coca cola

DEDICATED TO OUR BEST TEACHER MR.

ANWAR ULLAH SHEIKH:

HE TEACHES US LIKE A SHINING STAR, AND REPORT.

WITH OUT HIS GUIDENCE WE WOULD NOT BE IN A

POSITION HELPS US IN ALL THE GROUNDS OF WORK

TO COMPLETE THIS TO COMPLETE THIS REPORT.

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ACKNOWLEDGEMENT

All praises and thanks to Almighty Allah. The lord and creator of

this universe by whose power and glory all good things are

accomplished. He is also the most merciful, who bestowed on us the

potential, ability and an opportunity to work on this report.

We owe our profoundest thanks to our teacher Mr. Anwar ullah

sheikh we feel sohly blessed to have him as our teacher, whose

strength and wisdom we learn up to and no doubt, experience of work

with him is far better than we believed possible. We appreciate his way

of teaching, explaining and guiding the students. He really has an art

to get maximum for students without making them feel what he got

from them. He is really a source of inspiration for us and for every

student of our class.

Special thanks for Mr. Noor Ali (marketing manager of shahi

beverages), and Mr. (sarfraz Ahmed) for their cooperation & guidance

in completing this report.

Last but not the least, ordinary words of gratitude do not

encompass the true love and guidance extended to our loving and

caring parents. Their constant interest, prayers and encouragement

have been a very strong support for us and have enabled us to finish

our course work.

Imtiaz Badshah. (MPA 1)

Khalid Anwar Khan. (MPA 1)

Aftab. (MPA 1)

Sohail-Ul-Haq. (MPA 1)

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TABLE OF CONTENTS.

CHAPTER NO. 1

INTRODUCTION.

1.1 Introduction of soft drink.1.2 Introduction of coca cola.1.3 Coca Cola Company.1.4 History of coca cola.1.5 Forward-looking statement.1.6 Coca cola in Asia.1.7 Coca cola beverages in Pakistan.

CHAPTER NO. 2

MARKETING MIX.

2.1 Introduction.2.2 Product.2.2 (a) product mix.2.2 (b) product line.2.2 (c) product mix strategies of coca cola.2.2 (d) positioning strategy of product.2.2 (e) product mix expansion strategy.2.2 (f) product line expansion strategy.2.2 (g) quality of a product.2.3 Market segmentation.2.4 Branding and its importance.2.5 Coca cola product mix (international).2.6 Price and pricing strategy.2.6 (a) pricing objective.2.7 distribution channel (placing).2.8 Promotion.2.8 (a) advertising.2.8 (b) publicity.2.9 personal selling.2.9 (a) sales promotion.

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CHAPTER NO. 3

UNCONTROLLABLE FACTOR.

3.1 Competitor of coca cola.3.2 Social and cultural sources.3.3 Climatic factor.3.4 Political factor.

CHAPTER NO. 4

TARGET MARKET.

4.1 What is target market?4.2 Coca cola target market.4.3 Fanta target market.4.4 Sprite target market.

CHAPTER NO. 5

S W O T ANALYSIS.

5.1 strength.5.2 Weakness.5.3 Objectives.5.4 Threats

RECOMMENDATION.

CONCLUSION.

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DEDICATED TO OUR BEST TEACHER MR.

ANWAR ULLAH SHEIKH:

HE TEACHES US LIKE A SHINING STAR, AND HELPS

US IN ALL THE GROUNDS OF WORK TO COMPLETE

THIS REPORT. WITH OUT HIS GUIDENCE WE WOULD

NOT BE IN A POSITION TO COMPLETE THIS REPORT.

ACKNOWLEDGEMENT

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All praises and thanks to Almighty Allah. The lord and creator of

this universe by whose power and glory all good things are

accomplished. He is also the most merciful, who bestowed on us the

potential, ability and an opportunity to work on this report.

We owe our profoundest thanks to our teacher Mr. Anwar ullah

sheikh we feel sohly blessed to have him as our teacher, whose

strength and wisdom we learn up to and no doubt, experience of work

with him is far better than we believed possible. We appreciate his way

of teaching, explaining and guiding the students. He really has an art

to get maximum for students without making them feel what he got

from them. He is really a source of inspiration for us and for every

student of our class.

Special thanks for Mr. Noor Ali (marketing manager of shahi

beverages), and Mr. (sarfraz Ahmed) for their cooperation & guidance

in completing this report.

Last but not the least, ordinary words of gratitude do not

encompass the true love and guidance extended to our loving and

caring parents. Their constant interest, prayers and encouragement

have been a very strong support for us and have enabled us to finish

our course work.

Imtiaz Badshah. (MPA 1)

Khalid Anwar Khan. (MPA 1)

Aftab. (MPA 1)

Sohail-Ul-Haq. (MPA 1)

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TABLE OF CONTENTS.

CHAPTER NO. 1

INTRODUCTION.

1.1 Introduction of soft drink.1.2 Introduction of coca cola.1.3 Coca Cola Company.1.4 History of coca cola.1.5 Forward-looking statement.1.6 Coca cola in Asia.1.7 Coca cola beverages in Pakistan.

CHAPTER NO. 2

MARKETING MIX.

2.1 Introduction.2.2 Product.2.2 (a) product mix.2.2 (b) product line.2.2 (c) product mix strategies of coca cola.2.2 (d) positioning strategy of product.2.2 (e) product mix expansion strategy.2.2 (f) product line expansion strategy.2.2 (g) quality of a product.2.3 Market segmentation.2.4 Branding and its importance.2.5 Coca cola product mix (international).2.6 Price and pricing strategy.2.6 (a) pricing objective.2.7 distribution channel (placing).2.8 Promotion.2.8 (a) advertising.2.8 (b) publicity.2.9 personal selling.2.9 (a) sales promotion.

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CHAPTER NO. 3

UNCONTROLLABLE FACTOR.

3.1 Competitor of coca cola.3.2 Social and cultural sources.3.3 Climatic factor.3.4 Political factor.

CHAPTER NO. 4

TARGET MARKET.

4.1 What is target market?4.2 Coca cola target market.4.3 Fanta target market.4.4 Sprite target market.

CHAPTER NO. 5

S W O T ANALYSIS.

5.1 strength.5.2 Weakness.5.3 Objectives.5.4 Threats

RECOMMENDATION.

CONCLUSION.

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DEPARTMET OF ADMINISTRATIVE SCIENCE, QUAID-I-AZAM UNIVERSITY, ISLAMABAD.

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Coca-cola slogans.

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Slogans have highlighted the advertising campaigns for Coca-Cola since 1886. From the simplistic, 1910's "It satisfies," to the complex, 1904's "Coca-Cola is a delightful, palatable, healthful beverage," these slogans show both the changing times and the way people viewed Coca-Cola as not only a beverage, but even as a common remedy for everyday headaches and exhaustion! Check them out below...

1886 - "Drink Coca-Cola"1900 - "For headache and exhaustion, drink Coca-Cola" 1904 - "Coca-Cola is a delightful, palatable, healthful beverage" 1905 - "Coca-Cola revives and sustains"1906 - "The drink of quality"1907 - "Cooling... refreshing... delicious" 1908 - "The satisfactory beverage" 1909 - "Drink delicious Coca-Cola" 1910 - "It satisfies" 1911 - "It's time to drink Coca-Cola"1912 - "Demand the genuine - refuse substitutes"1913 - "It will satisfy you" 1914 - "Demand the genuine by full name"1915 - "The standard beverage" 1916 - "It's fun to be thirsty when you can get a Coca-Cola" 1917 - "The taste is the test of the Coca-Cola quality" 1919 - "Quality tells the difference" 1920 - "The hit that saves the day" 1922 - "Thirst knows no season" 1923 - "Refresh yourself" 1924 - "Pause and refresh yourself"

1925 - "The sociable drink" 1926 - "Stop at the red sign" 1927 - "Around the corner from anywhere"1928 - "A pure drink of natural flavors" 1929 - "The pause that refreshes" 1930 - "Meet me at the soda fountain" 1932 - "Ice-cold sunshine" 1933 - "Don't wear a tired, thirsty face"1934 - "When it's hard to get started, Start with a Coca-Cola" 1935 - "The pause that brings friends together" 1936 - "What refreshment ought to be" 1937 - "America's favorite moment" 1938 - "At the red cooler" 1939 - "Thirst stops here" 1940 - "Try it just once and you will know why"1941 - "Completely refreshing" 1942 - "The only thing like Coca-Cola is Coca-Cola itself" 1943 - "It's the real thing"1944 - "High sign of friendship"

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1945 - "Whenever you hear "Have a Coke," you hear the voice of America"1947 - "Serving Coca-Cola serves hospitality"1948 - "Delicious and refreshing" 1949 - "Coca-Cola....Along the highway to anywhere"1950 - "Help yourself to refreshment" 1951 - "Good food and Coca-Cola just naturally go together" 1952 - "Coke follows thirst everywhere"1953 - "Dependable as sunrise" 1953 - "Midsummer Magic" 1953 - "Drive Safely...Drive Refreshed" 1954 - "For people on the go" 1955 - "America's preferred taste"1956 - "Makes good things taste better"1957 - "Sign of good taste" 1958 - "Refreshment the whole world prefers"1959 - "Make it a real meal" 1960 - "Relax with Coke" 1961 - "Coke and food - refreshing new feeling"1962 - "Enjoy that refreshing new feeling" 1963 - "Things go better with Coke" 1964 - "You'll go better refreshed" 1965 - "Something more than a soft drink"

1966 - "Coke...after Coke...after Coke" 1970 - "It's the real thing" 1971 - "I'd like to buy the world a Coke"1975 - "Look up America" 1976 - "Coke adds life" 1979 - "Have a Coke and a Smile"1982 - "Coke is it" 1985 - "We've got a Taste for You (Coca-Cola and Coca-Cola classic)" 1986 - "Catch the wave"1989 - "Can't Beat the Feeling"1992 - "Can't Beat The Real Thing"1993 - "Always Coca-Cola" 1993 - "Taste It All"2000 - "Coca-Cola Enjoy"2001 - "Life Tastes Good"2002 - "All the world loves a Coke"

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PREFACE.

Water is the most important gift of ALLAH to all of us. Without water no one can live in this world. It’s a nature of man that he does not stop at any point he make progress after each and every day. In start of the world, water was in simple form but with the passage of time man changes its form and by adding different things make it more delicious and tasty. In these days we name the water as a soft drink. In the olden days there are two main companies of soft drink that were Pepsi and Coca Cola. But now in the field of soft drink in Pakistan there are other companies among these two are Ammat cola and Maka cola. These are all the competitor of coca cola.

This report contain all details about the Coca cola Company, it's history, it's brands, prices, size and the difference between them.

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CHAPTER: 1

Introduction

1.1: INTRODUCTION OF SOFTDRINKS

Soft drinks can trace their history back to the mineral water found in natural springs. Bathing in natural springs has long been considered a healthy thing to do, and mineral water was said to have curative powers. Scientists soon discovered that gas carbonium or carbon dioxide was behind the bubbles in natural mineral water. 

The first marketed soft drinks (non-carbonated) appeared in the 17th century. They were made from water and lemon juice sweetened with honey. In 1676, the Compagnie de Limonadiers of Paris was granted a monopoly for the sale of lemonade soft drinks. Vendors would carry tanks of lemonade on their backs and dispensed cups of the soft drink to thirsty Parisians. 

In 1767, the first drinkable manmade glass of carbonated water was created by an Englishmen by Dr. Joseph Priestley. Three years later, the Swedish chemist Torbern Bergman invented a generating apparatus that made carbonated water from chalk by the use of sulfuric acid. Bergman's apparatus allowed imitation mineral water to be produced in large amounts.

In 1810, the first U.S. patent was issued for the "means of mass manufacture of imitation mineral waters" to Simons and Rundell of Charleston, South Carolina. Carbonated beverages did not achieve great popularity in America until 1832, when John Mathews invented his apparatus for the making carbonated water. John Mathews mass manufactured his apparatus for sale to others.

The drinking of either natural or artificial mineral water was considered a healthy practice. American pharmacists, who were selling most of the mineral waters, started to add medicinal and other flavorful herbs to the unflavored beverage: e.g., birch bark, dandelion, sarsaparilla and fruit extracts. The early drug stores with their soda fountains became a popular part of American culture. Customers wanted to take the drinks home with

them and the soft drink bottling industries grew from the consumer demand.

Over 1,500 U.S. patents were filed for a cork, cap or lid for the carbonated drink bottle tops. The bottles were under a lot of pressure

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from the gas. Inventors were trying to find the best way to prevent the carbon dioxide (bubbles) from escaping. In 1892, the "Crown Cork Bottle Seal" was patented by William Painter, a Baltimore machine shop operator. It was the first very successful method of keeping the bubbles in the bottle.

In 1899, the first patent was issued for a glass-blowing machine for the automatic production of glass bottles. Earlier glass bottles had all been hand-blown. Four years later, the new bottle-blowing machine was in operation. It was first operated by the inventor, Michael J. Owens, an employee of Libby Glass Company. Within a few years, glass bottle production increased from 1,500 bottles a day to 57,000 bottles a day.

Sometime in the 1920s, the first "Hom-Paks" were invented. "Hom-Paks" are the familiar six-pack carrying cartons. Automatic vending machines also began to appear in the 1920s. The soft drink had become an American mainstay.

1.2: INTRODUCTION OF COCA-COLA.

The Coca-Cola Company exists to benefit and refresh everyone it touches. Founded in 1886, Coca-Cola Company is the world's leading manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, used to produce nearly 400 beverage brands. Our corporate headquarters are in Atlanta, with local operations in over 200 countries around the world.

Coca-Cola is the most popular and biggest-selling soft drink in history, as well as the best-known product in the world. Created in Atlanta, Georgia by Dr. John S. Pemberton, Coca-Cola was first offered as a fountain beverage by mixing Coca-Cola syrup with carbonated water.

Coca-Cola was registered as a trademark in 1887 and by 1895 Coca-Cola was being sold in every state and territory in the United States. In 1899, the company began franchised bottling operations in the United States. Today, you can find Coca-Cola in virtually every part of the world. The Coca-Cola Company has nearly 400 beverages in its portfolio.

1.3: COCA-COLA COMPANY

The Coca-Cola Company is the world's largest beverage company. Along with Coca-Cola, recognized as the world's best-known brand, the Company markets four of the

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world's top five soft drink brands, including diet Coke, Fanta and Sprite, and a wide range of other beverages, including diet and light soft drinks, waters, juices and juice drinks, teas, coffees and sports drinks. Through the world's largest distribution system, consumers in more than 200 countries enjoy the Company's beverages at a rate exceeding 1 billion servings each day.

1.4: HISTORY OF COCA-COLA

Coca-Cola was invented in May, 1886, by Dr. John S. Pemberton in Atlanta, Georgia. The name "Coca-Cola" was suggested by Dr. Pemberton's bookkeeper, Frank Robinson. He penned the name Coca-Cola in the flowing script that is famous today.

Coca-Cola was first sold at a soda fountain in Jacob's Pharmacy in Atlanta by Willis Venable. During its first year, sales of Coca-Cola averaged six drinks a day adding up to total sales for that year of $50. Since the year's expenses were just over $70, Dr. Pemberton took a loss Today, Coca-Cola products are consumed at the rate of more than 834 million drinks per day.

1.5: FORWARD LOOKING STATEMENTS.

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Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from The Coca-Cola Company's historical experience and Coca-Cola present expectations or projections.

These risks include, but are not limited to, changes in economic and political conditions; changes in the nonalcoholic beverages business environment, including actions of competitors and changes in consumer preferences; product boycotts; foreign currency and interest rate fluctuations; adverse weather conditions; the effectiveness of our advertising and marketing programs; fluctuations in the cost and availability of raw materials; Cocks ability to achieve earnings forecasts; regulatory and legal changes; Cocks ability to penetrate developing and emerging markets; litigation uncertainties; and other risks discussed in our Company's filings with the Securities and Exchange Commission (the "SEC"), The Coca-Cola Company undertakes no obligation to publicly update or revise any forward-looking statements.

1.6: COCA COLA IN ASIA.

A 20 years veteran of the Company, Coca-Cola Asia president and chief operating officer Mary Minnick oversees operations in 38 countries throughout Asia, from the critically important Japan market, and developing giants India and China, to tiny Pacific nations in a Group that accounts for 33 percent of The Coca-Cola Company's operating income, refreshes over half the world's population and provides total system employment to over 100,000 people. For the second year, Fortune magazine voted Mary the twelfth most powerful woman in the business world.

From a career that started in sales with Coca-Cola USA, Mary gained experience in sales, marketing and new products and rose rapidly through management ranks. She spent eight years outside the US, the past seven living and working in Asia, including assignments as

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president of Coca-Cola Japan and before that president of the South Pacific division, based in Australia.

Mary was appointed to her current role in 2001 and, while based in Atlanta, spends the majority of her time in Asia. As an Executive Vice President, Mary is also a key player in developing strategy for The Company.

Mary holds a Masters in Business Administration from Duke University. She is also a member of the Dean's Council of the John F. Kennedy School of

Government, Harvard University, and the Board of Visitors of the Fuqua School of Business.

1.7: Coca cola beverages in Pakistan.

Registered office address in Pakistan. D 51, estate avenue S.I.T.E Karachi.Authorized capital. 4000000000.00Paid up capital. 3572986000.00C E O name. Cemal Ahmet Bozer.C E O address. Fehrettin kerim Gkaycad no. 35,

altunizade.Incorporation date. 4 / 8 / 1996Authorized capital share. 400000000.00Paid up capital share. 357298600.00

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Chapter NO. 2

MARKETING MIX2.1: Introduction:

According to the Peter Drucker “Business has two main functions marketing and

creativity. Marketing and creativity produce results and rest is cost”.

Marketing is total system of business activities designed to plan, price, promote

and distribute want to satisfying products to target market to achieve organization

objective.

In broader sense, marketing can occur any time one social unit (person or

organization) strive to exchange some thing to value with another social unit. Thus the

essence of marketing is transaction or exchange. In this broad sense, marketing consists

of facilitate exchange intended to satisfy human needs or wants.

Coca-Cola internationally developed a very strong and effective marketing system

and creates so many innovative marketing strategies, and got number one position is

beverages business.

In Pakistan, they have very poor marketing; this is why they have lost a great

market share since the last ten year.

The SHAHI BEVERAGES marketing department consists of one marketing manager

who is responsible for the marketing activities. He has got important position in the

company’s set-up because all the

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responsibility of product image its promotion etc lies on the shoulder of marketing

manager, who is assisted by other sale managers . One is base sale manger, who is

responsible for Rawapindi area and around the city. While out station sales manager is

responsible for the area outside city. These sale manager are further assisted by Assistant

sale managers. They supervise the activities of sale officers. These sale officers play a

key role between retailers and the company.

2.2: Product:

“Product is set of tangible and intangible attributes, which may include packaging, color,

price, quality & brand, plus the seller’s services, and reputation. A product may be a

good, a services, place, person, or idea”.

2.2 (a): Product Mix:

“Product Mix is a set of products offered by a company”. Coca-Cola International

SHAHI beverages manufactures and markets a lot of products internationally but in

Pakistan it manufactures and market only three flavors. The brand names of the product

are COCA-COLA, FANTA and SPRITE and it is also called product Mix of SHAHI

beverages.

2.2 (b): Product Line:

“A broad group of products intended for essentially similar uses and having similar physical characteristic”.

Coca-Cola Product Line:

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250 ml (Regular bottle).

250 ml (Disposable bottle).

Disposable glass, (250 ml)

Liter pack (glass)

Liter pack (plastic)

1& half liter pack (plastic)

250 ml cans.

FANTA Product Line:

250 ml regular.

250ml disposable regular.

250ml Fountain glass.

1-Liter plastic pack

half liter plastic pack

SPRITE Product Line:

250 ml regular.

250 ml disposable.

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250 ml fountain glass.

1- Liter plastic pack.

1 half liter

Cans.

2.2 (c): Product-Mix Strategies of Coca-Cola:

To be successful in marketing, producers and middlemen need carefully planned

strategies for managing their product mixes. In following lines the strategies adopted by

Coca-Cola are briefly stated.

2.2 (d): Positioning Strategy of Products:

“Product image in relation to directly competitive products as well as other

products marked by the same company. Alternatively, a firm’s

Strategies and action related to favorably distinguishing it self from competitors in the

minds of selected groups of consumers”.

Coca-Cola position it self as a market leader and it is the market leader. They make such

strategies for the products that other companies follow products. Coca-Cola as a market

leader has no need to position itself in the connection with it competitor. While

competitors has the need to position in the market for survival.

In this regard, Coca-Cola considering it self as market leader, and they loose its

promotional campaigns in Punjab specially in Rawalpindi, while PEPSI make great

struggle to make an image in mind of people, and they do it. Now the situation is totally

changed in this region. Pepsi have strong hold on the market, while Coca-Cola has a less

market share as compared to Pepsi. Now a days in Pakistan the product Coca-Cola,

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Fanta, and Sprite are trying to position it self in the comparison with Pepsi, Miranda, and

7 up.

With all these weakness Coca-Cola has some image in consumers mind. Sprite

and Fanta have also reputation in the market due to its taste and quality, but the need is

this to start a strong promotional campaign in Pakistan to show itself a real market leader.

2.2 (f): Product Mix Expansion Strategy:

“Product Mix expansion is accomplished the depth with in a particular line and/

or the number of lines a firm offers to customers”

Coca-Cola has recently made strategy for its product mix expansion. They export its

product to Afghanistan with new packaging with tagline on “For Afghanistan”. By this

they have the hope that they will capture the market of Afghanistan. Similarly, Coke has

some schemes premium offers; sponsorships, and many other incentives for the product

mix expansion.

2.2 (g): Product Line Extension Strategies:

For the extension of the product line, Coca-Cola introduce one different product

line, i.e.175ml Coca-Cola small size bottle and disposable 250 ml bottles for all three

flavors.

175 ml bottle have not achieved the deserved share in the market, while the

regular disposable bottles have increased the market share although its price is little high.

The reason behind this line extension is that company wants to appeal to more market

segment by offering wider range of choice for a particular product.

2.2 (h): Quality of Product:

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The quality of a product is of utmost importance for a company to succeed. At the

SHAHI beverages there is quality Control laboratory under production department. This

is head by quality control Manager who is a qualified person and looks after the quality

of each batch in conformation to Coca-Cola’s International Standards of uniform quality

and taste.

Moreover, the corporation in various areas to maintain the quality of product, quality control teams from Coca-Cola Corporation (USA) gets sample bottle from different areas checks the quality of product. They test this syrup in laboratories and send the report to the related company and take necessary action. These visits are confidential. The corporation takes action against the company, which is found defaulters. They also visit different plants and if finds any defeat in even its machine, they will stop the plant and warn then to remove the defect.

2.3: Market Segmentation:

The market segmentation of Coca-Cola is Pakistan is heterogeneous. They

segment the market for their different product size. The size of their product is 250 ml

which are normally for common people and are available every where. Similarly 250 ml

are segmented for sports man and teenagers and also some world class players. One liter

and 1half liter segmented for families. Each market segmented has different requirement

and company develop different strategy for all segments.

2.4: Branding and its Importance:

“In developing a marketing strategy for individual product, the seller has to

confront the issue of branding. “Brand- A name, term symbol or a design or a

combination of them, which is intended to identify the good and services of seller or

group of seller and differentiate them form those of competitors”.

The Coca-Cola is a leading brand in the world, and became the No.1 brand so many times in its products. There are two more flavors e.g. Fanta,

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and Sprite, and each brand has its own unique flavors. Each brand name target different people. For example, young People mostly like Coca-Cola and Sprite, while children and ladies buy Fanta in punjab.

2.5: Coca-Cola Product Mix (international)

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2.6: Price and Pricing Strategy:

“Price is the amount of money or other items with utility needed to acquire a

product”.

Price is the basic regulator of the economic system because it influences the

allocation of factors of production (labor, land, capital).

To reduce the risk of government intervention, Coca-Cola establishes price in a

manner and at a level, that consumers and government officials consider it socially

responsible.

As the image of quality of Coca-Cola as well developed in the consumer mind so mostly

they establish their pricing level according to the competitors.

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Price affects a firm’s competitive position and its market share. As a result price has

considerable bearing on a company revenues and net profit through prices money comes

to an organization. The Coca-Cola Company does not want increase price and want to

increase sales volume with same price.

2.6 (a): Pricing Objectives:

Every Marketing activity including pricing should be directed to words a

goal. To useful, the pricing objective management selections must be compatible with

over all goals set by the firm and the goals of its marketing program.

To adopt a primary pricing goal of maintaining to Coca-Cola market share of

stabilizing price, the company will adopt two pricing objective.

a. Profit-Oriented Goals of Coca-Cola:

The Coca-Cola Company’s goal may be set for the short or long term, it

always select one of the two profit oriented goals for its pricing policy.

Maximum Profit:

A profit maximization goal is likely to be for more beneficial to Coca-

Cola Company it is pursued over a long term. e.g. when Coca-Cola

Company want to enter in new territory, where the market share of its

competitor is at peak, it is adopted the policy that it allows discount in

shape of low prices for their products. If the price of one crate is Rs. 240

its keeps its price by 230-225 rupees per carte.

i. Achieving a target Return:

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The Coca-Cola Company may price to achieve a target return a specified

percentage return on its sale or its investment. The Coca-Cola retailers and

whole sellers use a target return on sale as a pricing objective for short

period (4-6 months) or a fashion season.

b. Sale-Oriented Goals of Coca-Cola

i. Increase Sale Volume:

The pricing goal of increasing sale volume is typically adopted to

achieve rapid growth or to discourage other competitors from entering a

market.

This goal is usually stated a percentage increase in sale volume over some

period, say 1 year to 3 years.

In this case Coca-Cola Company seeks higher sales volume by

discounting to their customers or setting some schemes.

According to the marketing manager SHAHI beverages usually use

this pricing strategy at the end to season when their sales go down.

ii. Maintain or Increase Market Share:

The Coca-Cola Company emphasis their market shares. The

market Share of Coca-Cola is 40%. While the market shares of its

competitors (PEPSI) is 60%. So this 40% market share is very low

for operation of an enterprise.

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In order to increase market share for Coca-Cola, the Company has developed

wonders of the world scheme. Similarly they give freezers to their retailers. The price

Rs.17, 000/- per freezers they receive cash of Rs. 8500/- per freezers. But to maintain the

market share of their competitor (PEPSI), now a day PEPSI gives freezer free for cost to

their retailers.

2.7: Distribution Channels (Place):

“A distribution Channels consist of the set of people and firms involved in the

transfer of the title to a product as the product moves from producer to ultimate

consumer”.

INDIRECT DISTRIBUTION:

In case of Coca-Cola beverages mostly used this channel:

Producer Whole seller Retailer

___________________Consumer

The Coca-Cola has their own factory. E.g. on motor way chook the coca cola is

prepared there, and then provided to different whole seller wholesalers, the company

provide them to bulk stock, which they then distribute to different retailers.

In the sale department, there is also a well developed program for sale in different

localities. For each territory the responsible person of each sale department have kept

vehicles. The drivers used as salesman, he has a very close link with retailers. So from

these retailers the products are then distributed to the ultimate consumer.

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DIRECT DISTRIBUTION:

Some time the company uses this 2nd Channel:

Producer Retailer Consumer

E.g. some retailers come directly to the factory, where they receive Coca-Cola products

in bulk and finely distribute these products to ultimate consumers.

Margin & Target:

Margin for distributor/ agency in bottles per crate total Rs.12/- and net Margin Rs.8/-

the remaining Margin use for fare shop, bus etc. Company also gives target

achievement after selling some target which give by companies. Wall clock,

deepfreezes, free bottles, high Margin etc.

2.8: Promotion:

“Promotion stands for the various activities the company undertakes to

communicate its product merits to persuade target/potential customers to buy them”.

The major components which determines the success of the company, it is

efficient promotion of their products. As the prices of all beverages are the same. Coca-

Cola also feels the importance of efficient

promotion therefore; they spend a large amount on the promotion program of Coke, but it

is only spend internationally because we discuss before that the promotion of Coca-Cola

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is so low from their tough competitors PEPSI in Pakistan and the result PEPSI capture

60-70 % market share due to strong promotion of his products.

2.8 (a): Advertising:

“Advertising is a paid, non personnel communication media to persuade or

influence audience. It is the part of promotion.”

The Coca-Cola (SHAHI beverages) spends a little amount on advertising

due to low sale as compared to Pepsi. It uses the Above-the-line and Below-the-line both

advertising methods.

2.8 (b): Publicity:

“Publicity is unpaid advertising in a sense that it is done through person to

person by providing information about specific product. It is also the part of promotion”.

Coca-Cola Company arranges for publicity in local media whenever there is

launch of new product, policy or some promotional scheme. And according to its sale

managers, strong rely on publicity.

2.9: Personal Selling:

“Personal selling is also called as door to door selling. In it the employee of

producers (sales man) directly goes to the people and sells goods.”

Coca-Cola Corporation avoids personal selling but in case of large store and hotels etc. it

does use personal selling. The sale officers contact the owners and sell their products

directly to owners.

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2.9 (a): Sale Promotion:

“Sale promotion is demand stimulating device designed to supplement

advertising and facilitate personal selling”. E.g. it includes (UTC) Under the Coupons,

premiums, in store displays, trade shows, samples in store demonstration and contests.

In case of Coca-Cola, sales promotion strategies are divided in to three

primary types.

i. Coca-Cola consumers.

ii. Coca-Cola resellers

iii. Coca-Cola

The first two types have direct implications on advertising and therefore will be discussed in detail. Sale force or sale promotion is simply activities directed at the firms, sale people to motivate them to strive to increase their sale levels. A simple example is that,

Coca-Cola and Philips join hands to launch TV Maza Promotion

Philips Pakistan & the Coca-Cola Export Corporation Pakistan recently entered into a partnership to launch a joint consumer promotion for their consumers named “Coca-Cola TV Maza – Drink Coke & Win Philips TVs.”

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CHAPTER NO: 3

UNCONTROLLABLE FACTORS

3.1: COMPETITORS OF COCA-COLA:

Although coca-Cola is the world wide leader in the soft drinks industry, it has many competitors. The main competitors are Pepsi cola, RC Cola. Specially, Pepsi is giving a tough time to it. Now days, the coca cola have to face some other competitors as well these are Ammarat cola and Maaka cola. Now, we will have a brief description of these two competitors.

Pepsi-Cola

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One of America’s favorite soft drinks, Pepsi-Cola, didn't make it to the Taste test stage several times.  The ability of the product to survive several bankruptcies, numerous management changes, and major internal squabbles made it an even stronger player in the bid for consumer taste acceptance. Pepsi is the one of the largest soft drink company in the world. The tough time which is given by Pepsi cola to coca cola is because of its great and effective advertisements which is liked by the youngsters which is there target market.

Royal Crown Cola (R.C Cola)

Royal Crown Company Inc., originally called the Union Bottling Works, was born in Columbus, Ga. in 1905. A young graduate pharmacist, Claud A. Hatcher, began creating his own soft drinks in the basement of his family's wholesale grocery business. From these humble beginnings, Royal Crown Cola Co. grew to be the third largest soft drink company in America.

In Rawalpindi and in Islamabad the RC cola is not very much popular, in act there is very small supply of RC cola in twin cities and in some where there is no supply of a RC cola. So coca cola is not much bother about RC cola.

Seven up (7 up).

In contrast with sprite the an other product of a company of a Pepsi cola is seven up which is also very popular in old people. The both the products are same in price but the advertising of a seven up is very high that’s why it is a source of head ache for coca cola company.

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Ammarat cola.

The Ammaret cola is a new competitor of a coca cola. The advantage of a Ammarat cola is that its prices are very low. The main disadvantage With Ammarat cola is that its taste is not very much liked by the people

This is only the main disadvantage of a coca cola.

3.2: social and cultural sources.

The in coming of a new soft drink companies i.e. Makka cola and Ammarat cola attack the religious mind of a people in Pakistan. Most of a people switch to these soft drinks because they foster that these soft drinks are not of Pakistan. Their culture does not accept this soft drink at all. So they insist them on a religious basis to switch towards these drinks.

3.3: CLIMATIC FACTORS

Climatic factors however, do not affect the production of SHAHI beverages so much. It virtually, remains the same through out the year. But their sale of family packs of 1 and half liter remains the same in winter and regular bottles’ of 250 ml sale is some what greater in summer.

3.4: POLITICAL FACTORS

Political factors are of too much concern for the marketing environment of any country. If country enjoys sound political system its economy grows stronger and vice versa. However, unluckily Pakistan is devoid of sound and stable poetical system and law and order situation is at stake which dissuades the potential investment in this area of interest. Such state of affairs poses change in policy of government which culminates in the change of marketing strategy.

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CHAPTER NO: 4

Target market

4.1: what is target market?

Before discussing target market we must have to know what the market is.

“The market is a physical place where the transaction takes place i.e. where the buyer and seller meet”.

Target market:

“The potential consumer whom we want to sell our products is called as a target market”.

The selection of a target market is a very important work for any type of a business, especially for a business of beverages like coca cola. As the company of coca cola has three main flavors so its target market is also divided into three main population of a society of Pakistan.

4.2: coca cola target market.

The target market of a coca cola is mostly a teen agers and youngsters. The coca cola want to attack teen agers to sell there product to them.

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4.3: Fanta target market.

The target market of a Fanta is mostly teen agers under 16 years of age. They like the taste of fanta. So they buy more Fanta and become a target market of a Fanta.

4.4: Sprite target market.

The target market of a sprite is a middle age (35 – 40) people and older people. They usually drink sprite to digest food. Mostly they drink sprite after Dinner.

CHAPTER NO. 5

S W O T analyses.

5.1: strength.

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The strength of a coca cola is its great taste. The taste of its competitor Pepsi is little sweet which is not liked by the most of the people. But the taste of coca cola is not sweet.

Another advantage of a coca cola is that its factory is not far away from the twin city (Rawalpindi and Islamabad). It lies almost in the middle of twin cities so the delivery to the middleman is easy and quick.

Another advantage of a coca cola is that it comes in different size and bottle style according to the convenience of a customer. It comes in the sizes of 250 ml, 1 liter, 1.5 liter and 2 liter plastic bottle. It also comes in a can of 300 ml.

5.2: weakness.

The weakness of a coca cola company is that its advertising is not so much effective as the advertising of its competitor Pepsi cola.

Another weakness of a coca cola is that its supply to the whole seller is not very good. Its supply is very late. The coca cola is almost out of the face in Rawalpindi and Islamabad.

5.3 objectives.

The objective of a Coca Cola company is to get its lost position i.e. no. 1 position in Pakistan and also to satisfy it’s customers to not switch to other types of a drinks.

5.4: threats.

The threats to coca cola Company in Pakistan and in other Muslim countries are that the people don’t like it on religious back grounds. They don’t take it as a good soft drink. In contrast with other newly introduced soft drink.

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RECOMMENDTIONS:

There is no doubt that the Coca cola is going well but there are certain areas of in which it needs to be improved .

It stresses the need of quality and service, however, it falls short of service criteria as its products like coke is not easily available in the shops as those of Pepsi products. It needs to improve its distribution system.

There factory buildings are not so attractive and beautiful which may results bad image in the eyes of customers, visitors and employees_ to work enthusiastically.

It needs to be improved its market share and should penetrate in nook and corner of the country.

They should stress on advertisement to remind the people about the product like Pepsi does.

It should also take steps to increase its regular bottles -250 ml. in winter season.

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CONCLUSION :

There is no doubt that the Coca Cola is the second largest beverages company in the world. It had been enjoying the periods of high eminence but it is natural process that one day comes to leave the position of eminence and Pepsi surpassed it in this respect. It works according to its market strategies and enhances its products and sale graph. However, it should work on above mentioned deficiencies to overcome them and strive to make its competitors lagged behind.

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