Professional Documents
Culture Documents
SUBMITTED BY
MOHD. AMIR
I have taken efforts in this project. However, it would not have been possible without the kind
support and help of many individuals and organizations. I would like to extend my sincere thanks
to all of them.
I am highly indebted to Dr. Ali. A. Firdausi, Professor at Faculty of Management and
Information Technology, for their guidance and constant supervision as well as for providing
necessary information regarding the project & also for their support in completing the project.
I would like to express my gratitude towards my parents & member of Hindustan Coca Cola
Beverages Pvt. Ltd for their kind co-operation and encouragement which help me in the
completion of this project. I would like to express my special gratitude and thanks to industry
persons for giving me such attention and time.
My thanks and appreciations also go to my colleague in developing the project and people who
have willingly helped me out with their abilities.
MOHD. AMIR
CERTIFICATE
I, Mohd. Amir, a bonafide student of MBA (General) program at the Faculty of Management and
Information Technology, Jamia Hamdard, New Delhi, hereby declare that I have undergone the
summer training at Hindustan Coca-Cola Beverages Pvt. Ltd, under the supervision of Mr. Ram
Singh, Marketing Manager, from the period of 19-05-2014 to 12-07-2014.
I also declare that the present project report is based on the above summer training and is my
original work. The content of this project report has not been submitted to any other university or
institute either in part or in full for the award of any degree, diploma or fellowship.
Further, I assign the right to the university, subject to the permission from the organization
concerned, use the information and contents of this project to develop cases, case lets, case leads,
and papers for publication and/or for use in teaching.
I hereby declare that the project report titled “COMPETITIVE ANALYSIS OF COKE” is my
work and has carried out under the guidance of Mr. Ram Singh at Hindustan Coca Cola
Beverage Private Limited, Noida, in partial fulfilment of the requirements of the award of the
Master in Business Administration (MBA).
All the findings and analysis in this project report are true, authentic and impartial. The data
gathered for the purpose of this report will not be made public and will be kept confidential,
except for academic purpose.
All care has been taken to keep this report error free and I sincerely regret for any unintended
discrepancies that might have crept into this report. I shall be highly obliged if errors (if any) be
brought to my attention.
Thank You.
Under this project I have studied about the Coca-Cola beverages company. For this I
have studied about the products in different segments. A comparative analysis is made of
different segments to know which is the most preferred brand by the consumer and why, in each
segment.
Under this I have research about the various products of company such as Maaza, Kinley, Fanta,
Limca and mineral water and asked various questions to consumers and their feedback about the
products of company. Collection of data has been done by the primary resources of data. After
the collection of data, the analysis was made and certain conclusions, Recommendations were
made to company.
Pepsi is often second to Coke in terms of sales, but outsells Coca-Cola in some localities. In
India, Coca-Cola ranks third behind the leader, Pepsi Cola, and local
drink Thums Up. However, the Coca-Cola Company purchased Thums Up in 1993. The products
of the company reach consumers and customers around the world through a vast distribution
network made up of local bottling companies. These bottlers are located around the world,
and most are independent businesses.
Using syrups,concentrates and beverage company, their global bottling system packages and mar
ketsproducts, then distributes them to more than 14 million retail outlets worldwide. The Coca-
Cola Company is committed to assisting its bottlers with the functions of an efficient bottling
operation and initiating quality systems to ensure the highest quality products for their
consumers.
TABLE OF CONTENTS
1. Introduction..............................................................................................................................1
2. Company Background..............................................................................................................2
3. Mission......................................................................................................................................6
4. Manufacturing Process.............................................................................................................7
5. Review of Literature.................................................................................................................9
6. Research Methodology...........................................................................................................15
8. Questionnaire Analysis...........................................................................................................25
9. Limitations..............................................................................................................................27
10. Bibliography...........................................................................................................................28
INTRODUCTION
With the development of world and human being, the taste, need and the attitude of human being
also changes. India is one of the common market in the world with a population of more than one
billion. Soft drink is a popular common product which is generally purchased by consumers for
quenching their thirst in summer and also to have cooling refreshment.
As far as the market of soft drinks is concerned, it is facing cut throat competition from the larger
number of soft drinks available in the market. Different
brands are available in every segment of flavours, but the attitudes of the consumers differ from
each other due to several factors. Every company tries to increase their market share and
their sales volume.
The companies try to attract the retailers to purchase more by providing some schemes or
incentives or cash/card discount. If more discount or any other incentive scheme is given to the
outlets, they make purchases to avail that offer. Therefore, it is essential for any company to have
an efficient and effective discounting system. Distribution is the spine of any FMCG company.
The main function of a retailer is to bridge the gap between the supplier and the customer. The
central focus of distribution is to increase the efficiency of time, place, and delivery utility. For
any FMCG product it is essential to have a good distribution network which should be better
than that of its competitors. Distribution is the key area for any FMCG business. For a
smooth distribution network, it is essential to keep the retailoutlets satisfied which in turn mainly
depend upon the profitability. Their profitability is checked by keeping a satisfied
profit margin for them. Apart from that, the company also provides discount on purchase of
different pack sizes to some HVO which in turn increases their profit margin. Sometimes the
company also provides incentives to the outlets which make
frequent and high purchases. To meet stiff and challenging competition from some of the other
brands, it is essential for the company to have an effective and efficient distribution network.
Therefore, the company tries to keep the outlets satisfied by offering discounts and some
other incentive schemes from time to time.
COMPANY BACKGROUND
Coca-Cola company is the global company and has completed 122 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. Coca-Cola India has made significant investment to
builds and continually improves its business in India including new production facilities,
wastewater treatment plants, and distribution system and marketing equipment.
Coca-cola business system directly employs approximately 6000 local people in India. In
fact, they indirectly create employment for more than 1, 25,000 people in related industries
through their vast procurement, supply and distribution systems. Virtually all the goods and
services required to be produced and marketed by coca- cola locally are made in India.
One wrong move can lead to dramatic changes in market share. The pricing is quite essential in
the business and any minor change can lead to huge changes in fortunes. Advertising here is
conventional, not in content but in terms of time frames. Everything boils down to advertising
and distribution strategies, its plan or lack of them for the non-cola segment, plan of attack in
rural markets, and its profitability and growth rates.
Soft drinks have fairly high elasticity of demand, which ensures that producers must strike a
fine balance between prices and sales volumes. Coke has decided to peg prices similar to other
products and tries to gain market share through vigorous promotional activities.
The infrastructural cost are high but you have to few work your other costs like credits and
discounts and bring them down, which is exactly what it is doing at the moments. Coke sells
mostly through fat dealers who sell the products of both companies and they undercut all the
time. There are plenty of innovations possible in distribution that can cut costs. For the same no
of accounts in the north you require more people, vehicles, and basically more expenditure.
Therefore it makes sense to personal sell or in other words, book orders and then sell this reduces
recurring costs and revenue expenditure comes down.
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 over 200 countries. From Inca Kola, a soft drink
found in North & South America and Samurai, energy drink available in Asia, to Vita, an
African juice drink and Bon Aqua, water found in 4 continents.
The Coca-Cola Company is the Global soft drink industry leader; with world headquarter in
Atlanta, Georgia. The company and its subsidiaries and beverage bases for Coca-Cola, the
company's flagship brand, and over 160 other company soft drink brands are manufactured and
sold by The Coca-Cola Company and its subsidiaries in nearly 200 countries around the world.
In fact, approximately 70% of company volume and 80% of company profit come from outside
the United States. The products of The Coca-Cola Company touch lives everywhere. Their core
brands have made an impact around the world, brands such as Fanta, Sprite and of course, Coca-
Cola is available and recognized in many countries.
After a 16 years 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-drink brands and bottling network. Coca-Cola India has made significant investments to
build and continually improve its business in India, including new production facilities,
wastewater treatment plants, and distribution systems and marketing equipment.
During the past decade, the Coca-Cola system has invested more than US $ 1 billion in India.
Coca-Cola is one of the country's top international investors. In 2003, Coca-Cola India pledged
to invest a further US $ 100 million in its operations. Coca-Cola business system directly
employs approximately 6000 local people in India. In India, we indirectly create employment for
more than 1,25,000 people in related industries through our vast procurement, supply and
distribution system. Virtually all the goods and services required to produce and market Coca-
Cola locally are made in India.
eKO system: The Coca-Cola Environmental Management System. The Coca-Cola Company has
78 manufacturing location across 24 states of the country. The Company has one single
environmental system, eKO system, implemented at all its operations in 202 countries across the
world. The eKO system is a tool that integrates.
Both the facets are aligned with international management system standards, ISO 14001 for
Environment Management and OSHAS 18001 for Safety Management. As on June 2008, 40
manufacturing units are certified to ISO 14001 and 8 units are certified to OSHAS 18001
standards. Company owned bottling operations at Varanasi received prestigious Golden Peacock
Award on Environment Management for 2005. The same award was also received by the
company operations at Dasna, Ameenpur, and Baddi for 2004, 2003 and 2002 respectively.
MISSION
Our mission is to refresh the world in mind, body & spirit and to inspire moment of optimism
through our brand and our action. Create consumer products, services & communications,
customer service and bottling system strategies, processes and tools in order to create
competitive advantage & deliver superior value to:
MANUFACTURING PROCESS
We at Coca-Cola are committed to manufacture our products with at most care and with quality
at top priority which makes it the world leader in the soft drink industry. Following is the
overview of the stringent process adopted in manufacturing:
WATER TREATMENT
We at HCCBPL Varanasi follow a batch treatment which includes coagulation & flocculation.
The method ensures disinfection and settling of all macro impurities and thereafter it pass to
sand, carbon filters to remove off odour ,off colour, off taste, and thus it is strictly bought in line
with the WHO requirements. We are also using state of art-micron filtration process where the
water is filtered up to the extent of 1 micron before it is fed to the process.
SYRUP PREPARATION
Coca-Cola uses highest quality of sugar which is controlled and ensured by its stringent pre-laid
standards, which serves as the strict criteria before acceptance of a lot. To ensure high quality
of syrup, it is subjected to hot treatment wherein it is given a contact time with Hilo and carbon
at elevated temperature. It is then passed through a filter press which removes the carbon
particles and other impurities before it declared fit for concentrate mixing. All this process
takes place under the strict vigil by the quality department which maintains the appropriate
records of the numerous tests carried out in the entire process which makes it a foolproof
process.
CONTAINER WASHING
Container has been identified as one of the major critical control point in the entire
manufacturing process & that’s the reason that company has
laid some of the very stringent and foolproof systems which ensures Coca-Cola product to be of
the highest quality and reflects our commitment towards delivering the best in class product to
the consumers.
FINAL INSPECTION
After date coding, there is once again a final inspection station where light inspectors all low or
high filled bottles and permit only the sale able product to pass through for casing to the caser
machine.
REVIEW OF LITRATURE
Coca-Cola (also known as Coke, a name that was trade marked by The Coca-Cola Company
after it was discovered many people called it by that particular name) is a very popular cola (a
carbonated soft drink) sold in stores, restaurants and vending machines in more than 200
countries. It is produced by the Coca-Cola Company (NYSE: KO), which is also often referred
to as simply Coca-Cola or Coke. Coke is one of the world’s most recognizable and widely sold
commercial brands; its major rival is Pepsi.
Coke was originally intended as a patent medicine when it was invented in the late 19th century,
Coca-Cola was bought out by business man As a Griggs Candler, whose marketing tactics led
Coke to its dominance of the world soft drink market throughout the 20th century.
Although faced with critiques of its health effects and various allegations of wrong doing by the
company, Coca-Cola has remained a popular soft drink to the present day 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 thanks to a belief that carbonated water was good for the health. The first sales
were made at Jacob's Pharmacy in Atlanta, Georgia, on May 8, 1886, and for the first eight
months only nine drinks were sold each day. Coca-Cola was sold in bottles for the first time on
March 12, 1894, and cans of Coke first appeared in1955. By 1888, three versions of Coca-Cola -
sold by three separate businesses were on the market.
On February 7, 2005, the Coca-Cola Company announced that in the second quarter of 2005 they
planned a launch of a Diet Coke product sweetened with the artificial sweetener sucralose
("Splenda"), the same sweetener currently used in Pepsi One. The company actually produces
concentrate for Coca-Cola, which is then sold to various Coca-Cola bottlers throughout the
world. 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
in cans and bottles to retail stores and vending machines. Such bottlers include Coca-Cola
Enterprises, which is the single largest Coca-Cola bottler in North America and Europe.
The Coca-Cola Company has on occasion introduced other cola drinks under the Coke brand
name. The most famous of these is Diet Coke, which has become a major diet cola but others
exist, such as Cherry Coke, Coke Zero, and Vanilla Coke. The Coca-Cola Company owns and
markets other soft drinks that do not carry the Coca-Cola branding, such as Sprite, Fanta, and
others.
The actual production and distribution of Coca-Cola follows a franchising model. The Coca-Cola
Company only produces a syrup concentrate, which it sells to various bottlers throughout the
world who hold Coca-Cola franchises for one or more geographical areas. The bottlers produce
the final drink by mixing the syrup with filtered water and sugar (or artificial sweeteners) and fill
it into cans and bottles, which the bottlers then sell and distribute to retail stores, vending
machines, restaurants and food service distributors. The bottlers are normally also responsible for
all advertisement and other sales initiatives within their areas.
The trademark "Coca-Cola" was registered with the U.S. Patent and Trademark Office in 1893,
followed by "Coke" in 1945. The unique contour bottle, familiar to consumers everywhere, was
granted registration as a trademark by the U.S. Patent and Trademark Office in 1977; an honour
awarded very few packages.
The most valuable assets happen to be the trademarks they possess. For Coca-Cola, the most
drink soft drink on earth is one of the world s best-known and most admired trademarks,
recognized by more than 90 percent of the world s population. Interestingly, the world that is
touched by the cherished drinks for every moment, the Coca-Cola trademarks happen not only to
be their most valuable assets on the entire earth. The business system of the Company in India
directly employs approximately 6,000 people, and indirectly creates employment for
many more in related industries through our vast procurement, supply and distribution system.
On the distributionfront, 10-tonne trucks, open-bay three-wheelers that can navigate the narrow
alleyways of Indian cities, ensure availability of our brands in every nook and corner of the
country. The term Soft drink originally applied to carbonated drinks made from concentrates,
although it now commonly refers to almost any cold drink that does not contain alcohol.
at the Coca-Cola Company. In 1981, Roberto C. Goizueta became chairman of The Board of
Directors and CEO of The Coca-Cola Company. Goizueta, who fled Castro's Cuba in1961,
completely overhauled the Company with a strategy he called "intelligent risk taking." Among
his bold moves was organizing the numerous U.S. bottling operations into a new public
company, Coca-Cola Enterprises Inc. He also led the introduction of diet Coke, the very first
extension of the Coca-Cola trademark; within two years, it had become the top low-calorie drink
in the world, second in success only to Coca-Cola. One of Goizueta's other initiatives, in 1985,
was the release of a new taste for Coca-Cola, the first change in formulation in 99 years.
In taste tests, people loved the new formula, commonly called “New Coke.” In the real world,
they had a deep emotional attachment to the original, and they begged and pleaded to get it back.
Critics called it the biggest marketing blunder ever. But the Company listened, and the original
formula was returned to the market as Coca-Cola classic, and the product began to increase its
lead over the competition - a lead that continues to this day.
By 1997, the Company already sold 1billion servings of its products every day, yet knew that
opportunity for growth was still around every corner.
more than 400 brands. Coca-Cola has fans from Boston to Budapest to Bahrain, drinking brands
such as Ambasa, Vegitabeta and Frescolita. In the remotest comers of the globe, you can still
find Coca-Cola. Coca-Cola is committed to local markets, paying attention to what people from
different cultures and backgrounds like to drink, and where and how they want to drink it.
With its bottling partners, the Company reaches out to the local communities
it serves, believing that Coca-Cola exists to benefit and refresh everyone it touches. From the
early beginnings when just nine drinks a day were served, Coca-Cola has grown to the world’s
most ubiquitous brand, with more than 1.4 billion beverage servings sold each day. When people
choose to reach for one of the Coca-Cola Company brands, the Company
wants that choice to be exciting and satisfying, every single time.
RESEARCH METHODOLOGY
PROBLEM STATEMENT
The company faces challenges in today’s market because of market changes, socio-economic
changes and globalization. An external analysis of the soft drink industry is performed to
understand the impact of environment. An internal analysis of Coca-Cola is performed to
understand the internal capabilities. To conduct a marketing research project for Coca-
Cola in order to increase their market shares in the beverage industry. The reason for this is that
the company faces a cut throat competition from other similar companies. This research can be
used by the company to find out the ways to stand this intense competition & maintain its market
share.
CONCEPTUAL MODEL
TYPE OF RESEARCH
I have used exploratory research design because there are no earlier studies in the Delhi which I
can refer to for information about the issue. Also very few studies have been conducted in other
parts of the country. The main purpose is to provide insights and understanding of the topic in
order to narrow the scope of the research topic and to transform ambiguous problems into well-
defined ones. Also the findings of this research will be tentative or preliminary & not conclusive.
Also the sample that I am going to use for the research is small in size. Costs involved in the
exploratory research are less & affordable. Since I have a limited budget for conducting research
so I will go for exploratory research design.
METHODOLOGY
Questionnaire method was adopted to collect the data. The questionnaire is structured with
combinations of various close and open ended questions. Also an in-depth interview was
conducted with branch managers of different banks to collect the information in order map the
market competition for the product.
SOURCES OF INFORMATION
Primary Source: The Primary source of collecting data for research is: Questionnaire filled by
the customer.
Secondary Sources: In this study the secondary data is collected from the following sources:
Company’s website, Reports of company.
Coca-Cola has strong brand recognition across the globe. The company has a leading brand
value and a strong brand portfolio. Inter-brand, a branding consultancy, ranks Coca-Cola the top
leading brands in their best global brands ranking in 2009 and 2010. In 2010, it valued Coca-
Cola at US$70,452 million in 2006.
Furthermore, Coca-Cola owns a large portfolio of product brands. Coca-Cola owns or licenses
more than 500 brands, with a portfolio of more than 3,500 beverages. Products include diet and
regular sparkling beverages, 100% fruit juices, fruit drinks, waters, sports and energy drinks, teas
and coffees, and milk-and soy based beverages. It owns and markets four of the world's top five
soft drink brands: Coca-Cola, Diet Coke, Sprite and Fanta.
Their consumers come from different parts of the world. According to the Annual Report of the
Coca-Cola, in 2010, worldwide consumption of each person was 89 bottles of 8 ounces finished
Coca-Cola beverage. There were 23 countries having the average number of consumption over
100 bottles, e.g. Australia, South Africa, Japan, Spain, Argentina, Canada. In Mexico, each
person drank 675 bottles in 2010.
4. NEGATIVE PUBLICITY
The company received negative publicity in that past decade. In 2003, it was revealed that
several midlevel employees had rigged a marketing test for Frozen Coke done three years earlier
at Burger King Restaurants in Virginia. The scandal led to the departure of the head of Coke's
fountain division, and the company issued an apology to Burger King and its franchisees and
offered to pay them US$21 million.
In the early 2004, the launch of the Dasani brand into the European market was cancelled when
bottles in Britain were found to contain elevated levels of bromate, a substance that can cause
cancer after long-term exposure. In India, during September 2006, Coca-Cola was accused by the
Centre for Science and Environment (CSE) of selling products containing pesticide residues.
Coca-Cola products sold in and around the Indian national capital region contained a hazardous
pesticide residue. These pesticides included chemicals which could cause cancers, damage the
nervous and reproductive systems and reduce bone mineral density.
Besides, Coca-Cola’s products are always labeled as “junk food”. People criticize Coca-Cola’s
beverage contain too much sugar and high is calories. It is labeled as one of the important factors
of causing serious obesity rate in developed countries. Such negative publicity could adversely
impact the company’s brand image and the demand for Coca-Cola products. This could also
have an adverse impact on the company’s growth prospects in the international markets.
6. LACK OF DIVERSIFICATION
Coca-Cola owns or licenses more than 500 brands. However, most of the brands are various
kinds of beverages. On the contrary, another soft drink leader, PepsiCo, has a better
diversification. Surprisingly, PepsiCo’s product mix (up to 2009) consists of 63% food, and 37%
beverages. Lack of diversification of business area will affect Coca-Cola’s sales seriously if the
demand for beverages decreases.
1. GLOBALIZATION
As there is a continuous growth rate of the use of the Internet and other electronic technologies,
global communication and logistic system is rapidly increasing. This allows firms to collaborate
with the domestic market and expand into world markets. According to a recent research
conducted by Just-Drinks, a global beverage industry research institution, between 2009 and
2014, the compound annual growth rate (CAGR) of global functional soft drink value sales will
increase from 5.07% (2001-2008) to 5.84% (2009-2014). The global soft drinks market is
estimated to reach a value of at least US$484 billion by 2014.
(Datamonitor, 2005). These trends lead Coca-Cola to differentiate its products in order to
increase sales in a stagnant market.
Porter suggests five forces that determine industry profitability: competitive rival sellers within
the industry, new entrants to the industry, substitute products, suppliers, and buyers. The set of
factors directly influences a firm and its competitive actions and competitive responses. The
weaker the forces, the greater the opportunity for superior performance by firms within the
industry.
Both Coca-Cola and PepsiCo have agreements with their existing bottlers who have rights in a
certain geographic area in perpetuity. These agreements prohibit bottlers from taking on new
competing brands for similar products. Also, both Coca-Cola and PepsiCo have backward
integration --- buying significant percent of bottling companies, it is very difficult for new
entrants to find bottlers to distribute their products.
In general, retailers enjoy significant margins of 15-20% on soft drinks for the shelf space they
offer. It is difficult for the new entrants to convince retailers to substitute their new products for
Coca-Cola and Pepsi at a lower margin. Even new entrants are willing to pay the same
percentage of margins, the price of their products may not be as competitive as Coca-Cola’s and
Pepsi’s.
Coke and Pepsi have a long history of heavy advertising. This makes them dominate with their
strong brand name and loyal customers all over the world. This makes it virtually impossible for
a new entrant to match this scale of share in this market. Therefore, the threat of new entrants is
relatively low to Coca-Cola.
In the markets, there is an increase of numbers and varieties of water and sports drinks that
appeal to different consumers’ tastes. Those are advertised as healthier drinks. In addition, coffee
and tea are competitive substitutes because they provide caffeine. Soft drinks can be substituted
with coffee. Blend coffees are also becoming more popular with the increasing number of coffee
stores, e.g. Starbucks, which offer many different flavours to appeal to different consumer
markets. Low switching costs for the consumer makes the threat of substitute products very
strong (Datamonitor, 2005).
Coca-Cola does not do any bottling itself. It is done by independent bottlers. One of the bottlers
is Coca-Cola Enterprises. This is the largest bottler in the world. It was once independent from
Coca-Cola which Coca-Cola held majority shares without controlling power. However, Coca-
Cola integrated Coca-Cola Enterprises earlier in 2010. It can have a better control distribution
and be quicker to market with products - both key as the company keeps up with people's
changing tastes. Besides, it expects to save at least $350 million per year, phased in over the next
four years. As a result, the bargaining power of suppliers is weakened.
Although Coca-Cola owns four of the top five soft drink brands (Coca-Cola, Diet Coke, Fanta,
and Sprite), PepsiCo dominated North America with sales of US$22billion, while Coca-Cola
only had about US$7billion, However, Coca-Cola has higher sales in the global market than
PepsiCo.
Brand name loyalty is another competitive pressure. The Brand Keys Customer Loyalty Leaders
Survey 2010 shows the brands with the greatest customer loyalty in all industries, Diet Pepsi
ranked 258th (the highest ranking of diet soft drink) and Pepsi Coke (the highest ranking of
regular coke) ranked 324th, while Diet Coke, the highest ranking of Coca-Cola’s products, is far
behind Pepsi’s soft drinks at the position 336th. From this, Pepsi has a more solid loyal customer
base which can make itself more competitive than Coca-Cola.
SECTION 4: KEY FUTURE CHALLENGES & STRATEGIC RECOMMENDATIONS
This section is to identify future key challenges that Coca-Cola will face in the future. These key
challenges may pose negative impact on the long-term profitability and market share of Coca-
Cola. Therefore, recommendations are provided to turn challenges into opportunities.
In the major market of Coca-Cola, US market, the volume sale of carbonated soft drink dropped
more than 8% in 5 successive years, from 2005 to 2009, with 0.2% in 2005, 0.6% in 2006, 2.3%
in 2007, 3% in 2008 and 2.1% in 2009. It is likely that the volume will keep declining.
substitute, but a 2004 study discouraged obese children to take diet soft drinks since they have no
nutritive value. For elder consumers who concern about diabetes, they will switch from high-
calorie soft drink to water or low-calorie juice. For young working class, they may prefer
organics and more “natural” beverage to lower the consumption of negative chemicals.
Nowadays, environmental change is rapid. Coca-Cola should be sensitive of any new trend and
position itself as a unique brand in order to keep its competitive advantage
QUESTIONNAIRE ANALYSIS
1. Which brand of cold drinks are you aware of?
Awareness
2%
Coca Cola
47% 51% Pepsi
RC Cola
Preference
2%
Coca Cola
28%
Mazza
57%
Dew
13%
Thums Up
Majority of the respondents said that they prefer Coca Cola over other drinks.
Consumption
8% 15%
Once a Day
20% 4-6 Times a Week
2-3 Times a Week
57%
Once a Week
Most of the respondents said that they drink cold drink 2-3 times a week.
Diet Conscious
11%
Yes
No
89%
The pie chart shows that most of the respondents are diet conscious.
LIMITATIONS
Considering the fact that nothing is perfect in the world. Every individual bound to make
mistake at some points.
The study was restricted to Varanasi region only, so it was difficult to generate
interpretations out of the findings which would be applicable all over the nation.
Limited knowledge of the researcher in the field of research may lead to interpretations
errors.
The respondents may be influenced by other factors.
Information collected took approx 60 days.
A busy schedule of dealers/retailers also make the collation of information very difficult
one.
The projection is purely based on verbal meetings and may be influenced by unprecedented
factors.
Non cooperative behavior of respondents was a big problem in the survey.
While studying the report the above fact should be taken into consideration.
The minor concept & techniques at the marketing management are used significantly in the
project concern.
The research was based on primary collection of data through voice interview so there may
be chances of human errors and biasness.
The research was dependent on the information provided.
As associated with every project, time and money were the major limitations with the
project.
BIBLIOGRAPHY
WEBSITES
www.Coca-Colaindia.com
www.google.com
www.indiaresource.org
BOOKS
MARKETING RESEARCH
Gilbert A. Churchill, Dawn Iacobucci and D.IsraelPublished by Cengage Learning.
NEWSPAPERS
The Times of India
The Economics Times
Magazines
SAMPLE QUESTIONNAIRE
(Please tick (√) against your option)
4. If you don’t find coca cola in the shop, which of the following would best describe what you
would do?
a. I will buy some other brand of Coca cola
b. I will go to some other shop looking for Coca cola
5. If cold drinks were stocked in ‘paan’ shops, would it affect your buying behavior?
a. It would not make any difference to me.
b. I would welcome it – as it will be more easily available.
c. I would stop buying it
7. Don’t you think drinking cold drink will affect your health?
a. It will not have a negative effect
b. It will have negative effect
c. It will be harmful
10. What do you think of, when you think of ‘thanda ho jaye’ or when you hear ‘jo chahe ho
jaye Coca Cola enjoy’?