PROJECT REPORT ON 6WXG\ RQ 5(' DFWLYDWLRQ DQG 6DOHV DQG 'LVWULEXWLRQ Coca-&ROD &RPSDQ\ LQ -DLSXU RI UHJLRQA t

HINDUSTAN COCA COLA BEVERAGES LTD, JAIPUR PVT (RAJ)

Submitted Lalit by Kothari 17-028 PGDM(TPS )Faculty Prof. Dr. Madhavi Pandya Guide

Siva Sivani Institute of Kompally, Management Secunderabad (2008-2010)

ACKNOWLEDGEMEN TIt gives me immense gratification to place on records my profound gratitude and sincere appreciation to each and every one of those who have helped me in this endeavor. I am ineffably indebted to my faculty guide Prof. Dr. Madhavi Pandya for her most valuable and regular guidance without which my project would not have been completed. I extend my sincere thanks to Mr. Ashvini Gurung, Area Sales Manager, Hindustan Coca Cola Beverages Pvt Ltd for his valuable suggestions throughout the project. I am also very much thankful to Mr. Manish Pandey, Sales Executive and Mr Chandershekar Kausik, Market Development Executive for his continuous motivation throughout this project, which really helped me in completing the project. I would also like to thank the entire staff of Hindustan Coca Cola Beverages Pvt Ltd,Jaipur for their cooperation and support. Any omission in this brief acknowledgement may not be taken as lack of gratitude.

Date: Place:

(Signature) Lalit Kothari

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DECLARATIO NI, Lalit Kothari GHFODUH Distribution of Coca Cola company in Jaipur region KDV EHen completed by me at WKDW WKLV SURMHFW Hindustan Coca Cola Beverages Pvt Ltd,Jaipur (Raj) under the guidance of Prof. Dr. WLWOHG 6WXG\ RQ 5(' Madhavi Pandya, DFWLYDWLRQfaculty, Marketing and Communication of Siva Sivani Institute of DQG 6DOHV Management. I further declare that this is my original work as part of my academic DQG course.

Date: Place:

(Signature) Lalit Kothari

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CONTENT SAKNOWLEDGEMEN T ECLARATIO D L NIST OF TABLE CHAPTER 1: INTRODUCTION Introduction Objective of the study Scope of the study Significance of study Literature review RED concept CHAPTER 2: PROFILES..1 Industry profile Company profile CHAPTER 3: METHODOLOGY.........................................................39 Route Visit for Sales and Marketing Method of Data Collection Primary Data Research Instrument Area of Sampling Sample Size Sampling Procedure4

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CHAPTER 4: ANALYSIS AND INTERPRETATION.. Analysis of the data

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CHAPTER 5: FINDINGS AND SUGGESTIONS.... Findings Suggestions Conclusion Bibliography. 57

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CHAPTER 1:INTRODUCTIO N Introduction Objective of the study Scope of the study Significance of study Literature review RED conceptINTRODUCTIO N

Coca-Cola, the corporate nourishing the global community with the worlds largest selling soft drink concentrates since 1886, returned to India in 1993 after a gap of 16 years giving a new thumbs up to the Indian Soft Drink Market. In the year, the Company took over ownership of the nation's top soft-drink brands and same bottling network. Coca-Cola is a cola (a type of carbonated soft drink ) sold in stores, restaurants and vending machines in more than 200 countries.It is produced by The CocaCompany and is often referred to simply as Coke. Originally intended as a patent Cola medicine when it was invented in the late 19th century by John Pemberton , Coca-was bought out by businessman Cola Griggs Candler , whose marketing tactics Asa led Coke to its dominance of the world soft drink market throughout 20th the century. 7KH PDQXIDFWXULQJ RI WKH VRIW GULQNV EHJDQ LQ WKH V +RZHYHU HYROXWLRQ RI the soft drinks took place over a much longer period. The forerunners of drinks soft began more than 2,000 year ago when HLSSRFUDWHV WKH )DWKHU RI6

0HGLFLQH being. ILUVW VXVSHFW The soft drink HG WKDW industry was seasonal business in the early days, operating the primarily during the summer months. Gradually, demand grew for soft drink to be PLQHUDO consumed ZDWHUVin the home. Automatic vending machines began to appear in the FRXOG EH V RQH DJDLQ FKDQJLQJ WKH EXVLQHVV RI VRIW GULQNV 9HQGLQJ PDFKLQHV DQG fountain dispensers led the way to the expansion of soft drink to industrial outlets. EHQHILFL New technology helped soft drink bottlers meet going consumer demand by DO WR RXU ZHOOincreasing the product availability. The mushrooming demand for the significantly product resulted in the growth of the soft drink industry. Inventors of the drinks soft spread their products across by opening a few strategically placed bottling facilities so franchise agreements. Responding to consumer demand, industry rolled out soft drinks in cans and introduces diet beverages to the market. Carriers were develop for convenience and ease in taking soft drinks from the store to the home. Development of flavors, sale of cans products in vending machines and invention of polyethylene new Terephthalate (PET) bottles followed. 7KH VRIW GULQNV PDUNHW LQ ,QGLD WLOO HDUO\ V ZDV LQ KDQGV RI domestic like players Campa , Thums Up, Limca etc but with opening up of the economy coming of MNC players, Pepsi and Coke, the market has come totally under their and control. Coca-Cola is the one of the biggest leading company in beverage sector in Jaipur and its main competitor is Pepsi. In Jaipur, Coca-Cola is producing several brands like Thumps up, Coca Cola, Sprite, Limca, Fanta and they have come with their new brand Minut Maid Pulpy Orange. Pulpy orange is the sixty year old brand China but for India it is new. Apart from this company also produces products in like soda & water and Bonaqua new water brand. Kinley Coca Cola distributes its products in Jaipur through a mix of different types retailers and outlets categorizing them as Convenience, Grocery and E&D. of

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BRANDS OF

INDIA

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Objectives of the study To know effectiveness of the marketing strategy, sales promotion &distribution of Coca Cola in market.

To know the market share of Coca-Cola. To ensure the availability and visibility of product. . To study the 5(' DFWLYDWLRQ RQ RXWOHWV of COCA-COLACompany.

Scope of the study

Scope of the study for Coca-cola by this study the company will come to know:-

To find out problem of the counters and to find out their requirement formore sales.

About market share of Company comparison to Pepsi. Through this study company will know about the availability of itsproducts in the Market.

About RED activation score of outlets and what are the reasons forlow score. RED

Significance of the studySignificance of the study is following The project directly deals with interaction of different kinds of people. So this project helps me to understand the corporate communication system. This study is helpful to find out the sales trends of the Coke products and its effect on consumers value and satisfaction This study provides an insight to the company that what kind of strategy adopted in order to increase the sales and satisfaction must be consumers. of9

Literature Review

Control of market share is the key issue in this study. The situation is both Coke and Pepsi are trying to gain market share in this beverage market, which is valued at over $30 billion a year. Just how this is done in such a competitive market is the underlying issue. The facts are that each company is coming up with new products and ideas in order to increase their market share. The creativity and effectiveness of each company's marketing strategy will ultimately determine the winner with respect to sales, profits, and customer loyalty. Not only are these two companies constructing new ways to sell Coke and Pepsi, but they are also thinking of ways in which to increase market share in other beverage categories. Although the goal of both companies is exactly the same, the two companies rely on somewhat different marketing strategies. Both companies have also relied on finding new markets, especially in foreign countries. In the foreign markets, Coke has been more successful than Pepsi. For example, in Eastern Europe, Pepsi has relied on a barter system that proved to fail. However, in certain countries that allow direct comparison, Pepsi has beat Coke. In foreign markets, both companies have followed the marketing concept by offering products that meet consumer needs in order to gain market share. Both companies cannot just sell one product; if they do they will not succeed. They have to always be creating and updating their marketing plans and products. The FRPSDQLHV occurs EH PXVWwhen a company stays one-step ahead of the competition by knowing what the consumer wants. ZLOOLQJ WR Apart from this study previous studies were based on the distribution network and market DFFRPPRGDWH share of some of these beverages companies. This study is based on to find out WKHLU the market share of coca-cola in some of the areas of Kanpur city. WDUJHW Pepsi is often PDUNHWV second to Coke in terms of sales, but outsells Coca-Cola in some localities. Around the *DLQLQJ world, some local brands do compete with Coke. In India, Coca-Cola ranked third behind PDUNHW the leader, Pepsi-Cola, and local drink Thums Up . However, The Coca-Cola Company VKDUH purchased Thums Up in 1993. As of 2004, Coca-Cola held a 60.9% marketshare in India. Tropicola, a domestic drink, is served in Cuba instead of Coca-Cola, in which there exists a United States embargo. Mecca Cola and Qibla Cola, in the Middle East , is a competitor to Coca-Cola. In Turkey , Cola Turka is a major competitor to CocaCola. In Iran and also many countries of Middle East, Zam Zam Cola and Parsi Cola are major competitors to Coca-Cola. Coca-Cola Co. slightly increased its lead over rival Pepsi-Cola Co. in 2002, thanks to the successful launch of Vanilla Coke and the growth of Diet Coke, according to U.S. soft drink industry rankings released last week. Coke gained 0.6 percentage points in market share and increased its case volume by 2.1 percent, according to Beverage Digest/Maxwell, a New York-based industry newsletter and data service. The company captured a larger share of the market even though its Coke Classic brand fell 0.6 percentage points in market share. Coca-Cola dominates 44.3 percent of the U.S. soft drink market, but saw its market share drop between 1999 and 2001. With the latest gains, it's only 0.2 percentage points away from where it stood in 1998 at 44.5. Pepsi-Cola lost 0.2 percentage points in market share. The No. 2 company commands 31.4 percent of the U.S. soft drink market.

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In 1990, when Indian government opened the market to multinationals, Pepsi was the first to come in. Thums Up went up against the international giant for an intense onslaught with neither side giving any quarter. With Pepsi roping in major Indian movie stars like Juhi Chawla, to thwart the Indian brand, Thums Up increased its spending in the Cricket sponsorship. Then the capacity went from 250ml to 300ml, aptly named MahaCola. This nickname gained popularity in smaller towns where people would ask for "Maha Cola" instead of Thums Up. The consumers were divided where some felt the 3HSVLV PLOG WDVWH ZDV UDWKHU EODQG In 1993 Coca-Cola re-entered India after prolonged absences from 1977 to 1993. But Coca-&RODV HQWU\ PDGH WKLQJV HYHQ PRUH FRPSOLFDWHG DQG WKH ILJKW EHFame a three-way battle. That same year, in a move that baffled many, Parle sold out to Coke for a meager US$ 60 million (considering the market share it had). Some assumed Parle had lost the appetite for a fight against the two largest cola brands; others surmised that the international brands seemingly endless cash reserves psyched-out Parle. Either way, it was now Cocaovershadow it. Coca-Cola soon introduced its cola in cans which was all the rage in India, with &RODV Thums Up introduced alongside, albeit in minuscule numbers. Later CocaDQGstarted pulling out the Thums Up brand which at that time still had more than 30% Cola &RNH market KDV Dshare KDELW RI NLOOLQJ EUDQGV LQ LWV SRUWIROLR WKDW PLJKW

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Concept of RED:

Right execution daily (RED) is the classification of outlets into Channel, Class, Income. /HWV NQRZ ZKDW are the Channel, Class, and Income respectively.

CHANNEL - Type of outlet like E&D (EATING ANDDRINKING), CONVINIENCE? GROCERY, or E&D 1- It includes Bakery/Sweet shops/QSR/Juice centers/Soft drink shops/Tea shops etc. E&D 2- It includes Sit down restaurants/Bars/Dhabas/Cafes etc. GROCERY- Outlets primarily engaged in retailing of food and houses varioushold items. CONVENIENCE-Includes outlets which are small stores and generally shops, accessible locally.

CLASS -Standard class of outlets like SILVER, GOLD orDIAMOND? SILVER- Those outlets which sells 200-499 crates per year. GOLD- Those outlets which sells 500-799 crates per year. DIAMOND- Those outlet which sells 800 & above crates per year.

INCOME Locality income group of outlets like HIGH, MEDIUMLOW. AND HIGH- Those outlets where high income customer comes. MEDIUM- Those outlets where medium income customer comes. LOW- Those outlets where low income customer comes.12

CHAPTER 2:PROFILE S Industry profile Company profile

,QGLDV RQH ELOOLRQ SHRSOH JURZLQJ PLGGOH FODss, and low per capita of soft drinks consumption made it a highly contested prize in the global CSD market in early twenty-ILUVW FHQWXU\ 7HQ SHUFHQW RI WKH FRXQWU\V SRSXODWLRQ OLYHG LQ the XUEDQ areas or large cities and drank ten bottles of soda per year while the vast remainder lived in rural areas, villages, and small towns where annual per consumption was less than four bottles. Coke and Pepsi dominated the market and capita together had a consolidated market share above 95%. While soft drinks were once considered products only for the affluent, by 2003 91% of sales were made to the lower, middle and upper middle classes. Soft drink sales in India grew between 1998 and 2002, from 5,670 million bottles to over 10,000 million (See 76% Exhibit 6) and were expected to grow at least 10% per year through 2012.28 In of this growth, annual per capita consumption was only 6 bottles versus 17 in spite Pakistan, 73 in Thailand, 173 in the Philippines and 800 in the United States29. With its large population and low consumption, the rural market represented a significant opportunity for penetration and a critical battleground for market dominance. In 2001, Coca-Cola recognized that to compete with traditional refreshments including lemon water, green coconut water, fruit juices, tea, and lassi, competitive pricing was essential. In response, Coke launched a smaller bottle priced at almost 50% of the traditional package.

INDUSTRY PROFILE

Carbonated Soft DrinksAt the core of the beverage industry is the carbonated soft-drink category. dominant players in this area (Coca Cola, Pepsi, and Cadbury-Schweppes) own The13

virtually all RI WKH 1RUWK $PHULFDQ PDUNHWV PRVW ZLGHO\ GLVWULEXWHG DQG known brands. They are dominant in world markets as well. 7KHVH EHVWproductsFRPSDQLHV SRUWLRQV RI DQ\ VXSHUPDUNHWV VKHOI VSDFH RIWHQ occupy largH more FRYHULQJ territory than real food categories like dairy products, meat, or produce. As with many mature retail industries, the beverage giants have a problem growth in the sales of their flagship carbonated products are at a near standstill in the key U.S. market, with 1% growth or less. After years of rapid growth, it seems that WKH DYHUDJH $PHULFDQ FDQW GULQN DQ\ PRUH IODYRUHG IL]]\ VRGD ZDWHU 7R UHPHG\ these three companies are rapidly expanding both globally as they enter and that, promote new markets for existing products and locally, as they add products from adjacent beverage categories in the supermarket, in categories that are still expanding. We'll talk about these areas in a later posting. 7KH SURWRW\SH RI DOO PDUNHWLQJ DQG EUDQGLQJ VWUXJJOHV WKH &ROD :DUV NHHS expanding. The Pepsi and Coca Cola keep rolling out the big guns: dueling pop stars, and new branded products in the form of Vanilla Coke DQG Pepsi Blue . They are fighting on the TV, in the fast-food restaurants, and in the supermarkets; they are also dueling in the schools. One of the biggest pushes of the last few years has been convincing school districts, universities, and other $OO institutions to go all-Coke or all-Pepsi, in return for a (small) cut of the gross sales. WK LV Selling costly sugared water and building an increasing demand for it, even in ZRU Third World countries, involves marketing in its purest form, unsullied by any OGZ preexisting need or local tradition. Markets in Eastern Europe, China, India, and LGH Mexico, among others, are expanding fast, and both Coke and Pepsi are finding DF local partners (bottlers) in these countries to keep extending their reach. And WL ZKLOH WKH $PHULFDQ PDUNHW PD\ EH PDWXUH WKHUHV VWLOO DQ opportunity YL to replace hot beverages like coffee and tea that require some preparation worldwide W\ these with cold, iconic. FDQ W GLV vendors: U.S. carbonated soft drink sales increased only 0.5% in the year 2002. JXL Although total sales for the industry was up slightly, per capita consumption was VH down for the third year in a row In other words, domestic soft drink growth is not DQ keeping pace with population growth. XQS OH DV DQ Overall soda W market FRU Coke and Pepsi have a third major rival on the bottled soft drink shelves, In fact, H namely Cadbury-Schweppes. The big three carbonated beverage makers now exist UH DOL W\ 14 IRU WK H

in a stable oligopoly those changes only by small increments and which controls over 90% of the market. Over the years, Cadbury-Schweppes (the result of a erger between a British candy company and a British beverage company) has m improved its position by acquiring key brands in the US, namely Dr. Pepper and Seven-Up, along with A & W and Canada Dry. In past decades, the carbonated beverage section had been the beneficiary of an amazing record of growth, where consumption has more than doubled over past the 25 years. Americans consume twice as much soda as they did 25 years ago, up from 22 gallons per person per year to over 56. In 2000, these three companies had almost exactly the same share of the U.S. they had in 1999, namely: market Company Coca Cola PepsiCo Percentage 44.1% 31.4% Brands Coke, Sprite, Barq, Fanta, Mello Yello, etc. Pepsi, Mountain Dew, Mug, Slice, etc.

While individual flavors go up and down, the relative market share of the big three changes at a glacial rate. The next biggest North American soda company, the Canadian-based Cott Beverage Company, had only a little over 3% of the market and that company specialize in supplying private label soda to supermarkets and other chains. In 2001, however, Cadbury acquired moribund RC Cola, giving it a cola drink to battle against the big guys. This gave the company more shelf position and immediately gave the RC Cola brand, long a distant also-ran with weak marketing muscles, more sales and market presence. Pepsi gave itself a small boost because of the popularity of newly introduced Mountain Dew Code Red, a caffeinateG VRGD &RNHV QXPEHUV GHFOLQHG VOLJKWO\ The market share figures hyperin 2001.

Company Percentage Coca Cola 43.7% PepsiCo 31.6% Cadbury/Schweppes 15.8%

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, share W comes through a takeover. Moreover, the takeover targets that are left are so V VPDOO WKDW WKH ELJJHVW UHPDLQLQJ EUDQG GRHVQW PDNH PRUH WKDQ % GLIIHUHQFH total SU volume. LQ HW W\ LQ New age GL FD beverages In the WL last part of our look at the beverage business, we noted that Coca oligopolies YH Cola, PepsiCo, and Cadbury Schweppes had "flooded" a mature market, so that there was minimal growth potential in the carbonated beverages category. So, RI how WK can these companies grow, something all oligopolies are compelled to do? LV First, by expanding internationally. Second, by acquiring or adding new products in other beverage areas, which show both faster growth and less PD defined well- competition. In fact, other beverage types have only in the last decade WX come into focus as separate, important categories. UH So PDthe search for new beverage footholds has become the second front of the Cola Wars. There is a scramble for new territories in beverage shelf space, and Coke UN and Pepsi are investing heavily. HW WK These alternative beverages areas were established by startup or small cap DW companies, including Snapple and Arizona Iced Teas, Ocean Spray and Nantucket WK Nectars, SoBe and Calistoga. The emerging categories began to look like both a H threat RQ and an opportunity for the big three. In 2001, according to Beverage Age Magazine. The segments of alternative or "New Age" beverages ranked by order O\ of sales, were: PD MR Bottled water in clear plastic containers U Mildly flavored water (Clearly Canadian, Veryfine, Acqua Vie) PR YH Fruit juices and drinks (some shelf-stable, like Ocean Spray, Mott's, LQ DelMonte; some refrigerated, like Nantucket Nectars, Tropicana) Sports and energy drinks (Gatorade. Powerade, SoBE Power, Red Bull, GPD UN Up) HW Iced tea (Snapple, Arizona, Lipton, Nestea) Premium soda (Thomas Kemper Soda, Jones Soda) Cold coffee drinks (Starbucks cappuccino drinks, PlanetJava, Arizona) Vegetable/fruit juice blends, (V8, Odwalla) Enhanced dairy drinks (Smooth Moos, Chocolate Moose Energy Shakes, drinkable yogurt) Soy-based and other non-dairy beverages (Odwalla, Health Source) Other nutrient-enhanced beverages, so called neutriceutical beverages (SoBe, Hansen, Naked Juice, Fresh Samantha)16

The problem with this market, like most emerging categories in the grocery business, is an excess of vendors and products, making it hard for retailers to decide who to assign their precious shelf space to. This is accompanied with an even larger number of SKUs of different sizes and flavors, causing chaos in generallythe market. That makes for a great opportunity for the oligopolists, who have entered into these markets in a big way. We'll talk about the water category later, but here are some of the other alternative brands now owned in the alternative market by the carbonated Big Three. (The notation (lic.) denoted a beverage licensed from another company.) Category Iced tea Coca Cola Nestea (lic. Nestle) Pepsico Lipton (lic. Unilever) Gatorade SoBe Starbucks (lic.) Tropicana; Dole (lic.) Dole (lic.) Starbucks #1, Planet Java #3 Nantucket Nectars Tropicana #1, Minute Maid CadburyNotes Schweppes Snapple Snapple #3 Mistic Powerade #2 Lipton #1, Nestea #2, Gatorade #1,

Sports drinks Powerade Health drinks KMX Coffee Drinks Refrigerated Juices Shelf-stable juices Milk-based drinks Soy-based drinks Tropicana smoothies Planet Java Minute Maid, Odwalla, Fresh Samantha

#2

Orangina; Mott's; Welch's (lic.); Clamato Yoo-hoo; Raging Cow

Note that most of these products were bought or started in the last three years. The big three already have the salesmen, the vending machines, the bottlers, the money to advertise, and the international reach. With this power, they have managed to take over a second aisle in the supermarket, along with a solid section of the refrigerator case. And as we'll see, the biggest potential is in water.17

Bottled Water

The bottled water industry in North America is growing aggressively. It is the fastest growing segment in the beverage industry (around 30% annually, compared to 1% or so in carbonated beverages), and the cost of goods sold is negligible. Once confined to Perrier and Evian sippers at fancy restaurants almost or people with bad--tasting local tap water, there's been a tripling of US consumption since 1985. As a recent FORTUNE magazine article put it, The most brutal battle in the beverage industry is the one for dominance of bottled water. With the niche growing at a 30% annual clip, bottled water will catapult likely ahead of coffee and beer to become the second-best-selling beverage--just behind soft drinks--by 2005. (Currently bottled water's barely ahead of No. 5 ilk). m Another article in Beverage Marketing notes the concentration of the market as water gets to be a bigger deal. Super marketers have revolutionizing the industry. Since the costs of buying and holding shelf space is so expensive, the small, regional firms, which used to be major water suppliers, are being priced out. The only companies that can get their products on the shelves are the new water oligopolists, large national and multinational companies. Four companies now dominate the North American bottles water: Nestle, Danone, Coca Cola, and Pepsico. market for Like other areas of the beverage market, water, once the province of small, local spring bottlers and a few European importers, has now become an oligopoly. While Nestle (originally a Swiss chocolate company) and Danone (originally F a rench dairy firm) have been in the market for a while, Pepsi and Coke Johnnies-come-lately to the market, Pepsi in 1995 and Coca Cola in 1999. are But have so much marketing savvy, power in the distribution and bottling area, they and store presence, that they have made their two brands, Aquafina (Pepsi) and Dasani (Coke), the top two selling brands in the US market. That's in spite of the fact that, unlike most of the competitors, these are simply filtered and bottled local tap water. Yet bottles of the either of these essentially free liquids sell for almost the same a similar container of soda or iced tea. Not a bad business to be in! Both companies use their vast experience in associating drinks with lifestyle, sharpened during the cola wars. They are ramping up their ad budgets and getting significant growth in volume as they do so. And they have a big opportunity. estimates, one third of American households have never tried bottled According to water, and carrying around a bottle of water has become a status symbol for many younger Americans.18

Nestle is in fact the overall market leader, with $2.5 billion overall in water sales. It sells a number of brands that are popular in various regions of the country, such as Poland Spring in the Northeast. Arrowhead and Calistoga in California, and so on. These are actual spring waters that have to be trucked to the bottler. also Nestle Perrier, San Pelligrino, and some other European imports.Danone is sells number four in volume, with its imported Evian, Volvic, and others, along with Naya and Sparkletts from the U.S. Of the big four, Danone is the one that sinking, losing sales to the others. In fact, they just signed an agreement with Coca is Cola to market and distribute several of its brands in the US, including Dannon and Sparkletts, and some economy brands. Evian and other European brands will not be affected. In 2002, these four companies had achieved over 60% of the water sales in the US, and that was rapidly expanding. Only two competitors have shares over Suntory Group (part of a Japanese conglomerate) and independent Crystal Geyser. 2%: Our guess is that minor brands will more and more be crowded off the shelf. (By the way, Cadbury-Schweppes has a limited water role at present.) Supermarket sales of cases of water are starting to show competition, as Nestle, Coke, and Pepsi are starting to compete on price as a Wall Street Journal report noted. Coke and Pepsi are trying to avoid a water version of the cola wars, which they battled it out with price, cuts in the supermarket aisle. That's in they're why concentrating some 60% to 70% of their sales in the lucrative business of selling single, cold bottles in convenience stores or vending machines. But the next step is differentiating waters by making them vitamin-enriched nutriceutucals Pepsi, through its Gatorade subsidiary, now offers Propel, enhanced with vitamins and minerals. It is also selling something called Aquafina . Essentials, which is flavored water (some sugar added), doubtless a healthy drink. Coke is selling Dasani Nutriwater, a similar gimmick. Even the water category, only recently discovered by these companies, is now spawn new categories, opening new fronts in the cola wars. Company Nestle PepisCo CocaCola Danone Select Brands Perrier, Poland Spring, Arrowhead, Deer Park, Zephyrhills, Ozarka, Ice Mountain, Calistoga, Vittel, San Pellegrino, Acqua Panna, Vittel Aquafina Dasani Evian, Volvic, Dannon, Naya, Ferrarelle, Sparkletts, Pure American, Castle Rock19

COMPANY PROFILE

Headquarters: One Coca-Cola Plaza GA 30313 Atlanta, Employees: CEO: 71,000 Neville Isdell Symbol: Stock KO Website: http://www.cocacola.com/ Coca-Cola is the world's leading beverage company. The company is the world's leading manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. The company makes and distributes sodas, waters, fruit juice, teas and coffees and energy drinks. Through the world's largest beverage distribution system, consumers in more than 200 countries drink the company's beverages at a exceeding 1.5 billion servings each day. rate Major brands include Coke, Diet Coke, Sprite, Bacardi, A&W, Minute Maid, Dasani, Nestea, Powerade and Hi C. In 2007, revenues were $28.8 billion, a 20% increase from the previous year, and net income was $5.9 billion. Unit volume increased 6%. In 2007, the company said it will acquire Energy Brands, Inc., known as glacau, and its full range of fast-growing, enhanced water brands, including Vitamin Water for $4.1 billion.Coca-Cola announced in September it is investing more than $60 million to build the world's largest plastic-bottle-to-bottle recycling plant and support recycling in the U.S. These investments are part of a comprehensive goal to recycle or reuse 100 percent of the Company's plastic bottles in the U.S. 20

PLANTS OF

INDIA

Beverage Bottling Plant of M/s. Hindustan Coca-Cola Beverages Pvt. Ltd. at Jaipur (Rajasthan, India) Beverage Bottling Plant of M/s. Hindustan Coca-Cola Beverages Pvt. Ltd. at Ghaziabad, Goa, Bangalore and Vijayawada (India) Hindustan Coca-Cola Beverages Pvt. Ltd. at Vijayawada

MFG. PROCESS OF COCA-COLA PRODUCTS INGREDIENT DELIVERY Sweetener Team of professionals, work on selecting, auditing, sampling, testing, approving and then authorizing the sugar suppliers and the list of such authorized with approved sugar lots and along with the certificate of analysis are sent across suppliers to all the bottling unit for procurement. Secret Created Formulain special concentrate plants, it's delivered, held and used under strict controls to maintain its integrity and security. Each unit of concentrate especially identifiable to allow the "history" of each component to be researched at is any stage of production, storage or use. CO2 When delivered to the plant, carbon dioxide, or CO2, comes in cylinders for easy Formula delivery and storage. But what is it? In essence, it's a colorless and odorless gas that provides the "fizz" for our beverages. But it's also a by-product of breathing and used by plants and trees to produce oxygen. our

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Water Since water is a key component to all our beverages, its quality is critical. And, since public water quality varies around the world, each plant further treats water the it uses. This means that before water is added to any of our beverages; it's rigorously filtered and cleansed. We then continuously sample the water to ensure it meet our standards. Material I sngredients are not the only things delivered to the plant. Other materials such as bottles, cans, labels and packaging are also delivered. Our plants in India use refillable bottles, CANS, PET etc. in the Production Process, when bottles and cans are delivered to the plant; they are carefully inspected to ensure that meet they our exacting standards. Once these have passed initial inspection, they move on to be washed and/or rinsed.

WASHING AND RINSING To ensure quality, each bottle is washed, sanitized and rinsed before being filled. While this sounds simple, the actual steps can differ by bottling plant. In India, our plants use refillable glass, cans or PET bottles. To ensure they meet cleanliness standard, bottles are first hit with precise jets which remove any dirt or our debris. They are then soaked in a high-temperature deep cleaning solution removes any remaining dirt and sanitizes them. The bottles then move to that "hydro wash" where they are washed again with a deep cleaning pressure-spray. the

MIXING AND BLENDING H2O and Mixing Sugar and blending begin with the steps of mixing pure water with refined sugar, which creates simple syrup. The syrup is then measured for the correct amount of sugar. Secret Our secret Formula formula is... still secret! That's right; the secret formula remains m a ystery to the millions of people in nearly 200 countries that enjoys our refreshing beverages everyday. Even though we can't tell you the secret, you can be sure that "LIFE TASTES GOOD" with Coca-Cola.

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H20 and With Syrupthe syrup nearing its final state, we mix it with pure water, creating the finished uncorroborated beverage. However, the water and syrup must be mixed in right ratio. This is done by the beverage proportioning equipment. It measures accurately the correct ratio for each and sends this mixture to the carbonator. CO2Adding Adding CO2 or carbon dioxide gas is the final touch that carbonates the beverages. Carbon dioxide not only gives our beverages their effervescent zest, but it also to the distinctive and familiar taste everyone has come to expect from our adds beverages.

FILLIN G Once all the ingredients have been mixed and blended and the bottles have been cleaned and sanitized, we're ready to start filling. This is a surprisingly complex process requiring precision at each step. To begin with, bottles must be carefully timed as they move to the filler - synchronization is key. Once at the filler, bottles are either held securely in place by flexible grippers or precisely placed under filling valves by centering devices. Before the bottles can be filled, the inside of the bottles must be pressurized. This allows for the force of gravity itself to draw the beverage into the bottle - a process that ensures the smooth flow of liquid, with little to no foaming.

CAPPIN G Once filled, bottles are then capped. We use different caps for different bottles glass bottles are usually topped with a metal crown while "PET BOTTLES" topped with a plastic screw-top. Each cap type then moves through different parts are of the machine, which ensures each cap stays scratch free and is in the right position to be precisely placed on the bottle. As quality and freshness are key, we use a "no closure" detector during the capping process and a "go-no-go gauge" or "torque meter" after the bottles has been capped. The "no-closure" detector checks if a screw top or crowns has been placed on bottle. The process actually stops if the detector doesn't find a closure. The "go-no-go gauge" checks for the crown proper crimp and the "torque meter" checks to make sure the screw-top is and goodtight. If the bottle cap isn't just right, the beverages can become flat or be affected in other ways. If this happens, the bottle is discarded.

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LABELIN G Once the bottles have been filled and capped, they move on to be labeled. A special machine dispenses labels from large rollers, cuts them and place on the bottles. For special labels such as commemorative bottles for football championships, the labels are sent to the bottling plants for approval, and then used for packaging. Depending on the occasion, some of these special bottles will go only to the specific locations. For example, a national football championship bottle will be sent only to the home town or state of the championship team. CODIN G The bottle is now ready to be coded. Each one of our beverages is marked with a special code that identifies specific information about it. The codes simply identify the date the beverages was bottled or canned. These codes identify the date, time, batch no. and the MRP. Product coding allows us to ensure that u receive beverages at their flavorful best. our

INSPECTIO N We inspect bottles at many points during the process. With refillable bottles, it happens they are first brought into the plant. They are also inspected after they are washed and again after they are filled. Inspectors look for external bottle imperfections and make sure each bottle has the right amount of beverages. Even after filling, each plant samples bottles for analysis in its lab to ensure quality is up to standards PACKAGIN G once our filled beverages have passed final inspection, they are ready to be packaged for delivery. Generally, packing can refer to everything from the unique "BOTTLE" and "CAN" designs, to label designs, to cardboard boxes and containers, to plastic rings. Because the needs and tastes of our consumers are so diverse, the packaging varies depending on where the beverages are being sent.

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WAREHOUSING & DELIVERY In order to make sure the freshest beverages possible get to you, each warehouse must efficiently manage the thousands of beverages cases produced each Beverage organization is key, though it's the bottle and can coding that allow for day. the necessary precision. From the warehouse, we load beverages onto our distinctive trucks. Night and day, our trucks are delivering our beverages refreshing to stores, soda fountains, and vending machines near you.

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PRODUCT INTRODUCTION

Coca-Cola has a truly remarkable heritage. From a humble beginning in 1886, it is now the flagship brand of the largest manufacturer, marketer and distributor of non-alcoholic beverages in the world. In India, Coca-Cola was the leading soft-drink till 1977 when govt. necessitated its departure. Coca-Cola made its return to the country in 1993 and policies made significant investments to ensure that the beverage is available to more and more people, even in the remote and inaccessible parts of the nation. Coca-Cola returned to India in 1993 and over the past ten years has captured the imagination of the nation, building strong associations with cricket, the thriving cinema industry, music etc. Coca-Cola has been very strongly associated with cricket, sponsoring the World Cup in 1996 and various other tournaments, including the Coca-Cola Cup in Sharjah in the late nineties. CocaCola's advertising campaigns Jo Chaho Ho Jaye and Life ho to Aisi were very and had popular entered the youth's vocabulary. In 2002, Coca-Cola launched campaign "Thanda Matlab Coca-Cola" which sky-rocketed the brand to make it the India's favourite soft-drink brand. In 2003, Coke was available for just Rs. 5 across the country and this pricing initiative togetherwith improved distribution ensured that all brands in the portfolio grew leaps and bounds. Coca-Cola had signed on various celebrities including movie stars such as Karishma Kapoor, cricketers such as Srinath, Sourav Ganguly, southern celebrities like Vijay in the past and today, its brand ambassadors are Aamir Khan and Hrithik Roshan. Glass 200 ml, 300 ml, 500 ml, 1000 ml PET 500 ml, 1.5 L, 2 L, 2.25 L, 500 ml + 100 ml Can 330 ml Fountain Various Sizes

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Strong Cola Taste, Exciting Personality Thums Up is a leading carbonated soft drink and most trusted brand in Originally introduced in 1977, Thums Up was acquired by The CocaIndia. Company in 1993. Cola Thums Up is known for its strong, fizzy taste and its confident, mature uniquely masculine attitude. This brand clearly seeks to separate the men from the and boys. Glass 200 ml, 300 ml, 500 ml, 1000 ml PET 500 ml, 1.5 L, 2 L, 2.25 L, 500 ml + 100 ml Can 330 ml Fountain Various Sizes

Lime n' lemoni Limca , the drink that can cast a tangy refreshing spell on anyone, anywhere. Born in 1971, Limca has been the original thirst choice, of millions of consumers for over 3 decades. The brand has been displaying healthy volume growths year on year and Limca continues to be the leading flavour soft drink in the country. The success formula. The sharp fizz and lemoni bite combined with the single positioning of the brand as the ultimate refresher has minded strengthened continuously the brand franchise. Limca energizes refreshes and transforms. Dive into the zingy refreshment of Limca and walk away a new person.

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Glass 200 ml, 300 ml, 500 ml, 1000 ml

PET 500 ml, 1.5 L, 2 L, 2.25 L, 500 ml + 100 ml

Can 330 ml

Fountain Various Sizes

Worldwide Sprite is ranked as the No. 4 soft drink & is sold in more than countries. 190 In India, Sprite was launched in year 1999 & today it has grown to be one of the fastest growing soft drinks, leading the Clear lime category. Today Sprite is perceived as a youth icon. With a strong appeal to the Sprite youth, has stood for a straight forward and honest attitude. Its clear crisp referstaste encourages the today's youth to trust their instincts, influence them to hung be true to who they are and to obey their thirst.

Glass 200 ml, 300 ml,

PET 500 ml, 1.5 L, 2 L, 2.25 L, 500 ml + 100 ml

Can 330 ml

Fountain Various Sizes

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Fanta Internationally, Fanta - The 'orange' drink of The Coca-Cola Company, is seen as one of the favorite drinks since 1940's. Fanta entered the Indian market in the year 1993. Over the years Fanta has occupied a strong market place and is identified as "The Fun Catalyst". Perceived as a fun youth brand, Fanta stands for its vibrant color, tempting taste and tingling bubbles that not just uplifts feelings but also helps free spirit thus encouraging one to indulge in the moment. This positive imagery associated with happy, cheerful and special times with friends. is

Glass 200 ml, 300 ml,

PET 500 ml, 1.5 L, 2 L, 2.25 L, 500 ml + 100 ml

Can 330 ml

Fountain Various Sizes

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Maaza was launched in 1976. ere was a drink that offered the same real taste of juices and was available throughout the year. In 1993, Maaza was fruit by Coca-Cola India. Maaza currently dominates the fruit drink category. acquired Over the years, brand Maaza has become synonymous with Mango. This has been the result of such successful campaigns like "Taaza Mango,Maaza Mango" "Botal and mein Aam, Maaza hain Naam". Consumers regard Maaza as wholesome, natural, fun drink which delivers the real experience of fruit. The current advertising of Maaza positions it as an enabler of fun moments friendshipbetween moms and kids as moms trust the brand and the kids love its taste. The campaign builds on the existing equity of the brand and delivers r aelevant emotional benefit to the moms rightly captured in the tagline "Yaari Dosti Taaza Maaza" Maaza was launched in 1976. ere was a drink that offered the same real taste fruit of juices and was available throughout the year. In 1993, Maaza was acquired by Coca-Cola India. Maaza currently dominates the fruit drink Over the years, brand Maaza has become synonymous with Mango. This has been category. the result of such successful campaigns like "Taaza Mango,Maaza Mango" "Botal and mein Aam, Maaza hain Naam". Consumers regard Maaza as wholesome, natural, fun drink which delivers the real experience of fruit. The current advertising of Maaza positions it as an enabler of fun friendshipbetween moms and kids as moms trust the brand and the kids love its moments taste. The campaign builds on the existing equity of the brand and delivers r aelevant emotional benefit to the moms rightly captured in the tagline "Yaari Dosti Taaza Maaza"

Glass Glass 200 ml, 200 ml, 250 ml 250 ml

Tetrapak Tetrapak 125 ml, 125 ml, 200 ml 200 ml30

PET PET 1000 ml 1000 ml

Fountain Fountain Various Sizes Various Sizes

The importance of water can never be understated. Particularly in a nation such as India where water governs the lives of the millions, be it as part of everyday rituals or as the monsoon which gives life to the sub-continent. Kinley water understands the importance and value of this life giving Kinley force. water thus promises water that is as pure as it is meant to be. Water you trust to be truly safe and can pure. Kinley water comes with the assurance of safety from the Coca-Cola Company. That is why we introduced Kinley with reverse-osmosis along with the latest technology to ensure the purity of our product. That's why we go through testing procedures at each and every location where Kinley is produced. rigorous

Minute Maid - A 62 year success story The history of the Minute Maid brand goes as far back as 1945 when the Foods Florida Corporation developed orange juice powder. The company developed a process that eliminated 80 percent of the water in orange juice, forming a frozen concentrate that when reconstituted created orange juice. They branded it Minute Maid, a name connoting the convenience and the ease of preparation (In a minute).

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Minute Maid thus moved from a powdered concentrate to the first ever juice from concentrate. orange Minute Maid- One of the world's largest juice and juice drink brands Over the years, through innovations and unmatched consumer experience provided in over 60 countries, Minute Maid brand has clearly become one of the world'sjuice and juice drink brands. The launch of Minute Maid Pulpy Orange largest India (starting with the south of the country) is aimed to further extend in leadership of Coca-Cola in India in the juice drink category. the

Available in two PET pack sizes 400 ml and 1 liters and 1.25 liters.

Trademark Registration of CocaThe trademark "Coca-Cola" was registered with the U.S. Patent and Cola

Office in 1893, followed by "Coke" in 1945. The unique contour bottle, familiar to Trademark consumers everywhere, was granted registration as a trademark by the U.S. Patent and Trademark Office in 1977; an honor awarded very few packages.

Mission7R UHIUHVK WKH ZRUOG... IQ PLQGI ERG\ DQG 7R LQVSLUH PRPHQWV RI RSWLPLVP WKURXJK RXU EUDQGV DQG RXU VSLULW. 7R FUHDWH DFWLRQV. YDOXH DQG PDNH D GLIIHUHQFH HYHU\ZKHUH ZH HQJDJH. With the mission to refresh this world the coca cola company gear up the company to reach its potential; mission is to create a growth strategy that bring good to the world by refreshing people every day and inspiring them with optimism through the brands and our actions

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VisionMore than a billion times a day, consumer chooses our brand of refreshment because coca cola is... 7KH 6\PERO RI Customers 4XDOLW\and Consumers Satisfaction A 5HVSRQVLEOH CLWL]HQ RI WKH :RUOG The company asks 150 of top leaders to re-imagine The Coca-Cola Company. This would result to lead company to a holistic vision that the company is working to accomplish over the next 10 years.

BrandsA&W, Barq's, Caffeine Free Coca-Cola Classic, Caffeine Free Diet Coke,Cherry Coke, Citra, Coca-Cola C2, Coca-Cola Classic, Crush, Dasani, DietBarq's, Diet Cherry Coke,Diet Coke, Diet Mello Yello, Diet Sprite, Dr.Pepper, Fanta, Five Alive,Fresca,Fruitopia, Georgia Coffee, Hi-C, MelloYello, Minute Maid, Mr. Pibb, Nordic Mist, Odwalla, Powerade, Santiba,Simply Orange, Sprite, Surge, Tab , Pulpy orange.

Brands in Coca Cola , Thumps-up, Sprite, Limca, Fanta , Fanta Apple,Kinley, Maaza and IndiaMMPO .

History of CokeThe Early Days Coca-Cola was created in 1886 by John Pemberton, a pharmacist in Atlanta, Georgia, who sold the syrup mixed with fountain water as a potion for mental and physical disorders. The formula changed hands three more times before Asa D. Candler added carbonation and by 2003, Coca-&ROD ZDV WKH ZRUOGV largest manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, with more than 400 widely recognized beverage brands in its portfolio. With the bubbles making the difference, Coca-Cola was registered as a trademark in 1887 and by 1895, was being sold in every state and territory in the United States. In 1899, it franchised its bottling operations in the U.S., growing quickly to reach 370 franchisees by 1910.10 Headquartered in Atlanta with divisions and local operations in over 200 countries worldwide, Coca-Cola generated more than 70% of its income outside the United States by 2003. The Coca-Cola Company (NYSE: KO)is the largest manufacturer, distributor of non-alcoholic beverage concentrates and syrups in the world, and and marketer one of the largest corporations in the United States. The company is best known33

for its flagship product Coca-Cola, invented by pharmacist John Stith Pemberton in 1886. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake CocaCola beverage, Coca-Cola currently offers nearly 400 brands in over 200 countries or territories. The company operates a franchised distribution system dating back to 1889 where TCCC only produces syrup concentrate which is then sold to various throughout the world who hold an exclusive bottlers territory. The Coca-Cola Company is headquartered in Atlanta, Georgia. Its stock is listed on the NYSE and is part of DJIA and S&P 500. Coca Cola Company is one of the United States based company founded in year the 1886. It is one of the world's leading manufacturer, marketer and distributor of cola W\SHV products. The industrial type of the company comes under the Beverages. The company's headquarter is situated at Atlanta. It has its worldwide operation in more than 200 countries of the MAAZA The company for the year 2002 was regarded as the company having Brand highest value. The brand value was measured at 69,637,000,000 in terms of $. Presently the company has more than 400 brands over the world. The company employs approximately 55,000 peoples over the world. The net income of the company as of the year ended on December 31, 2005 reached at $ 4,872 millions. Presently E. Neville Isdell is the Chairman, Board of Directors and the Executive Officer of the Company. Chief

OverviewThe Coca-Cola Company, incorporated in September 1919, is the manufacturer, distributor and marketer of nonalcoholic beverage concentrates and syrups in the world. Finished beverage products bearing its trademarks are sold in more 200 than countries. The Company markets nonalcoholic sparkling brands, which includes Diet Coke, Fanta and Sprite. Its business is nonalcoholic beverages, principally sparkling beverages, but also a variety of still beverages. The Company manufactures beverage concentrates and syrups, which it sells to bottling and canning operations, fountain wholesalers and some fountain retailers, as well as finished beverages, which it sells primarily to distributors. The Company owns or34

licenses more than 450 brands, including diet and light beverages, waters, enhanced waters, juices and juice drinks, teas, coffees, and energy and sports drinks. In addition, it has ownership interests in numerous beverage joint ventures, bottling and canning operations, although most of these operations are independently owned and managed. On June 7, 2007, the Company acquired Energy Brands Inc. On February 22, 2007, the Company acquired the remaining 65% interest in Coca-Cola Bottlers Philippines, Inc. During the year ended December 31, 2007, the Company acquired a 50% interest in Jugos del Valle and a 34% interest in Tokyo Coca-Cola Bottling Company. In 2007, it acquired glaceau, 18 German bottling and distribution operations, Fuze and Leao Junior. The Company sells the concentrates and syrups for bottled and canned beverages to authorized bottling and canning operations. In addition to concentrates and syrups for sparkling beverages and flavored still beverages, it also sells concentrates (in powder form) for purified water products, such as Dasani to authorized bottling operations. Its beverage products include Coca-Cola, CocaCola Classic, caffeine free Coca-Cola, caffeine free Coca-Cola Classic, Cherry Coke, Diet Coke (sold under the trademark Coca-Cola Light in many countries other than the United States), caffeine free Diet Coke, Diet Coke Sweetened with Splenda, Diet Coke with Lime, Diet Cherry Coke, Diet Coke Plus, Coca-Cola Zero (sold under the trademark Coke Zero in some countries), Fanta brand sparkling beverages, Sprite, Diet Sprite/Sprite Zero (sold under the trademark Sprite Light in many countries other than the United States), Pibb Xtra, Mello