Slim Cola In The Name Of Allah Who Is Most Gracious and Most Merciful Project On: Slim Cola Assigned by: Sir Faheem Alam Lecturer (Visiting) Management Science Department (An innovative business) University of Education Submitted By: Ghulam Abbas (38), Abdul Rehman (32), Farhan Yousaf (36) Shahid Mushtaq (48) Muhammad Rizwan (45) University of Education Lower mall campus Lahore Page 1 of 37
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Slim Cola
In The Name Of Allah Who Is Most Gracious and Most Merciful
Project On:
Slim Cola
Assigned by:
Sir Faheem AlamLecturer (Visiting)
Management Science Department
(An innovative business)
University of EducationLower Mall Campus Lahore
Submitted By:
Ghulam Abbas (38), Abdul Rehman (32), Farhan Yousaf (36)
Shahid Mushtaq (48) Muhammad Rizwan (45)
MBA (Morning)
Semester IV
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Slim Cola
AcknowledgementFirst of all we thanks to Allah almighty who enable us to
innovate this business project. After saying thanks to Allah we are thankful to all our friends and faculty of management
science department who guide us to make this project.
We dedicate this project to university of education lower mall campus and all the students of management science departments
Industry Statistics........................................................................................................................................4
Business Concept.......................................................................................................................................14
OverviewWe are producing beverage products (Slim Cola) which makes the human slim and smart. We have ingredients included in our drink which help us to achieve our purpose. We projected to lounge our product in international market because to look slim and smart is desire of majority of people in this world. After using slim cola the result may as in following picture.
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Slim Cola
Industry StatisticsBased in Lahore Pakistan, the slim cola company is one of the most quality conscious manufacturers and suppliers of beverage products including slim cola and slim citrus.
We are going ahead with to serve optimally hygienic beverage products on affordable rates. We strictly follow the business ethics and make every possible effort to maintain Top Quality in our products. Last but not the least, we are committed to provide right product at right cost with delivery in right time as well.
All our products are manufactured strictly in bio clean room to keep them bacteria free. Our keen eye on quality has helped us to maintain good hygiene and excellent quality in our entire production. We also endeavor to maintain natural taste in our products. University of Education Lower mall campus Lahore Page 4 of 29
Slim ColaOur Vision
"Slim Cola’s responsibility is to continually improve all aspects of the world in which we operate - environment, social, economic - creating a better tomorrow than today."
Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making Slim Cola a truly sustainable company.
Our Mission
Our mission is to be the world's premier consumer Products Company focused on convenient beverages. We seek to produce financial rewards to investors as we
provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we
strive for honesty, fairness and integrity.
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Slim Cola
Team:
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Shareholder:
Shaokat Ali Amir haider Atif Aslam Robeena Khalid Bushrah Tariq M Jamil M nazir khan Allah Dittah Mrs. Surayya ahmed
Farhan yousaf Ghulam Abbas Shahid Mushtaq Abdul Rehman Rizwan Batti
Slim Cola
Market Summary
Our target market are multicultural men and women ages 18 – 38 years who desire to maintain a healthy lifestyle, achieve their ideal figure, and look to dieting as their solution.
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Slim ColaPrimary Market:Our primary target market consists of men and women ages 27 – 38 years. These of all races are targets within this market, and those women who are housewives are of major importance. In addition to that, they are concerned with their appearance, health, physical presence, and societal perception. Based on our research, these women strive to be strong influences within their respected communities by running the household, and most importantly, maintaining their beauty. Weight loss devices are still a relatively new idea, and there are very few choices among brands. Weight loss devices are, however, perceived as innovative and promoters of a positive lifestyle. Women will have access to slim cola at local grocery stores.
Secondary Market:Our secondary market consists of multicultural men and women ages 18 – 26 years. These people are looking to regain their former figures and improve their appearance and health. They fall just below the target market and have high potential of becoming primary targets. These women idolize such celebrities as those depicted in our advertisements endorsing slim cola. Essentially, slim cola is likely to become their ideal dieting solution.
Undeveloped/Potential Market:Our undeveloped/potential market consists of minority women ages 18 – 38 years. The realization of how lucrative this market can be has become apparent in the past few years. By advertising in Magazine (among other minority themed periodicals), we hope to reach this vast growing market. Also, these consumers are looking to improve their image in society, and be considered natural consumers in congruence with the dominant white consumer society .Slim cola hopes to break the social barrier within consumption and improve sales among all races and ethnicities.
Opportunities
Products with an easy-to-feel effect, such as an energy boost, are likely to be more successful (at least in the short term) than a product like omega-3 milk, which provides an important nutrient but fails to give consumers instant gratification.
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Slim Cola Innovative packaging can also differentiate products and enable premium pricing.
Optimal Control, for one, uses “daily-dose” packaging, contributing to a significant premium over regular products.
Consumers need to grasp the health benefits associated with a given bottle in order to appreciate its relevance and premium pricing. Manufacturers of slim cola need to consider what actions they can take to better educate potential customers and provide this level of understanding.
Manufacturers must be able to target a niche, communicating a specific health benefit linked to a common ailment or incorporating multiple desirable qualities into a single product.
Disease prevention:
The government’s efforts to reduce healthcare costs by investing in disease prevention are raising consumer awareness of the link between diet and health. As a result, some consumers are switching to products they perceive to be healthier or more purposeful. The trend toward slim cola can be seen in the carbonated soft drink market.
What alternative opportunities can be penetrated or created?
Potential opportunity
Advanced technology New or underpenetrated health category
New or underpenetrated food category
Which companies are Which companies are Which companies are
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Slim ColaIdentifying key targets
creating technologies to advance slim food possibilities? Emerging technologies may make functional foods more effective or deliver more timely benefits.
providing products with health benefits not yet adequately met by current functional foods? Companies are researching products that will expand an existing health benefit category or bring a new benefit to the market.
seeking to extend applications of known nutraceuticals to new food subcategories? Are there companies that are trying to add nutraceuticals to foods consumers eat regularly?
Research areas
Some companies are currently researching:
Technologies that enable the creation of more stable functional food formulations.
Technologies that improve taste/smell.
Technologies that remove grainy textures of fibers
Some companies are currently researching the immune system benefit category. That not only yogurt and dairy beverages, but also to juices, baked goods, soups and coffee to improve the body’s defenses against disease and infection.
Companies are currently researching the inclusion of:
Probiotics in beverages and drinking goods.
Fibers in beverages and dairy products.
Healthy oils in dairy products.
Today, an outstanding product quality and, at the same time, optimum line efficiency are aimed at. Consumer requirements, such as natural products and top quality are just as important as the slim cola manufacturer’s request for utmost flexibility of the Production process. In addition, profitability, and therefore, optimum line efficiency are factors of utmost importance. The steadily reduced product cycles represent another special challenge, as the new recipes must be implemented quickly and at low cost. This requires sophisticated and well-coordinated systems for slim cola production
SWOT ANALYSIS
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Slim Cola
STRENTH:
Knowledge. Our competitors are retailers, pushing boxes. We know systems, networks, connectivity, programming, all the VARs, and data management.
Relationship selling. We get to know our customers, one by one. Our direct sales force maintains a relationship.
History. We've been in our town forever. We have loyalty of customers and vendors. We are local and also go to international.
WEAKNESSES:
Costs. The chain stores have better economics. Their per-unit costs of selling are quite low. They aren't offering what we offer in terms of knowledgeable selling, but their cost per square foot and per dollar of sales are much lower.
Price and volume. The major stores pushing boxes can afford to sell for less. Their component costs are less and they have volume buying with the main vendors.
Brand power. Take one look at their full page advertising, in color, in the Sunday paper. We can't match that. We don't have the national name that flows into national advertising.
OPPORTUNITIES:
Local area networks. LANs are becoming commonplace in small business, and even in home offices. Businesses today assume LANs as part of normal office work. This is an opportunity for us because LANs are much more knowledge and service intensive than the standard off-the-shelf PC.
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Slim Cola The Internet. The increasing opportunities of the Internet offer us another area of
strength in comparison to the box-on-the-shelf major chain stores. Our customers want more help with the Internet, and we are in a better position to give it to them.
Training. The major stores don't provide training, but as systems become more complicated, with LAN and Internet usage, training is more in demand. This is particularly true of our main target markets.
Service. As our target market needs more service, our competitors are less likely than ever to provide it. Their business model doesn't include service, just selling the boxes.
THREATS:
The computer as appliance. Volume buying and selling of computers as products in boxes, supposedly not needing support, training, connectivity services, etc. As people think of the computer in those terms, they think they need our service orientation less.
The larger price-oriented store. When we have huge advertisements of low prices in the newspaper, our customers think we are not giving them good value
ProblemsThe environment has always been ignored by most of the industries over many decades but because of the serious consequences it made now it is taken as a serious issue and now annual reports are prepared on every company’s environmental risks.
Some of the current issues the slim cola is now facing include increased demand for variety and innovation, governmental regulation on quality, product traceability, low profit margins and the need for shelf life management.
The environmental risks include the following energy use, emission of greenhouse gases, Water use and waste water generation, organic residues and packaging residues.Besides of these some of challenges which industry face
Variable customer requirements Ever-changing schedules and shorter production runs Short 'shelf life' of raw food materials Customers want more variety and innovation Faster cycle times and more communication Supply chain collaboration with other bottle manufacturers and distributors is critical Increased levels of regulation in the form of quality, documentation and traceability
Solutions
Solutions & Technologies has developed dedicated solutions to help the industry meet its obligations in terms of health, environmental and financial issues.
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Slim Cola Treatment technologies compliant with the most stringent disinfection and purification
specifications ensure the production of safe water Prevention of Legionella and management of health risks through our preventive
solutions and complete treatment programs to secure water treatment plants and cooling towers
Treatment of effluents and fats using a wide range of technologies designed to guarantee that environmental regulations are met for effluent discharge
Management of sludge services. Ranging from the optimization of water treatment plants through to sludge disposal, our cutting-edge technologies reduce the amount of sludge produced and facilitate its reuse
Carbon & Water efficient integrated solutions, optimization of Energy and Chemicals consumption
Engineering Change Control:
Engineering Change Control (ECC) enables you to improve and continue to maintain the management of engineering changes to your products. The Engineering Change Order process is a workflow type subsystem, intended to replace the paper trail that typically accompanies any changes to product design data. When the product is under the control of ECC, any maintenance to a bill of material and/or routing of the product can be accomplished only by means of a current ECO.
Material Variability and Dynamic Formula Adjustment:
Manufacturers have significant variance in their products from one raw material receipt to another up to the final product. SYSPRO’s system will be to capture material variability, on a lot-by-lot basis, easily adjusting formulas and recipes while ensuring excellent overall quality. This flexibility will enable the manufacturer to use materials in the most effective manner enabling considerable cost savings.
Low-Cost Manufacturing:
The Manufacturing suite of applications allows a manufacturer to keep their finished goods in inventory at an absolute minimum. The system will allow for improved decision making based on what's scheduled and what's running, capacity, resources, labor, work orders, overloads, skills, potential problems, set-up, tear down and pegging. This in turn will allow the manufacturer to make informed decisions on where to make the product, using which resources and specify sequence scheduling thereby improving throughput.
Customer Service Management:
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Slim ColaThe Customer Relationship Management (CRM) suite of applications will enable manufacturers to increase revenues and client satisfaction through optimal client management. The CRM solution is designed to offer all the key components of business management in one simple module combining customer contacts, marketing, sales, customer service, Help Desk, and after market service and repairs. CRM allows everyone to share the same information putting people in the center of the enterprise with a 360 degree view of the marketing, sales, order fulfillment and accounting transactions.
Business Concept
We are making slim cola drink for the fat person who wants to lose their weight. it’s a different from other drinks like (Pepsi, coke, sprite, sting so on) because this not only provide just refreshment, joy, taste but also reduce weight which new innovative feature not given by other companies. the customer whose weight is much more from expectation buy slim cola and also that at the reasonable price without any side effect with new technology. we sell our product locally but our plan to stand globally
Marketing positioning Local marketing strategy enables slim cola to listen to all the voices around the world asking for beverage that span the entire spectrum of tastes and occasions. slim cola are determined not only to make great drinks, but also to contribute to communities around the world through our commitments to education, health, wellness, and diversity.
Slim cola serve its product using mass marketing technique, which obliviously falls in undifferentiated marketing and undifferentiated marketing means no segmentation but there are minor factor on which we can say that the slim cola segment its product and then target the consumer somehow.
Growth is main objective. They look forward for expanding and growing in different market and making a variety in their product line.
Competitor AnalysisWe deem coca cola as our major competitor. Following is the analysis with our competitor the coca cola company:
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Slim Cola
Flavor:We have only cola and citrus but coca cola has juices and mineral water too.
Carbonation:If you are comparing the original Coca-Cola and the original slim COLA, Coca-Cola has 1 gram less carbonation than slim cola.
Slimness:By using the slim cola the humans become slim and smart while other coals lack this quality
Bottle design:We have colorful and attractive bottle designs but the bottles of coca cola are simple.
Taste:Because we lounge our product for slimness we use less sugar than coca cola which differentiate the taste.
Demand:Demand of the product is not fulfill by the coca cola we will capture the right demand for product.
Competitive Advantages
We have ingredients in our drink which make the humans slim and smart. We minimize the lead time.
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vs
Slim ColaTechnology
About Machinery:
Quick DetailsPlace of Origin: Jiangsu China (Mainland)
Brand Name: Hongma Model Number: DCGF
Processing Types: Carbonated Beverage
Processing: Filling Machine Usage: Coce cola production line
Condition: New Operation: Easy Guarantee: One year Capacity: 2000-15000bph Certificate: CE and ISO Packaging & Delivery
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WaterPurificationnn
Sugar Syrup
BottlingCarbonation Concentrate
Slim ColaIndustrial Processing of Beverages
Production of Beverages:
The production of the beverages starts from the preparation of simple syrup. The simple syrup is prepared by making a solution of sugar and water; the combined product is well stirred in the mixing machine with the aid of agitator. The simple syrup is then taken via pipes into another mixing machine in the compartment called “Syrup Room”. Here the syrup is added to concentrate in order to prepare the refined syrup. The addition of simple syrup and the concentrate gives the soft drink otherwise known as the beverage. The type of the concentrate (flavor) added to the simple syrup gives the corresponding beverage. The final beverage is prepared by diluting the mixture with carbonated water and then bottled. Prior to the bottling of the carbonated beverage, the bottles are subjected to through sanitation processes; the carbonated beverage is filled accordingly into the bottles of various volumes. Subsequently, the bottles are corked, labeled and stored into crates.
BEVERAGE PRODUCTION CYCLE
Syrup Preparation:
Syrup is one of the most important ingredients of the carbonated drinks that is added to the drink to give it a sweet taste add Citrimax and Chrome Mate. Sugars from the warehouse are placed in the sugar bunkers and are then transferred to the dissolving tanks. In dissolving tank sugar is mixed with water at a temperature of about 85°C and 800-1500 mPa pressure. The syrup is then transported to activated carbon tank where the color and smell of the syrup is removed by the action of carbon. To remove the carbon present in the syrup carbon filtration is done in hot pre-coat filter. The syrup is then transferred to buffer tank and through heat exchanger (where its temperature is dropped to 15-20°C) the final syrup is stored in the storage tank.
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SUGARWAHREHOUSE
DISSOLVING TANK 80o C
ACTIVATED CARBON
Reaction Tank
Hot Pre-coat Tank
Buffer Tank
Heat Exchanger
Storage Tank(15 - 20°C)
SUGARBUNKRE
Slim Cola
SYRUP MANUFACTURE PROCESS
Carbon dioxide and Carbonation:
As discussed before, Carbonated Drinks are combination of carbonated water and syrups. Water is carbonated by passing carbon dioxide under pressure through water. It is colorless, nontoxic and inert gas.
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Managing director
General Manager technicalGeneral manger sales and marketing
Manager production
General Manager Finance
Sales & marketing department
Research and development departmentManager quality control
General Manager Operations
Manager MIS
Manager finance
Manager accounts/ audit
Manager administrat-ion
Manager personnel
Manager legal
Manager maintenance
Slim ColaOrganizational Hierarchy and Supplier
Organizational Hierarchy:
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Slim Cola
Suppliers:
INGREDIENT SUPPLIERS E.A. Weber & Co. Autocrat Coffee & Extracts American Color Research Center, Inc. Pulpa - The Brazilian Fruit Company RIO Syrup Company, Inc. Occidental Flavors Inc. Scientific Food Solutions LLC
EQUIPMENT/MACHINERY SUPPLIERS Triple-B Truck Body Co. Gardner Denver Corporation Water Management Group, Inc. ALLIEDFLEX Technologies, Inc.
COMPUTER SERVICES Insight Distribution Systems Global Beverage Group
OTHER
BF Printing New Vibrations, Inc. - Bottle Carriers
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Slim ColaMarketing Plan
Marketing Mix:
Product:
Slim cola is for people who want to lose weight and don't know where to start. It has customized meal plans, expert advice; and weight loss tools. Slim cola believes that one size does not fit all. The Slim cola plan
Combine lunch (turkey sandwich) with a slim cola. Snack on an apple, 1/2 grapes, 1/2 banana, 1 mini-bag light popcorn. Dine with sensible meals.
Ingredients:
Carbonated water Sugar
Caffeine
Phosphoric acid Caramel color (E150d) Natural flavorings Citrimax and Chrome Mate
Product Benefits:
Flavor variety Nutritious (24 vitamins and minerals) Agreeable taste
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Slim
C
ola
Slim
C
ola
Slim Cola Quick and easy Encourages healthier lifestyle Lose weight the health way Convenient Availability in local grocery stores Energy to perform all household chores Keep slim figure without extreme exercise
Slim cola provide in different size like
SSRB (Standers size returnable bottle)
LRB (Litter returnable bottle)
NRB (No return bottle) or disposable bottle
PET (1.5 Litter plastic bottles)
CANS (tin pack 330 ml) packing: Coca Cola products are available in different packing
24 regular bottle shells
6 bottle pack for 1.5 pets
Price:
Taking competition into consideration slim cola provides its product at an affordable price to the customer in the market and no compromise on quality is made. Because of such competitive price it is also catering to the middle class & lower middle-class.
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Size of Slim Cola Price (Rs.)
Regular bottle 15
Non returnable or disposable bottle 35
1.5 liter bottle 70
Slim Cola cane 35
Slim ColaPlace:
We want globalization in near future. Recently we adopt the policy to meet the right demand of the customer therefore; we make available Slim Cola in every shop.
Promotion:Slim cola adopts various advertising and promotional strategies to create an increased demand in the market by associating with life style and behavior and mainly targeting value based advertising. Slim cola uses CSR as its marketing tool to gain emotional benefits in consumers mind. It has many brand ambassadors like Shahrukh khan, Reema Khan. It allows price discounts and allowances to distributors and retailers in order to push more products into the market. It employs both push strategy through promotions and pull strategy through advertisements and campaigns.
Financial Projections
Set up cost:
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Slim Cola
Real taste of life
Slim Cola
Plant and equipment Equipment PKR 150,000 Vehicles PKR 1,200,000 Telecommunications PKR 33,000 Computers and software PKR 100,000
Starting operations
Advertising and promotion PKR 250,000 Raw materials and supplies PKR 500,000 Working capital PKR 10,000,000
Start-up capital
Equity investment PKR 32,900,000 Borrowings PKR 5,000,000 Total PKR 37,900,000 The result
Total set-up costs PKR 12,381,000 Surplus funds PKR 25,519,000 Borrowings required 0
Break Even Analysis:
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Average selling price per unit PKR 20
Average cost of each unit PKR 15Gross profit margin 25%Fixed costs PKR 529,800Dollar sales to break even PKR 2,119,200Number of unit sales to break even
105,960
Slim ColaIncome Statement:
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Sales
Sales (invoiced) PKR 1,500,000.00Cost of goods sold PKR 850,000.00Gross profit PKR 650,000.00Expenses
Accounting fees PKR 20,000.00Advertising PKR 25,000.00Bank charges PKR 12,000.00Bank interest PKR 25,500.00Depreciation PKR 32,900.00Electricity and gas PKR 100,000.00Equipment hire/lease Insurance PKR 3,000.00Legal fees PKR 12,000.00Motor vehicle expenses PKR 35,000.00Postage, telephone and fax PKR 6,000.00Stationery PKR 3,400.00Rent PKR 120,000.00Repairs and maintenance PKR 5,000.00Security Sundries Superannuation Transport/courier costs Wages PKR 125,000.00Workers compensation PKR 5,000.00
Total PKR 529,800.00Result
Net profit PKR 120,200.00Gross profit margin 43%Net profit margin 8%
Slim ColaBalance Sheet:
Assets
Current assets PKR 27,688,500.00 Cash PKR 24,188,500.00 Petty cash PKR 90,000.00 Accounts receivable PKR 500,000.00 Stock PKR 1,200,000.00 Short-term investment PKR 250,000.00 Prepaid expenses PKR 60,000.00 Long-term investment PKR 1,400,000.00
Fixed assets PKR 9,219,000.00 Land PKR 2,000,000.00 Buildings PKR 2,100,000.00 Improvements PKR 500,000.00 Equipment PKR 3,299,000.00 Furniture PKR 120,000.00 Motor/vehicles PKR 1,200,000.00
Total assets PKR 36,907,500.00 Liabilities
Current liabilities PKR 3,507,500.00 Accounts payable PKR 3,500,000.00 Interest payable Taxes payable Income tax Sales tax PKR 7,500.00 Payroll accrual
Long-term liabilities PKR 33,400,000.00 Borrowings PKR 500,000.00 equity PKR 32,900,000.00
Total liabilities PKR 36,907,500.00 Net assets PKR - Owner's equity Does not balance by $120,200
Retained earnings Current year earnings PKR 120,200.00 Total equity (should equal net assets) PKR 120,200.00
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Slim Cola
Cash Flows Statement:
Starting cash position PKR 25,519,000.00
Incoming
Cash sales PKR 1,000,000.00Collections from accounts receivable
Other cash receipts PKR 500,000.00Total PKR 1,500,000.00Outgoing
Fixed costs PKR 280,000.00Administration PKR 120,000.00Marketing PKR 125,000.00Operations PKR 35,000.00
Variable costs PKR 63,000.00Administration PKR 10,000.00Marketing PKR 50,000.00Operations PKR 3,000.00
Total PKR 343,000.00Result
Change during month PKR 1,157,000.00Closing cash position PKR 26,676,000.00
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Slim ColaMarket Research Data
Water is an essential need of the human body. Most of the biological functions are based on appropriate consumptions of water per day (eight glasses for a normal human being). Its shortage (Dehydration) leads to problems like malfunctioning of kidney and excretion problems etc. slim coal is developed as an alternate to meet the body’s fundamental requirement for hydration.
The first commercial artificially carbonated water product dates back to late eighteenth century. Recommended for the consumption of lemon juice and soda water for stomach, it was sold in tightly corked glass bottles.
Early effervescent drinks were manufactured by mixing sodium bicarbonate solution with lemon juice or lime juice. This mixture can cure scurvy and therefore became a very strong reason for its use in on board a ship. Thus were used for medicinal pedigree to a greater or lesser extent. Examples include quinine tonic water, used as a cure for malaria in tropical regions.
Slim cola is an effective natural formula to reduce obesity and weight by reducing caloric intake. It is used as a replacement for a part of the total daily diet and provides all the basic daily nutritional requirement of the body. It also helps in bringing down the upper limit of total cholesterol and LDL- cholesterol to the normal rang. It is mainly composed of basic food ingredients.
Project brief (Local/International perspective):
Obesity is the most common disorder of slimming diets at the present time and is the main cause of many health problems like heart diseases, high blood pressure, diabetes and also kidney diseases. The main reason of obesity is an imbalance between energy intake and Energy output causing a large accumulation of fat in the body. In order to control obesity, caloric intake is reduced while maintaining the daily nutritional requirements of the body. Currently in the local market, most of the slimming diets available are pharmaceutical based with some kind of medicines in them and not many food based diet are available. Moreover, most of the diets are imported from different countries. Therefore, slim cola diet product is developed using low cost raw materials without the addition of any kind of medicine. Hence it imparts no side effects.
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Slim ColaSummary
We are producing beverage products (Slim Cola) which makes the human slim and smart. We have ingredients included in our drink which help us to achieve our purpose. We projected to lounge our product in international market because to look slim and smart is desire of majority of people in this world. Our target market are multicultural men and women ages 18 – 38 years who desire to maintain a healthy lifestyle, achieve their ideal figure, and look to dieting as their solution. We deem coca cola Company as our major competitor. Our expected gross profit margin and net profit margin are 43% and 8% respectively. We use the hongma machinery for our slim cola production.
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