2.0 to 2.0 to 4.0 to 1.0 to 1.99 Total Weighted Score Low VII VIII IX 1.

32 2 0.12 2 0.30 No formal organization structure 0. 23 .10 3 0.Pakola (Mehran Bottlers Ltd.42 Ineffective marketing 0.42 Threats Engro’s entry into the milk industry with Olper’s .08 1 0.00 1.) Business Policy QSPM Strategic Alternatives Key Internal Factors Weight Introduce Outsource Diet Line Distribution Strengths AS TAS AS TAS 55 years established presence 0.08 4 0.14 3 0.12 Rising prices of sugar and sugar substitutes .12 Centralized decision making process 0.18 1.22 High growth rate of food industry .10 1 0. This is in line with their current strategic direction.66 Opportunities Health conscious trend in lifestyles .14 1 0.32 SUBTOTAL 1.12 Increased demand in rural markets .20 2.14 1 0. we see that it is more attractive to outsource our distribution networks rather than launch a diet line of products.10 Online order booking system 0.30 1 0.00 1.30 From our Strategic Alternatives evaluation.08 4 0.64 SUM TOTAL ATTRACTIVENESS SCORE 2. and will allow Pakola to fortify their market reach before introducing new products that will be harder to push through the distribution channels.18 Increase in foreign imports of beverages .14 Automated bottling plant 0.10 3 0.36 Extremely brand loyal customers 0.02 0.14 3 0.04 Public perception of being an innovator 0.08 Lack of professional employees 0.88 1 0.12 Main competitors are international giants .10 SUBTOTAL 1.16 Weaknesses Weak distribution setup 0.22 4 0.24 3 0.

) Business Policy PAKOLA [Mehran Bottlers Ltd.] Section 5: GENERIC STRATEGY “A TASTE OF THINGS TO COME” 24 .Pakola (Mehran Bottlers Ltd.

In their current vision and mission statements. Increase unit sales 3.) Business Policy Generic Strategy Type of Advantage Sought Broad Low Cost Broad Differentiation Range of Buyers Focused Low Cost Focused Differentiation The generic strategy that Pakola needs to pursue is that of differentiation. After which they should opt for a broad differentiation generic strategy. it is necessary that the company communicate its differentiation to its customers. Charge a premium 2. at the expense of sounding simplistic. which means that they should selectively choose which markets will profit them the most and then target only those markets until such provisions are in place from where the company is able to expand its target base. Gain buyer loyalty However. yet through our thorough analysis of the strategic direction the company needs to adopt a generic strategy of differentiation. otherwise these three advantages will not avail themselves.Pakola (Mehran Bottlers Ltd. Initially Pakola will need to adopt a focused differentiation approach. the company says it aims to be a low cost leader. 25 . 1. This will allow Pakola to do three things.

With the market just turning the bend to ‘saturation’. This will require a very circumspectly devised implementation plan. Therefore. no market researches and virtually zero market feedback and almost absolute consumer ignorance are at the very core of this business which has amazingly continued to survive for such a surprising span of time. Proposed Generic Strategy The current generic strategy being deployed (involuntarily so) by Mehran Bottlers Pakola is a distorted version of what our textbooks would define as a ‘focused differentiation’ with their unique selling preposition of sporting the truly unique taste being targeted at a market that is ciphered on the basis of ‘convenience’.E. If the business were to be described in one word. A turn-around is required here. is poof of the potential that this brand has and the magnitude of success it is capable of.O has a very disorganized business with no strategically developed formal hierarchy in place. which would then lead to a shift in strategy directing the business to align itself for ‘Broad Differentiation’. most likely because of the intense brand loyalty that it’s consumers have even without any strategic marketing efforts being executed by the company itself. or a ‘revolution’ if you may. which must be engineered so as to enable a complete turnaround of the organization in order for it to facilitate the consolidation of it’s unique brand Pakola. it will need to be revamped to it’s very core. ranges and even businesses into a versatile range of products to put in place more infantry on the battle ground to use to their advantage in this war of brands. taking into consideration all Functional and Administrative Fits. Pakola through extensive strategic market research and consumer insights to be able to home in on the correct target market like a precision targeting missile rather than as an Anti- aircraft gun. Pakola caters to whichever markets it finds ‘convenient’ to cater to.) Business Policy Current Generic Strategy Vs. Therefore. to achieve our strategic objectives it is essential that the business will need to be completely overhauled. It continues to trudge blind. 26 . it is entering a phase of intense competition with all major players diversifying their product lines. this business has ‘no eyes’ no ears’. Operating without a Marketing Department since its very inception. the entire business. instead Pakola has an organizational structure which has ‘evolved’ as a result of a ‘need to be and do’ basis.Pakola (Mehran Bottlers Ltd. No marketing intelligence. that word would be ‘chaos’. which at present has a typical ‘Seth’ mentality. For this task. where the 28 year old C. to become more able to face the diverse range of rival products that are entrenched in the market. we believe that the current strategic objective of Pakola should be to consolidate its existing brand.

] Section 6: STRATEGIC IMPLEMENTATION “A TASTE OF THINGS TO COME” 27 .Pakola (Mehran Bottlers Ltd.) Business Policy PAKOLA [Mehran Bottlers Ltd.

E. processes and systems. . or in this case the C. The implementation plan focuses on ‘creating fits’. students of business administration generally think. in reality.Administrative Fits 28 . who must not only just be able to conceive bold strategies. Fits between the proposed strategy and the functional operations of the business.) Business Policy The Implementation Phase Contrary to what we.Functional Fits 2. There are two specific kinds of fits. but in fact be able to carry out these proposed courses of actions and it is in this execution lies the discernment of whether or not the strategy will be a success. It stands to reason that the actual enactment of the devised strategies or strategy is one of the most pivotal tasks and challenge faced by a general manager. 1. we see that the ‘development’ of strategy is only just one half of the story. the business concern at hand. History has borne witness to the fact that defective enactments have made sound strategies ineffective and skilled implementation can make a debatable choice successful.O. The other half is the ‘enactment’ of this strategy. The translation of the proposed strategy into solid tangible actions is essential. that the answer to any business problem is the development of ‘strategic alternatives’ and then the discernment of one ‘best’ strategy. requires a diligently planned and vigilantly execution of it’s implantation plan.Pakola (Mehran Bottlers Ltd. Fits between the proposed strategy and the organizational structure. . therefore.

production. we believe that since the Marketing function. assisting the overall-redo of the organization and it’s outlook. More oft than not. Creating such functional fits are not always a simple task and require a ‘guiding light’.) Business Policy The Functional Fits These fits have their roots rooted in ‘common sense’. if done right may result in the much needed newer perceptive of things by the newly induced fresh blood in the organization. Human Resource Function and the Distribution Function stand to be of primary significance in the over-hauling process of Pakola. is in a more drastic than your average revamping situation. Human Resources. confused function. with all their myopia and hard-set ways of operation. bring the functional policies in line with the strategy being pursued. However. R&D. it is much easier and much swifter to ‘create a function from scratch’ than ‘re-structure’ an already existing. Finance. He must. namely the marketing. hired by the Human Resource Function (which would also devise an appropriate compensation plan for these new additions to the force). Pakola. a ‘director’ in the literal sense of the words and for this it is required that a higher level individual. Engineering must adopt and enact operational modes that reinforce the ultimate goal. however. a ‘router’. One reason for this is that it must first. considering that the business needs a radical restructuring of it’s organizational structure (involving major lay-offs and inducements of competent personnel) especially. ‘create’ some of it’s more essential functions like for instance a Marketing Department and a Human Resource Function. this is easier said than done. Therefore. one that has ‘developed’ or ‘shared’ or at least understood the ultimate goal must descend to the tactical and operational levels to himself guide and supervise the entire revamping process. Such logical fits require the adoption of functional operational level strategies which are ‘complimentary to’ and ‘geared towards creating synergistic effects’ by working in harmony with the business’s strategic level objectives. there’s a silver lining here. under any circumstance. This hiring of capable personnel for the ranks on a massive level. All basic functions of the business. of the organization and reinforce the corporate level strategy. because when it comes to revamping.Pakola (Mehran Bottlers Ltd. the inducement of the entire ‘Marketing Department’. 29 .

and putting these to strategic use through effective communication of these decisive elements with the strategic level management. which distributes thousands of different products and requires time and effort to readjust it’s mode of distribution for our product. the mode of distribution with the ultimate goal. accurate and decisive market research laying strategic importance to market intelligence. Inducting a highly innovative and talented Marketing Department (which currently does not exist in the organization) This Marketing Department will: • Carry out extensive. consumer insight and modern techniques of marketing based on scientific research. 1. • Exert itself to marketing the product to the already brand loyal consumers in order to consolidate (and in the process also reacquire any of it’s lost market share) them while also targeting newer potentially loyal markets in it’s attempt to gain market share. to make it’s over-hauling easier to bring about and at the same time. capable of 2. the best in distribution in Pakistan. Marketing and Distribution. Induct a creditable and capable Human Resource Function. for two reasons. To observe and learn from Muller and Phipps. 1. removing its very Achilles heel. To enable itself to overcome it’s most critical issue of distribution in a relatively effort-less and quick fashion to get back in the game and. temporarily. but this targeting of the newer markets will only happen once the ‘Critical Distribution Issue has been resolved’ (which is one of the key reasons why Pakola continues to remain stagnant or reclining when it comes to market share) • Outsource its Distribution function to Muller and Phipps. of learning and setting up it’s own distribution department which will be much more flexible and loyal to it’s own product (enabling Pakola to become a highly flexible and responsive organization capable of instant change to cater to changing market trends). The Company will hire Muller and Phipps temporarily.) Business Policy STRATEGIC BRIEF OF EXECUTION OF THE FUNCTINAL FIT Maintain strategic focus on The Human Resource. 2. rather than M&P.Pakola (Mehran Bottlers Ltd. 30 .

a creditable and capable Human Resource Department will be induced. which will then assist in the inducement of the Marketing department. which will align itself to carry out extensive. first. 31 .) Business Policy To assist the Over-all objective of the organization. accurate market research and identify the appropriate target markets and will then exert itself to marketing the product to these already brand loyal consumers in order to consolidate (and in the process also reacquire any of it’s lost market share) them while also targeting newer potentially loyal markets in it’s attempt to gain market share. but this targeting of the newer markets will only happen once the ‘Critical Distribution Issue has been resolved’.Pakola (Mehran Bottlers Ltd.

All these essential to implementation elements require the top level management to be involved in the process at the most basic levels.O. there is also a very essential need for enacting Administrative Fits involving management systems and processes which are complimentary. Information Systems 3. needs at the moment.O himself and his hired board of directors must be an intrinsic part of the supervision and the guidance in the implementation of all the above mentioned essentials. Strategic Planning Systems 6. 32 . Incentive Systems 4. Leadership Style.Pakola (Mehran Bottlers Ltd. having earned his MBA from abroad is infact in a very likely position to realize the err of the company’s ways and is in the phase of his life where he possesses the vigor to be able to bring out a radical change in vision and actually be able to revolutionize the way this Seth owned myopic organization has been working since it’s inception for over 2 decades.O. A strategic re-visioning and revamping of their myopic and shortsighted mode of operations. Corporate Culture and 9. The C. Organizational Structure 2. yet. Belief in a vision and a way of operation focused at converting this belief into a reality is not what these people believe in.E. 1. These include. These are organizations that do not believe in Vision or Mission. Management Selection and Development 8. strategy is very much a thing of fiction. In a Seth owned organization like Mehran Bottlers. They believe only in the present.) Business Policy The Administrative Fits Besides the implementation of effective and synergistic Functional Fits. because at the very heart of any organization’s myopia are the negative ramifications of culture. in this case the C. These stand to be of primary significance as the ‘sources of influence’ available to C. being a young 28 year old Pakistani. Control Systems 5. The future is not their concern. is the most dire need at this point in time. Organizational Processes 7. it is our belief that this is what the organization. above all. consistent with and reinforce the strategic objective(s) of the organization.. in the organization. Concepts such as Vision and Mission Statements are only ‘fancy image’ elements to Mehran Bottler’s top management.E.E.s and/or General Managers in directing their organizations towards the desired achievements.

but instead. and cascading this culture down the entire organizational hierarchy. paving the way to a Learning Organization. Therefore. and then be able to develop and nurture a way of life in the organization that is geared towards a harmonic blend of long-term-short-term thinking. facilitating a ‘real-time’ check on all levels of operations. leading to greater job satisfaction. as mentioned earlier will be responsible for using the most modern techniques to devise the most appropriate Incentive plan. Information. supportive more flatter hierarchy with lesser hierarchical levels and comparatively greater span of control. all operations be connected through a Computer Network. Incentive. enrichment and career development. for instance. Organizational Structure The firm needs to tear-down and restructure an organizational hierarchy which has not ‘evolved’ on a ‘need to’ basis. management systems and processes geared towards enabling the firm to very effectively.E. should the C.Pakola (Mehran Bottlers Ltd. decisively and swiftly cater to any and all changing or otherwise trends in the market. gearing the firm to measure and anticipate changes in the environment instantly and being able to adjust operations according to these real-time changes in the environment. leading to a more pro-active. encouraging more delegation of authority. The Human Resource Team. Control & Strategic Planning Systems The firm must mobilize it’s operations through the use of Information Systems. making it possible to gauge any and all information at any point in time. the firm needs to realize that the core of all activities lies with the consumer. with all functions. to mobilize motivation throughout the ranks 33 .) Business Policy This phenomenon will only materialize. synergistically successful Pakistani firms. Pakola must restructure it’s inflexible and highly disorganized organizational structure. well coordinated. better and faster than the competition. operations. These information systems must be deployed from top-to-bottom. and therefore. to allow such flexibility. erect one that is ‘strategically structured to enable the organization to best carry out it’s Tactical and Operational Level operations in accordance with the Strategic objectives of the firm. responsive way of operation. in the market. the entire organizational must strategically have a market- oriented structure. with just the right balance of long-term strategic thinking and operational level thinking. to become one of the most flexible. To be able to succeed.O himself realizes the lack of strategy in the visioning of the firm. so that an overall picture can be had when needed. into a meticulously planned. enabling the organization to not only conceive bold strategic directions but actually make these a reality.

it must believe in Justice. Such cultures are rampant in Pakistani organizations where the Human Resource is naively not viewed as an asset or a ‘deciding factor’ in any strategy development and/or implementation.Pakola (Mehran Bottlers Ltd.) Business Policy of the Manpower force because incentive and management systems are among the most important sources of influence available to the management to mobilize motivation and push the force towards the achievement of strategy. Any organization. healthy. that have so much potential have failed to become successful on a global level. the Guiding lights that escort an organization to its ultimate intended goal. we believe that the firm at this point in time requires an Entrepreneurial Manager. this process of selection seems deceptively easy in theory when in practical it is equally difficult because there are nearly always pressures not to fire or demote people and to promote those that are ‘next-in-line’ rather than those that are more capable of carrying out the needed task at hand. A destructive culture will. like isolated individuals these too may be conflicting and destructive setting in motion a culture that pulls the organizations distinct functions in opposite directions. behaviors and attitudes. All restructuring fits. making any negative elements like blame shifting very difficult to do. Equally essential is putting in place. the best of developed strategies will fail in the worst of ways. whether it wishes or not. holding responsible that are rightly responsible. develops a culture and this culture in actuality shapes the future of the firm. and for this reason among others. The system must not believe in ‘forgiveness. in simple words. incentive compensation typically focuses on the short-run rather than strategic performance. put the organizations own forces at war with each other. For these reasons. 34 . Similarly. No less important is the very selection of managers who share and possess skills that are needed to achieve the intended strategy. Since this culture constitutes of people’s beliefs. local businesses and brands like Pakola. For these are the Direction Givers. so as to rectify the problem while also laying responsibility for the compromise where it belongs. which are capable of quickly identifying any and all compromised operations and pin-pointing the exact location in the hierarchy responsible for the compromise. we are of the belief that a cultural revolution is a ‘must’ for Mehran Bottler’s Pakola to revamp itself in the slightest of ways. constructive. ‘checks’ throughout the hierarchal levels. This must cascade through each and every hierarchical level with no exceptions. Therefore. yet.” Corporate Culture & Leadership Style The elements of Culture and Leadership Style stand to be of prime importance in the success of any organizations intended Strategy and consequently is one of the primary deciding factors in whether or not the actual implementation of the Intended Strategy is a success or failure. motivating and enriching culture. whether involving Functional or Administrative elements are dependent upon the ‘people’ that will carry them out and if these people are not geared towards a fair.

the transitions from either of the stages are particularity difficult to manage.O and his appointed board of directors. one of the most crucial deciding factors when it comes to shaping culture is the aspect of ‘leadership’. Zeeshan. However. incentives and controls. responsive and strategic 3rd Generation Organization. namely. shall be no easy task for the young C. Pakola. sporting distinct organizational structures. Mr. It is this Leadership that is responsible for igniting emotions and creating the drive in the People Force of an organization. It’s very own core being. (2) implies the strength of existing norms and patterns of behavior and the willingness of key managers to support strategies. And since the way of operation for these models differs. It is this elemental phenomenon that fires up an organization’s engine and sets it on the path to constructive competitiveness. This however. however. It is in a ‘strategic situation’ requiring a turnaround and consolidation. it develops through a number of distinct stages. must have flatter hierarchies for all it’s departments. because it is this Leadership that is responsible for setting in motion the aspirations.E. Single product. It’s people. 35 .Pakola (Mehran Bottlers Ltd. To become a more highly flexible. Implementation Situation & Mode As any organization progresses through it’s circle of life. The Top level management. is faced with a different situation here.) Business Policy Also. for this purpose will need to be heedful of the dynamics of this turnaround and will need to pay meticulous attention to all situations and transitions and develop fits between the strategy being pursued and the firm’s functional policies. these transitions are faced with recurring implementation problems. each of which require a unique mode of operation. It must put in place management systems and processes that assist it’s functions to operate with the least possible friction encouraging effective and conflict-free exchange of communication through the use of Modern Information Systems. and multi-businesses. management systems and processes. Pakola. will have to decide between: (1) The Degree of involvement in the implementation process (2) The attention that must be given to the administrative constraints The degree of involvement in the implementation process implies how deeply is he involved in implementation of the strategy and whether he will personally direct and oversee the implementation whilst. which must be synergistically coordinated to make it’s functional structure flexible and responsive to any market changes and thus become a market-oriented organization. Single business. synergistic activities and ultimately gives it a competitive advantage like no other. also leading to efficient and effective information exchange facilitating timely adjustments in strategies and operations and consequently decisive action. the benchmarks of excellence.

an Organization Shaker. 36 . which is far from being the case when we talk about Mehran Bottler’s Pakola. is geared at assigning the ‘right people for the right task’ and are required when the basic structure in place is sound and effectively operating. systems and people who must achieve strategy.) Business Policy Implementation Mode Of Top Level Management Pakola’s current need in the attempt to turnaround. Therefore. Similarly. a political manager would take too much time to mitigate the negative consequences of any action. Whereas. which is strategically aligned to carry out effective and efficient operations in the most profitable manner while continuing to keep itself open to innovation and improvement so that it becomes an ever ‘Learning’ Organization. Under the given circumstances. when a major turnaround must be attempted. processes and procedures. which would be a very naïve course of action under the circumstances given the need for total revamping of the current defective. disorganized and excessively myopic systems. thereby ‘preserving’ the very conflict-ridden negative culture and processes that are needed to be revamped in the first place. is a Director who will be deeply involved in the implementation of strategy and will pay little attention to administrative constraints to the extent that the trade-offs need to be made between achieving strategic objectives and deal with any administrative fallout on a ‘need-to’ basis. given the current circumstances Pakola requires a manager who is ready to compromise the short-run over the long-run and will take any necessary (and seemingly radical) steps to replace the existing malpractices and strategies and replace them with a completely revamped mode of thinking and operations geared to achieving strategically devised alternatives and goals and in the process create a highly strategic organization.Pakola (Mehran Bottlers Ltd. An Administrative manager has limited involvement in the processes. rather than proceeding with rapid action.

) Business Policy THE BALANCED BUSINESS SCORE CARD FINANCIAL PERSPECTIVE GOALS MEASURES Survive Generate sufficient cash flow Restructure Increase sales volume Grow CUSTOMER PERSPECTIVE INTERNAL BUSINESS PERSPECTIVE GOALS MEASURES GOALS MEASURES New Product ranges Exceptional HR mangnt Responsive Supply Distribution excellence Strategic Marketing INNOVATION & LEARNING PERSPECTIVE GOALS MEASURES Technological know- how Production Excellence Market Orientation 37 .Pakola (Mehran Bottlers Ltd.

managers are required to focus on those critical internal operations that enable them to satisfy customer needs. quality. But the targets keep changing. the company must articulate goals for time. After all. and actions occurring throughout the organization. can a company penetrate new markets and increase revenues and margins and grow and thereby increase shareholder value – the last portion of the BBSC. the scorecard guards against sub-optimization. Customer based measure are critical. Can we continue to improve & create value? (Innovation & Learning perspective) 4. improving quality. 38 . shortening response time. How do we look at shareholders? (Financial Perspective) These serve to firstly. The questions answered are. How do customers see us? (Customer perspective) 2. To put the scorecard to work. decisions. launch times and managing for the long-term. are contributing to bottom-line improvement. By forcing senior managers to consider all the essential operational measures together as a gestalt. Typical financial goals have to do with profitability. growth. yet they must be translated into measures of what the company must do internally to meet customers’ expectations. implementation. That is. many of the seemingly disparate elements of a company’s competitive agenda: becoming customer oriented. and execution. Customer’s concerns tend to fall into 4 categories. and shareholder value. A company’s ability to innovate. in a single report.Pakola (Mehran Bottlers Ltd. and improve operating efficiencies continually. Time. performance and service and then translate these goals into specific measures. measures whether the company’s strategy. excellent customer performance derives from processes. bring together. Even the best objective can be achieved badly by making the wrong trade-off. thereby keeping the managers from losing themselves in numerous and complicated measures. emphasizing teamwork. 1. What must we excel at? (Internal Perspective) 3. create more value for customers. When it comes to the Internal perspective. improve and learn ties directly to the company’s value. reducing new product.) Business Policy This exceptional measurement tool enables the business managers to view any business from four critical perspectives and hence provides answers to four critical questions by forcing business managers to focus only on a handful of key measures. The customer-based and internal business process measures on the balanced score card identify the parameters that the company considers most important for competitive success. the balances business scorecard lets them see whether improvement in one area may have been achieved at the expense of another. only through the ability to launch new products. While the Financial perspective. performance and service. quality. Secondly.

) Business Policy PAKOLA [Mehran Bottlers Ltd.Pakola (Mehran Bottlers Ltd.] APPENDIX 39 .

Pakola (Mehran Bottlers Ltd.) Business Policy Industry Brand Map Competitive Products Portfolio Product Category Flavored Milk Carbonated Soft Fruit Flavored Mineral Energy Drink Based Drink Juice Water (Caffeinated) Beverage Pakola Ice Cream- Soda Mehran Bottlers Pakola Orange Pakola Milk Pakola Lychee Ice-Cream-Soda Pakola Raspberry Pakola Guava* – Vital – Pina Colada Mango Apple Sidra Rose Bubble Up Double Cola Diet Bubble Up Pepsi 7-Up Tropicana Juices* Mountain Dew PepsiCo. Orange Code Red* Gatorade Apple Aquafina – Mirinda SoBe* Grapefruit Diet Pepsi Cranberry Diet 7-Up Brand Owner (Company) Mug Root Beer* Coca-Cola Fanta Coca-Cola Sprite Capri-Sun Dasani Diet Coke Minute Maid. – Sugarfree 40 . Powerade* – Kinley* Sprite Zero Orange Juice A&W Root Beer Dr Pepper Nestlé Juices Pure Life Milkpak Apple Nestlé Ava Milo – Orange – Fontalia Nesquik Grape Others Yazoo Campina Vanilla – – – – Chocolate Strawberry Banana Red Bull Red Bull – – – Red Bull.

Masafi Syrup Sun-Sip Limopani Ale Volvic Ovaltine Sun-Sip Thanda Jeema Horlicks Orange IC Sath Sath Roohafza Chocolate Murree-Lemonade Strawberry Lipton Iced Tea Mango Snapple Vimto Diet Vimto Malee Mitchell’s Squash Ribena Quice Jam-e-Shireen Bomba Chamdor KEY Bold Italics = Brand Name Normal Font = Flavor Variants * = Product not yet available in Pakistan 41 .) Business Policy Rani Shani Shezan All-Pure Maza Polly Fruto Tropico Good day Kwikool Al-Habib Sip-N-Sip Apple- Milkpak Chaska Olpers’ Milk Sip-N-Sip Limo- Sun-Sip Shaker Chaska Sparkletts Nescafé IC-Oranjo Royal Crown Cola Vey Lipton- Limetime (RC Cola) Oslo Flavored Tea Apila Mecca Cola Culligan Zain Flavored- Jaam-e-Afza Zam Zam Cola Aqua Safe Enorm Milks Tops Others Amrit Cola Mineral Plus Bison Al-Marai- Zain Premium Canada Dry Tonic Perrier Blue Ox Flavored Milks Cortina Canada Dry. Evian Energile Hershey’s- TOTO Real juice Cream Soda Gulfa Chocolate Tang Everesse Ginger.Pakola (Mehran Bottlers Ltd.

Pakola (Mehran Bottlers Ltd.) Business Policy FLAVOR VARIANT MAP Current Brand Portfolio & Possible New Ventures Base Type Carbonated Cola Water Caffeine Food Flavor Type Milk Base Base Base Base Base Normal Diet (Juice) Normal Diet (Energy) (Candy) Ice-Cream Soda Cola Orange Lemon/Lime Apple Lychee Raspberry Guava Pina Colada Mango Rose Grape Cookies & Cream Vanilla Chocolate Strawberry Cherry Blueberry Blackberry Blackcurrant Cranberry Pineapple Banana Coconut 42 .

Almonds) KEY Product Currently Served Product Not Feasible Possible New Venture Certain Future Prospects 43 .Pakola (Mehran Bottlers Ltd.) Business Policy Peach Kiwi Pomegranate Grapefruit Watermelon Melon Pear Sugarcane Spices (Dr Pepper) Date Aloo Bukhaira Honey Mint Bubble Gum Caramel Tomato Chikoo Kulfi Pistachio Tutti Frutti (Mixed Fruit) Coffee Tea Nuts (Peanuts. Cashews.

Pakola (Mehran Bottlers Ltd. Acquire a snack food manufacturer Existing Line Extension Brand Extension Brand Name 5. Diversify into the candy category with Pakola Ice-Cream Soda Flavoring 4. Introduce a new caffeine based categories like fruit juices under a energy drink under a new brand name new brand name New Multi-Brands New Brand 44 .) Business Policy Possible Extension Strategies Brand Portfolio Existing New 1. Diet Cola Line 3. Fill gaps in currently served 2.

” 16th December. New York. 45 . 2001. www.” Competitive Strategy. 3. “Beverage Industry: High Taxation. “Note on the Structural Analysis of Industries. Michael. Bashar. Online Source. 1980.Pakola (Mehran Bottlers Ltd.com.pk 2. The Free Press.) Business Policy Works Cited 1. Amanullah.pakola. Porter.