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Till 1990 was a prestige product in us Booming bus with 38 billions gallons of annual sales in 2003 & 10%

growth between1998 and 2003 US the world largest markets ( from 1998-2006 increased by 9%). Other in the top rank are western Europe and Mexico. In 2003 2004 Asia and South America became the emerging markets In 2004 became the second largest market in beverages in US. Controlled by a few food and beverage companies. Three giant competitors are Coca cola, PepsiCo & Nestle.

Increased

focus on fitness and health Safety concerns of municipal drinking water Convenience , purity and portability of bottled water Improved consumer awareness of need for proper hydration Chemical taste of tap water including chlorine and fluoride that was great problem to US people.

Strength

The life style of people is changing Demand increasing day by day in the bottle water Convenience, purity and profitability can be the

strength of bottle water Better distribution for integrated soft drink makers
Weakness

The lack of awareness and the poverty the lack of

avail in the remote areas also the strong reason

Opportunities

People are becoming more health conscious Degradation of the quality of water day by day Increasing epidemic and disease rate
Threats

Low entry barriers Economic uncertainty

Small regional sellers making available the

product at a lower cost

Profitability

markets that yield high returns will

draw firms. A few small competitors are capable of maintain their consumers Just a competitor who is able to offer big quantities of bottled water at a low price is going to enter this industry Vast beverage distributing systems of Coke and Pepsi enables them to have intimate relationships with retail channels and would be able to defend their positions effectively.

The

suppliers to the bottled water industry include municipal water systems ,spring operators, bottling equipment manufacturers, deionization, reverse osmosis, and filtration equipment manufacturers Manufacturers of PET & HDPE bottles, large bottlers able to purchase bottles as little as 5 cents per bottle Due to large number of existing suppliers bargaining power of suppliers is low

The price sensitivity of buyers around the globe is big concerns for the leading sellers of the industry Principle Channels: Convenience store, food stores, mass merchandisers, vending machine Consumers will not stop buying bottled water just because a high price they may only change from one brand to another or in the best scenario firm one flavor to another, because bottled water today is considered as a basic product. So barraging power of buyers is medium.

There

are a few global competitors in the industry such as Nestle Waters, Group DANONE, Coco cola, PepsiCo.

Compete aggressively on price within some of the company in the bottled water industry. Progressively focusing on health and fitness of consumers making differentiation in developing products within the companies of the bottled water industry. Bottled waters sellers also needed to have efficient distribution includes high fixed maximize the number of delivers and on-time per drivers since distribution includes high fixed costs. The competitors in the industry have not only bottled water but enhanced waters or functional water available in every single market.

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