Company Write Up

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Coca Cola India

Basic facts about the company:

▪ Returned to India in 1993 after 16 years.
▪ During the past decade Coke has invested more than $ 1 billion in India. ▪ The Coca-Cola system in India comprises 27 wholly owned company-owned bottling operations and another 17 franchisee-owned bottling operations. ▪ Entered India by taking over Parle's brands.

▪ Coke's main brands include:
o Coca Cola, Sprite, Fanta, Thums Up, Maaza, Kinley water ▪ Other brands:
o Shock and Sunfill
▪ In 2003, collected the Advertiser of the Year and Campaign of the year awards for the 'thanda matlab coca cola' ad. ▪ By the end of 2003, Coke's consolidated market share stood at around 50% in the Indian soft drink market while the main competitor Pepsi was marginally behind at 46%. Worldwide Coca-Cola's market share is 44% while PepsiCo's is 32%. ▪ CEO - Sanjeev Gupta, took over in July 2003

Coke's values:
People, Quality, Integrity, Image, and Diversity

Coke's Strengths:
▪ One of the strongest brands in the world. Brand name alone worth about $69 billion. ▪ Bottling system, gives advantages of a global scale while maintaining a local approach by having local bottling plants. ▪ Extensive Distribution system

Recent News:
▪ In August 2003, Centre for Science and Environment (CSE) revealed in a study that a "cocktail of pesticide residues" are contained in the soft drink brands belonging to Coca-Cola and Pepsi, and they were accused of following double standards in India and the US. Later a study conducted by the Kerala Pollution Board gave them a clean chit. ▪ In the process of launching new pricing strategies - using the affordability strategy, by providing more value for money. E.g 600ml for Rs.15, Maaza - Rs. 6 for 200 ml. Plans to invest $70 million in pushing affordability.
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