Monday, June 3, 2019
Coca Cola Company Operations Pakistan Marketing Essay
coca plant locoweed fraternity Operations Pakistan Marketing EssayINRTODUCTIONThe coca plant- dumbbell telephoner started their trading operations in Pakistan in 1953. coca plant- sens, faggot and Fanta ar the available brands in Pakistan. The System of Coca- locoweed in Pakistan operates through eight storers, four of that argon majority-owned by Coca-Cola Beverages Pakistan Limited (CCBPL). The CCBPL plants ar awailable in Karachi, Gujranwala, Multan, Hyderabad, Lahore, Faisalabad, Rahimyar Khan and Sialkot. The another(prenominal) two plants, dissipately owned, are in Peshawar Rawalpindi. The Coca-Cola serves 70,000 customers/ sell outlets in Pakistan. 1,800 people feat system of Coca Cola in Pakistan. With in the last two years, both over $130 million (U.S.) were invested by the Pakistan Coca Cola system.More than 56 years of refreshment period in PakistanCoca-Cola was introduced in Pakistan 1953Fanta was introduced in Pakistan 1965Sprite was introduced 1972Diet reverse Fanta Lemon was introduced 200Since 1897Coca pot international productions have been sold in Mexico. Now Coco green goddess controls 60% of the Mexi feces soda market, further Pepsi with 30%. Further Mexican president Foxs before becoming a politician he was working as president of the Coca-Cola Corporation of Latin America Mexico.After his victory, Coca-Cola started bottling water by the wealthiest aquifer in the Chiapan town of San Cristbal de las Casas, an ecological reserve controlled by a conservation pigeonholing Pronatura that receives funds from the Coca-Cola Mexico. In 2004, the Coke plant at San Cristbal de las Casas used 107,332,391 water cubic decimetres about as overmuch as 200,000 homes use.In a country where over 12 million general public are without access to drinkable water, Mexican chemical groups have started on a boycott against Coca-Cola basic solelyy motivated by Cokes increasing authority of Mexican water.So the object of this report is to cri tically evaluate the strategy and performance of any ONE US, European or Asian keep company over the last five years in any two emerging markets in different regions of the world. According to that the report describes Coca Cola Companies performance strategies in US Asian reigns by using Pakistan Mexico emerging markets.FINANCIAL REPORTIt is owing to the strong finances, the company is still existing the ups pour down of the business. The financial report of Coke the year 2000 2001along with the percentage change is as below.2002 basic diluted net income per pct includes a non- property gain of $.02 per share later on revenue enhancementes that were recognized on the issuance of stock by Coca-Cola Enterprises Inc., one of the equity investors of the company.Charges are partly balance by a gain of $.05 for individually share after income taxes related to the merger of Coca-Cola Beverages plc Hellenic Bottling Company S.A. $.04 per share after income taxes linked to bene fits from a tax rate reduction in Germany from positive tax planning strategies.DIVIDEND AND CASH INVESTMENT PLANThe Dividend Cash Investment Plan authorizes shareowners of record to invest again dividends from Company shares of The Coca-Cola Company. The Plan offers a systematic, economical at rest method of acquiring extra shares of our common stock. All the shareowners of record are suitable to participate. Shareowners are also may barter for stock through willful cash investments of up to $125,000 for year. In year-end, 76 % of the Companys shareowners of record were participants in the Plan. In 2002, shareowners did invest $36 million in dividends $31 million in funds in the Plan.COMPANY STATISTICSThis companys statistics are inspiring. Since it is operating all over the repoints in the world because of that the payoff of employees the bottling equipments is uppermost among the other companies of bottling. There is a constant climbing in e precise aspect when mach th e statistics of 2001 the statistics of 2002. This is because Coca Cola Company is increasing its volume day by day. The spreading out of this company that shows the victory of Coca Cola brands, results in the percentage vary in the statistics of the two years. The statistics is as below.(EBITDA) -Earnings before interest, taxes, depreciation, amortization,other non-operating itemsDid convert to a standard unit of assess define as 24 eight-ounce servings or else 192 ounces for each equal case sold by Coca-Cola Enterprises.PRODUCTSThe Coca Cola Company produces carbonated drinks as well as other drinks while launching companys product, the merchandise department considers the culture the sub cultures of the country.Coca Colas major brandsCokeDiet blastSpriteCoke perfectFantahttp//htmlimg4.scribdassets.com/7lva67i2vf9rsu8/images/18-60ed37e055/000.jpgSTRATEGIC PLANNINGIn 2002, the coca the skinny company did have a great success, as the strategy did work that resulted in making Company the worlds leading company. In 2001, company did accomplish the top of its strategy asglobal volume enlarged by 4 %with strong international exploitation of 5% clear signs that our North American business is growing steadily expectable.Earnings per share did grow by 82 %, as we carried on our load toCreate volume growth aggressively.Return on common equity grew from 23 %in 2000 to 38 %2001Return on capital increased from 16 %in 2000 to 27 %in 2001.The free cash flow has bean generated by the company. Thats from $2.8 to $3.1 billion.In 2000,a clear indication of its underlying financial power. The strategy for the potency of the coca cola company is more straightforward. The marketing strategy for the adjacent year is in this manner,The speed up carbonated soft-drink growth, led by Coca-Cola Company.selectively widen the group of beverage brands to drive profitable maturement.Increase system profitability ability jointly with the companies bottling associates.Treat co nsumers with creativity steadiness to generate development across all Channels.Direct investments to the highest potential regions across markets.Cost-effectiveness Drive efficiency all over the place.http//htmlimg2.scribdassets.com/7lva67i2vf9rsu8/images/24-7d0ce9e592/000.jpghttp//htmlimg2.scribdassets.com/7lva67i2vf9rsu8/images/24-7d0ce9e592/000.jpgCOCA COLA MEXICOWithin the soft drinks Sprite Fanta gravel positively along with the come across brand Coca Cola Diet Coke. In tombstone markets, the company has formed new packaging sizes to satisfy customer demands.More and more, Mexican domestic families have lunched together at home. The lot of Mexican household drinks 2-1/2or more of soft drinks during that break, while a two liter bottle was the biggest available package. Therefore the company initiated a convenient 2-1/2 liter bottle to choose regions, involving to the sales agreement of nearly 1.5 billion unit cases of Coke in Mexico. The bigger bottle will complete its island wide rollout in 2002.Since 1897Coca cola international productions have been sold in Mexico. Now Coco cola controls 60% of the Mexican soda market, further Pepsi with 30%. Further Mexican president Foxs before becoming a politician he was working as president of the Coca-Cola Corporation of Latin America Mexico.After his victory, Coca-Cola started bottling water by the wealthiest aquifer in the Chiapan town of San Cristbal de las Casas, an ecological reserve controlled by a conservation group Pronatura that receives money from the Coca-Cola Mexico. In 2004, the Coke plant at San Cristbal de las Casas used 107,332,391 water liters about as much as 200,000 homes use.In a country where over 12 million general public are without access to drinkable water, Mexican groups have started on a boycott against Coca-Cola basically motivated by Cokes increasing authority of Mexican water.COCA COLA PAKISTANThe Coca-Cola Company started their operations in Pakistan in 1953. Coca-Cola, Spr ite and Fanta are the available brands in Pakistan. The System of Coca-Cola in Pakistan operates through eight bottlers, four of that are majority-owned by Coca-Cola Beverages Pakistan Limited (CCBPL). The CCBPL plants are awailable in Karachi, Gujranwala, Multan, Hyderabad, Lahore, Faisalabad, Rahimyar Khan and Sialkot. The other two plants, separately owned, are in Peshawar Rawalpindi. The Coca-Cola serves 70,000 customers/retail outlets in Pakistan. 1,800 people work system of Coca Cola in Pakistan. With in the last two years, over $130 million (U.S.) were invested by the Pakistan Coca Cola system.More than 56 years of refreshment period in PakistanCoca-Cola was introduced in Pakistan 1953Fanta was introduced in Pakistan 1965Sprite was introduced 1972Diet Coke Fanta Lemon was introduced 200 call OF COKEThe fundamental proposition of the business is plain, firm successionless. When we bring refreshment, joy value fun to the stakeholders, then we successfully nurture protect our brands, mainly Coca-Cola. That is the key to fulfill ultimate trade to provide consistently bring inive returns to the holder of the business.TARGET tradeCokes commercials mainly focused on young generations, for the reason that they insufficiency to represent Coke with the youth energy further they think about the matured people they take then as a co-target market.MAJOR SEGMENTS study segments are mainly those who take Coke fooling those areas where the demand is higher then the other areas. A lot of people who take Coke daily those who take weekly those who take rarely are al rooms there as well. So, the Pakistan Coca Cola companys basic segments are those who have this drink often.FACTORS EFFECTING salesThere are lots of factors that affect the sale of Coca Cola. Three major factors are being discussed that effect coke.Per capita incomeCom front-runneritorsWeatherPer Capita IncomeThass the major factor that influences the sale of this carbonated soft drink. For the r eason that each every passing year budgets are becoming more strict tight in order to purchase things. Consequently the disposable revenues of the people are getting lower. They pay out heavily on rents, utilities, command basic necessities thereafter when they erne extra money they think about this carbonated soft drink .thus the get down of per capita income does effect badly in exchange production of this carbonated soft drink. to go through with this difficulty there is need to increase the level of per capita Income of Pakistan therefore it is lesser than the other the countries.CompetitorsCoca Colas main competitor is PEPSI % there is no curious to say this because every body beds that all the other cold drinks and water, tea, coffee, are the players.WeatherThis is immature market so the Coca Colas usage in winters is 40% in summers is 60%.MAJOR CUSTOMERS NEEDMost of the consumers dont care about what they are going to take. They dont care before drinking that whet her it is Coca Cola or Pepsi. They dont actually feel more differentiation among these two brands according to the tastes. Buyers usually have what they get. They believe on WHAT COLD THEY SOLDCustomers availability in brands is normally happens such asPush availabilityPull consumers demand.According to this reason Coca Cola have supplied their coolers freezers in to the market. Further have utmost number of freezers coolers in the market. They supply these infrastructures free of charge just to supply child coke to the customer that they want to be bought.The mechanics salesman often go all the shops to check infrastructure .If there is any problem change or repair it.http//htmlimg4.scribdassets.com/7lva67i2vf9rsu8/images/27-52c1d1da9f/000.jpgMAJOR COMPETITORSIf consumers want to have soft drink they compete brands with each other. For instance compete Coke with Pepsi Sprite with 7up team.The Coca Cola Company thinks in a different way, they believe that new competitor AMRATC ola, RC Cola, all the other juices, they take even water tea as their competitors.STRATEGIES OF QUALITYAfter macro micro analysis Brand Coca Cola is mainly subprogram1. Improve rivalry moments2. When people do watch cricket3. throughout commercialization4. Enjoyable timeBecause of these strategies there can be better accord better connection with the community. These are the main consumption.THREATS FROM COMPETITORSAll of the Threats are well planned. The key threat is charge. When the exact price whether comes down or goes higher thats effect the consumption of carbonated drink. For the reason that when the price goes higher consumers go for the substitute of coke such as Pepsi. when price goes down they think that there should be some thing wrong in that. In short that all depends on customers awareness.TARGETS THAT WOULD LIKE TO ATTAINSurvival of every organization is depending on profit. consequently Coke is also searching for amaximum of profit margin. We could identif y three major ways to earn profits.Over night profitgold rush profitEthical and un-ethical waysOver Night makesThis is for the best brand for the year. This can be got increasing sales volumeWindfall ProfitThey are the extras earnings. When the consumption is on boom. So, there are different types of profits.Ethical and Unethical WaysProfits can earn ethically or unethically. Company believes on this quote Every thing is fare in love and war.Further they can earn profit through diverse approaches.EXPANDING TARGET MARKETIn last 2 years Coca Cola came back very aggressively.Consumer has got choice Attractive brand name Brand differentiatingConsumer Has Got ChoiceConsumers know the name of other big brand, even though Coca Cola is the 2nd best name but it can get the best place after some period.Attractive Brand NameNow buyers know the Name of Coca Cola, since Coke is the name thats thepopulist after the word ok. and so consumers can better differentiate brands with others.Brand Diff erentiationNow different brands are available in the market. Thus, consumers can differentiate between brands. The best players coke and Pepsi also have some different kinds of brand names either.Coca Colas BrandCoca Cola think about the togetherness, being people together and friends are being together. Coca Cola hardly believes that Pakistani temperament is usPepsis BrandThey use the temperament of me. In contrast to Coke they do believe on individual struggle.OPPORTUNITIES THREATS FOR PRICEOpportunitiesThere are some taxes company must pay such as20% excise duty03% In making Budge15% sales tax27% goes to governmentNot only for taxes but for electricity chargers, distribution chargers, after remunerative all of those chargers the price of a coke can increase up consumer have to pay these as taxes.These are the opportunities through which we can increase the price and can get profits.The Coca Cola Company gets those as their opportunities to increase the margin of rates as w ell as for increases their profitsThreatsThere are some threats in increasing prices of products. If for instance, Coke increases for 1 rupee. Then people definitely will not go for Coca Cola they transfer to Pepsi. So these are the threats when coke increases its prices of products.STRATEGIES OF GETTING GOALSHIGH PROFITSThere are many ways That Coca Cola can increase its profits. Some key ways are as follows. increasing volumecustomers interest level join with energetic festivalsThe way of increasing volume of consumersCoca Cola can increase the consumer volume by expanding the Coke industriousness. By using advertisements, attract people towards this product by offer very attractive interesting things.The way of increasing the interest level of consumersIncrease the interest level of customers by using different flavors.For instance Coke is increasing the flavors in Fanta, through offering different flavors Coke can enhance the Level of customers these profits can be increased. The way of joining energetic festivalsCoca cola is most of the time taking part in the festival such as Basant since during last 3 years. Coke erne high income consumption of Coke is increased on these occasions.In 2002 consumers were waiting that what interesting programCoke is going to present.MARKETING STRATEGYCoca Colas domestic marketing strategy enables Coke to listen all people around the world asking for soft drinks that span the entire occasions spectrum of tastes. What consumers want in a beverage is a reflection of who they are, how they work play, where they exist, how they relax recharge. We are determined not only to make great drinks, but also to contribute to societies over the world through Cokes commitment to, health, wellness, education diversity.Coke does its best to be a good neighbor, again and again shaping the business decisions to develop the quality of life in the communities in that do business. Thats a extra object to have thousands of friends over the world, they never forget that.http//htmlimg1.scribdassets.com/7lva67i2vf9rsu8/images/32-d224ae62b1/000.jpgMARKET POSITIONINGProduct RangeThe Pakistan total range of Coca Cola productsCoke. Diet Coke.Fanta. Sprite.And also company presents its products in different bottle sizes these includesPET 1.5 (1.5 litter plastic bottle)SSRB (standers size returnable bottle)NRB (no return bottle) or disposable bottleCANS (tin pack 330 ml)LRB (litter returnable bottle)PackingThere are different kinds of packing available. Such as,6 bottle pack for 1.5 pets24 cans in one pack.12 bottles in a pack for disposable bottle24 regular bottle shellPRICE STRATEGYTrade PromotionCoca Cola Company presents incentives to middle men or vendors in way that they gives them free models free empty bottles, because of that retailers middle man motivate to push their product in the sell thats the reason coca cola seen more in the market and they have a good sale in the market because according to the intelle ctual that product seen more in the market that sells more.Seen as soldThe company makes agreements with a shop keepers stores to special sale in those stores. These stores are mainly called as KEY accounts in local words. the Coca Cola Company also invest large budget on these stores gives them free samples some time cash incentives free bottles.Various Price in Different Seasons Some times Coca Cola Company changes their productions prices according to that season. The best season for Pakistan beverage industry is summer. But for winter the scenario in totally posit. Reduce prices to maintain the sales profit. But in general they decrease the prices of their1 litter glass bottle pet bottles.PROMOTION STRATEGIESGetting shelvesThey takes or do purchase shelves in big departmental stores display their products in that shelves in that style that show product very clear very attractive for the customers.Eye Catching PositionTheir salesman positions their freezers their produc ts in eye- catching places. Usually the company keeps freezers near the entrance.Sale PromotionEven company does sponsorships with various college schools cafes sponsors their sports many extra curriculum activities for catching market share.Under the crown stratagem (UTC Scheme)Coca cola frequent do this type of scheme they offer very attractive prizes in it. Such as once they offer bicycles, caps, cash prizes, tv sets etc.DISTRIBUTION CHANNELSThere are two types of selling in Coca Cola CompanyDirect sellingIndirect sellingDirect changeIn direct selling they supply using their own transports. They have approximately 450 vehicles to distribute their bottles. Company earn more profit when they use this type of selling .Indirect SellingCompany has its whole agencies sellers to cover all the area. Even its so difficult to available the products to customers by their own distribution so they use the whole sellers and doer to distribute products to their consumers.FACILITATING TH E PRODUCT BYINFRASTRUCTUREFor providing their productions in fine manner company provide infrastructureSuch asFree empty bottles and shells for bottlesFreezers vaunting racksVizi coolerADVERTISEMENTThey use many mediasBillboards and holdingsPos materialTv commercialPrint mediaPrint MediaThey frequently use print media for their advertising. There is a separate department in Coca Cola Company for print media.POS MaterialPoint of sale material that includes posters stickers display in the stores in different places.TV CommercialsAs everyone knows that TV is a very popular entertaining medium. So Coke Company does regular TV commercials on different channels.Billboards and HoldingsCoca cola is more aware about their billboards holdings. They have lots of sites in different regions for its billboards.EXPECTATIONS FOR THE COMING YEAREvery thing happens because of the consumers behavior. Company identified if they want to attract consumers they must throw the money away. positive felli ng with the brand, that they used to have Coca Cola wants to advertise its goods heavily in the next coming year. itll take the 10% of their income. when we do take it as an international level it is $ I billion.Next year is the challenging year for the Coca Cola industry. They need to take a lot of decisions that how to enhance the production where they have to spend money.For success in coming year Coca cola need to have some special things such as1. Loyal customers are important for success of the company.2. Workers need to be the brand focus not the promotion focus.3. They need to understand how much for the brand purposes.4. They must know that how much to do the promotion work for brand.HOW COKE DECIDES THE ANNUAL BUDGETCoke decides its annual budget by the, gross sales volumeTarget volume positivenessSales VolumeCoke decides its annual budget through the volume of sales. They first think on whats the limit of its sales? if the condition is fine of its sales then company c ertainly increase their production sales If not they think on their older strategies.ProfitabilityThe next thing that they decide budget is the profit. If Coke gettingprofits with the higher border, then Coke definitely wants to increase their profits in the nextyears. Every association runs on the basis of receiving higher profits. No the associationwants to face failure in their business. To erne profit is the first main lodge in of Coke.Target VolumeEach every industry has some targets to run their business that they want to achieve in an exact time period. If industry reaches those goals in that period then for the next year it increases the amount of the target.So Coke go after the same thing it has also some objectives targets to complete in the given time schedule. When they succeed to reach that aim then they enhance their target volume in the future.SALES PROMOTION ACTIVITIESCoca-Cola ConcertsCoca-Cola CricketCoca-Cola Wonder of the ground PromotionCoca-Cola Food MelaC oca-Cola Basant FestivalCoca Cola TV MazzaCoca-Cola GO-REDCoca-Cola Party in a ParkCoca-Cola Pet PromotionCoca-Cola Ramzan CampaignCoca-Cola NokiaCoca-Cola Mc DonaldsFanta Sprite LaunchedDiet CokeCoca-Cola Shopping FestivalCONCLUSIONCoca Cola without any doubt come the heart beat of Mexicans and Pakistanis.The strategy performance of Coca Cola is working for them the production is gaining attractive with youth daily in Mexico Pakistan. After completing the report, concluded some sort of recommendation for the Coca Cola Company, as follows.Coca Cola Company should try to highlighting more on supplying their infrastructure in the market to treat their consumers.According to a survey, the organization that has dun the survey identified especially Pakistani people like little bit sweeter Coca Cola drink. Coca Cola marketing team should try to enhance the availability of Coca Cola products in ruralarias.Coca Cola should also focus the middle age old citizens. straight off young pop ulation has a trend to have coke 2 regular bottles at same time, for providing them more satisfaction, company must sagest liter bottle to the market.There after by concentrating on that, Coca Cola Company can achieve their potential expected vision inside of the immerging markets.
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