sushil Report.docx

Embed Size (px)

Citation preview

  • 8/10/2019 sushil Report.docx

    1/110

    SUMMER TRAINING PROJECT REPORT ON

    A STUDY ON AVAILABILITY OF COCA-COLA IN

    RURAL MARKET OF PATNA

    AT

    HINDUSTAN COCA-COLA BEVERAGES PVT. LTD.

    FOR THE PARTIAL FULF I LLMENT OF THE

    REQUIREMENT FOR THE AWARD OF

    POST GRADUATE DI PLOMA I N MANAGEMENT

    SUBMITTED TO: SUBMITTED BY:

    Prof. (Dr.) S.N. BANERJEE SUSHIL KUMAR SHARMA

    (DIRECTOT SSIMT) PGDM (2013-2015)

    Plot No-677, Management Village (Chand Sarai) Gosainganj,

    Lucknow, Uttar Pradesh- 227 125

  • 8/10/2019 sushil Report.docx

    2/110

    Page2

    AN AUTONOMOUS CONSTITUENT INSTITUTE OF

    A.I.C.T.E, LUCKNOW

    Session 2013-2015

    Certificate

    This is certified that Mr. Sushil Kumar Sharmaof PGDM 3rdSEM (2013-2015) has

    completed his Summer Training Project Report on A study on availability of

    coca-cola in rural market of Patna for the partial fulfillment of PGDM Degree.

    The duration of Summer Training was eight weak from 27th May to 27 thJuly 2014.

    Prof. (Dr.) S.N. BANERJEE

    (DIRECTOR)

  • 8/10/2019 sushil Report.docx

    3/110

    Page3

  • 8/10/2019 sushil Report.docx

    4/110

    Page4

    PREFACE

    HR SALES plays vital role in todays business scenario in consumer product

    Company, when there is such a high competition in the market. The emphasis in the

    project is providing the study and an insight into Indian FMCG Business Scenario.

    The Summer Project is designed to provide participation of PGDM program as on the

    job experience. This has given a chance to try and apply the academic knowledge and

    gain insight into corporate culture. This helps in developing decision-making abilities

    and emphasizes on active participation by the student. I gained valuable experience &

    knowledge during the survey. The Project consists of findings after data analysis &

    then conclusions were drawn and finally recommendations were put forward.

  • 8/10/2019 sushil Report.docx

    5/110

    Page5

    ACKNOWLEDGEMENTS

    First and foremost I thank the God for his blessings, showered on us in completing the

    project successfully. I record my sincere gratitude to my supervisor Mr. Santosh

    KumarR.T.MHCCBL Patliputra, Patna for suggesting the topic and for providing

    constant inspiration, encouragement and guidance.

    I am grateful to Miss Shyamali Dubey, (Asst. Professor),SSIMT,Lucknow, for her

    valuable suggestion, constant inspiration during the course of study.

    I am grateful to my company guide Mr. Moinuddin Abbasi (A.S.M. Coca-Cola,

    Patna), Mr. Santosh Kumar (R.T.M. Coca-Cola, Patna), Mr. M.Gunjan

    (Sales Executive, Coca-Cola, Patna) and Mr. Praveen Kumar (M.D. coca-cola

    Patna)for their valuable guidance and inspiration extended all along the project.

    I would also like to thank my friends Mr. Chanchal Singh for their help, cooperation

    and support during the project.

    My heartful thanks goes to all who helped me to gain knowledge about the actual

    work in the process involved in various departments. However, I accept the sole

    responsibility for any possible error of omission and would be extremely grateful to

    the readers of the internship report if they bring such mistakes to my notice.

    SUSHIL KUMAR SHARMA

    PGDM (2013-15)

  • 8/10/2019 sushil Report.docx

    6/110

    Page6

    DECLARATION

    I hereby declare that the project work entitled A Study On Availability of Coca-

    Cola In Rural Market Of Patna In Hindustan Coca-Cola Beverages Pvt. Ltd.

    is a record of an original work done by me for the award of Post Graduate Diploma

    in Management and submitted to the SSIMT Lucknow(approved by A.I.C.T.E.)

    under the guidance of my mentor, Ms. Shyamali Dubey, the faculty member of the

    institute.

    The work has not performed the basis for the award of any diploma associate-ship

    fellowship and similar project if any and this is all my own work and has not been

    copied in any way from anyone.

    SUSHIL KUMAR SHARMA

    PGDM (2013-15)

  • 8/10/2019 sushil Report.docx

    7/110

    Page7

    TABLE OF CONTENTS

    SL. NO. CHAPTER PAGE NO.

    INTRODUCTION

    Executive summary 9

    Introduction 10

    History 13

    The fmcg industry in India 20

    Beverage Industry In India 22

    Soft Drinks 24

    Introduction Of The Organization 25

    Company Head quarter 27

    Top Managements in Coca-Cola 28

    Production 31

    Formula of natural flavorings 31

    Company Product 32

    Coca-Cola 32

    Thumps Up 33

    Fanta 34

    Limca 35

    Sprit 36

    Mazza 37

    Kinley Water 38

    Sectional product of coca-cola 39

    Competitor 40

    History of Bottling 43

    Year Wise History Of Bottling 43

    Hindustan Coca Cola Beverages Private Limited

    (Hccbpl)

    45

    Milestones 46

    Companys Vision, Mission and Values 47

    The Corporate Objective 48

    Manufacturing Coca-Cola plants in India 49

  • 8/10/2019 sushil Report.docx

    8/110

    Page8

    Organizational Structure of The Sales Department In

    hccbpl

    52

    Manufacturing Process at hccbpl 53

    COMPETITORS TO HCCBPL 57Packaging and Pricing Details 59

    Promotional Efforts of Coca Cola 62

    Business Plant Model of Coca Cola 63

    Swot Analysis 66

    Marketing Tools 67

    Future Scope 69

    Experiential Learning 71CSR 73

    RESEARCH METHODOLOGY

    Research Methodology 78

    Objective of the Study 78

    Methods of Data Collection 79

    Key (Areas) Patna 80

    Data Source 81

    Analysis and Data Interpretation 82

    Analysis of Data 97

    Findings 101

    Conclusion 102

    Recommendations 103

    Limitations of the research work 104

    Scope of the study 105

    BIBLIOGRAPHY

    Bibliography 107

    Questionnaire 108

  • 8/10/2019 sushil Report.docx

    9/110

    Page9

    EXECUTIVE SUMMARY

    Over the last few years hundreds of companies have greatly improved their

    performance & the graph of growth through superior sales promotion services. Today

    many companies are builder on these foundations and are turning their products in

    soft drink segment in to a formidable competitive weapon. Sales promotion service

    has become a subject of huge interest in recent years. Coca -Cola company is the

    global company and has completed 123 years of consumer service with some of the

    world's most widely recognized brands, the Coca-Cola business in INDIA, as in each

    country where they operate, is a local business. Their beverage is produced locally

    employing Indian citizen, their product range and marketing reflects Indian taste and

    lifestyles. After a 16 - year's absence, Coca-Cola returned to India in 1993. The

    company presence in India was cemented in November that year in a deal that gave

    Coca-Cola ownership of the nation's top soft drinks brands and bottling network.

    The main objective of this study lies in understanding the product, distribution

    strategy and studying the market of SSD (Sparkling soft drink) brands by Coca-Cola

    and understanding consumer brand preference and its availability in rural market with

    more inclination towards the study on market of Coca-cola soft drinks, juices and

    Kinley water, and respective competitors analysis.

    This report will also give insight to the companys availability in rural market, the

    production process, their strategies to keep up with their retailers, companys

    approach towards the sales of products and most importantly this report will provide

    an opportunity to know the market estimation of Coca-Cola in rural market, company

    avenue to create a good future plan, this report will provide detailed information

    prevailing market estimation and thus itself to meet the rural market challenges by

    making adjustment in its new strategy and promotional & execution activity.

  • 8/10/2019 sushil Report.docx

    10/110

    Page10

    INTRODUCTION

  • 8/10/2019 sushil Report.docx

    11/110

    Page11

    Fi ure 1Coca-Cola Com an of Atlanta

    About the coca-cola company

    The Coca-Cola Company is the world's largest beverage company, refreshing

    consumers with more than 450 sparkling and still brands. Along with Coca-Cola,

    recognized as the world's most valuable brand, the Company's portfolio includes 12

    other billion dollar brands, including Diet Coke, Fanta, Sprite, Coca-Cola

    Zero, vitamin water, POWERADE, Minute Maid and Georgia Coffee.

    Globally, we are the No. 1 provider of sparkling beverages, juices and juice drinks

    and ready-to-drink teas and coffees. Through the world's largest beverage distribution

    system, consumers in more than 200 countries enjoy the Company's beverages at a

    rate of 1.5 billion servings a day. With an enduring commitment to building

    sustainable communities, our Company is focused on initiatives that protect the

    environment, conserve resources and enhance the economic development of the

    communities where we operate. For more information about our Company, please

    visit our Web site at

    www.thecoca-

    colacompany.com.

    Coca-Cola is a carbonated

    soft drink sold in stores,

    restaurants, and vending

    machines in more than 200

    countries. It is produced by

    The Coca-Cola Company of

    Atlanta, Georgia, and is often

    referred to simply as Coke(a registered trademark of The Coca-Cola Company in the

    United States since March 27, 1944). Originally intended as a patent medicine when it

    was invented in the late 19th century by John Pemberton, Coca-Cola was bought out

    by businessman Asa Griggs Candler, whose marketing tactics led Coke to its

    dominance of the world soft-drink market throughout the 20th century .

    The company produces concentrate, which is then sold to licensed Coca-Cola bottlers

    throughout the world.

    http://www.thecoca-colacompany.com/http://www.thecoca-colacompany.com/http://www.thecoca-colacompany.com/http://www.thecoca-colacompany.com/http://www.thecoca-colacompany.com/
  • 8/10/2019 sushil Report.docx

    12/110

    Page12

    The bottlers, who hold territorially exclusive contracts with the company, produce

    finished product in cans and bottles from the concentrate in combination with filtered

    water and sweeteners. The bottlers then sell, distribute and merchandise Coca-Cola to

    retail stores and vending machines. Such bottlers include Coca-Cola Enterprises,

    which is the largest single Coca-Cola bottler in North America and Western Europe.

    The Coca-Cola Company also sells concentrate for soda fountains to major

    restaurants and food service distributors. The Coca-Cola Company has, on occasion,

    introduced other cola drinks under the Coke brand name. The most common of these

    is Diet Coke, with others including Caffeine-Free Coca-Cola, Diet Coke Caffeine-

    Free, Coca-Cola Cherry, Coca-Cola Zero, Coca-Cola Vanilla, and special versions

    with lemon, lime or coffee. Based on Interbrand's best global brand 2011, Coca-Cola

    was the world's most valuable brand.

  • 8/10/2019 sushil Report.docx

    13/110

    Page13

    19th centur historical ori ins

    Old German Coca-Cola bottle o ener

    Coca-Cola romotion

    Coca-Cola advertisement1943

    History

    19th century historical origins

    Coca-Cola founders Asa G. Candler and

    Dr. John S. Pemberton are seen together

    at Asa G. Candler & Co. pharmacy, 47

    Peachtree St., Atlanta in the only extant

    albumen photograph from 1888. Also

    shown is the biography of Candler

    written by his son, Charles Howard Candler.

    Old German Coca-Cola bottle opener

    An original Coca-Cola bottle opener would have

    the STARR X logo with Brown Co written

    on the front. According toBrown Manufacturing

    Company,producers of the bottle openers, the

    first Drink Coca-Cola STARR X bottle

    openers started to appear around 1929. Around

    this time, the Coca-Cola STARR bottle opener

    evolved to the Starr X design.

    Believed to be the first coupon ever, this ticket for

    a free glass of Coca-Cola was first distributed

    in 1888 to help promote the drink. By 1913, the

    company had redeemed 8.5 million tickets.This

    Coca-Cola advertisement from 1943 is still

    displayed in the small city of Minden,

    Louisiana. The prototype Coca-Cola recipe was

    formulated at the Eagle Drug and Chemical

    http://www.bottleopener.com/http://www.bottleopener.com/http://www.bottleopener.com/http://www.bottleopener.com/http://www.bottleopener.com/
  • 8/10/2019 sushil Report.docx

    14/110

    Page14

    Company, a drugstore in Columbus, Georgia, by John Pemberton, originally as a coca

    wine called Pemberton's French Wine Coca. He may have been inspired by the

    formidable success of Vin Mariani, a European coca wine.

    In 1886, when Atlanta and Fulton County passed prohibition legislation, Pemberton

    responded by developing Coca-Cola, essentially a nonalcoholic version of French

    Wine Coca. The first sales were at Jacob's Pharmacy in Atlanta, Georgia, on May 8,

    1886. It was initially sold as a patent medicine for five cents a glass at soda fountains,

    which were popular in the United States at the time due to the belief that carbonated

    water was good for the health. Pemberton claimed Coca-Cola cured many diseases,

    including morphine addiction, dyspepsia, neurasthenia, headache, and impotence.

    Pemberton ran the first advertisement for the beverage on May 29 of the same year in

    theAtlanta Journal.

    By 1888, three versions of Coca-Cola sold by three separate businesses were on

    the market. A co-partnership had been formed on January 14, 1888 between

    Pemberton and four Atlanta businessmen: J.C. Mayfield, A.O. Murphey; C.O.

    Mullahy and E.H. Blood worth. Not codified by any signed document, a verbal

    statement given by Asa Candler years later asserted under testimony that he had

    acquired a stake in Pemberton's company as early as 1887.

    Asa Candler, however, eventually took on a more formal position by being part of the

    Coca-Cola Company incorporation filed in the Fulton County Superior Court on

    March 24, 1888. This action included Charley Pemberton and Wool folk Walker,

    along with the latter's sister, Margaret Dozier. The four made up the original

    shareholders for "Coca-Cola Company," a Georgia corporation. All parties held

    copies of the Coca-Cola recipe and could continue to use the formula separate of each

    other.

    Pemberton, though, had declared that the name "Coca-Cola" belonged solely to his

    son Charley. The situation was quite agitating to both Candler and Walker, and

    quickly placed the two at odds with Charley Pemberton. What further caused friction

    over this issue was that John Pemberton variously forgot he had actually signed over

    the sole rights to the "Coca-Cola" name to his son Charley earlier. Pemberton's

  • 8/10/2019 sushil Report.docx

    15/110

    Page15

    ongoing health problems, compounded by his morphine addiction brought about from

    his old Civil War injury, made the situation difficult.

    Charley Pemberton's record of control over the "Coca-Cola" name was the underlying

    factor that allowed for him to participate as a major shareholder in the March 1888

    Coca-Cola Company incorporation filing made in his father's place. More so for

    Candler especially, Charley's position holding exclusive control over the "Coca Cola"

    name continued to be a thorn in his side.

    Asa Candler's oldest son, Charles Howard Candler, authored a book in 1950

    published by Emory University. In this definitive biography about his father, Candler

    specifically states: "..., on April 14, 1888, the young druggist [Asa Griggs Candler]purchased a one-third interest in the formula of an almost completely unknown

    proprietary elixir known as Coca-Cola."

    The deal was actually between John Pemberton's son Charley and Walker, Candler &

    Co. - with John Pemberton acting as cosigner for his son. For $50 down and $500 in

    30 days, Walker, Candler & Co. obtained all of the one-third interest in the Coca-Cola

    Company that Charley held, all while Charley still held on to the name. After the

    April 14th deal, on April 17, 1888, one-half of the Walker/Dozier interest shares were

    acquired by Candler for an additional $750.

    Charles Howard Candler's statement that April 14, 1888 was the date his father

    secured a "one-third interest in the formula" held by Charley Pemberton for the then

    obscure Coca-Cola elixir, none-the-less confirms this event was a major turning point

    for Asa Candler and his interests in Coca-Cola. This, too, was a most auspicious

    occasion that Asa Candler would have especially wanted to preserve in an 'official'photograph. By this time the "Coca-Cola" syrup-making apparatus had already been

    moved from Joe Jacob's pharmacy to the basement of Candler's larger 47 Peachtree

    Street location, where the drink's ever increasing syrup-bottling demands could be

    better handled.

    In 1910, Asa Candler had ordered all corporate documents pertaining to the first

    Coca-Cola Company burned. The original 1888 photograph shows the very

  • 8/10/2019 sushil Report.docx

    16/110

    Page16

    beginnings of the Coca Cola Company, and formerly was the personal property of

    Asa Griggs Candler.

    In 1914, Margaret Dozier, as co-owner of the original Coca-Cola Company in 1888,

    brazenly came forward to claim her signature on the 1888 Coca-Cola Company bill of

    sale had been forged. Subsequent analysis of certain similar transfer documents had

    also indicated John Pemberton's signature was most likely a forgery, as well, which

    some accounts claim was precipitated by his son Charley.

    In 1892, Candler set out to incorporate a second company; "The Coca-Cola

    Company" (the current corporation). However, in 1910, Candler had the earliest

    records of the "Coca-Cola Company" burned. This was claimed to have been madeduring a move to new corporation offices around this time.

    The loss of the early corporate records further obscured the 1888 corporation's legal

    origins. Only one sole original "ASA G. CANDLER & CO." photograph from 1888

    remains, and that example Candler at one time kept at his private home outside of

    Atlanta.

    After Candler had gained a better foothold of Coca-Cola in April 1888, he never-the-

    less was forced to sell the beverage he produced with the recipe he had under the

    names "Yum Yum" and "Koke". This was while Charley Pemberton was selling the

    elixir, although a cruder mixture, under the name "Coca-Cola", all with his father's

    blessing. After both names failed to catch on for Candler, by the summer of 1888, the

    Atlanta pharmacist was quite anxious to establish a firmer legal claim to Coca-Cola,

    and hoped he could force his two competitors, Walker and Dozier, completely out of

    the business, as well.

    When Dr. John Stith Pemberton suddenly died on August 16, 1888, Asa G. Candler

    now sought to move swiftly forward to attain his vision of taking full control of the

    whole Coca-Cola operation.

    Charley Pemberton, an alcoholic, was the one obstacle who unnerved Asa Candler

    more than anyone else. Candler is said to have quickly maneuvered to purchase the

    exclusive rights to the name "Coca-Cola" from Pemberton's son Charley right after

  • 8/10/2019 sushil Report.docx

    17/110

    Page17

    Dr. Pemberton's death. One of several stories was that Candler bought the title to the

    name from Charley's mother for $300; approaching her at Dr. Pemberton's funeral.

    Eventually, Charley Pemberton was found on June 23, 1894, unconscious, with a stick

    of opium by his side. Ten days later, Charley died at Atlanta's Grady Hospital at the

    age of 40. In Charles Howard Candler's 1950 book about his father, he stated: "On

    August 30th {1888}, he {Asa Candler} became sole proprietor of Cola-Cola, a fact

    which was stated on letterheads, invoice blanks and advertising copy."

    With this action on August 30, 1888, Candler's sole control became technically asll

    true. Candler had negotiated with Margaret Dozier and her brother Woolfolk Walker a

    full payment amounting to $1,000, which all agreed Candler could pay off with a

    series of notes over a specified time span. By May 1, 1889, Candler was now claiming

    full ownership of the Coca-Cola beverage, with a total investment outlay by Candler

    for the drink enterprise over the years amounting to $2,300.

    Coca-Cola was sold in bottles for the first time on March 12, 1894. The first outdoor

    wall advertisement was painted in the same year, in Cartersville, Georgia.

    The first bottling of Coca-Cola occurred in Vicksburg, Mississippi, at the Biedenharn

    Candy Company in 1891. Its proprietor was Joseph A. Biedenharn. The original

    bottles were Biedenharn bottles, very different from the much later hobble-skirt

    design now so familiar. Asa Candler was tentative about bottling the drink, but two

    entrepreneurs from Chattanooga, Tennessee, Benjamin F. Thomas and Joseph B.

    Whitehead, proposed the idea and were so persuasive that Candler signed a contract

    giving them control of the procedure for only one dollar. Candler never collected his

    dollar, but in 1899, Chattanooga became the site of the first Coca-Cola bottling

    company. The loosely termed contract proved to be problematic for the company for

    decades to come. Legal matters were not helped by the decision of the bottlers to

    subcontract to other companies, effectively becoming parent bottlers.

    Coke concentrate, or Coke syrup, was and is sold separately at pharmacies in small

    quantities, as an over-the-counter remedy for nausea or mildly upset stomach.

  • 8/10/2019 sushil Report.docx

    18/110

    Page18

    Coca-Cola syrup

    Fi ure 6Cans of Coke

    NEW COKE

    20th century landmarks

    By the time of its 50th anniversary, the soft drink

    had reached the status of a national icon in the USA.

    In 1935, it was certified kosher by Atlanta Rabbi

    Tobias Geffen, after the company made minor

    changes in the sourcing of some ingredients.

    Original framed Coca-Cola artist's drawn graphic

    presented by The Coca-Cola Company on July 12, 1944 to Charles Howard Candler

    on the occasion of Coca-Cola's "1 Billionth Gallon of Coca-Cola Syrup."

    Legended to be the first installation anywhere of the

    celebrated "Boat Motor" styled Coca-Cola soda

    dispenser, Fleeman's Pharmacy, Atlanta, Georgia.

    Photograph circa 1948.

    The longest running commercial Coca-Cola soda

    fountain anywhere was Atlanta's Fleeman's

    Pharmacy, which first opened its doors in 1914.

    Jack Fleeman took over the pharmacy from his

    father and ran it till 1995; closing it after 81 years. On July

    12, 1944, the one-billionth gallon of Coca-Cola syrup

    was manufactured by The Coca-Cola Company. Cans of

    Coke first appeared in 1955.

    New Coke

    Coca-Cola sign in Colorado City, Texas On April 23,

    1985, Coca-Cola, amid much publicity, attempted to

    change the formula of the drink with "New Coke". Follow-

    up taste tests revealed most consumers preferred the taste of New Coke to both Coke

    and Pepsi, but Coca-Cola management was unprepared for the public's nostalgia for

    the old drink, leading to a backlash. The company gave in to protests and returned to a

    variation of the old formula, under the name Coca-Cola Classic, on July 10, 1985.

  • 8/10/2019 sushil Report.docx

    19/110

    Page19

    21st century

    On July 5, 2005, it was revealed that Coca-Cola would resume operations in Iraq for

    the first time since the Arab League boycotted the company in 1968.

    In April 2007, in Canada, the name "Coca-Cola Classic" was changed back to "Coca-

    Cola". The word "Classic" was removed because "New Coke" was no longer in

    production, eliminating the need to differentiate between the two. The formula

    remained unchanged. In January 2009, Coca-Cola stopped printing the word "Classic"

    on the labels of 16-US-fluid-ounce (470 ml) bottles sold in parts of the southeastern

    United States. The change is part of a larger strategy to rejuvenate the product's

    image. The word "Classic" was removed from all Coca-Cola products by 2011.

    In November 2009, due to a dispute over wholesale prices of Coca-Cola products,

    Costco stopped restocking its shelves with Coke and Diet Coke. However, some

    Costco locations (such as the ones in Tucson, Arizona), sell imported Coca-Cola from

    Mexico.

    Coca-Cola introduced the 7.5-ounce mini-can in 2009, and on September 22, 2011,

    the company announced price reductions, asking retailers to sell eight-packs for

    $2.99. That same day, Coca-Cola announced the 12.5-ounce bottle, to sell for 89

    cents. A 16-ounce bottle has sold well at 99 cents since being re-introduced, but the

    price was going up to $1.19.

    In 2012, Coca-Cola would resume business in Burma after 60 years of absence due to

    U.S.-imposed investment sanctions against the country. Coca-Cola with its partners is

    to invest USD 5 billion in its operations in India by 2020.

  • 8/10/2019 sushil Report.docx

    20/110

    Page20

    THE FMCG INDUSTRY IN INDIA

    Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods

    (CPG) is products that have a quick turnover and relatively low cost. Consumers

    generally put less thought into the purchase of FMCG than they do for other products.

    The Indian FMCG industry witnessed significant changes through the 1990s. Many

    players had been facing severe problems on account of increased competition from

    small and regional players and from slow growth across its various product

    categories. As a result, most of the companies were forced to revamp their product,

    marketing, distribution and customer service strategies to strengthen their position in

    the market. By the turn of the 20th century, the face of the Indian FMCG industry had

    changed significantly. With the liberalization and growth of the Indian economy, the

    Indian customer witnessed an increasing exposure to new domestic and foreign

    products through different media, such as television and the Internet. Apart from this,

    social changes such as increase in the number of nuclear families and the growing

    number of working couples resulting in increased spending power also contributed to

    the increase in the Indian consumers personal consumption. The realization of the

    customers growing awareness and the need to meet changing requirements and

    preferences on account of changing lifestyles required the FMCG producing

    companies to formulate customer-centric strategies. These changes had a positive

    impact, leading to the rapid growth in the FMCG industry. Increased availability of

    retail space, rapid urbanization, and qualified manpower also boosted the growth of

    the organized retailing sector.HLL led the way in revolutionizing the product, market,

    distribution and service formats of the FMCG industry by focusing on rural markets,

    direct distribution, creating new product, distribution and service formats. The FMCG

    sector also received a boost by government led initiatives in the 2003 budget such asthe setting up of excise free zones in various parts of the country that witnessed firms

    moving away from outsourcing to manufacturing by investing in the zones. Though

    the absolute profit made on FMCG products is relatively small, they generally sell in

    large numbers and so the cumulative profit on such products can be large. Unlike

    some industries, such as automobiles, computers, and airlines, FMCG does not suffer

    from mass layoffs every time the economy starts to dip. A person may put off buying

    a car but he will not put off having his dinner. Unlike other economy sectors, FMCG

    share float in a steady manner irrespective of global market dip, because they

  • 8/10/2019 sushil Report.docx

    21/110

    Page21

    Different forms of beverages

    generally satisfy rather fundamental, as opposed to luxurious needs. The FMCG

    sector, which is growing at the rate of 9% is the fourth largest sector in the Indian

    Economy and is worth Rs. 93,000 crores. The main contributor, making up 32% of

    the sector, is the South Indian region. It is predicted that in the year 2010, the FMCG

    sector will be worth Rs.143,000 crores. The sector being one of the biggest sectors of

    the Indian Economy provides up to 4 million jobs (Source: HCCBPL, Monthly

    Circular, March).

    The FMCG sector consists of the following categories:

    Personal Care- Oral care, Hair care, Wash (Soaps), Cosmetics and Toiletries,

    Deodorants and Perfumes, Paper products (Tissues, Diapers, Sanitary products) and

    Shoe care; the major players being; Hindustan Lever Limited, Godrej Soaps, Colgate,

    Marico, Dabur and Procter & Gamble.

    Household Care- Fabric wash

    (Laundry soaps and synthetic

    detergents), Household cleaners

    (Dish/Utensil/Floor/Toilet cleaners),

    Air fresheners, Insecticides andMosquito repellents, Metal polish

    and Furniture polish; the major

    players being; Hindustan Lever

    Limited, Nirma and Ricket Colman.

    Branded and Packaged foods and

    beverages- Health beverages, Soft drinks,

    Staples/Cereals, Bakery products (Biscuits,

    Breads, Cakes), Snack foods, Chocolates, Ice-creams, Tea,

    Coffee, Processed fruits, Processed vegetables, Processed meat, Branded flour,

    Bottled water, Branded rice, Branded sugar, Juices;

    The major players being; Hindustan Lever Limited. Nestle, Coca-Cola, Cadbury,

    Pepsi and Dabur

    Spirits and Tobacco; the major players being; ITC, Godfrey, Philips and UB1.

  • 8/10/2019 sushil Report.docx

    22/110

    Page22

    BEVERAGE INDUSTRY IN INDIA

    The beverage industry is vast and there various ways of segmenting it, so as to cater

    the right product to the right person. The different ways of segmenting it are as

    follows:

    Alcoholic, non-alcoholic and sports beverages

    Natural and Synthetic beverages

    In-home consumption and out of home on premises consumption.

    Age wise segmentation i.e. beverages for kids, for adults and for senior citizens

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

    and low levels of consumption. If the behavioral patterns of consumers in India are

    closely noticed, it could be observed that consumers perceive beverages in two

    different ways i.e. beverages are a luxury and that beverages have to be consumed

    occasionally. These two perceptions are the biggest challenges faced by the beverage

    industry. In order to leverage the beverage industry, it is important to address this

    issue so as to encourage regular consumption as well as and to make the industry

    more affordable.

    Four strong strategic elements to increase consumption of the products of the

    beverage industry in India are:

    The quality and the consistency of beverages needs to be enhanced so that

    consumers are satisfied and they enjoy consuming beverages.

    The credibility and trust needs to be built so that there is a very strong and safe

    feeling that the consumers have while consuming the beverages.

    Consumer education is a must to bring out benefits of beverage consumption

    whether in terms of health, taste, relaxation, stimulation, refreshment, well- being or

    prestige relevant to the category.

    Communication should be relevant and trendy so that consumers are able to find an

    appeal to go out, purchase and consume. The beverage market has still to achieve

    greater penetration and also a wider spread of distribution. It is important to look at

  • 8/10/2019 sushil Report.docx

    23/110

    Page23

    the entire beverage market, as a big opportunity, for brand and sales growth in turn to

    add up to the overall growth of the food and beverage industry in the economy.

    Thenon-alcoholic drinks market has witnessed rapid growth over the past few years

    in India. Increasing middle class population, rapid urbanization and rising disposable

    income are some of the major factors fuelling this growth.

    The industry is broadly classified into soft drinks (carbonated and non-carbonated

    drinks) and hot beverages. The carbonated drinks market is close to Rs 6,000 crore

    and is growing by 10-12 per cent annually.

    The fruit-based beverage market stands at Rs 5,000 crore and is growing at 35-40 per

    cent annually. The fruit-based beverage market is divided into three segmentsfruitdrinks, nectar and 100 per cent juice and is currently dominated byDabur,Parle

    Agro,PepsiCo and AMUL.

    The Functional drinks segment is dominated by energy drinks. The current market

    size of energy drinks in India is around Rs 500 crore and it is expected to grow at a

    CAGR of 25 per cent.

    Within the hot beverages category, India is the largest producer of tea with a totalturnover of around Rs 8,500 crore, growing at a rate of 1-2 per cent annually. India is

    the worlds fifth largest producer of coffee, accounting for 4 per cent of the worlds

    production.

    Fruit/vegetable juice segment is expected to grow at a CAGR of 30 per cent in value

    terms, followed by the energy drinks segment at a CAGR of around 25 per cent in

    value terms.

    http://www.business-standard.com/search?type=news&q=non-alcoholic+drinks+markethttp://www.business-standard.com/search?type=news&q=Daburhttp://www.business-standard.com/search?type=news&q=Parle+Agrohttp://www.business-standard.com/search?type=news&q=Parle+Agrohttp://www.business-standard.com/search?type=news&q=PepsiCohttp://www.business-standard.com/search?type=news&q=PepsiCohttp://www.business-standard.com/search?type=news&q=Parle+Agrohttp://www.business-standard.com/search?type=news&q=Parle+Agrohttp://www.business-standard.com/search?type=news&q=Daburhttp://www.business-standard.com/search?type=news&q=non-alcoholic+drinks+market
  • 8/10/2019 sushil Report.docx

    24/110

    Page24

    SOFT DRINK

    Asoft drinkis adrink that contains no (or very little)alcohol,as opposed to a hard

    drink, which does contain alcohol. In general, the term is used only for cold

    beverages. The term originally referred tocarbonated drinks.

    COLA

    Colais acarbonated beverage that originally containedcaffeine from thekola

    nut andcocaine from coca leaves and was flavored with vanilla and other ingredients.

    Most colas now use other flavoring (and caffeinating) ingredients with a similar taste

    and no longer contain cocaine. It became popular worldwide afterpharmacistJohn

    Pemberton inventedCoca-Cola in 1886. His non-alcoholic recipe was inspired by

    theCoca wine ofpharmacist Angelo Mariani, created in 1863; it still

    containedcocaine. Coca-Cola is a major international brand. It usually

    containscaramel color,caffeine and sweeteners such as sugar or high fructose corn

    syrup

    The word colamay have been introduced into main stream culture by the major

    producer Coca-Cola, as it saw its trademark slipping into common use, like

    othergenerecized trademarks. It has tried to maintain the exclusive right to sell

    products using the "Coca-Cola" name and its diminutive form "Coke", by suggesting

    the alternative of "cola drink" as a generic name for similar types of carbonated soft

    drinks. The word cola as part of the Coca-Cola trademark may have originated from

    thekola nuts that were originally used as the source of caffeine

    Despite the name, the primary modern flavoring ingredients in a cola drink are sugar, citrus

    oils (from oranges, limes, or lemon fruit peel),cinnamon,vanilla, and an acidic flavorant.Manufacturers of cola drinks add trace ingredients to create distinctively different tastes for

    each brand. Many cola drink recipes are maintained as corporate trade secrets, notably

    includingCoca-Cola's recipe.A variety of different sweeteners may be added to cola, often

    partly dependent on local agricultural policy.High-fructose corn syrup is predominantly used

    in theUnited States andCanada due to the lower cost of government-subsidized corn.

    InEurope, however, HFCS is subject to production quotas designed to encourage the

    production of sugar; sugar is thus typically used to sweeten sodas.[4]In addition,stevia or

    anartificial sweetener may be used; "sugar-free" or "diet" colas typically contain artificialsweeteners only.

    http://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Drinkhttp://en.wikipedia.org/wiki/Alcoholhttp://en.wikipedia.org/wiki/Carbonationhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Cocainehttp://en.wikipedia.org/wiki/Pharmacisthttp://en.wikipedia.org/wiki/John_Pembertonhttp://en.wikipedia.org/wiki/John_Pembertonhttp://en.wikipedia.org/wiki/Coca-Colahttp://en.wikipedia.org/wiki/Coca_winehttp://en.wikipedia.org/wiki/Pharmacisthttp://en.wikipedia.org/wiki/Angelo_Mariani_(chemist)http://en.wikipedia.org/wiki/Cocainehttp://en.wikipedia.org/wiki/Caramel_colorhttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/High_fructose_corn_syruphttp://en.wikipedia.org/wiki/High_fructose_corn_syruphttp://en.wikipedia.org/wiki/High_fructose_corn_syruphttp://en.wikipedia.org/wiki/Genericized_trademarkhttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Cinnamonhttp://en.wikipedia.org/wiki/Vanillahttp://en.wikipedia.org/wiki/Coca-Cola_formulahttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/United_States_of_Americahttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/Europehttp://en.wikipedia.org/wiki/Cola#cite_note-4http://en.wikipedia.org/wiki/Cola#cite_note-4http://en.wikipedia.org/wiki/Cola#cite_note-4http://en.wikipedia.org/wiki/Steviahttp://en.wikipedia.org/wiki/Artificial_sweetenerhttp://en.wikipedia.org/wiki/Artificial_sweetenerhttp://en.wikipedia.org/wiki/Steviahttp://en.wikipedia.org/wiki/Cola#cite_note-4http://en.wikipedia.org/wiki/Europehttp://en.wikipedia.org/wiki/Canadahttp://en.wikipedia.org/wiki/United_States_of_Americahttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/Coca-Cola_formulahttp://en.wikipedia.org/wiki/Vanillahttp://en.wikipedia.org/wiki/Cinnamonhttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Genericized_trademarkhttp://en.wikipedia.org/wiki/High_fructose_corn_syruphttp://en.wikipedia.org/wiki/High_fructose_corn_syruphttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/Caramel_colorhttp://en.wikipedia.org/wiki/Cocainehttp://en.wikipedia.org/wiki/Angelo_Mariani_(chemist)http://en.wikipedia.org/wiki/Pharmacisthttp://en.wikipedia.org/wiki/Coca_winehttp://en.wikipedia.org/wiki/Coca-Colahttp://en.wikipedia.org/wiki/John_Pembertonhttp://en.wikipedia.org/wiki/John_Pembertonhttp://en.wikipedia.org/wiki/Pharmacisthttp://en.wikipedia.org/wiki/Cocainehttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Kola_nuthttp://en.wikipedia.org/wiki/Caffeinehttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Carbonationhttp://en.wikipedia.org/wiki/Alcoholhttp://en.wikipedia.org/wiki/Drinkhttp://en.wikipedia.org/wiki/Soft_drinkhttp://en.wikipedia.org/wiki/Soft_drink
  • 8/10/2019 sushil Report.docx

    25/110

    Page25

    Dr. John Stith Pemberton The Founder of Coca-Cola

    INTRODUCTION OF THE ORGANIZATION:

    The Coca-Cola Company is an Americanmultinationalbeverage corporation and

    manufacturer, retailer and marketer of nonalcoholic beverage concentrates andsyrups,

    which is headquartered inAtlanta,Georgia.The company is best known for its

    flagship productCoca-Cola, invented in 1886 by pharmacistJohn Stith

    Pemberton inColumbus,Georgia.

    Dr. John Stith Pemberton

    Dr. John Stith Pemberton for the

    first time produced the syrup for

    Coca-Cola on May 8, 1886. Coca-

    Cola originated as a soda fountain

    beverage in 1886 selling 5 cents for

    a glass. Early growth was

    impressive, but it was only when a

    strong bottling system developed

    that Coca-Cola became the world

    famous brand it is today. The Coca-

    Cola offers more than 400 brands in

    alIover 200 countries. From Inca

    Kola, a soft drink found in north &

    south America and Samurai, an

    energy drink available in Asia, to

    Vita, an African juice drink and

    Bon Aqua, a water found in 4

    continents. The Coca-Cola Company is dedicated to not only producing quality

    products, but satisfying the thirst for opportunity, education and economic

    development across the Globe. Our product variety spans the Globe.

    http://en.wikipedia.org/wiki/Multinational_corporationhttp://en.wikipedia.org/wiki/Syruphttp://en.wikipedia.org/wiki/Atlantahttp://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/Coca-Colahttp://en.wikipedia.org/wiki/John_Stith_Pembertonhttp://en.wikipedia.org/wiki/John_Stith_Pembertonhttp://en.wikipedia.org/wiki/Columbus,_Georgiahttp://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/Columbus,_Georgiahttp://en.wikipedia.org/wiki/John_Stith_Pembertonhttp://en.wikipedia.org/wiki/John_Stith_Pembertonhttp://en.wikipedia.org/wiki/Coca-Colahttp://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/Atlantahttp://en.wikipedia.org/wiki/Syruphttp://en.wikipedia.org/wiki/Multinational_corporation
  • 8/10/2019 sushil Report.docx

    26/110

    Page26

    Asa Griggs CandlerWho incorporated the Coca-Cola Company in 1892. Besides its

    namesake Coca-Cola beverage, Coca-Cola currently offers more than 500 brands in

    over 200 countries or territories and serves over 1.7 billion servings each day. The

    company operates afranchised distribution system dating from 1889 where The Coca-

    Cola Company only produces syrup concentrate which is then sold to

    variousbottlers throughout the world who hold an exclusive territory.

    Dr. Pembertons partner and book-keeper, Frank M. Robinson, suggested the name

    and penned Coca-Cola in the unique flowing script that is famous worldwide even

    today. He suggested that the two Cs would look well in advertising. The first

    newspaper ad for Coca-Cola soon appeared in The Atlanta Journal, inviting thirsty

    citizens to try the new and popular soda fountain drink. Hand-painted oil cloth signs

    reading Coca-Cola appeared on store awnings, with the suggestions Drink added

    to inform passersby that the new beverage was for soda fountain refreshment. By the

    year 1886, sales of Coca-Cola averaged nine drinks per day. The first year, Dr.

    Pemberton sold 25 gallons of syrup, shipped in bright red wooden kegs. For his

    efforts, Dr. Pemberton grossed $50 and spent $73.96 on advertising. Dr. Pemberton

    never realized the potential of the beverage he created. He gradually sold portions of

    his business to various partners and, just prior to his death in 1888, sold his remaininginterest in Coca-Cola to G. Candler, an entrepreneur from Atlanta. By the year 1891,

    Mr. Candler proceeded to buy additional rights and acquire complete ownership and

    control of the Coca-Cola business. Within four years, his merchandising flair had

    helped expand consumption of Coca-Cola to every state and territory after which he

    liquidated his pharmaceutical business and focused his full attention on the soft drink.

    With his brother, John S. Candler, John Pembertons former partner Frank Robinson

    and two other associates, Mr. Candler formed a Georgia corporation named the Coca-

    Cola Company. The trademark Coca-Cola, used in the market place since 1886,

    was registered in the United States Patent Office on January 31, 1893.The business

    continued to grow, and in 1894, the first syrup manufacturing plant outside Atlanta

    was opened in Dallas, Texas. Others were opened in Chicago, Illinois, and Los

    Angeles, California, the following year. In 1895, three years after The Coca-Cola

    Companys incorporation, Mr. Candler announced in his annual report to shareowners

    that Coca-Cola is now drunk in every state and territory in the United States.As

    demand for Coca-Cola increased, the Company quickly outgrew its facilities. A new

    http://en.wikipedia.org/wiki/Franchisinghttp://en.wikipedia.org/wiki/Bottler_(company)http://en.wikipedia.org/wiki/Bottler_(company)http://en.wikipedia.org/wiki/Franchising
  • 8/10/2019 sushil Report.docx

    27/110

    Page27

    buildingerected in 1898 was the first headquarters building devoted exclusively to the

    production of syrup and the management of the business.

    COMPANY HEADQUARTERS

    The Coca-Cola Headquarters is a campus inMidtown Atlanta,Georgia that is home

    toThe Coca-Cola Company.The most visible building on the site is a 29-story, 403

    foot (122.8 m) high One Coca-Cola Plaza. Located on the corner ofNorth

    Avenue and Luckie Street, the building was completed in 1979. The architect

    wasFABRAP and the designer Tom Pardue. The building and complex is located

    across the street fromGeorgia Institute of Technology andMidtown Atlanta.

    In May 2011, they celebrated the 125th anniversary of Coca-Cola, a projection screen

    was made for the building that would display various Coke ads through the years and

    also transformed the building into a huge cup of ice which then was "filled" with

    Coke.

    http://en.wikipedia.org/wiki/Midtown_Atlantahttp://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/North_Avenue_(Atlanta)http://en.wikipedia.org/wiki/North_Avenue_(Atlanta)http://en.wikipedia.org/wiki/FABRAPhttp://en.wikipedia.org/wiki/Georgia_Institute_of_Technologyhttp://en.wikipedia.org/wiki/Midtown_Atlantahttp://en.wikipedia.org/wiki/Midtown_Atlantahttp://en.wikipedia.org/wiki/Georgia_Institute_of_Technologyhttp://en.wikipedia.org/wiki/FABRAPhttp://en.wikipedia.org/wiki/North_Avenue_(Atlanta)http://en.wikipedia.org/wiki/North_Avenue_(Atlanta)http://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/Georgia_(U.S._state)http://en.wikipedia.org/wiki/Midtown_Atlanta
  • 8/10/2019 sushil Report.docx

    28/110

    Page28

    MUHTAR KENTChairman CEO

    COCA COLA

    TOP MANAGEMENTS IN

    COCA-COLA:

    Muhtar Kent is Chairman of the Board and

    Chief Executive Officer of The Coca-Cola

    Company, a position he has held since April

    2009. Previously he was President and Chief

    Executive Officer and earlier, President and

    Chief Operating Officer. Mr. Kent joined

    The Coca-Cola Company in Atlanta in 1978,

    holding a variety of marketing and operations leadership positions over the course of

    his career. In 1985, he became General Manager of Coca-Cola Turkey and Central

    Asia. Beginning in 1989, he served as President of the Company's East Central

    Europe Division and Senior Vice President of CocaCola International, with

    responsibility for 23 countries. In 1995, Mr. Kent was named Managing Director

    of Coca-Cola Amatil-Europe, covering bottling operations in 12 countries. In 1999, he

    became President and CEO of the Efes Beverage Group, a diversified beverage

    company with Coca-Cola and beer operations across Southeast Europe, Turkey and

    Central Asia. Mr. Kent returned to The Coca-Cola Company in 2005 as President and

    Chief Operating Officer of the Company's North Asia, Eurasia and Middle East

    Group, an organization serving a broad and diverse region that included China, Japan

    and Russia. Less than a year later, he became President of Coca-Cola International,

    leading all of the Company's operations outside North America.

    Active in the global business community, Mr. Kent is Chairman of the International

    Business Council of the World Economic Forum, Co-Chair of the Bipartisan Policy

    Centers CEO Council on Health and Innovation, a fellow of the Foreign Policy

    Association, a member of the Business Roundtable, immediate past Co-Chair of The

    Consumer Goods Forum, a past Chairman of the U.S.-China Business Council and

    Chairman Emeritus of the U.S. ASEAN Business Council. He also is a member of the

    Eminent Persons Group for ASEAN, appointed by President Obama and former

    Secretary of State Clinton. He serves on the boards of 3M, Special Olympics

    International, Ronald McDonald House Charities, Catalyst and Emory

  • 8/10/2019 sushil Report.docx

    29/110

    Page29

    University. Muhtar Kent is active in the global business community and currently is

    co-chair of theConsumer Goods Forum,a fellow of the Foreign Policy Association, a

    member of the Business Roundtable, a past Chairman of the U.S.-China Business

    Council and current Chairman Emeritus of theUS-ASEAN Business Council.He also

    was recently appointed as a member of the Eminent Persons Group for ASEAN by

    President Obama and Secretary of State Clinton. He serves on the boards of Special

    Olympics International, Ronald McDonald House Charities, Catalyst and Emory

    University. He currently serves on the board of directors of GBC Health as well as

    theNational Committee on United States-China Relations.

    Mr. Atul Singh

    (President & Chief Executive Officer,

    Coca-Cola India)

    Atul Singh is the President & CEO of Coca-

    Cola India, a responsibility that he took over

    on September 1, 2005 after working as the

    President of East, Central & South (ECS)

    China Division of Coca-Cola. Atul is responsible for Coca-Cola ? operations in India,

    Sri Lanka, Bangladesh, Bhutan, Nepal and the Maldives. Under his stewardship,

    Coca-Cola's business in Irfdia has undergone major transformation and reported

    eleven consecutive quarters of growth. This is a record for the company. Last Quarter

    of Financial year 2008-09 i.e. Jan-Mar was the most profitable one for the Company.

    Atul joined The Coca-Cola Company in 1998 as Vice President, Operations of Coca-

    Cola India Division. He led the Franchise Operations and Key Accounts group of theIndia Division from 1998 to 2001. Atul then moved to China for his stint as Regional

    Manager of East China, China Division and later became the President of the ECS,

    China Division. The Division consisted of Shanghai, the Swire Territories of China,

    Hong Kong and Taiwan. Under his leadership, mainland China operations were

    among the fastest growing Coca-Cola businesses.

    Prior to joining Coca-Cola, Atul worked with The Colgate Palmolive

    Company for 10 years and held several roles including Country

    Mr. Atul Singh president & CEO Coca-Cola

    http://en.wikipedia.org/wiki/Consumer_Goods_Forumhttp://en.wikipedia.org/wiki/US-ASEAN_Business_Councilhttp://en.wikipedia.org/wiki/National_Committee_on_United_States-China_Relationshttp://en.wikipedia.org/wiki/National_Committee_on_United_States-China_Relationshttp://en.wikipedia.org/wiki/US-ASEAN_Business_Councilhttp://en.wikipedia.org/wiki/Consumer_Goods_Forum
  • 8/10/2019 sushil Report.docx

    30/110

    Page30

    General Manager, Nigeria (1995-1998), Finance Director and then Country General

    Manager, Romania (1992-1995) and Finance Manager, Body Care Division, USA

    (1990-1992). Prior to Colgate, Atul worked as an Auditor with Price Waterhouse in

    New York. Atul is currently the Chairman of American Chamber of Commerce

    (AMCHAM) in India, Chairman of the Environment Committee of Confederation of

    Indian Industry (CII) and the Chairman of the Sports Committee of Federation of

    Indian Chambers of Commerce and Industry (FICCI). Atul is also a member of the

    Young Presidents' Organization, a global body dedicated to creating? Better Leaders

    through Education and Idea Exchang ,

  • 8/10/2019 sushil Report.docx

    31/110

    Page31

    PRODUCTION

    Ingredients

    Carbonated water

    Sugar (sucrose orhigh-fructose corn syrup depending on country of origin)

    Caffeine

    Phosphoric acid

    Caramel color (E150d)

    Natural flavorings

    A can of Coke (12 fl ounces/355 ml) has 39 grams of carbohydrates (all from sugar,

    approximately 10 teaspoons),[46]50 mg of sodium, 0 grams fat, 0 grams potassium,

    and 140 calories.

    Formula of natural flavorings

    The exact formula of Coca-Cola's natural flavorings (but not its other ingredients,

    which are listed on the side of the bottle or can) is atrade secret.The original copy of

    the formula was held inSunTrust Bank's main vault in Atlanta for 86 years. Its

    predecessor, the Trust Company, was theunderwriter for the Coca-Cola

    Company's initial public offering in 1919. On December 8, 2011, the original secret

    formula was moved from the vault at SunTrust Banks to a new vault containing the

    formula which will be on display for visitors to its World of Coca-Cola museum in

    downtown Atlanta.[48]

    A popular myth states that only two executives have access to the formula, with each

    executive having only half the formula. The truth is that while Coca-Cola does have a

    rule restricting access to only two executives, each knows the entire formula andothers, in addition to the prescribed duo, have known the formulation process.

    http://en.wikipedia.org/wiki/Sucrosehttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/Phosphoric_acidhttp://en.wikipedia.org/wiki/Caramel_color#Classificationhttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-46http://en.wikipedia.org/wiki/Coca-Cola#cite_note-46http://en.wikipedia.org/wiki/Coca-Cola#cite_note-46http://en.wikipedia.org/wiki/Trade_secrethttp://en.wikipedia.org/wiki/SunTrust_Bankhttp://en.wikipedia.org/wiki/Underwriterhttp://en.wikipedia.org/wiki/Initial_public_offeringhttp://en.wikipedia.org/wiki/World_of_Coca-Colahttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-48http://en.wikipedia.org/wiki/Coca-Cola#cite_note-48http://en.wikipedia.org/wiki/Coca-Cola#cite_note-48http://en.wikipedia.org/wiki/Coca-Cola#cite_note-48http://en.wikipedia.org/wiki/World_of_Coca-Colahttp://en.wikipedia.org/wiki/Initial_public_offeringhttp://en.wikipedia.org/wiki/Underwriterhttp://en.wikipedia.org/wiki/SunTrust_Bankhttp://en.wikipedia.org/wiki/Trade_secrethttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-46http://en.wikipedia.org/wiki/Caramel_color#Classificationhttp://en.wikipedia.org/wiki/Phosphoric_acidhttp://en.wikipedia.org/wiki/High-fructose_corn_syruphttp://en.wikipedia.org/wiki/Sucrose
  • 8/10/2019 sushil Report.docx

    32/110

    Page32

    coca-cola

    COMPANY PRODUCT

    Coca-Cola

    The world's favorite drink. The world's most

    valuable brand. The most recognizable word

    across the world after OK.

    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.

    policies necessitated its departure. Coca-Cola

    made its return to the country in 1993and 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. Coca-Cola's

    advertising campaigns "Jo Chaho Ho Jaye" and "Life Ho To Aisi" were very

    popular and had entered the youth's vocabulary. In 2002, Coca-Cola launched the

    campaign "Thanda Matlab Coca-Cola" which sky-rocketed the brand to make it

    India's favorite soft-drink brand. In 2003, Coke was available for just Rs.5 across the

    country and this pricing initiative together with 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,

    Saurav Ganguly, southern celebrities Vijay in the past and today, its brand

    ambassadors are Aamir Khan,Hrithik Roshar,Aishwarya Rai, Vivek Oberoi and

    cricketer Virendra Sehwag.

  • 8/10/2019 sushil Report.docx

    33/110

    Page33

    ThumsU

    THUMS UP

    Strong cola Taste, Exciting Personality

    Thums Up is a leading carbonated soft drink andmost trusted brand in India. Originally

    introduced in 1977, Thums Up was acquired by

    The Coca-Cola Company in 1993. Thums Up is

    known for its strong, fizzy taste and its

    confident, mature and uniquely masculine

    attitude. This brand clearly seeks to separate the

    man from the boys.

    It has dark brown color with very high content

    of CO2which makes COLA flavors very heavy.

    It is available in different

    Volumes in market like:

    200 ml glass bottle

    600 ml pet bottle

    2 liter pet bottles

    300ml can

    1.25 liter

  • 8/10/2019 sushil Report.docx

    34/110

    Page34

    Fanta

    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 is associated with happy, cheerful and

    special times with friends.

    FANTA ORANGE & FANTA APPLE:-

    It comes in many flavors like orange with light

    content of CO2that makes its flavors delicious. It

    is available in different volumes in market.

    200 ml glass bottle

    600 ml pet bottle

    2 liter pet bottle

    1.25 liter

  • 8/10/2019 sushil Report.docx

    35/110

  • 8/10/2019 sushil Report.docx

    36/110

    Page36

    SPRITE

    Worldwide Spriteis ranked as the No.4 soft

    drink and sold in more than 190 countries. In

    India, Sprite was launched in year 1999and

    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. Why?

    With a strong appeal to the youth, Sprite has

    stood for a straight forward and honest attitude.

    It's clear crisp refresh hinge taste encourages

    the today's youth to trust their instincts,

    influence them to be true to who they are and

    to obey their thirst.

    SPRITE :-It is colorless with packing in green colored bottle. It has normal Content

    of CO2. It has nice flavors available in market in following packing:

    200 ml glass bottle

    300 ml glass bottle

    600 ml pet bottle

    2 liter pet bottle

    300ml cane

    1.25 liter pet bottle

    330ml cane

    S rite

  • 8/10/2019 sushil Report.docx

    37/110

    Page37

    Mazza

    MAAZA

    Maazawas launched in 1976. Here was a drink

    that offered the same real taste of fruit juices

    and was available throughout the year. In 1993,

    Maaza was acquired by Coca-Cola India. Maaza

    currently dominates the fruit drink category.

    Over the years, brand Maaza has become

    synonymous with Mango. This has been the

    result of such successful campaigns like "Taaza

    Mango, Maaza Mango" and "Bottle Mein

    Aam, Maaza hai Naam". Consumers regard

    Maaza as wholesome, natural, fun drink which

    delivers the real experience of fruit. The current

    advertising of Maaza positions is as an enabler

    of fun friendship moments between 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 a relevant emotional

    benefit to the moms rightly captured in the tagline "Yaari Dosti Taaza Maaza". ...

    MAAZA:-It is of yellow color with decent taste of mango. it does not Contain CO 2.

    200ml glass bottle

    200ml tetra pack

    600ml pet

    1.5 Lt. Pet

  • 8/10/2019 sushil Report.docx

    38/110

    Page38

    Kinley

    KINLEY

    Water a thirst quencher that refreshes, a life

    giving force that washes all the toxins away. A

    ritual purifier that cleanses, purifies,

    transforms. Water the most basic need of life,

    the very sustenance of life, a celebration of life

    itself. 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

    subcontinent. Kinley water understands the

    importance and value of this life giving force.

    Kinley water thus promises water that is as

    pure as it, is meant to be. Water you can trust

    to be truly safe and pure. Kinley water comes

    with the assurance of safety from the Coca-

    Cola Company. That is why company

    introduced Kinley with reverse-osmosis along

    with the latest technology to ensure the purity

    of the product. That's why Coca Cola goes through rigorous testing procedures at each

    and every location where Kinley is produced. Because they believe that right to pure,

    safe drinking water is fundamental. which cannot be left to chance.

    KINLEY WATER:-It is mineral water available in following volumes in market:

    500 ml pet bottle

    1 lt. pet bottle

    2 lt. pet bottle

  • 8/10/2019 sushil Report.docx

    39/110

    Page39

    Sectional Product of Coca-Cola

    The Coca-Cola Company offers a wide range of products to the customers including

    beverages, fruit juices and bottled mineral water. The Company is always looking to

    innovate and come up with, either complete new products or new ways to bottle or

    pack the existing drinks. The Coca-Cola Company has a wide range of products out of

    which the following products are marketed by HCCBPL:

    In the Cola Section- Diet Coke, Coca Cola, Thums up

    In the Lemon section- Sprite, Limca

    In the Orange section- Fanta

    In the Juice section- Maaza, Minute Maid

    In the Soda Water and Bottled Mineral Water section- Schweppes soda water, kinley

    mineral water, Dasani mineral water, kinley soda water

    In the Tonic Water section- Schweppes

  • 8/10/2019 sushil Report.docx

    40/110

    Page40

    COMPETITORS:

    Pepsi the flagship product ofPepsiCo, The Coca-Cola Company's main rival in the

    soft drink industry, is usually second to Coke in sales, and outsells Coca-Cola in some

    markets.RC Cola,now owned by theDr Pepper Snapple Group,the third largest soft

    drink manufacturer, is also widely available.

    PEPSI AND COCA COLA

    Around the world, many local brands compete with Coke. In South and Central

    AmericaKola Real,known asBig Cola inMexico,is a growing competitor to Coca-

    Cola.[79]On the French island ofCorsica,Corsica Cola,made by brewers of the local

    Pietra beer, is a growing competitor to Coca-Cola. In the French region

    ofBrittany,Breizh Cola is available. In Peru, Inca Kola outsells Coca-Cola, which

    ledThe Coca-Cola Company to purchase the brand in 1999. In

    Sweden,Julmust outsells Coca-Cola during the Christmas season.[80]In Scotland, the

    locally producedIrn-Bru was more popular than Coca-Cola until 2005, when Coca-

    Cola and Diet Coke began to outpace its sales.[81]

    In India, Coca-Cola ranked third behind the leader, Pepsi-Cola, and local drinkThums

    Up. The Coca-Cola CompanypurchasedThums Up in 1993.[82]As of 2004, Coca-

    Cola held a 60.9% market-share in India.[83]Tropicola, a domestic drink, is served in

    http://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/RC_Colahttp://en.wikipedia.org/wiki/Dr_Pepper_Snapple_Grouphttp://en.wikipedia.org/wiki/Kola_Realhttp://en.wikipedia.org/wiki/Big_Colahttp://en.wikipedia.org/wiki/Mexicohttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-79http://en.wikipedia.org/wiki/Coca-Cola#cite_note-79http://en.wikipedia.org/wiki/Coca-Cola#cite_note-79http://en.wikipedia.org/wiki/Corsicahttp://en.wikipedia.org/wiki/Corsica_Colahttp://en.wikipedia.org/wiki/Brittanyhttp://en.wikipedia.org/wiki/Breizh_Colahttp://en.wikipedia.org/wiki/Inca_Kolahttp://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/Julmusthttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-80http://en.wikipedia.org/wiki/Coca-Cola#cite_note-80http://en.wikipedia.org/wiki/Coca-Cola#cite_note-80http://en.wikipedia.org/wiki/Irn-Bruhttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-81http://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-82http://en.wikipedia.org/wiki/Coca-Cola#cite_note-82http://en.wikipedia.org/wiki/Coca-Cola#cite_note-82http://en.wikipedia.org/wiki/Coca-Cola#cite_note-83http://en.wikipedia.org/wiki/Coca-Cola#cite_note-83http://en.wikipedia.org/wiki/Coca-Cola#cite_note-83http://en.wikipedia.org/wiki/Coca-Cola#cite_note-83http://en.wikipedia.org/wiki/Coca-Cola#cite_note-82http://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/Thums_Uphttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-81http://en.wikipedia.org/wiki/Irn-Bruhttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-80http://en.wikipedia.org/wiki/Julmusthttp://en.wikipedia.org/wiki/The_Coca-Cola_Companyhttp://en.wikipedia.org/wiki/Inca_Kolahttp://en.wikipedia.org/wiki/Breizh_Colahttp://en.wikipedia.org/wiki/Brittanyhttp://en.wikipedia.org/wiki/Corsica_Colahttp://en.wikipedia.org/wiki/Corsicahttp://en.wikipedia.org/wiki/Coca-Cola#cite_note-79http://en.wikipedia.org/wiki/Mexicohttp://en.wikipedia.org/wiki/Big_Colahttp://en.wikipedia.org/wiki/Kola_Realhttp://en.wikipedia.org/wiki/Dr_Pepper_Snapple_Grouphttp://en.wikipedia.org/wiki/RC_Colahttp://en.wikipedia.org/wiki/PepsiCo
  • 8/10/2019 sushil Report.docx

    41/110

    Page41

    Cuba instead of Coca-Cola, due to a United States embargo. French brandMecca

    Cola and British brandQibla Cola are competitors to Coca-Cola in the Middle East.

    In Turkey,Cola Turka,in Iran and the Middle East,Zam Zam Cola andParsi Cola,in

    some parts ofChina,China Cola, inSlovenia,Cockta and the inexpensive Mercator

    Cola, sold only in the country's biggest supermarket chain,Mercator,are some of the

    brand's competitors. Classiko Cola, made by Tiko Group, the largest manufacturing

    company in Madagascar, is a serious competitor to Coca-Cola in many

    regions.Laranjada is the top-selling soft drink onMadeira.

    Coca-Cola was the leading soft drink brand in India until 1977, when it left rather

    than reveals its formula to the Government and reduces its equity stake as required

    under the Foreign Regulation Act (FERA) which governed the operations of foreign

    companies in India. Coca-Cola re-entered the Indian market on 26th October 1993

    after a gap of 16years, with its launch in Agra. An agreement with the Parle Group

    gave the Company instant ownership of the top soft drink brands of the nation. With

    access to 53 of Parles plants and a well set bottling network, an excellent base for

    rapid introduction of the Companys International brands was formed. The Coca-Cola

    Company acquired soft drink brands like Thumps Up, Goldspot, Limca, Maaza,

    which were floated by Parle, as these products had achieved a strong consumer baseand formed a strong brand image in Indian market during the re-entry of Coca-Cola in

    1993.Thus these products became a part of range of products of the Coca-Cola

    Company. In the new liberalized and deregulated environment in 1993, Coca-Cola

    made its re-entry into India through its 100% owned subsidiary, HCCBPL, the Indian

    bottling arm of the Coca-Cola Company.

    Coca-Cola is made up of 7000 local employees, 500 managers, over 60 manufacturing

    locations, 27 Company Owned Bottling Operations (COBO), 17 Franchisee Owned

    Bottling Operations (FOBO) and a network of 29 Contract Packers that facilitate the

    manufacture process of a range of products for the company. It also has a supporting

    distribution network consisting of 700,000 retail outlets and 8000 distributors. The

    complexity of the Indian market is reflected in the distribution fleet which includes

    different modes of distribution, from10-tonne trucks to open-bay three wheelers that

    can navigate through narrow alley ways of Indian cities and trademarked tricycles and

    pushcarts.Think local, act local, is the mantra that Coca-Cola follows, with punch

    lines like Life ho to aisi for Urban India and Thanda Matlab Coca-Cola for Rural

    http://en.wikipedia.org/wiki/Mecca_Colahttp://en.wikipedia.org/wiki/Mecca_Colahttp://en.wikipedia.org/wiki/Qibla_Colahttp://en.wikipedia.org/wiki/Cola_Turkahttp://en.wikipedia.org/wiki/Zam_Zam_Colahttp://en.wikipedia.org/wiki/Parsi_Colahttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/China_Colahttp://en.wikipedia.org/wiki/Sloveniahttp://en.wikipedia.org/wiki/Cocktahttp://en.wikipedia.org/wiki/Mercator_(retail)http://en.wikipedia.org/wiki/Laranjadahttp://en.wikipedia.org/wiki/Madeirahttp://en.wikipedia.org/wiki/Madeirahttp://en.wikipedia.org/wiki/Laranjadahttp://en.wikipedia.org/wiki/Mercator_(retail)http://en.wikipedia.org/wiki/Cocktahttp://en.wikipedia.org/wiki/Sloveniahttp://en.wikipedia.org/wiki/China_Colahttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Parsi_Colahttp://en.wikipedia.org/wiki/Zam_Zam_Colahttp://en.wikipedia.org/wiki/Cola_Turkahttp://en.wikipedia.org/wiki/Qibla_Colahttp://en.wikipedia.org/wiki/Mecca_Colahttp://en.wikipedia.org/wiki/Mecca_Cola
  • 8/10/2019 sushil Report.docx

    42/110

    Page42

    India. This resulted in a 37% growth rate in rural India visa-vie 24% growth seen in

    urban India. Between 2001 and 2003, the per capita consumption of cold drinks

    doubled due to the launch of the new packaging of 200 ml returnable glass bottles

    which were made available at a price of Rs.5 per bottle. This new market accounted

    for over 80% of Indias new Coca-Cola drinkers.

    Thanda matlab COCA-COLA

    Coca Cola customers are grocery stores, restaurants, streets, vendors, mass m er ch a n

    d i s e r , convenience stores drug stores, movie theaters and amusement parks-among

    others. What do they do! Coca cola cus tomer s ells its products to consume rs

    & s hoppers, who enjoy the products at a rate of 1.5 billions servings a day.

    Coca- Cola customers make it possible for consumer & shoppers in local communities

    around the world to purchase & its broad purchase & enjoy its broad portfolio of

    quality beverages.

  • 8/10/2019 sushil Report.docx

    43/110

    Page43

    HISTORY OF BOTTLING:

    In general, The Coca-Cola Company

    and its subsidiaries only produce

    syrup concentrate, which is then sold

    to various bottlers throughout the

    world who hold a Coca-

    Colafranchise. Coca-Cola bottlers,

    who hold territorially exclusive

    contracts with the company, produce

    the finished product in cans and

    bottles from the concentrate in combination with filtered water and sweeteners. The

    bottlers then sell, distribute and merchandise the resulting Coca-Cola product toretail

    stores,vending machines, restaurants and food service distributors.

    One notable exception to this general relationship between The Coca-Cola Company

    and bottlers isfountain syrups in the United States, where the company bypasses

    bottlers and is responsiblefor the manufacture and sale of fountain syrups directly to

    authorized fountain wholesalers and some fountain retailers.

    Coca-Cola originated as a soda fountain beverage in 1886 selling for five cents a glass. Early

    growth was impressive, but it was only when a strong bottling system developed that Coca-

    Cola became the world-famous brand it is today.

    YEAR WISE HISTORY OF BOTTLING:

    Year 1894: A modest start for a bold idea: In a candy store in Vicksburg, Mississippi,

    brisk sales of the new fountain beverage called Coca-Cola impressed the stores

    owner, Joseph A. Biedenharn. He began bottling Coca-Cola to sell, using a commonglass bottle called a Hutchinson.

    Year 1899: The first bottling agreement: Two young attorneys from Chattanooga,

    Tennessee believed they could build a business around bottling Coca-Cola. In a

    meeting with Candler, Benjamin F. Thomas and Joseph B. Whitehead obtained

    exclusive rights to bottle Coca-Cola across most of the United States for a sum of one

    dollar.

    http://en.wikipedia.org/wiki/Franchisinghttp://en.wikipedia.org/wiki/Retail_storehttp://en.wikipedia.org/wiki/Retail_storehttp://en.wikipedia.org/wiki/Soda_fountainhttp://en.wikipedia.org/wiki/Soda_fountainhttp://en.wikipedia.org/wiki/Retail_storehttp://en.wikipedia.org/wiki/Retail_storehttp://en.wikipedia.org/wiki/Franchising
  • 8/10/2019 sushil Report.docx

    44/110

    Page44

    Years 1900-1909: Rapid growth: The three pioneer bottlers divided the country into

    territories and sold bottling rights to local entrepreneurs.

    By 1909, nearly 400 Coca-Cola bottling plants were operating, most of them family-

    owned businesses. Some were open only during hot-weather months when demand

    was high.

    Year 1916: Birth of the Contour Bottle Bottlers worried that Coca-Colas straight-

    sided bottle was easily confused with imitators.

    In the 1920s: Bottling overtakes fountain sales. As the 1920s dawned; more than

    1,000 Coca-Cola bottlers were operating in the U.S.

    By the end of the 1920s, bottle sales of Coca-Cola exceeded fountain sales. In the

    1920s and 1930s: International expansion Led by Robert W. Woodruff, chief

    executive officer and chairman of the Board, the Company began a major push to

    establish bottling operations outside the U.S. Plants were opened in France,

    Guatemala, Honduras, Mexico, Belgium, Italy and South Africa.

    In the 1940s: Post-war growth: During the war, 64 bottling plants were set up around

    the world to supply the troops.

    In the 1950s: Packaging innovations: For the first time, consumers had choices of

    Coca-Cola package size and type-the traditional 6.5 ounce Contour Bottle, or larger

    servings including 10, 12 and 26 ounce versions. Cans were also introduced.

    In the 1960s: Introduction of new brands Sprite, Fanta, Fresca and TAB joined brand

    Coca-Cola

    The 1980s brought diet Coke and Cherry Coke, followed by PowerAde and Fruitopia

    in the 1990s.

    In the 1990s: New and growing markets Political and economic changes opened vast

    markets that were closed or underdeveloped for decades.

    21st Century: Coca-Cola today: The Coca-Cola bottling system grew up with roots

    deeply planted in local communities.

  • 8/10/2019 sushil Report.docx

    45/110

    Page45

    HINDUSTAN COCA COLA BEVERAGES PRIVATE LIMITED

    (HCCBPL):

    HCCBPL is the largest bottling partner of The Coca-Cola Company in India. It is a

    part of The Coca-Cola Companys Bottling Investments Group (BIG) and responsible

    for the manufacture, package, sale and distribution of beverages under the trademarks

    of The Coca-Cola Company.

    INSIDE VIEW OF COCA-COLA SYSTEM

    Coca-Cola India Pvt. Ltd. -It is a Wholly-Owned Subsidiary of

    The Coca-Cola Company, USA. While building the consumer franchise for The

    Coca-Cola Company trademarks, it also leads world class governance systems for the

    operations of all partners in bottling, suppliers, distributors and other stakeholders.

    Hindustan Coca-Cola Beverages Pvt. Ltd. - As part of the Bottling Investments

    Group of the Coca-Cola Company, HCCBPL has 24 bottling plants at strategic

    locations in various states spread across India. We cover approximately 65% of

    bottling operations for the Coca-Cola system in India. HCCBPL has an extensivedistribution system spanning more than a million outlets operating with world class

  • 8/10/2019 sushil Report.docx

    46/110

    Page46

    execution standards. The focus of the system is to develop strong customer value

    while delivering preferred choice of refreshment at an arm's length of desire to the

    consumer.

    HCCBPL's Product Portfolio has an extensive range to choose from : Sparkling

    Beverages Coca-Cola, Diet Coke, Thums Up, Sprite, Fanta, Limca,

    KinleySoda, SchweppesTonic Water. Still Beverages Maaza, Minute

    MaidPulpy Orange, Minute MaidNimbu Fresh, Minute Maid100% Juices

    (Apple, Grapes, Orange, Mixed Fruit), Minute Maidrange of fruit flavored drinks.

    Water- Kinley, Bonaqua.

    Over the years, Hindustan Coca-Cola Beverages Pvt. Ltd. has focused on buildingworld class operations based on principles of safety, profitability and solid

    governance to claim sustained growth. As part of our journey of moving towards

    being a World Class Company, we have strengthened our organization in terms of

    Supply Chain, Infrastructure, Market Execution, People, Processes, Compliance,

    Governance and Route-to-Market. This approach has enabled us to build our portfolio

    through launching new packs and brands, coupled with a competitive pricing strategy

    based on a balance of value pricing and eliminating waste.

    MILESTONES

    1992 Coca-Cola resumes operations in India

    1993 Acquired Parle brands (Thums Up, Limca, Maaza, Gold Spot, Citra)

    1997 Formation of Hindustan Coca-Cola Beverages Private Limited erstwhile

    Hindustan Coca-Cola Bottling South West Private Limited

    2005 Formation of Bottling Investments Group (BIG) and Independent HCCBPL

    Management Team in India

    2006-07 Moves towards being World Class selling Organization

    2008-11 Stable & Sustainable Performance towards World Class Bottling

    2011 HCCBPL crosses 400 Million Unit Case sales

  • 8/10/2019 sushil Report.docx

    47/110

    Page47

    COMPANYS VISION, MISSION AND VALUES:

    The Coca-Cola Company Mission:

    To refresh the world - in mind, body and spirit To inspire moments of optimism - through our brands and actions

    To create value and make a difference everywhere we engage

    The Coca-Cola company vision.

    To achieve overall mission, company have developed a set of goals, which will work

    with bottlers to deliver:

    Profit:Maximizing return to shareholders, while being mindful of our overall

    responsibilities

    People:Being a great place to work, where people are inspired to be the best they can

    be

    Portfolio: Bringing to the world a portfolio of beverage brands that anticipate and

    satisfy people's desires and needs

    Partners:Nurturing a winning network of partners and building mutual loyalty

    Planet:Being a responsible global citizen that makes a difference

    Productivity:Be a highly effective, lean and fast-moving organization.

    The Coca-Cola Company values.

    The shared values by which company is guided by are:

    Leadership

    Passion

    Integrity

    Accountability

    Collaboration

    Innovation

    Quality

  • 8/10/2019 sushil Report.docx

    48/110

    Page48

    The Corporate Objective

    Strategic Goals

    These strategic goals are decide by the top management with consultation by the

    parent company head quartered at Singapore. They are:

    To continue to be an organization providing the quality products to the valuable

    customers:

    To select and retain the professional people for the organization.

    To project an outstanding corporate image.

    To satisfy the customer through extra ordinary service and an excellent service

    along with the complete tactical and operational support.

    Tactical Goals:

    The top management of the company on an annual basis devises these goals together

    with the consultation of the lower level employees.

    Operational Goals:

    Operational goals are decided by the top management in consultation with the lower

    level employees. They are following the concept of management by objectives

    (MBO). Each employee is assigned its goals and is told what is expected of him and

    then he is evaluated on the basis of certain rules and regulations followed evenly bythe company.

  • 8/10/2019 sushil Report.docx

    49/110

    Page49

    MANUFACTURING COCA-COLA PLANTS IN INDIA

    DIFFERENT MANUFACTURING COCA-COLA PLANTS IN INDIA

    PLANT CITY STATE

    1. Gangyal Jammu Jammu and Kashmir

    2. Kotwali road Najibabad Uttaranchal

    3. Dasna dhoulana Panchsheel nagar UP

  • 8/10/2019 sushil Report.docx

    50/110

    Page50

    4. Chomu Jaipur Rajasthan

    5. Goblej Kheda Gujrat

    6. Pilukhedi Rajgadh Bhopal MP

    7. Mehndiganj Varanasi UP

    8. Patliputra Patna Bihar

    9. Raninagar Jalpaiguri WB

    10. Byrnihat Guwahati Meghalaya

    11. Jorhat Jorhat Assam

    12. Khurda Bhubaneshwar Orissa

    13. Pirungut Mulshi Pune Maharashtra

    14. Wada Thana Maharashtra

    15. Ambad Nasik Maharashtra

    16. Verna Goa Goa

    17. Bidali Ramnagar Bangalore Karnataka

    18. NH-5 Vishakhapatnam AP

    19. Ameenpur Ameenpur AP

    20. Moula Ali Moula Ali AP

    21. Almakuru Guntur AP

    22. Srikalahasti Chittur AP

    23. Hospet Koppal Karnataka

    24. Nemam Chennai TN

    Table1 Table of plants & Locations in India

  • 8/10/2019 sushil Report.docx

    51/110

    Page51

    Organizational structure of COCA COLA

    CEO

    Vice President Supply Chain

    Chief Finance Office

    Human Resource Director

    Vice President BSG

    Regional Vice President(North)

    Regional Vice President(Central)

    Regional Vice President

    AGM Unit 1AGM Unit 2

    AGM Unit 3

    Region Finance

    Region HR

    Region Customer Service

    Region External AffairRegionColdrink

    Region Legal

    Region BSG

    Region Director Manager

    Regional Director Manager

    Region Channel Region Capability Management

  • 8/10/2019 sushil Report.docx

    52/110

    Page52

    Organizational structure of the sales department in HCCBPL

    Sales department organization in COCA COLA

    MANUFACTURING PROCESS AT HCCBPL:

    The manufacturing of the products of Coca-Cola involves the following steps: Water

    is received from the River Cauvery and it passes through the water treatment plant,

    further passing through the sand filter and the activated carbon filter, so as to attain

    pure cleansed water. In the syrup room, the concentrate received from another bottling

    plant is blended with the sugar syrup Once both the water and the final syrup are

    ready, they are both mixed together and sent to the carbonator section where Carbon

    Dioxide is added to the mixture to form the final product.

    On the other hand, simultaneously, the returnable glass bottles are depalletized,

    inspected and washed for the purpose of filling in the final product in it. This step

    does not take place in the PET bottle line as the bottles once used are disposed. The

    product is finally filled in the bottles, crowned (in case of RGB)/ capped (in case of

    AGMPlant

    Manager

    Routeto

    market

    HRManager

    Finance

    Manager

    General

    Sales

    Manager

    AreaCapabilit

    yManager

    Sales

    Trainers

    Channel

    Manager

    Marketing

    Key

    A/Cs

    Area

    Sales

    Manager

    SalesExecutive

    Distributer& Salesmen

    Market

    Developer

  • 8/10/2019 sushil Report.docx

    53/110

    Page53

    PET bottles), labelled and cased in order to be sent into the warehouse for

    distribution.

    Manufacturing process in COCA COLA plant

    DISTRIBUTION NETWORK HCCBPL has a wide and well managed network of

    salesmen appointed for taking up the responsibility of distribution of products to

    diverse parts of the cities. The distribution channels are constructed in such a way that

    the demand of customers is fulfilled at the right place and the right time when it is

    needed by them. A typical distribution chain at HCCBPL would be:

    Production --- Plant Warehouse --- Depot Warehouse --- Distribution Warehouse ---

    Retail Stock --- Retail Shelf --- Consumer

  • 8/10/2019 sushil Report.docx

    54/110

  • 8/10/2019 sushil Report.docx

    55/110

    Page55

    delivery personnel both have this responsibility. In certain locations special teams

    who go into business locations to specifically merchandise our products.

    DEPARTMENTS INVOLVED IN THE DISTRIBUTION PROCESS the Distribution

    process mainly consists of three departments:

    Distribution Department: It appoints distributors and establishes a distribution

    network, processes approved sale orders and prepares invoices, arranges logistics and

    ship products, co-ordinates with distributors for collections and monitors distribution

    stocks and their set-up.

    Finance Department: It checks credit limits and approves sales orders in compliance

    with the credit policy followed by the firm, records collections from distributors,periodically reconciles outstanding balances from distributors, obtains balance

    confirmation from distributors and follows up outstanding balances.

    Shipping or Warehousing Department: It dispatches goods as per approved by order,

    ensures that stocks are dispatched on a FIFO basis, ensures physical control over load

    out area and updates warehouse stock records in a timely manner.

  • 8/10/201