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    I dedicate this effort to my

    PARENTS, TEACHERS

    &Managers of Shamim & Co.

    (Pvt) Ltd. Multan

    WHO ENCOURAGED AND PUSHED ME TO FIGHT

    THE CHALLENGES OF TIME

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    Shamim & Co. (Pvt) Ltd. Multan

    ACKNOWLEDGEMENT

    All praises belong to almighty Allah who the supreme authority knows the

    ultimate relation underlying all sorts of phenomenon going on in this universe & whose

    blessing & exaltation flourished my thought & thrived my ambitions to have the

    cherished fruit of my modest efforts my humblest thanks to the Holy Prophet Hazard

    Muhammad (PBUH) who is forever a torch of guidance & knowledge for humanity as a

    whole.

    We deem it our utmost pleasure to avail this opportunity to express gratitude &

    deep sense of obligation to my revered teachers for their valuable and dexterous

    guidance, untiring help, compassionate attitude, kind behavior, moral support and

    enlightened supervision during this whole project.

    Finally, I would like to extend hurtful thanks to my adoring parents and friends

    for their day and night prayers sacrifices and encouragement, moral and financial support

    throughout the course of my study.

    May all of them live long and enjoy a happy life!

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    Shamim & Co. (Pvt) Ltd. Multan

    TABLES OF CONTENT

    Executive Summary ------------------------------------------------------------08

    Introduction To Industry-------------------------------------------------------11

    Vision Statement-----------------------------------------------------------------12

    Mission Statement---------------------------------------------------------------12

    Objective--------------------------------------------------------------------------12

    Pepsi Cola International---------------------------------------------------------13

    HISTORY ------------------------------------------------------------------13

    PepsiCo Values & Philosophy-------------------------------------------14

    Slogans Through the time-------------------------------------------------------15

    Pepsi Cola Brands List-----------------------------------------------------------18

    Pepsi Cola In Pakistan-----------------------------------------------------------19

    Shamim & Co. (Pvt) Ltd Multan-----------------------------------------------20

    Unique Features of Shamim & Co.------------------------------------21

    Main Objective------------------------------------------------------------21

    Main Operation------------------------------------------------------------21

    Management of Shamim & CO.----------------------------------------22

    Territory of Shamim & Co.----------------------------------------------22

    Organizational Structure-------------------------------------------------23

    Currently offering Products---------------------------------------------24

    Major Competitors-------------------------------------------------- ------24

    Stock Keeping Units----------------------------------------------------25

    Internship Program----------------------------------------------------------------26

    Human Resource Department------------------------------------------27

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    Shamim & Co. (Pvt) Ltd. Multan

    Sales & Marketing Department----------------------------------------30

    8 steps of Sales------------------------------------------------------------36

    Key Accounts Department-----------------------------------------------39

    Tools Of Trading Department-------------------------------------------42

    Market Research & SIS Department-----------------------------------45

    Other deparments-------------------------------------------------------------------

    51

    The Marketing Mix----------------------------------------------------------------55

    SWOT Analysis--------------------------------------------------------------------60

    PEST Analysis---------------------------------------------------------------------65

    Suggestions-------------------------------------------------------------------------67

    Recommendations for Improvement--------------------------------------------68

    Comments---------------------------------------------------------------------------70

    What I learn in the organization--------------------------------------------------71

    Annexure----------------------------------------------------------------------------72

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    Shamim & Co. (Pvt) Ltd. Multan

    EXECUTIVE SUMMARY

    Beverage industry in the whole world is very well established industry and the same case

    in Pakistan. The major beverage companies are Pepsi Cola and Coca Cola and the

    emerging beverage industry is Gourmet Cola. The Pepsi Cola is the market leader in the

    Pakistan as well as in the Asia but Coca Cola is the market leader in the whole world.

    These industries develop their own marketing strategies to meet the requirements of their

    respective target market. As for as the Shamim & Co. beverage in Multan is concerned, it

    creates its monopoly in its target market, which is based on Multan, Rahim Yar Kahn and

    the sub areas of these cities. Shamim & Co. beverage successfully fulfill the requirement

    of its target market. Shamim & Co. beverages believe in departmentalization in their

    office works and therefore they establish different department to achieve their respective

    tasks. There are different departments in the Shamim & Co. beverages like humanresource department, management information system department, key accounts

    department, sales department, marketing services department and marketing department,

    audit and taxation department, TOT department, purchase department, production

    department, finance department, store management and shipping department. Each

    department is running under intellectual managers and there respective team of assistants.

    Human resource department in Shamim & Co. has the major function is to manage the

    workforce. Recruitment and promotions are also done by this department. Personal

    record of each employee is maintained by this department. In this record each and every

    thing about the employee is recorded. This record is maintained both by manual system

    and computerized system. Employee selection, employee appraisal and leave records are

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    Shamim & Co. (Pvt) Ltd. Multan

    also the part of this departments work. Different motivational tools for the employees are

    also managed by this department.

    The sales & marketing department in Shamim & Co. performs a very vital role. It

    manages all the sale force. Mr. Aamir Hameed is the G.M of marketing and sale

    department. He is very experienced person and he manages all the sale force in a good

    manner. The G.M give monthly, quarterly, semi annually and annually targets to the sale

    force. He adopts the policy that they hire the experienced person for the manager leveljobs and fresh MBAs for the sales officers and for the executives level jobs. The

    distribution system as well as the supply system of Shamim & Co. is very effective and

    very strong. That why Shamim & Co. market share is above 75%. The Shamim & Co.

    employees build very strong relationship with the customer. Company also gives

    incentive and bonus to the employees on achieving their targets. The marketing

    department makes the advertising of all the new promotion, launching and relaunching of

    brands. The marketing department is just perform the BTL (below the line) marketing

    that include the banners, counters, billboard, wall chalking, paints and promotion of the

    PCI ads.

    The Key accounts department is basically works on the conversion of the Coca-Cola

    point into the Pepsi Cola points. The main focus of this department is to convert the

    Coca-Cola point on the basis of low cost and using their personal abilities and personal

    relations. This department plays the role of communicator between customer and sales

    force. The key accounts department also works on the retention of the existing point of

    the Pepsi. The working of this department is to increase the point of Pepsi, when points

    increase then automatically the market share is increased.

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    Shamim & Co. (Pvt) Ltd. Multan

    The TOT department is work on the issuance and repairing of the deep freeze and visi

    coolers. This department is established before three years. First this department work

    under the SIS department. This department major focus is on the philosophy COLD IS

    SOLD. When all the documents of agreement are completed, then their first priority is to

    ensure the very soon delivery. This department work through out the year but the season

    of issuance deep freezer and visi cooler is started from January.

    Market Research & sales information system is a very important department for any firm.This department aims to keep current records of each and every outlet of the franchise.

    Through this system, management comes to know about the market share, name &

    address of each outlet, TOT details, publicity position, Discount Verification. Information

    is collected about Distributors & area wise, Route wise and District wise. This system is

    useful in accessing market & investment position in each area.

    Finally, I am thankful to entire management of SHAMIM & COMPANY (Pvt) Ltd

    MULTAN, especially HR Manager Madam Sadaf and Sir Nauman Assistant Manger of

    Sales analysis who gave me chance to work with them and provide opportunity to learn

    functioning of SHAMIM & COMPANY PEPSI COLA MULTAN.

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    Shamim & Co. (Pvt) Ltd. Multan

    INTRODUCTION TO THE INDUSTRY

    Coca Cola:

    Coca Cola Company begins operating in Pakistan in 1963. coca cola brand for Pakistan

    are coca cola, fanta, sprite, 3 G. the coca cola system in Pakistan operate through eight

    bottlers, four of which are majority owned by coca cola beverages Pakistan limited

    (CCBPL). CCBPL plants are in Karachi, Hyderabad, Sialkot, Gujaranwala, Faisalabad,

    RaheemYar Khan, Multan and Lahore. The remaining two plants independently owned

    are in RawalPindi & Peshawar. It employees consist of 1800 people. During the last two

    years, the coca cola system in Pakistan has invested over $ 150 million.

    Gourmet Cola:

    The gourmet cola is also a big competitor of Pepsi. It also captures and makes its

    monopoly in its target market. It competes with its competitor in different markets. In

    Lahore it competes with Coca Cola.

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    Shamim & Co. (Pvt) Ltd. Multan

    VISION

    "PepsiCo's responsibility is to continually improve all aspects of the world in which we

    operate - environment, social, economic - creating a better tomorrow than today." Our

    vision is put into action through programs and a focus on environmental stewardship,

    activities to benefit society, and a commitment to build shareholder value by making

    PepsiCo a truly sustainable company.

    MISSION

    We aspire to make Pepsi Company the worlds premier consumer Products Company,

    focused on convenient beverages. We seek to produce healthy financial rewards for

    investors as we provide opportunities for growth and enrichment to our employees, our

    business partners and the communities in which we operate. And in everything we do, westrive to act with honesty, openness, fairness and integrity

    OBJECTIVES

    The company operates through well experienced, loyal and hardworking employees. The

    first and the most basic plan it to train them according to the changing technology and

    computerized environment, and satisfying their needs and requirements. Upgrading

    the plant structure and installation of the new machinery are other plans. The company

    is planning to increase its sales force and development in its infrastructure in the coming

    time period.

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    PEPSI COLA INTERNATIONAL

    History

    Pepsi Cola is the number one soft drink in the world. The company has operated

    continuously for over 40 years offering a range of quality products, Pepsi, Pepsi Diet,

    Mirinda, 7UP, 7UP Diet, Dew and Teem through a regional network of 27 exclusive

    franchise bottlers. Pepsi-Cola formulated in 1898, Diet Pepsi and Mountain Dew

    introduced by Tip Corporation in 1948. History of Pepsi Cola starts with a small drug

    store in North Carolina. This little store belonged to young chemist by the name of doc

    Bradham. He invented a drink that the customer called broads drink. In 1903, Braham

    got its sales improving gradually. By 1909, more than 250 bottlers in different Americansstates had been allowed to sell under the Pepsi Cola license. Pepsi Cola was first sold in

    the standard size of 6.5 ounces. In 1932 PEPSI COLA took courage enough to introduce

    a bottle of 12 ounces. Pepsi started offering its soft drinks in cans in 1948.

    In 1950 reducing its sweetness and calories had changed the PEPSI COLAS formula and

    a new advertising campaign Refresh without filling had been launched effectively. Under

    the supervision of the attentive sales staff and the Marketing experts, Pepsi Cola began

    setting new records of distinctions. At 30 plants per year, new plants were established all

    across the globle. A new attractively designed bottle had been introduced in 1957 in place

    for the 20 years old bottle, and the product line had been enhanced to introduce the new

    flavors of team & mirinda. In 1963, a new low- calorie drink with taste of the Pepsi-Cola

    trademark was introduced. It was called Diet Pepsi. In 1964, Mountain Dew left its

    Mountain birthplace and joined the Pepsi-Cola family. In 1990, PepsiCo profits exceed

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    Shamim & Co. (Pvt) Ltd. Multan

    $1 billion for the first time. In 1994, PepsiCo sales reach $30.4 billion. There are 470,000

    employees worldwide, making PepsiCo the third largest employer.

    In 1995, Pepsi-Cola introduces Nothing else is a Pepsi theme line. In 1996, Pepsi-Cola

    introduces new advertising campaign with the theme Generation Next. In 1997, Pepsi-

    Cola celebrates 100th Anniversary with first worldwide bottlers conference, held in

    Hawaii.

    In 2000, PepsiCo sales are $20 billion and the company has 125,000 employees. So at

    this year PepsiCo creates PepsiCo International, the business that will unite all

    international snack, beverage and food units in an effort to drive faster growth andimproved profitability around the world.

    PEPSICO VALUES & PHILOSOPHY

    Our Values & Philosophy are a reflection of the socially and environmentally responsible

    company we aspire to be. They are the foundation for every business decision we make.

    Our Commitment

    Sustained Growth

    Empowered People

    Responsibility and Trust

    Guiding Principles

    We uphold our commitment with six guiding principles. We must always strive to:

    Care for our customers, our consumers and the world we live in

    Sell only products we can be proud of

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    Speak with truth and candor

    Balance short term and long term

    Win with diversity and inclusion

    Respect others and succeed together

    SLOGANS THROUGH TIME

    Pepsi-Cola has different slogans through its history. They remained much known. These

    are given below. This is also an important part of Pepsi-Cola.

    1898 Brad's Drink

    1903 Exhilarating, Invigorating, Aids Digestion

    1906 Original Pure Food Drink

    1908 Delicious and Healthful

    1915 For All Thirsts - Pepsi: Cola

    1919 Pepsi: Cola - It makes you Scintillate

    1920 Drink Pepsi: Cola - It Will Satisfy You

    1934Double

    Refreshing and Healthful

    1938 Join the Swing to Pepsi1939 Twice as Much for a Nickel

    1943 Bigger Drink, Better Taste

    1947 It's a Great American Custom

    1949 Why Take Less When Pepsi's Best?

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    1963 Come Alive! You're in the Pepsi Generation

    1967 Taste that Beats the Others Cold, Pepsi Pours It On.

    1969You've Got a Lot to Live, Pepsi's Got a Lot to Give

    1973 Join the Pepsi People Feelin' Free

    1976 Have a Pepsi Day!

    1979Catch That Pepsi Spirit

    Take the Pepsi Challenge

    1981 Pepsi's Got Your Taste for Life

    1983Pepsi Now!

    1984 The Choice of a New Generation

    1987 America's Choice

    1989 A Generation Ahead

    1992 Gotta Have It

    1993 Be Young, Have Fun, Drink Pepsi

    1995 Nothing Else is a Pepsi

    1997 Generation Next

    1998 Same Great Taste

    1999 The Joy of Cola

    2000 The Joy of Pepsi

    2003 Pepsi. It's the Cola

    2005 Dare for more

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    2006 Yeh Dil Maange More

    2009 Yeh hai youngistaan meri jaan

    2010-

    2011"Badal Do Zamana

    2012

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    PEPSI COLA BRANDS LIST

    Product Available - Multan Zone

    Pepsi-Cola

    Diet Pepsi Pepsi Twist (regular & diet)

    Pepsi Vanilla

    Pepsi Max

    Pepsi Light

    Pepsi Limon

    Mountain Dew

    Diet Mountain Dew

    Mirinda

    7UP

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    PEPSI COLA IN PAKISTAN

    Pepsi Cola is being produced and consumed in 48 countries of world including Pakistan.

    At present, Pepsi Cola is No. 1 in Pakistan in terms of sales wise and in market share. It is

    the market leader. But overall in the world Coca-Cola is No. 1. In Pakistan the head

    office of Pepsi Cola International is in Lahore.

    In Pakistan, there are nine territories where the franchised unit produce and sell Pepsi-

    Cola. Some of these territories are:

    1) Lahore

    2) Karachi

    3) RawalPindi

    4) Peshawar

    5) Multan (Shamim & Co.)

    6) Gujranwala

    7) Sakhar

    8) Faisalabad

    9) Quetta (Baluchistan)

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    Shamim & Co. (Pvt) Ltd. Multan

    SHAMIM & CO. (Pvt) Ltd. MULTAN

    Shamim & Co. (Pvt.) Ltd. Was established in 1964, but it started its production in 1967.

    Shamim & Co. is a franchise of Pepsi Cola International, which deals in CSD

    (Carbonated Soft Drink). Mr. Allah Nawaz Khan Tareen was the founder of the company

    and also chairman Pepsi Cola International have 9 (nine) Franchises all over Pakistan.

    Allah Nawaz Khan Tareen (Ret. DIG) got license of 7 UP. But in 1973, it became Pepsi

    Cola franchise. Now a day M.D of Pepsi Cola Multan is Alamgeer Khan Tareen son of

    Allah Nawaz Khan Tareen. At start Pepsi Multan was having only one production plant

    made by Netherlands and was only producing 7 UP because it was the only brand

    produced by Parent Company. In 1973, PEPSI acquired 7 UP in Canada, so the Multan

    franchise started producing PEPSI and Marinda along with 7 UP & became PEPSI

    franchise.

    Shamim & Co. (Pvt) Ltd. Jail Road Multan is one of them covering 18 Districts & 135

    Stations. Shamim& Co. Multan has very committed staff and this is the reason that it

    captures more than 70% share of market share. Company has now serviced new

    experienced & competent sales staff & increases this share form 70% to 80 or 90%. As

    for as Distribution / Placement is conserved company has a very well-establish

    distribution network covering whole of the franchise area. Depending on the potential of

    the town we have one and more than one distribution in each town. Sale supervisor / Sale

    officer is responsible for all the activities of that distributor. He looks after the stock

    availability, contingencies and all the routes covered by the salesman of that distribution.

    Salesman training is also a main responsibility of sale supervisor. Company has invested

    too much money in shape of Coolers, Visi Coolers, Counters and Cabin. Which are

    offered to those shops which are producing good sales to promote sales& oblige these

    shops? All the services matters of coolers and maintenance and look after of these assets

    are also the responsibility of our sales force.

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    Shamim & Co. (Pvt) Ltd. Multan

    MANAGEMENT OF SHAMIM & CO.

    It Includes:

    Managing Director: Alamgeer Khan Tareen

    GM Sales& Marketing: MR Amir Hameed

    GM Production: MR Ijaz

    GM Finance: MR Sohail Butt

    Manager Managements Accounts: Mr Ch. TAHIR Ameen

    Manager MIS: MR Rizwan Zafar

    Manager HR: Madam Sadaf Tahir

    Manager Shipping: Mr Major Farrooq

    TERRITORY OF SHAMIM & CO. (PVT) LTD.

    District Cover by Shamim & Co.

    1. Multan A Zone 2. Jampur

    3. Multan B Zone 4. Layyah

    5. Multan C Zone 6. Sahiwal

    7. Multan District 8. Okara9. Multan Outskirts 10. Bahawal Pur

    11.Khanewal 12.Ahmad Pur

    13. Mailsi 14. Bahawal Nagar

    15. Vehari 16. Haroonabad

    17. Muzafar Garh 18. Rahim Yar Khan

    19. D.G. Khan 20. Chishtian

    ORGANIZATIONAL STRUCTURE

    22

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    Shamim & Co. (Pvt) Ltd. Multan

    23

    Managing Director

    General Manager

    Sales & Marketing

    General Manager

    Finance

    Manager Sales &Marketing

    Manager Research& SIS

    Manager KeyAccounts

    Sales OperationManager (SOM)

    Manager MIS

    Manager Banking& Insurance

    ManagerAccounts

    Manager Admin

    Manager Personnel

    Manager Shipping

    General Manager

    Operations

    General Manager

    Technical

    Manager QualityControl

    ManagerProduction

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    Shamim & Co. (Pvt) Ltd. Multan

    CURRENTLY OFFERING PRODUCTS

    The first product of Shamim & Company was 7-up. The other products are:

    Pepsi Cola

    Mirinda

    7-up

    Diet Pepsi

    Mountain Dew

    Sting

    Slice Juices

    MAJOR COMPETITORS

    Pepsi's direct competitor is Coca-Cola. The non-soft drink competitors are tea, coffee,

    water, energy drinks, sports drinks, milks, etc which are all consumed on beverage

    occasions. Pepsi aims to gain a greater share of these occasions.

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    Shamim & Co. (Pvt) Ltd. Multan

    STOCK KEEPING UNITS (SKUs)1. SSRB This stands for Single Serving Returnable Bottle (Regular)

    We are offering Pepsi, Mirinda, 7-Up & Mountain Dew in this group.

    2. LRB This stands for Liter Returnable Bottle this includes Pepsi, Mirinda &

    7-Up. We are not offering Mountain Dew in this class.

    3. Pet Bottle (1.5 Liter)

    This includes Pepsi, Mirinda & 7-Up. This group also does not have Mountain

    Dew in their family.

    Here Diet Pepsi & 7-Up are also available to enlarge the range of group.

    4. NRB This stand for Non Returnable Bottle. It can also be called as Deposable

    It has 300ml quantity. This group includes Pepsi, Mirinda, 7-Up, Diet Pepsi &

    Diet 7-Up.

    5. Cane Packing, we are offering cane packing of all that brands that are offered in

    SSRB. Including Pepsi, Mirinda, 7-Up and Mountain Dew.

    6. Post Mix This includes Fresh / Fountain. This group includes Pepsi, Mirinda, 7-

    Up & Mountain Dew. This facility is offered on QSR that stands for Quick

    Serving Restaurants and all those points where no of walk-in-customers in very

    huge with their short time stay at that point.

    Pepsi Cola International is a large group coveringKFC,Pizza Hut, Burger King,

    Lays Potato Chips & Aquafina (Mineral Water).

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    Shamim & Co. (Pvt) Ltd. Multan

    INTERNSHIP PROGRAMME

    During my six week internship program, I was moved through following departments:

    1. Human Resource Department

    2. sales & Marketing Department

    3. Key Accounts Department

    4. TOT Department

    5. Market Research & SIS Department

    26

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    Shamim & Co. (Pvt) Ltd. Multan

    1. HUMAN RESOURCE DEPARTMENTHRM department play a vital role in each organization. Madam Sadaf Tahir is the HR

    Manager of Shamim & Co. There is no involvement of even Country Office in the

    decision of HR department. The department of Human resource is working efficiently in

    the company from approximately 3 years. All training arrangements are made by

    franchise itself. All hiring is done through references; there is no concept of job

    advertisement in Shamim & Co.

    The basic functions of this department are

    Job analysis

    Preparation and collection of application info

    Recruiting

    Selection

    Specifying jobs and roles

    Training

    Evaluation

    Feed Back

    Career development

    Out sourcing

    Preventing violence in the workplace

    Ensuring safety at the workplace

    Transfer and promotion

    Employees daily attendance

    27

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    Shamim & Co. (Pvt) Ltd. Multan

    PROCESS OF RECRUITMENT AND SELECTION CHART

    28

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    Shamim & Co. (Pvt) Ltd. Multan

    CAREER PATH

    29

    CV acceptance

    Written

    TestIf Qualified

    Demand generation byrespective department Experience

    3rd Interview 2nd Interview 1st Interview

    By HR ManagerBy Manager of

    Respective Department

    Paned interview

    with G.M

    JoiningFinalSelection

    RJP

    Qualification

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    Shamim & Co. (Pvt) Ltd. Multan

    The career path of the Shamim & Co. (Pvt) Ltd Multan is as

    `

    2. SALES / MARKETING DEPARTMENT

    30

    General

    Manager

    Assistant General

    Manager

    Manager

    Analyst

    Assistant

    Manager

    Executive

    Officer

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    Shamim & Co. (Pvt) Ltd. Multan

    Marketing is the social process by which individuals and groups obtain what they need

    and want through creating and exchanging products and value with others.

    Marketing is not only much broader than selling; it is not a specialized activity at all. It

    encompasses the entire business. It is the whole business seen from the point of view of

    the final result, that is, from the customers point of view.

    Sale and marketing is the most important department of any beverage company. To

    maximize the sales and profit, this department should be proper planed and managed. The

    marketing department is responsible to make advertisement of the company products and

    get them sailed. They are given monthly, quarterly, semi annually and annually salestargets and they are liable to achieve it. They use different schemes and offer different

    discounts etc. to achieve those targets.

    Shamim Co. Pvt. has a very aggressive and hardworking Sales and marketing

    department. Due to its efforts the company has got the first position in sales in 1993

    through out the Pakistan.

    STRUCTURE OF THE SALES & MARKETING DEPARTMENT

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    Shamim & Co. (Pvt) Ltd. Multan

    Sales Department Marketing Department

    Following are the major contents of this department:

    32

    General Manager

    (G.M)

    Divisional Sales

    Manager (DSM)

    Regional Sales

    Manager (RSM)

    Area Sales

    Manager (ASM)

    Sales Officer

    (S.O)

    Company

    Representative

    (C.R)

    General Manager

    (G.M)

    Marketing Manager

    Marketing Executives

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    Shamim & Co. (Pvt) Ltd. Multan

    Marketing Development

    Tactical analysis and routine planning of market strategies.

    Competition activity monitoring

    T.O.T. management

    Publicity management

    Time management

    1. Market Development

    Targets are set and then this department makes strategies to achieve those targets and

    develop the market.

    The following major factors are considered in this respect.

    Location of non traditional shops where potential is available for the beverage.

    Collection of all the data about each and every distributors/outlets, about its sale,

    volume, growth and exclusivity.

    Finding the gaps in the market where there is a potential.

    Different offers must be given to break the competitors point.

    Finding the points where competitor is strong and hoe we can break this point.

    2. Tactical Analysis & Routine Planning Of Market Strategies

    On the market side the sales people gather information and on the bases of these

    information they further plan and improve their strategies.

    Checking of the designated area, its sale, volume and growth.

    Calculation of share n brands and package wise

    Calculation of daily sales achievements on monthly target basis

    Location of the poor performance factors and analyzing their cause

    Finding their solution and getting the approval for its execution.

    Planning for a schedule for the designated area.

    Visiting the area according to the plan and reporting it to the higher management

    33

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    Shamim & Co. (Pvt) Ltd. Multan

    3. Competition Activity Monitoring

    A firm has to monitor its competitor continuously in order to be successful in the market.

    There are six steps in competitor analysis.

    Identifying the companys competitors

    Determining the competitors objective

    Determining the competitors strategies

    Assessing competitors strengths & weakness

    Benchmarking

    The process of comparing the companies product and processes to those off competitors

    or leading firms in other industries to find ways to improve quality and performance.

    Benchmarking has become a powerful tool for increasing company competitiveness.

    Estimating competitors Reaction:

    Selecting competitors to Attack & Avoid:

    A company has already largely selected its major competitors through prior decision on

    customer targets, distribution channels, and marketing-mix strategy. These decisions

    define the strategic group to which the company belongs. Management now must decidewhich competitors to compete against most vigorously. The company can focus on one of

    several causes of competitors.

    Strong or Weak Competitors

    Close of Distant Competitors

    Well-Behaved or Disruptive Competitor

    On the other hand a constant intention has been given to the competitors activities,

    strategies and offers. They have been compared with ours and updated according to the

    environment.

    34

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    Shamim & Co. (Pvt) Ltd. Multan

    4. Sensory Indices Levels Measures

    Sensory measures means to check the quality and standards through the senses.

    The color, taste, appearance and other specimens of the bottle, must be checked

    time by time so that the standards of the PCI may not doubted.

    5. Empty & Load Management:

    Empty management means full utilization of available empty at highest productive Trip

    page level within the franchise area.

    There are two types of empty management i.e.

    Empty management within distributors

    Empty management within Salesman.

    The sales and marketing department have to manage, plan and make strategies a about

    the distribution of empty whether it is on credit or cash. The department also has to

    handle and manage load. Whether it is on vehicles, or shipping, distributors or at the

    depots level. At shipping level load management can be divided into

    Package wise

    Brand wise

    Demand wise

    How to Manage the Empty

    Following are the steps which are necessary to manage the empty

    Estimation of empty available (within shopkeeper)

    Estimation of empty available ( within distributors )

    Previous sales record of each specific area within distributors.

    Trip page level tracking of each distributor for the last two years at least.

    Estimation of sales volume growth for at least last three years

    (Distributors or salesman rout)

    Estimation of empty injection volume for at least three years

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    Shamim & Co. (Pvt) Ltd. Multan

    (Distributors or salesman rout)

    Comparison of empty Trip page from the one to other distributors/salesman rout.

    Factors causing poor Trip page

    Factors involved causing hyper Trip page.

    Empty plan (Forecasting) based on the previous years Trip page

    Level & Percentage increase of empty injection.

    36

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    Shamim & Co. (Pvt) Ltd. Multan

    8 STEPS OF PEPSI SALES

    Shamim & Company (Pvt) Ltd. Multan is very conscious about the development and

    growth of its employees especially the sale force. They have designed an 8 step

    process for proper guideline of their sales team just to make their sales calls

    effective and result oriented.

    There steps are as follow

    1- Preparation

    2- Greeting

    3- Stock Checking

    4- Merchandising

    5- Presentation

    6- Order taking

    7- Curb side de-briefing evaluation

    8- Administration

    1. Preparation

    i. What are Objective

    ii. What to do here

    iii. How to do that

    Simply where we want to go, & how to get our there.

    2. Greeting

    It includes greetings and hand-shake. Greet the customer by name & he will

    be delighted should be keep in mind of every person involved in sales.

    37

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    Shamim & Co. (Pvt) Ltd. Multan

    3. Stock Checking (Stock Availability Store Checking)

    This includes all the good e is dealing in this will help us to know about his

    financial worth patented and clientage.

    4. Merchandising (Display)

    Display of Visi Cooler

    Display outside shop

    Availability inside Deep Freezers

    It is the most important job to be performed by our sales force.

    The order of our product in display should be like this

    1) Top cane packing

    Pepsi, 7-Up, Mirinda and Mountain dew

    Then

    2) Non Returnable bottles

    Then

    3) Single serving returnable bottles

    Then

    4) Single serving returnable bottles (Regular)

    Then

    5) Liter returnable bottles & pet bottles on the floor of visi coolers

    Every sales person should be caring about the display.

    5. Presentation

    Policy

    Scheme

    Product availability

    Total sales tack

    6. Order Taking

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    Taking Order from shopkeeper

    7. Curb Side De-Briefing

    Evaluation of the shopkeepers performance (in term of sales) is noted and

    compared to his previous performance.

    8. Administrations

    Cash

    Empty

    Sales figure entry

    Infection of stock

    Company desired to increase its market share from 80 % or above. This is only possible

    if we

    Retain our exclusive point

    Explore new points

    Increase sales of points

    Increase stock at mix points

    Conversion of coke points

    Elimination of B- Brands

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    3. KEY ACCOUNTS DEPARTMENT

    This department is basically working on retention of the existing points and the

    conversion of coca cola points into the Pepsi points. The head of this department is called

    the Key Account Manager. The employees that are working in this department are

    called the Key Account Executives. The job of converting of Coca Cola points into thePepsi points is very difficult. The Key accounts Executives deals in a very good way

    because the points conversion is very difficult. The Key accounts convert the Coca Cola

    points into Pepsi points through different offers and giving a good incentive package.

    Key accounts Executives also listen the complaints of the shopkeeper. They also make

    work on the merchandising. They have no concern with the sales force, but they

    coordinate the sales force.

    Job Description of Key Accounts Executives

    They work on three things

    Convert the Coca Cola points into Pepsi through low cost.

    They perform like a communicator. They listen the shopkeeper complaints, then

    forward to the sales force.

    Retentions of Pepsi point by giving large discount.

    Different Offers used for Conversion

    By giving deep freezer or visi cooler

    Through trade payment & advance payment

    By offering a big amounts discounts and different schemes

    Including their names in the lucky Draw

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    discount is charged by the company, so in this way company charge the entire amount

    which is given to the shopkeeper.

    Advance Payment

    Company gives the total amount to the distributors. So distributors give some stock of

    the company and some amount to the shopkeeper to start their business. So thediscount is not given to the shopkeeper and this discount is charged by the company.

    The conversion of the point is depends on the worth of the points. Because if you

    convert a point, but this point not sale your brands very well, so the company not get

    the benefits of conversion.

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    4. TOT DEPARTMENT

    (COLD IS SOLD)

    This department is working on the cold assets like deep freezers, visi cooler etc.

    STRUCTURE OF TOT DEPARTMENT

    43

    G.M

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    Working of TOT Department

    This department is basically works on two things.

    Issuance of Deep Freezer & Visi Cooler

    Workshop or repairing of Deep Freezer & Visi Cooler

    This department is work on the term Cold is sold. To focus on this term and to meet the

    demands of shopkeepers, there are many types of Quotas comes.

    Types of Quotas

    Seasonal Quota

    Additional Quota

    Regular Quota

    44

    Cold Assets Manager

    Cold Assets Executives

    KPO KPO KPOKPO

    Market Equipment

    Manager (MEM)

    Sales Operation

    Manager (SOM)

    Workshop Incharge

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    The total injections in 2011 are 8569, and the injections figures on the 1 st August are

    8091.

    The term injection means to give a deep freezer or visi cooler to the shopkeeper.

    Injection Process

    The process of giving a deep freezer or visi cooler to the shopkeeper is called injection

    process. Following step are involved in injection process

    Company give a specific Quota to every distributor

    G.M approved this Quota

    Then Documents comes like Chiller issuance Summary, Chiller issuance form,

    injection description and distributor undertaking etc.

    Then verification of these documents comes, when all documents are complete

    then they give a delivery order to the store Incharge and the delivery comes, but if

    documents are not complete then the injection not comes.

    Types of Deep Freezers and Visi Cooler

    3 types of Deep Freezer are

    10cft,

    12cft,

    15cft

    3 types of Visi Cooler are

    250SAX

    400SAX

    1000SAX or D.D (double door)

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    5. MARKET RESEARCH & SIS DEPARTMENT

    Market research and marketing research are often confused. Market research is simply

    research into a specific market. It is a very narrow concept.

    Marketing research is much broader. It not only includes market research, but also areas

    such as research into new products, or modes of distribution such as via the internet.

    Marketing research is the function that links the consumer, customer, and public to the

    marketer through information information used to identify and define marketing

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    opportunities and problems; generate, refine, and evaluate marketing actions; monitor

    marketing performance; and improve understanding of marketing as a process. Marketing

    research specifies the information required to address these issues, designs the methods

    for collecting information, manages and implements the data collection process, analyzes,

    and communicates the findings and their implications.

    Market Research & sales information system is a very important department for any firm.

    This department aims to keep current records of each and every outlet of the franchise.

    Mr. Kamran Ahsan is the manager of this department. He is responsible to check all the

    activities of this department, and report to the MD.

    STRUCTURE OF RESEARCH & SIS DEPARTMENT

    47

    M.D

    SIS Manager

    KPOField SupervisorResearchExecutives

    Assistant

    Manager

    Data Analyst

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    Through this system, management can come to know

    Market Share

    Name & address of each outlet. T.O.T details

    Publicity position

    Discount verification

    The system is designed in such a way that reports can be obtained about each and every

    outlet.

    Distributor & area wise

    Route wise

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    District wise

    The system is useful in accessing market & investment position in each area.

    Market Share

    Research Assistant Manager (Saeed Bhutta) analysis is a proprietary methodology

    developed to help share determine whether their sale should go the market & new

    competitive products in this market. This analysis allows research supervisor to go into

    the market, identify the components that establish market share, and determine which of

    those like availability, Chiller, Empty stock in order to improve their share position.

    Research supervisor analysis the market & visit the shops, they analysis and clicks on

    there checking share format after the completion of sample size; they come back and

    submit these checking format to the Computer Section. Here information feed in the

    computer program and generate the result in the form of Share Summary.

    Market Category

    Main

    Side

    Village

    Captive

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    Main Market: These are main road, high volume market, wagon stands, and commercial

    area.

    Side Market: These are colonies, mohallah, entrails, links road, side road.

    Village Market: means village sides, small areas

    Captive Market: means parks, cinema, canteen, institute, govt. offices, kutchary, courts.

    Market Sample Size

    Main Market 45 % of Total Sample

    Side Market 30 % of Total Sample

    Village Market 25 % of Total Sample

    Stock Base Share

    Availability

    Chiller

    Fresh Consumption

    Floor stock

    Exclusivity Base Share

    Pepsi Exclusivity

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    Coke Exclusivity

    Mix

    SIS deals with Tools of Traders (TOT). T.O.T. means list of items available in a

    shop, which helps to sell our product conveniently on priority basis. It is one of the

    major investments being made by the company. T.O.T. management completely

    depends upon the Sales force. The factors to be considered are

    Data collection about the sale, volume, growth, profitability, size and place of the

    shop

    Record of all the T.O.T. given to the shopkeeper.

    Deep Freezer

    Visi Cooler

    Ice Chest

    Bottle Rack

    Further plan for the injection of T.O.T.

    Checking all the equipment time by time any removing their complaints.

    Publicity Management

    To promote the image of the company and its products, publicity is a major tool.

    Publicity plays an important role in the promoting the image in the consumer mind.

    Publicity involves Banners, Posters, Signings, gifts and schemes. Publicity budget is

    spent by focusing the followings.

    Location of the area

    Arranging the sources and requirements and making priority lists

    Carefully arranging the publicity execution

    Discount Verification

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    The SIS department also verifies the discounts that are give by the distributors. When

    distributors give the discount to the shopkeepers then they claim this discount from the

    sales department. The sales department gives this responsibility to the SIS department.

    The field supervisors visit the market and verify from the shopkeeper that they are

    benefited from the discounts or not. When SIS verifies then they sent back these claims to

    the sales department and then sales department return the claims of the distributors.

    OTHER AREAS (DEPARTMENTS)

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    FINANCE DEPARMENT

    This is one of the most important departments of this organization. This department made

    the financial plans of the organization, they analyze their resources and then concise other

    reports and gives the whole budget the organization can afford. Another job of this

    department is to make the complete record of all financial and non financial transaction

    made inside as well as outside the organization.

    The following departments working under the Finance department:

    Management Accounts Department

    Supply Chain Department

    Banking and Insurance Departments

    Management Accounts Department

    The basic function of this department is to get data from MIS department and then

    generating reports on daily basis like

    Daily loading comparison

    Filled stock position

    Stock placement report

    FIFO implementation report

    Daily raw material yield report

    Daily production losses report

    Daily shift wise yield report

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    Supply Chain Department

    This department proves to be back bone for the company. It performs various

    functions that are:

    Generate Inventory Reports

    Policy Making

    Contacting with supplier

    Planning for future activities regarding inventory

    Supply chain management department manages the supply of

    Caps of bottles

    Bottles (Both plastic and glass bottles)

    Cartons for pet bottles

    Plastics shells

    TOT

    The main suppliers for different materials are

    Material Supplier

    Caps Mehran Karachi

    Pet Bottles Plasto Bag Hattar (Islamabad)

    Mehran Karachi

    Glass Bottles Toyo Lahore

    Ghani Glass Karachi

    Cartons Al Aziz Faisalabad

    Plastics Shells Mehran / Blow Plast Karachi

    Plasco Pack Hattar (Islamabad)

    TOT Waves Lahore Ltd

    Varioline Pak LtdCrowns Imran Traders Karachi

    Banking and Insurance Departments

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    The basic function of this department is to deal with different banks for certain

    financial activities and different matters concerning bank.

    Another function of this department is to provide and manage the insurance of almost

    every type. It deals with the insurance activities like

    Insurance of Machines

    Insurance of Vehicles

    Insurance of Employees health

    Insurance of buildings

    Insurance of Computers etc.

    MANAGEMENT INFORMATION SYSTEM DEPARTMENT (MIS)

    MIS department of Shamim & Co. is playing a very important role. The department is

    working with a small setup & satisfying the information requirements of the organization.

    The basic input of this system is empties slip, liquid slip, full in slip by order slip, empty

    short slip. The reports of the system are

    Load Report (dealer wise, depot wise)

    Settlements sheet ( dealer wise, depot wise)

    Shipping shift summary

    Agent wise Load out summary

    Agent wise sales summary

    Actual production

    Computerized sales statements

    Pending report

    The MIS department is currently performing its day to day operation as well involved in

    software development.

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    PRODUCTION DEPARTMENT

    The working of this department is to control the production process like to get raw material and

    process them and convert them into finished goods.

    Master Production Schedule

    The process of MPS in Shamim & Company is that sales & Marketing manager forecast sales on

    annual basis and as well as month basis. That forecast is send to the production manager.

    The responsibility of production manager to achieve the said demand within specified time with

    best utilization of resources.

    Production Process

    Activities in production process are as

    Purchasing and washing of bottles

    Water Treatment

    Preparation of Simple Syrup

    Mixing of Co2 Gas in Syrup

    Filling of Bottles

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    THE MARKETING MIX

    The major marketing management decisions can be classified in each of the following four

    categories

    Product

    Price

    Place (distribution)

    Promotion

    The variables are known as the marketing mix or The 4 Ps of marketing. These are the variables

    that marketing managers can control in order to best satisfy customers in the target market.

    The marketing mix is portrayed in the following diagram;

    The firm attempts to generate a positive response, focus on the target market by blending these

    four marketing mix variables in an optional manner.

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    58

    Product

    Product varietyQualityBrand namePackagingSizesServicesWarranty

    Target

    Customers

    Place

    ChannelsCoverageLocationsInventoryTransportationLogistics

    Promotion

    AdvertisingSales promotionPrint mediaSponsors

    MobilesPostersBannersElectronic media

    Price

    List priceDiscountCreditAllowance

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    Product

    The product is the physical product or service offered to the consumer. In the case of physical

    products, it also refers to any services or conversions that are part of the offering.

    Stock Keeping Units (SKUs)

    Package Pepsi Pepsi diet 7 UP 7 UP Free Mirinda M.Dew Sting Slice

    (juice

    250ml * * * * * * *

    300ml * * * * * *

    500ml * * * * * *

    1 liter * * * * * * 1.5 liter * * * * * *

    2.25 liter * * * * * *

    Pepsi Cola International is a large group covering KFC, Pizza Hut, Burger King, Lays Potato

    Chips & Aquafina (mineral water).

    Price

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    Pricing decisions should take into account to consider the profit margins and the probable pricing

    response of competitors pricing includes not only the list price, but also discounts, financing, and

    other options.

    The price of a single 250 ml bottle of Pepsi in the market is Rs.15.

    The price of a single 1 liter bottle of Pepsi in the market is Rs.45.

    The price of a single 1500ml (1.5 liter) bottle of Pepsi Cola in the market is Rs.75.

    Package Trade Price/case

    Rs.

    Trade Price/unit

    Rs.

    Consumer Price/unit

    Rs.

    250ml 326 13.58 15300ml 286 23.83 25

    500ml 375 31.25 35

    1 liter 445 37.08 40

    1.5 liter 430 71.66 75

    2.25 liter 516 86 90

    Sting 436 18.16 20

    The price of the bottle is very reasonable as compared to the other drinks with respect to quality.

    Overall peoples are satisfied with its pricing and its quality.

    Place

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    Place (or placement) decisions are those associated with channels of distribution that serve as the

    means for getting the product to the target customers, the distribution system performs

    transactional, logistical, and facilitating functions.

    Distribution decisions include market coverage, channel member selection, logistics, and levels

    of service.

    Shamim & Company (Pvt) Ltd Multan have placed its products at right place, so that its

    consumers can get them when they require it. Pepsi is available at almost every area which

    comes under Shamim & Company territory.

    Promotion

    Promotion decisions are those related to communication and selling to potential consumers.

    Promotions decision involves advertising, public relations, media types, etc.Shamim & Company main focus is given on the local advertising with respect to the promotion.

    Pepsi spend almost a large amount each year on advertisement to tell people about their new

    schemes and prices. About 60% of the marketing funds are spent on advertising. Primarily TV

    advertising with radio, magazine, cinema and outdoor support. Other promotional items include:

    point of sale material, consumer premiums (e.g. clothing, caps), sporting and concerting

    sponsorships.

    Shamim & Company Multan use three source of promotion

    1. Electronic

    2. Print Media

    3. personal Selling

    All are important because each one has its own importance and covers its target area.

    SWOT ANALYSIS

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    SWOT analysis is a tool for auditing an organization and its environment. It is the first

    stage of planning and helps marketers to focus on key issues. SWOT stand for strengths,

    weaknesses, opportunities, and threats. Strengths and weaknesses are internal factors.

    Opportunities and threats are external factors.

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    Strengths

    Brand name reputation

    Customer loyalty

    Strong distribution network

    Pepsi is currently the market leader with more than 75% of market share

    All brands support each other

    Well known company

    Excellent distributor selection criteria

    Strong coordination between different departments

    Sponsoring matches all over the world

    Nicely display of different shop by company

    Daily basis supply

    Strong sales & marketing department

    Inspection of quality is regularly performed by Country Office to insure

    consistent quality products.

    They have their own research department which is responsible for conducting

    market research

    A strong key accounts department for conversion

    Strong position in FMCG products

    They are financially very strong and require no financial help from country office

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    They offer attractive margins to the distributors, so distributors are willing to

    carry PEPSI brands

    Weaknesses

    Poor feed back from employees

    Insufficient salaries

    Lack of skilled sale team

    No Proper Infrastructure

    Fewer Incentives

    Not satisfied workforce

    No involvement of lower level subordinates in decision making.

    Monopoly of distributors cause harm to company

    Factory is located in the residential areas with no proper parking arrangements for its

    vehicles. Supply gapes

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    Shamim & Co. (Pvt) Ltd. Multan

    Opportunities

    Opening of new outlets

    Expanding markets through its strong advertisement

    Expanding the target market

    Penetrating market would motivate considerable sales growth

    increase its market share by conducting

    Training of sales officer and salesman

    Opportunity to Attract By Incentives As Pepsi is a well known brand in all over the

    Pakistan so it also has the opportunity to create its value and to attract the customer by

    offering extra incentives to the retailers and specially consumers

    Innovation or Cost Reduction Edge

    Because of high customer loyalty and brand image new brands can gain customer

    preference very soon.

    There is high market growth opportunity

    Country office is responsible for national add campaigns which facilitate PEPSI Multan

    to enjoy the benefits of integrated advertisements.

    Low cost skilled person availability

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    Threats

    Gourmet cola is trying to get market share

    After getting the skills many employees run away due to salary

    Rapid changes in demand due to seasonal reason

    Changes in consumer purchasing power

    Increase in competition

    Rising cost of raw material and transportation expense

    Due to blame of religious group biggest threat to the brand image of the company

    at national and international level.

    No proper employees orientation programs

    Pepsi Co. has the threat of its competitor which is putting its best to get the

    maximum customer satisfaction and to maximize its profits by its active and keen

    management.

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    PEST ANALYSIS

    The PEST analysis examines changes in a marketplace caused by the following

    factors.

    Political Changes

    Economic Changes

    Social Changes

    Technological Changes

    Political

    Pepsi is a non-alcoholic beverage and is therefore regulated by the FDA. So, theyre

    supposed to maintain a firm standard of the laws set out by the FDA with consistency.

    Also, many different markets across the world have different set of regulations that are

    either relaxed or are either stringent. There is competitive pricing by Pepsis competitors

    and that is one factor that Pepsi has to keep in mind at all times. The political scenario

    also matters greatly as there can be some civil unrest in certain markets or due to inflation

    the sales of the product can fall. Most importantly, cross border situations are starkly

    different therefore Pepsi has to stay in line with all those policies and changes so that they

    can adapt to all those changes accordingly.Economic

    As the recent economic downturn has plagued the economy, companies had to restructure

    their sales and marketing campaigns greatly. Also, with diminishing profits they had to

    undergo downsizing internally and re-think upon how to penetrate the market. Economic

    conditions have the highest influence on a business, regardless of what trade it is in.

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