pepsico summer training report

7/28/2019 Pepsico Summer Training Report

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DECLARATION

I here by inform that this project is result of my own

work in the partial fullfilment of academic

requirement. It is sole property of SAROJ INSTITUTEOF TECHNOLOGY AND MANAGEMENT,

LUCKNOW and it is not allowed to be used, copied or

edited by any person a prior written permission has to

be taken from the appropriate authority.

ASHISH SRIVASTAVA


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AC KNOW LEDGEMENT

At the very outset of engaging myself in to the Project Report. I

would like to express my sincere gratitude to all those who extended their

not only to convey their best wishes but also to give me support on this hi-

undertone path. This Project Report on my eight weeks practical training in

KTL Pvt. Ltd.Lucknow is a part of my course curriculum of my MBA.

This project could not have been completed without timely

suggestion advice and co-operation of a lot of persons.

I am extremely thankful and pay my gratitude to Dr. Sanjay

Ojha(Director, SITM), Mrs. Shilpee Adhikari (HOD),Mr.

Gaurav Bajpai (Dept.HOD) and Ms. Pallavi Goel (Lecturer) SAROJ

INSTITUTE OF TECHNOLOGY AND MANAGEMENT, LUCKNOW

for his valuable guidance and support on completion of this project in its

presently .

I am greatly obliged to Mr. Anil Dube (Sale Manager, KTL Pvt.

Ltd. Lucknow) who accommodated me for training in this esteemed

organization.

I also acknowledge with a deep sense of reverence, my gratitude

towards my parents and member of my family, who has always supported

me morally as well as economically.At last but not least gratitude goes to all of my friends who directly

or indirectly helped me to complete this project report.

PREFACE


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There is a famous saying The theory without practical is

lame and practical without theory is blind.

This modern era is era of consumers. Consumers satisfy

themselves according to their needs and desires, so they

choose that commodity from where they extract maximum

satisfaction.

It has been identified that in the beginning of 21st

century the market was observed a drastic change. The

successful brand presents itself in such a way that buyers buy

them in special values which match their needs.

Marketing is an important part of any business and

advertisement is the most important part of marketing.Summer training is an integral part of the MBA and

student of Management have to undergo training session in a

business organization for 8 weeks to gain some practical

knowledge in their specialization and to gain some working

experience.

Our institution has come forward with the opportunity

to bridge the gap by imparting modern scientific management

principle underlying the concept of the future prospective

managers.

To the emphasis on practical aspect of management

education the faculty of SAROJ EDUCATION GROUP h a s


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with a modern system of practical training of repute and

following management technique to the student as integral part of

PGDM. in according with the above obligation under going

project in Lumbini Beverages Pvt. Ltd Lucknow. The title of

my project is A Brief Study of Effectiveness of Channel of

distribution of Pepsi product in Lucknow

Certainly this analysis explores my abilities and strength to

its fullest extent for the achievement of organization as well as mypersonal goal.


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TABLE OF CONTENTST it le page no. Declaration..i Acknowledgement..ii Executive

summaryiii Prefaceiv

Introduction to the Study5 - 11

Objective of the Study

Importance and relevance of the Study

Scope of the Study

Introduction of the Soft Drinks in India..12-22

History of Soft Drinks in India History of Pepsi Production Process

Product Manufactured and Main Consumer

Organizational Structure.23-27

History and Organizational Structure of LumbiniBeverages

Pvt. Ltd. Lucknow

A Theoretical frame work of Channel of distribution28-32

Channel of distribution of Lumbini Beverages Pvt. Ltd. ..33-55

SWOT Analysis56-58

Research Methodology used in the study.59-60

Data analysis and interpretation..61-74

Findings.75-76

Suggestions & Recommendation77-78

Limitations..79

Conclusion 80-81


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Bibliography82

Annexure..83-84

INTRODUCTION


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INTRO DUCTIO N TO THE STUDY

So there can be a satisfaction from the organization side and

When Mr. Rajeev Gandhi came into the power as Prime Ministerof India, then it was expected the liberalization of Indian

economy. This was the expectation of his modern concept

regarding every walk of life. When Pepsi has appealed on our

collective consciousness of few years ago to be more exact in

April 1989. When it set up operation for beverages snack foods

and export business. The establishment of Multinational

Company Pepsi was supposing to prediction in present Indian

business scenario.

Despite love for ones own motherhood and traditional

concept of Indian people it was assumed that it is very hard to

make and create taste and preference about soft drinks but despiteof having so many confusion, no one was able to assume

such a wide acceptance and it was PepsiCo. Who could be able

to penetrate in Indian soil and it was the Pepsi that has got not

only a place in Indian hospitality, but also taken place of


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traditional sharbat of lemon and sugar. And needless to say

Generation next has become the slogan of the day.

The first managing director was Mr. Ramesh Vanagal but

present is Mr. P.M. Sinha in India. During these years beverages

begin an exclusively franchise operating beverages now has five

company owned bottling operation (COBO) the business expects

to grow three times faster than the industry growth rate 1995 and

its vision is to become INDIAS BEST CONSUMERPRODUCT COMPANY in all aspect. The snacks business

has seen some major success and going for leadership too. Pepsi

is a leader in the snacks food business. The division plans to

introduction wide range of snakes in to Indian market in the next

three years. The restaurant business has also come Kentucky

Fried Chicken (KFC) has opened its first outlet at Bangalore Pizza

but it also expected to open restaurants shortly city wise. Whole

of the operations of Pepsi in India has made a rapid change in

Indian life style, which is resulting in fast food life.

Pepsi is a world leader in restaurant & soft drink whether it

is in London or in Ludhiyana, America or Ahamedabad,Berlin or Bombay, Paris or Patna, Manchester orMadras.Pepsi company has pumped in Rs. 300 crores ($ 95 million) as

fresh capital and has recently received permission from the foreign

investment board in Rs. 300 crores ($95 million) more. The

investment phase will continue and could add unto Rs. 700 crores

over the next three years. The figure is not cast in stone if


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volume exceeds according to expectation. They will increase

capital expenditure.

Apart from these things there is an expression which can

not verify easily that is Pepsi has made qualitative gains. The

foremost is its image from being perennially seen as a loosing

company its now got the image of being a winner. This major

turn around is not small achievement considering that since it was

established in 1989 taking the hard ship route prior toliberalization and weighed down by export commitments? Pepsi

has won more battles than it has lost.

In April 1993 Voltas and Punjab Argos stakes

were bought over converting Pepsi foods from a three way joint

venture to be a fully owned subsidiary week bottlers who did not

have the financial capacities were given massive support in the

form in interest free loans to upgrade their operating capacity . But

the strategy which has proved to be winner was the position, Pepsi

decided to take in Company Owned Bottling Operation (COBO).

For this another subsidiary PepsiCo. India holding was set up as

an investment vehicle, capitalized 95 million dollar. Within a

year 1994 Pepsi has bought over 5 bottlers including dukes in

Mumbai, which was running in Maharastra which has been

bought over from Voltas high speed imported lines with a speed

of 600 bottles per minute.


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OB JEC TIVE OF THE STUDY

Management is a course which teaches the student to get thework done properly from different available sources viz. man,

machine, material, money etc. the workers side who play a

significant role in achieving success. So far the fulfillment or the

management course, it gives emphasis to project work and

students learn how to plan in practical terms rather in terms of

theory only. Student tends to develop analytical and problem

solving skill. We necessary become motivated and competitive,

in fact all the learning that goes on for the two year term become

so much the part of our thinking that we developed a well all

rounded personality.

The following are the objectives and purpose of the study-

To know about awareness of the PepsiCo products of

Lumbini Beverages Pvt Ltd.

To know about the factors affect the sale of the Pepsi

product of Lumbini Beverages Ltd .


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To know about the PepsiCo brand product available in

the outlet.

IMPORTANCE AND RELEVANCE OF THE

STUDY

Cold drinks were started with the idea of quenching the

thirst of the persons traveling. It was also felt that reliable goodwater was not available everywhere. So people would really on

their packed bottle and with this idea its makers made these

drinks available mostly, at those places where water was not

available i.e. on highways and long distance trains.

But slowly and slowly with its beautiful taste these become

very popular and now they are available not only in the market

and street corners, but also people have started keeping it in their

house.

The credit of popularizing the soft drink goes to Coca Cola.

This was the drink which is liked by all ladies, gents and

children. Now days soft drinks are quenching thirst looks more

often; they are taken due to habits.

Gold Sport is considered as the first branded soft drinks,

established 53 years ago before all empowering Coca Cola faced

competitions and its euphoric image built up in the western

countries helped it get ready clientele and clamor. Parle Export


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Pvt. Ltd. is regarded as the first Indian Company introducing

Limca a leman drink complementary to it this has also

introduced Cola Pepone which was withdrawn in the face of

tough competition from Coca Cola.

When Coca Cola bid a Farwell in 1977, Indian market was

open for various new forward publishing different brands in the

markets. Parle people introduced their Cola, Thums Up with a

mighty saying Happy days are here again as if happy days wentaway with Coca Cola. Pure drinks of Delhi also w i t h o u t lasing

much introduced pure drinks were producing and marketing Coca

Cola earlier Campa Cola with Campa orange and Campa lemon.

Modern Bakeries entered the market with Double Cola Seven,

Mohan Makings with Merry & Plkup and McDowell with Thrill,

Rush and Sprint. This is Indian market where there was no

competition and high voltage advertising was on each one was

trying their best to become number one company with A class

product in the field of Soft Drink business. Now after a long gap

government of India had given permission to Coca Cola, which

joined with Parle to do business in India. They are trying their

best to regain prestige which it had before. The much rival of

Parle is Pepsi an American concern. It started business on the

Indian soil just a few years ago.


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Today, it has occupied 62% shares of Soft Drinks market in

India. Now Pepsi is going all out to prove that they are the best.

But now due to some factors competition

among them has become stiffen. So in this way the importantactivities have increased.

SCOPE O F THE S TUDY

The main scope of this study is to ascertain the

effectiveness of channel of distribution and various methods to

increase the sales volume of the concern. The methods include

regular information to the buyers creating a brand position in the

market and taking

measures to make the brand remain in its position. One of the

important aspects of this

study is also to increase the market segment for the product.


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INTRODUCTION TO THE SOFT DRINK IN

INDIA

History of the Soft Drink In India

History of Pepsi

Production Process

Product Manufacturing and Main Consumers


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Profile of Pepsi International

Pepsi is situated at Somers New York in U.S.A. Indra K Nooyi

is chairman and CEO of Pepsi.


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Calab bradham A North Carolina pharmacist concocted Pepsi-cola in

the year 1890 as a cure Dyespsia (indignation), in 1903, business

strategy worked & in 1905 he built in 1909 he had a New York

auditing agency. PepsiCo Food & Beverages International, a full

fledge co. earn s more then half of its global revenues from snack

foods & fast foods. PepsiCos major Business includes Pepsi foods,

KFC, pizza hut, taco bell & California pizzas is a world leader in

restaurant business also. PepsiCo gained entry to India in 1988 by

creating a joint venture with the Punjab government-owned Punjab


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Christopher Columbus as a traveler of world found a lot ofnew things which was not in the eye of the world community

which is now in our history but now if any one does travel to

whole part of world to get one thing in some form that is Pepsi.

Travel to any corner of the globe you are sure to spot a label

splashed in blazing blue, red and white becoming you to some

Sugared water. This dark coloured drink WillyMilly has today

become nothing but spot of an international anthem with young

and old, rich and poor wants for a sip and saying Yeh Dil Mange

More.

Gold Spot is considered as the first branded soft drink

established 53 years ago before all empowering Coca Colaentered the country to dominate the scene. It faced no competition

and its euphoric imaged built up in the western countries helped

it to get ready clientele and glamour. Parle Export Pvt. Ltd. Is

regarded as the first Indian company introducing Limca, a lemon

drink complimentary to there well established Gold Spot in 1970

which got moderate success. However, before this, he had also

introduced Cola Pepino which was withdrawn in face of tough

competition from Coca Cola.

When Coca Cola bid farewell in 1977, Indian market was

open for various cold drinks several companies came forward

publishing the different brands in the market. Parle people


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introduced their Cola Thumps Up with a mighty bang saying

Happy days are here again as if happy days went away with

Coca Cola.. Pure drinks of Delhi also without losing much time

introduced pure drinks were producing and marketing Coca Cola

earlier Campa Cola along with Campa orange and Campa lemon.

Modern Bakeries entered in the market with the Double Seven.

Moharn meakings with Merry Pikup and McDowell with Thrill,

Rush and Sprint in Indian market where there was nocompetition previously. A cut throat competition and heavy

advertising was on. Each one was trying their best to become

the number one company with A class product in the field of

soft drink business in India.

Now after a long gape the govt. of India has givenpermission to the Coca Cola to start their business in India.

HIS TOR Y OF PEPSI


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PepsiCo is a USA based company having its head quarters

at New York with the net worth of $30-40 million. The average

sales of the company are approx 90 million bottles per month.

Pepsi made it first international move in Russia in 1959. During

the Khrushchev era, within 32 years Pepsi emerged as the biggest

competitor for Coca Cola. Pepsi is available in 155 countries.

In any soft drink, on the globe Pepsi food is one of

the largest soft drink companies in the world with its headquartersin New York. It was invented by Pharmacist Culab D. Baradham

in 1898 to cure the disease Dyspepsia. It is from this word that

its name was related to Pepsi. Soon it entered the American

market as soft drink, which at that time mostly dominated by

Coca Cola, but soon Pepsi able to dominate the Cola market,

and there after it never looked back. Pepsi and Coca Cola are

engaged in ferocious cola war that has taken the whole world by

storm.

Pepsi entered the Indian soft drink in Kanpur in 1988 and

began its production in May 1990 and soon it was giving the

local contenders run for their money in soft drink market. It

comes out with dazzling marketing innovation that rocked the cola

market, like selling th e product throug h funct ion Pepsi

outlet s . Its adv er ti se me nt age nc y was Hindustan Thomson

Association (HTA). Its advertisement budget for 1995-1996 was


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valued at Rs. 24 crores which is likely to be increased manifold in

coming years.

Pepsi food is one of the largest and best foreign investments

in India. Till today it has invested Rs. 500 crores in India to

develop the local market. Pepsi has distributed exclusive

franchises in India to bottle its total product. There are 28 bottling

plant of Pepsi in India. Some are directly controlled by

Pepsi and rest is under various franchisees.In April 1997 the Pepsi cola international decided that Steel

City Beverage will cover south Bihar (now Muzaffarpur) only.

In this accordance Pepsi cola international decided to open

another bottling plant at Hajipur named Beverages Pvt. Ltd.

Hajipur which will distribute Pepsi product in whole Bihar.Ananda Marketing as a marketing division of Lumbini

Beverages Pvt. Ltd. Hajipur started functioning in April

1997; Managing Director of Lumbini Beverages Pvt. Ltd.Hajipur is Mr. Charan Khelani.

The director of this organization Mr. Ravi Khelani and Mr. Manoj

Khelani


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PRODUCTIO N PROC ESS

The process of manufacture of Aerated water (soft drink) like

Pepsi brand product is divided into mainly five parts such as

1. Water Treatment2. Syrup Making

3. Bottle Washing

4. Filling

5. Testing of Product

(1) W ater T r eatment: - Water treatment is very essential in softdrinks plants as the nature and quality of water varies fromplace to place. To set uniform and standard water theprocess of treatment is carried on. The water taken outfrom bore well by the help of motor pump and pipe line are

collected in storage tank where is pre chlorinated bychlorinators and by the help of pipe lines comes totreatment tank called coagulation tank where to this watersolutions of different strength of bleaching powder, ferroussulphate, hydrated lime are added through dosing pump toreduce alkalinity, hardness, kill the bacteria .The chemicalare mixed by mechanical stripper and then the suspendmattress settle down as sludge and clear water passes to

retention tank. From this tank, the water passes through


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sand filter containing fine sand and pebbles and carbonfilter containing granular carbon and finely through water

polisher, micron filter, and UV lamp to ensure clear andsanitary water for use. Further water used in bottle washerand boiler need softening .for this purpose ,the water fromstorage tank ,after passing through two filter beds containfine sand and granular carbon respectively comes to passthrough bad resin were it is softened .this soft water isessential to use in and bottle washer to reduce scaleformation inside the machines.

(2) Syrup Making:- For syrup making of particular brand,calculate quantity of sugar water activated carbon and highflow super cell known as filter aid taken in to sugar to entersteam and also filled by a motor with agitator. Sugarsyrup called raw-syrup is prepared by dissolving the sugarwith continuous stirring and heating by steam supplied byfired boiler. This hot syrup by the help of pump is filtered

through a filter press attached with a series of qualityfilter paper to separate out carbon particles. Clear hot syrupby the help of SS pipe lines passes through water P.H.E. forcooling and the then another P.H.E. circulated by glycol forfurther cooling. The chilled syrup comes to a mixing tankto use calculating of sugar quantity by Brix Hydrometer,concentrate added and mix thoroughly by a mechanicalStirrer fitted to the tank. This syrup is now finished syrup

ready for use. The concentrate mainly, the liquid partare kept in a cold store, the temperature of finishedsyrup is also maintained by air-conditioner. All thecontainers used for syrup making are cleaned and sanitizedby Soda-Bi-Crab, strong chlorine solution and hot causticsoda solution.


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(3) Bottle Washing: Bottle washing is an important part in soft

drink plant. The empty durable and returnable bottle used

are returned from market in plastic carats are fed to a bottlewashing machine (washer). The machine has double endsystem with circular chain to carry the bottles.Caustic soda Tri-Sodium Phosphate, Sodium Glausonateis adding to the caustic by the supplied. The Caustic tankfilled in with water heated by steam supplied by the boiler.The empty bottles enter to the hot Caustic tank in one endand after being cleaned by hot Caustic solution and finallywashed with water through spray jets fitted are dischargedin other end. The washed bottle proper inspections are SU319 and SU 853 used for conveyor cleaned and smoothrunning of chain carrying bottles.SU 260 and SU 773 is used for bottle cleaning, shining, andmold removing.

(4) F illin g : - Finished syrup and treated water lime arecommixed to a dosing pump which mixes syrup and waterwith ratio of 1:5 and the syrup mixed with water enters tocarbonator tank to mix CO2 gas, which is preserved incylinder for use. The cylinders are connected throughCO2 manifold to tank to use requisite quantity of gas.

To control CO2 pressure and temperature of liquid; weused recording control (Taylor). The syrup passed througha P.H.E. which is called itself by circulation of chilledglycol supplied chilling F-22 gas used. The syrup being chilled easily mixedwith CO2 gas and enters to filter for bottling. The filter is connected with

filling valves and lift cylinders. The lift cylinder functions by pressure of air

supplied by an air composer. The syrup is known as beverage in this stage is

filled in the cleaned bottles which are durable in nature and returnable by buyer

filling machine (filter) by a counter pressure of carbon dioxide gas. After


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beverage filled in bottle it goes to the crowner where with the help of crown

crocks the bottles are sealed (crowned) to project the carbonation, flavor,

outside contamination and spoilage. The finished products are coded by a

coding machine and inspected properly by inspection light while passing

through the conveyor where finished product are accumulated enters to carat

washer machine and it is washed moves through the conveyor where finished

product are accumulated.

(5) Testing of product:- Finally the finished syrup during

bottle is tested in laboratory to meet the parameters and

also to get a standard and quality products to maintain the

standard and information and uniformity in products the

sugar contents and carbonation in the bottle are checked in

regular intervals by Brix- hydrometers, Refrectometer and

pressure gauge. The dead weight tested is used to calculate

pressure gauge to know the correct pressure . TA & Ph aretested by digital Ph meter. Electronic digital balanced is

used to weight chemical to conduct test in lab. The purity

of CO2 is checked by CO2 purity tester.

The chlorine comparators. The microbiology test of the

product and water used in syrup making and production are

also done to ensure that the product is free from any

bacteriological contamination. To conduct the micro

test hot sterilizer incubator, autoclave, pads filter

membranes, media are produced and used.


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The Diesel generator is operated in case of electricity

failure for smooth operation of the plant. To drawn

electricity for the State Electricity Board the transformer is

used.

The s teps i nvo lved i n the Product ion Proce s s are:-

First the fork lift supplies the empty bottles which are

collected from the distributions.Then depalletising is done i.e. separating cases filled or

empty bottles from the wooden planks.

Uncasing is done by separating empty bottles from thecases/carats.

Empty bottles are then fed into the bottle washer wherestream with some chemical is used for washing.

Washed bottles are then send to the filler where premix

(Composed of syrup, treated water bulk CO2) is filled in it.

The whole concentrated is chilled with glycol before

filling and then crowning is done.

The filled bottles are passed through inkjet coder for

printing price and date.

Then again the filled bottles are send for final light

inspection and from there they are collected on a table.

Lastly the filled bottles are arranged in the crates (casing) and then

palletizing is done for storing it in the warehouse.


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PREPARATION OF SYRUP

Treated water + Sugar = Flavor

PRO DUCT MA NUFAC TUR ED

The product manufactured by Lumbini Beverages Pvt.

Ltd. are very limited ranges as it is not independent to diversity

its products. It is a unit of Pepsi food Pvt. Ltd.

which supplies concentrates for drinks. They are:-

Products Quantity Colour Flavour


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Pepsi

Mirinda

MirindaMirinda

7 Up Mountain

Dew Slice

Lehar soda

Pet

Pet

Can

Aquafina

(Mineral Water)

300 ml, 200ml

300 ml, 200ml

300 ml, 200ml

300 ml, 200ml

300 ml, 200ml

300 ml, 200ml

300 ml

300 ml

1.5 lt.

2 lt.

330 ml

1 lt.

Brunt sugar

Sun-set

TetrazineTetrazine

Colorless

Colorless

Sunset

Tetrazine

Brunt sugar

Brunt sugarBrunt sugar

Colorless

Cola

Orange

LimeMango

Lemon

Lemon

Mango

Lemon

Cola

ColaCola

White

C ONSU M E R S

The main consumers of these products naturally areyouth. Besides the direct consumer it is also used for the some

purpose of providing it to the mass by hoteliers, restaurantowners and various other soft drink peddlers. These products arethe choice of the new generation. Thus it can be said that it is aproduct of mass consumption.


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HI ST O R Y AND ORGANIZATIONAL ST R UCTU R E OF

L UMBINI BEVER AGE S PVT. L TD.

Hi s tory of Lu m b ini Beverages P vt. Ltd.

Steel City Beverages Pvt Ltd. is situated at Adityapur

Kandra Road in Jamshedpur. Rushabh Marketing Pvt. Ltd.

is the marketing division of Steel City beverages. Steel City

beverages Pvt. Ltd. is a mother unit and its whole marketing


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activities are done through Rushabh Marketing Pvt. Ltd. Steel

City beverages is one of the Pepsi foods Bottling plants in the

country and one of the three in Eastern India. The other two

Calcutta and Guwahati. But from 01-04-1997 Pepsi Foods

Ltd. India determines to open another bottling plant which is

situated at Hajipur namely Lumbini Beverages Pvt. Ltd. It is

only for North Bihar.

Steel City beverages Pvt. Ltd. was established by LateMr. Dharam Chand

Kamani in the month of June 1967. The machineries of its mainplant were imported in

1968 and production started in March 1969.

Before the establishment of Steel City beverages Pvt. Ltd.Coca Cola was not much popular among people of Bihar state as

pure soft drink. Because at that time the bottles of Coca Cola was

supplied by the outsiders who were unable to make Coca Cola

popular in Bihar. So after considering the needs and desires of

people Mr. Dharma Chand Kamani brought in Bihar. With this

effort Coca Cola become popular among the people of Bihar.

But in 1977 due to the sudden change I the policies of the

Government the import license for the concentrate of Coca Cola

was stopped. So Steel City beverages Pvt. Ltd. had to walk over

to Indian Concentrate Companies. They were modem food

industries supplied concentrate of double seven and non ice


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cream soda. In 1983 the company introduced a cola drink

THRILL of Mc-Dowell & Co. Ltd. in the place of Double

seven and triangular and in the very next year two soft

drink RUSH an orange flavored and SPRINT as lemon

flavored of Mc-Dowell & Co. Ltd were introduced.

Before some months Ananda Marketing Pvt. Ltd. was the

marketing division of Lumbini Beverages Pvt. Ltd. But at this

time, Lumbini Beverages Pvt. Ltd. is doing marketing with its

own name.

Thus it can be seen that Lumbini Beverages Pvt. Ltd. has

made tremendous move towards the introduction and

development of soft drinks industries on the whole, and North

Bihar in particular. It has made production of perfect hygiene and

standard Soft

Drink as main objective.

An ideal organizational structure facilities management and

the operation of the enterprise and it help the organization in

achieving its goal.

In a simple term in various parts or component are

interrelated or interconnected and this way it is the established

pattern or relationship among various function of the

organization in the established manner.


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The managing director holds the top position. At present, the

managing director of Lumbini Beverages Pvt. Ltd. is Mr. Charan

Khilani. But the overall policies regarding management decisions

and all executives function or performance look after by the day

to day decision and general administration as well as management.

The MD has given the power of attorney and authority to director

Mr. Ravi Khilani. Mr. Ravi Khilani who is well advised by the

MD.The director Mr. Ravi Khilani looks after all functional

departments that sales production, account, personnel and

purchase. Though the manager all the functional departments

has specially designated as head of personnel department.

Every department has to report directly to the

managing director and is responsible to his only for working in

spite of this all departments is under the control of the director

Mr. Ravi Khilani. Because he is the Chief Executive of the

company cited

earlier. The overall organizational structure can be shown as:


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OVER ALL ORGANIZATIONAL

STRUCTURE OF

LUMBINI BEVERAGES PVT. LTD.


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The marketing manager is in charge of all marketing activities

i.e. sales promotion, publicity and advertisement, marketing

study and shipping. But the main function of the marketing is to

exercise the control over the channel of distribution.

The marketing manager is assisted by sales executives, city

sales executives and rural sales executives and sales executive of

shipping department as follows:-


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FRAME WORK OF CHANNEL OF

DIST RIBUT ION

A THEORETICAL FRAME WORK OF

CHANNEL OF DISTRIBUTION


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Marketing channels are sets of interdependent

organization involved in the process of making a product or

service available for use or consumption.

The main objective of the marketing process is to distribute

the products to the actual users. This function involves a

number of sub-functions to be performed by a producer or

manufacturer. These two functions are most important first, the

creation of demand is made through the process of advertising andsales promotion activities. On the other hand the distribution

through the channels of distribution. The decision relating to the

channel of distribution is a very important decision from the

firm point of view because the selected channels affect

considerable other marketing decision. Such decisions are of

long term nature and exercise their impact on the cost structure

of the firm also.

By channel distribution mean the intermediaries or the

process through which the goods products are transferred from the

producer to the ultimate users.

Now a day any of the producers possibly do not sell their

goods directly to the final users. There are a lot of intermediaries

between producers and consumer, bearing a variety of name

performing various k inds of funct ion . Some

intermediaries l ike wholesalers and retailers buy and resale

taking the bill. They are known as merchant middle men and


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other are brokers, representative sales agent who seeks or search

for customers and negotiate on the behalf of the producer but do

not take of goods. These are called as middlemen.

The manufacturer and its distributive outlets share common

objective to sell the manufactured products at a profit. No doubt

its objective differs with the marketing circumstance. Even

though many variation of specific objective fits into some

categories. These are as follows:- To built distribution network loyalty

To stimulate distribution

To develop managerial efficiency in distribution organization

The channel of distribution is a structure which organized and

presents a choice among alternative channels of distribution of the

different marketing situations faced by retailers, whole sellers and

producers with in the structure. It may be considered as a series

of function which must be performed in order to make producers

efficiency.

To bearing maximum profits of all institutions concerned a

channel of distribution should be treated as a unit of total system

of action. The activities of the manufacturer need to be

coordinated with these middlemen used in the distribution of given

product.


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The important of middlemen in channel of distributional can

be over emphasized. It is that who-

1. Collects concentrate the output of various producers,

2. Subdivides these into lot desired by the customers gathers

various items together in the assortment wanted and

3. Disperses the assortment to consumer industrial buyers.The role of middlemen that of specialist in concentration

equalization and dispersion besides he side in the creation of thetime from and procession utilities.


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DECISION MAKING FOR CHANNEL DISTRIBUTION

The marketing executive must undertake to following stepsin order to establish

the channel of distribution for a company.

1. He/She must understand the retail and wholesales market

and type of middlemen available in both.2. He/She must understand the various conflicts which

continually exist between and within the channel.

3. He/She must select the general channel to be used keeping

in mind the goals of the company marketing programme and

the job to be done by distribution system.

4. He She must take decision regarding be intensity of the

distribution (i.e. The number of middlemen) to be used each

level and each market.

5. He/She must select the specific firms which will handle

his product and then manage the day to day working

relationship with them.6. He/She must determine the methods and the procedure in

firms (i.e. use of the transportation and warehouse facilities

and services in firms making programme) in the physical

distribution of the product.


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Types of Marketing Channels

1. Direct marketing channel: A marketing channel that has nointermediaries level

2. Indirect marketing channel: Channels containing one ormore intermediaries

Customer Marketing Channels

Channel 1. Manufacturer..Consumer

Channel 2. ManufacturerRetailerConsumer

Channel 3. Manufacturer...Wholesaler.RetailerConsumer

Channel 4. Manufacture.WholesalerJobberRetailer.Consumer


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C HA NNEL DYNA MIC S

Distribution channel do not stand still. New wholesaling

and retailing institution emerge and new channel system evolves.

There are four types of marketing channels.

1. C onvent ional D is tr ibut ion C hannel

A Channel consist one or more independent wholesaler and

retailers. Each is a separate business seeking to maximize

its own profits even if this goal reduces profit for the

system as a whole. No. Of channel members has

complete or substantial control over the other members.

2. V ert ical Market ing C hannel

This is most recent marketing channel. A distribution

channel system as producers, wholesaler and retailers act as

unified systems. One channel member, the channel captain

owns the others or franchises them or has so much power


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that they all co-operate. The channel captain can be the

producer, the wholesaler or the retailer.

3. H or izontal Market ing C h a nnel

A distribution channel system in which two or more

unrelated companies put together resources or programmes

to exploit an emerging marketing opportunity.

4. Mu lti C hannel Market ing

In the past, many companies sold to single market through asingle channel. Multi channel marketing occurs when asingle firm uses two or more marketing channels to

reach one or more customer segments.


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These distributors selected on the basis of assurance given

by them regarding the minimum sales which they have to

maintain annually. The selection is also done on the basis of the

financial position and reputation of distributor in the market. As

for example in appointing a distributor first engaged in soft drink

business second priority is given to those people who are in

cigarette selling business. Depending upon the market, each

distributor in the initial stage has to deposit some security money.

The retailers are selected by the distributor fixed criteria for the

selection or appointment or retailers from the side of the

distributor. Any one li ke Panwala , Cigarettewala or any other

shopkeeper can have the stall for the sale of soft drinks and they

are called retailers or outlet owners. They have to give assurance

to the concerning distributor for better sale and at the time of

taking delivery they have to deposit the security i.e. the charges if

the empty bottles with specified retailers purchasing price. The

charges if the empty bottles with specified retailers purchasing

price. The distributor at first has to seek the permission of salesdepartment for the number of cases of soft drinks required by

them. After getting the proper authority from sales department

paying therequisite amount either cash or demand draft.


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W A R E H OU SI NG

Every company has to store its finished goods until theysold. A strong facility is necessary because production and

consumption cycles rarely match.

Warehousing is not a simply storing activity but a

package of services that enables the smooth running of the

industry.

The stores must be in constant touch with the use

department in order to provide uninterrupted services to the

manufacture and its decision since working capital is locked up in

the warehousing stores in equal to money.

The stores functions can be organized in the

following manner:-a) To receive raw material components

equipments etc.

b) To meet the demand of use department by

issuing the order

c) Accounting the transaction properly.

d) Minimizing obsolescence surplus and scrap by right

identification and using correct preservation method.

The company supply finished products frequently to

different distributors as per the demand.


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Every distributor keeps a minimum stock of different

products of the product line so that the uninterrupted supply could

not affect.

In the industrial sector service of optimization where boils

down to any exercise of optimization where limited available

resources are to be distributed equitably.

The problem arises from the material that are in stock the

form of capital cost, storage loss, pilferage obsolescence,insurance, handling, documentation etc. Services level that can be

maintained and hence the concept stores in money should be

understood

by every body in the organization.


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IN VENT ORY D ECISION

(1) Branding and Packaging

Out of the total market activities some are directly

performed and controlled by Lumbini Beverages Pvt.Ltd. itself some are followed according to the

standing instruction of Pepsi Foods Pvt. Ltd.

So far as the process of branding and packaging

is concerned the Lumbini Beverages Pvt. Ltd. Alongwith the authorized bottle in India adopt the same pattern.

(2) Wholesaling

Wholesaling includes all the activities involved in

selling goods or services to those who buy for resale

or business use. Manufactures use wholesalers because

wholesalers can perform function better and more cost

effectively than the manufacture can. These functions are

not limited to selling and promoting, buying and

assortment building bulk barking, warehousing,


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transporting financial risk bearing dissemination of

marketing information and provision of management

services and consulting.

Like retailers wholesaler must decide on target market,

product assortment and services promotion and place. The

most successful wholesalers are those who adopt their

services to meet and target customers needs, recognizing

that existingto add value to the channel.

(3) Retailing

Retailing includes all the activities involved in selling

goods or services directly to find consumer for their

personal non-business use. A retailer or retail store is any

enterprise which sales volume comes primarily form

retailing.

All marketer retailers must prepare marketing plans that

include decision on target market.

So the marketing channels can be viewed as a set ofinterdependent organization with high potential for conflict.Then why would any business chosen to become part of

channel system.


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MARKETING STRATEGY

Marketing Strategy is the complete and unbeatable plan designed

specifically for attaining the marketing objective of the firm. The

market objective indicates what the firm indicates, what the firm

wants to achieves, the marketing strategy provides for achieving

them.

The marketing strategy is not just idea. It is a well outlined plan, andthere are different ways to formulating it. Basically formulating of

marketing strategy consists of two main steps.

Selecting a target market. Assembling the marketing mix. Actually,

the target marketing and marketing mix together constitute the

marketing strategy of the firm.

When the Pepsi food company entered in the Indian soft drink

market, the market was already prevailed by coke and previously it

was Parle. Pepsi tried to establish in India with a unique marketing

policy. Pepsi took into consideration of youth segment target market.

Though the advertisement of Pepsi highlighted the style of living of


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young generation with different walk of life. Pepsi brought in its

advertisement different stalwarts personalities from fields like

young cine stars, sport stars and famous personalities from different

fields. It has attracted the young generation and of course increase

the sale of Pepsi, Pepsi also organized many national and

international sports events to attract the young generation.

MARKETING MIX OF L.B.P.L.

A product, place, price and promotion (4ps) that the firm blends to

produce the response it wants in the target market. These are the

following 4Ps. Products:- That could meet the identified needs of chosen

consuming groups.

Price:- Product price are fixed by company according to

competitors product price.

Place:- It performs various functions like transportation,warehousing, channel management etc. so the product could

easily reach the consumer.

Promotion:- The firm carries out a no. of measures like

personal selling, advertising and sales promotion programmed


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with view to communicate to the consumer and promoter of

the product.

It is the mechanism to achieve the consumptions of marketing

process, striking the level of price that is accepted to the firm as well

as consumer.

PepsiCo Cold Drinks

7UP - Mood Ko Do Lemon Ka Lift

Brand History

7UP, the refreshing clear drink with natural lemon and lime

flavour was created in 1929. 7UP was launched in India in 1990

and its international mascot Fido Dido was used for advertising in

1992 to position the brand as a cool drink for youngsters. Fido

became an instant hit with his trendy look, laid back attitude andrefreshing take on life. During the brands early years in India,

7UP gained market leader status in the lemon lime category by

being one of the first to be nationally distributed as well as being

marketed as a healthier alternative to other soft drinks.

Brand Advantage


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For the past 2 years, 7UPs ambition as a brand has been to

capture and own the lemon refreshment territory within the clear

lime category. Lemon has proven to be a clear and relevant

differentiator for the brand. Further, it has allowed the brand to

ladder up to an emotional payoff of uplifting refreshment.

After establishing itself as The Lemon Drink ", in Jan 2009,

7UP continued to build further on the theme of mood upliftment

with its new tagline "Mood ko do Lemon ka Lift

7UPs brand communication is premised on the products natural

lemon flavor , guaranteed to provide uplifting lemon refreshment

that raises ones spirits.


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Mountain Dew -Darr Ke Aage Jeet Hai

Brand History

The main formula of Mountain Dew was invented in Virginia,

named and first marketed in Johnson City, Tennessee and

Knoxville, Tennessee in 1948.

In India, Mountain Dew set the soft drink category ablaze in 2003

with their iconic launch campaign Cheetah Bhi Peeta Hai.


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Brand Advantage

It is a soft drink that exhilarated like no other because of its

daring, high-energy, active, extreme citrus taste. Challenge, a can

do attitude, adventure and exhilaration is deeply entrenched in its

brand DNA and the brand has always celebrated the bold and

adventurous spirit of the youth.

This exhilaration and excitement of Mountain Dew has always

been reflected in the high-adrenaline advertising of the brand thatconnected it to outdoor adventure.


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Pepsi - Yeh Hai Youngistan Meri Jaan

Brand History

Pepsi is a hundred year old brand loved by over 200 million

people worldwide. The largest single selling soft drink brand in

India is the ubiquitous'socialiser'at every occasion.

Youngistaan loves it. 200 million people worldwide love it. But

what has made Pepsi the single largest selling soft drink brand in

India is actually a formula concocted a century ago in a far away

continent.

1886, United States of America. Caleb Bradman, the man with a

plan, got on to formulate a blockbuster digestive drink and

decided to call it Brads drink. It was this doctors potion that was

to become Pepsi Cola in 1898, and eventually, Pepsi in 1903. Pepsi has always played on the front foot and since its inception

has come out with revolutionary concepts like Diet, 2L bottles,

recyclable plastic cola bottles and the enviable My Can.

Brand Advantage

Pepsi has become a friend to the youth and has led many youth

cultures. Youngsters over the generations have grown up with

Pepsi and share an emotional connect with it, unlike any other

cola brand. Be it parties, hangouts, or just another day at home, a

day is never complete without the fizz of Pepsi!

Pepsi, Cricket and Bollywood have been joined at the hip since

the beginning. Shah Rukh Khan, Sachin Tendulkar, Saif Ali Khan,


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Amitabh Bachchan, Kareena Kapoor, Priyanka Chopra, Virender

Sehwag, M. S. Dhoni, John Abraham, Ranbir Kapoor and

Deepika Padukone are a few celebrities who will go any length for

a chilled Pepsi.

The Pepsi My Can is undoubtedly the most popular cola pack of

all times. It is not just a pack but a style statement for todays

youth.


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Mirinda Weekend Aaye Tho Pagalpanti Chaye

Brand History

Mirinda is an international soft drink brand from Spain that was

launched in India in 1991.

Mirinda has always been about a great irresistible orange taste,

which is now synonymous with the brand. These were

communicated through our great of Mirinda Men in 1996 or

with the campaign of Taste pe Atka, Mirindaaaa in the year

2000 or Taste Aisa Chaye Character Fisla Jaye in 2003.

Mirinda then evolved to ladder up the great taste to great fun with

another spate of memorable campaigns of Fun Ka Naya Mantra,

Mirindaaaaa starring Asin & Zayed Khan in 2007 & Pagalpanti

bhi Zaroori Hai campaign with Asin in 2008.

In 2009, Mirinda became synonymous with Orange as the core

of the brand with the campaign of Orange Dikha toh Mooh Bola

Mirindaaaaa.

Brand Advantage

Now when we think Mirinda, we think orange. But this soft drink

brand has launched many other fruit flavours from time to time;

Mirinda Lemon was launched in 1998 with memorable campaign


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Zor Ka Jhatka Dheere se Lage starring with Amitabh Bachchan

& Govinda. Mirinda has also launched many other flavors like

Apple & Batberry, as innovative flavor offerings for the evolving

consumer.

46

In 2008, the brand decided to up the ante on the brand from a

being led by physical attribute-taste, to deliver a brand philosophy

that resonates with the audience. Now, Mirinda's bold and vibrant

color, great orangey taste and sparkling bubbles encourages one to

be more carefree, spontaneous and playful.

With an endeavor to give our consumers a great tasting product to

delight them continuously, we have reformulated & improved its

taste - first in 1996, then in 2002. And whats more, Mirinda is

now made without any artificial flavor in it!!!


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Slice - Pure Mango Pleasure

Brand History

Slice was launched in India in 1993 as a refreshing mango drink

and quickly went on to become a leading player in the category.

In 2008, Slice was relaunched with a 'winning' product

formulation which made the consumers fall in love with its taste.

With refreshed pack graphics and clutter breaking advertising,

Slice has driven strong appeal within the category.

Brand Advantage

With the launch of Aamsutra campaign in 2008 along with a

winning taste & most appealing pack graphics, Slice created


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disruptive excitement in the category and celebrated mango

indulgence like no other.46

While other players have portrayed mango as a simple and

innocent fruit, Slice celebrates the indulgence and sensuality of

consuming a Mango. The creative idea Aamsutra communicates

the art of experiencing pure mango pleasure through the taste of

Slice.


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Aquafina - The Purest part of you

Brand History

Aquafina was first launched in USA in the year 1994 and with its

unique purification system and great taste; Aquafina soon became

the best selling brand in the country.

In India, Aquafinas journey began with the Bombay launch in

1999 and it was rolled out nationally by the year 2000. On the

strength of its brand appeal and distribution, Aquafina has become

one of India's leading brands of bottled water in a relatively short

span.

Brand Advantage

Aquafina goes through a 5 step state-of-the-art purification

process to give consumers pure water and perfect taste every time.

Aquafina has been built through refreshing and edgy advertising.

The What a Body campaign has enabled the brand to drive

modern, premium, and youthful brand imagery in an otherwise

undifferentiated category.

Bottled across India in 19 plants, Aquafina ensures its availability

across more than half a million outlets. To cater to varied

consumer needs and occasions, it is available in various pack sizes


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like 300ml, 500ml, 1 ltr, 2 ltr bottles and in bulk water jars of

25lts.


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ADVERTISING & SALES PROMOTION IN L.B.P.L.

Advertising and sales promotion activities play a vital role in entire

marketing efforts. Without these aspects a quality product can not

survive in the market. Advertising and sales promotion tools are

most essential for the modern global marketing. This chapter has

therefore been devoted to the studies of advertising and sales

promotional activities in Lumbini Beverage Pvt. Ltd.

The two basic objectives for carrying out such various promotional

activities by Lumbini Beverages Pvt. Ltd. is To generate moresales as well as to create and maintain an image of its product

L.B.P.L. carries out its promotional activities as controlled and

integrated programmes of communication and material design

present its soft drink to the perspective customers. It also helps in

communicating the need satisfying of soft drink to facilitate the sales

eventually to contribute towards the profit in long run.

The tools used by L.B.P.L. for fulfilling the various purposes of

its promotional activities are the following:-

Food N Fizz

Space Club

Payaas bujhao profit badhao


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Agreement

GRB (Glass return bottle).

PROMOTIONAL ACTIVITIES (FOR RETAILERS)

Promotional activities consist of various means of communicating

persuasively with the target audience. The important methods are:

Advertisement:-Where an identified sponsors pays media (such as TV)to transmit to target consumer.

Personal selling:- Where sales representative employed by the firm

engage in interpersonal communication with individual consumers

and prospective customers.

Sales promotion:- Where the market utilizes displays, demonstrations,premiums, contests or similar devices.

Publicity and Public relation:- help to stimulate supportive news items

about the firm and its product that have greater credibility with

public than advertisement.

Of all the methods of promotional activities that constitute the

promotion mix, sales promotion is the only one method that makes

use of incentives to complete the Push-Pull promotional

strategy of motivating the sales force, the distributor and the

consumer transacting a sale.


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According to American Marketing Association sales promotion

refers Those activities other than personal selling, advertising and

publicity, that stimulate consumer purchasing and dealer

effectiveness, such as display, shows and exhibition, demonstration

and various other non-recurrent selling efforts not in ordinary.

Sales promotion is also known by the name of Extra

Purchasing Value (E.P.V.).

Product Performance of Pepsi

Targeting product comparison Product availability Pricing of products Pepsi Performance in comparison

Comparative Products

SL

No.

Major CSD Brands

Flavor PCI CCI

1. Cola PepsiCoca-Cola,Thums Up

2. Clear Lime7Up, Mountain

DewSprite

3. CloudyLime Mirinda-Lime Limca

4. Orange Mirinda Fanta

In above table, I have shown product target in the market. Both

companies try to substitute each-others product in the market. When

a company doesnt fulfill the demand of market then other


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companies substitute that product with their own product. In the

market, offen it seen that consumer demands a product according to

his desire, but due to lack of supply he switch over to substitute

product. So, companies always want to come out with substitute

product for enlarging their market share.

Here, Thums Up and Coca-Cola is substitute for Pepsi, Sprit is

substitute for 7UP and Mountain Dew, Fanta is substitute for

Mirinda & Limca is substitute forMirinda Lime.

Products Availability of Pepsi

SL

No

.

Product

s

200m

l

250m

l

300m

l

330m

l

500m

l

600m

l

1000m

l

1200m

l

2000m

l

1. Pepsi - - - - -

2. Pepsi diet - - - - - - - -3. Pepsi

Gold- - - - - - - -

4. Mirinda - - - - -

5. MirindaLime

- - - - - - - -

6. M. Sorbet - - - - - - - -

7. 7UP - - - - -

8. M. Dew - - - - - -

9. Pepsi Can - - - - - - - -

10. 7UP Can - - - - - - - -

11. MirindaCan

- - - - - - - -

12. M. DewCan

- - - - - - - -

13. Diet Can - - - - - - - -

14. Slice - - - - - -

15. Aquafina - - - - - - - -


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16. Tropicana - - - - - - -

17. EverestLehar

- - - - - - -

Pepsi Products Price list for Customers

SL

No.Product 200ml 250ml 300ml 330ml 500ml 600ml 1000ml 1200ml 2000m

1. Pepsi 8 - 12 - - 20 - - 502. Pepsi diet - - - - 20 - - - -3. Pepsi Gold - - - - - 25 - - -4. Mirinda 8 12 - - 20 - - 505. Mirinda

Lime8 - - - - - - - -

6. MirindaSorbet

- - - - - 25 - - -

7. 7UP 8 - 12 - - 20 - - 508. Mountain

Dew8 - - - - 20 - - 50

9. Pepsi Can - - - 25 - - - - -10. 7UP Can - - - 25 - - - - -11. Mirinda Can - - - 25 - - - - -

12. M. DewCan - - - 25 - - - - -13. Pepsi diet

Can- - - 25 - - - - -

14. Slice - 10 - - 22 - - 45 -15. Aquafina - - - - - - 12 - -16. Tropicana 12-18 - - - - - 60-82 - -17. Everest

Lehar- - 5 - - 12 - - -


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STUDY ON R ETAIL ER S

Retail Shop type

I. Monopoly Retail Shop : The shop selling only one companysProducts

II. Mi x Shop : The shop selling many companiesProducts

The retailers can build a great deal of goodwill for thefirm. The marketing strength depends on the strengths of retail

dealers.

Research has conduct survey on different types of outlet like

bakeries, cold drink parlor, Booth and general stores etc.

According to his survey, the major reasons for selling Pepsi

products are:

(1) Brand Image 18%(2) Customer Demand 20%(3) Profit Margin 05%(4) Advertisement 30%(5) Good Quality 10%(6) Sales Promotion for Retailers 07%

(7) Sales Promotion for Consumers 10%


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SWOT ANALYSIS


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SWOT ANALYSIS

STRENGTHS:

Lumbini Beverage Pvt. Ltd. is Franchise Owned Bottling

Operation(FOBO) of worlds most famous soft drinks Pepsi

Co.

LBPL uses state of the art and fully automatic machines and

technology for the production and bottling of soft drinks. It has very strong network and built market and currently

holds all the parts of the state.

It has wide range of product varieties & takes back the

leakage, burst bottles etc.

WEAKNESSES:

No cost cutting program for the products.

Promotional activities in the rural market are not upto the

mark as compared to the urban market.


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Brand Pepsi in cola flavor is one of the popular lagging

behind its nearest competitor, only due to high sugar content

and less thrilling taste.

Not availability of all the products on demand.

OPPORTUNITIES:

Although in the cola market there are many competitors, Pepsi

still has the opportunity to enlarge its market share because the

cola in the market is quite monotonic. Most of the end user isyoung people. There are still some people who do not like the

taste of the cola. So we can try to provide some other taste of

cola such as adding some lemon juice. We can change the

flavor in order to meet different taste of different people.

THREATS:

As to the threats, all of us know that Pepsi-Cola and Coca-

Cola have had the competition for about 80 years. Although

Pepsi-Cola have won several times during this competition, the

market share of Pepsi-cola is a little bit smaller than Coca-

Cola. There is another threat nowadays. Some local cold drink


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such as Sudha dairy and Amul dairy cola have taken their

feet in the market.

One of the products of their competitor in Clear lime &

Cloudy Lime flavor as a very good market share due to its

taste.

Coca-Cola is now spending more and more to boost up thesale & market share.

Research

Methodology


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RESEARCH METHODO LO GY USED IN THE

S TUDY

Marketing Research is the systematic designing, collection,

analysis, and reporting of data and finding relevant to a specific

marketing situation facing the company.


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Within the time limit, I tried my best to select the sample

representative of the whole group. During my training, I

maintained different chart for different routes during my dealer survey. I

have collected data from the Distributor and Retailers of Patna .

D a ta So u r ces

Primary data collection involved distributors, retailers.Research Approaches : Survey

Research Instrument : Interview

Sa m p li ng Pl an

Research Design : Exploratory

Sampling Unit : Retailers

Sampling size : 100

Sampling Areas : Lucknow

Sampling Techniques : Simple Random sampling

Contact Method : Personal Interview

In interview schedule I used multiple choice questionand ranking system questions.


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DATA ANALYSIS AND

INTERPRETATION


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Q. 1 .How you came to know about Pepsi

Brand Products?

Mode No. of Respondent Percentage

Radio 32 32%TV 46 46%Newspaper 12 12%Friends 6 6%Others 4 4%Total 100 100%


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It has been found that 32% percent retailer know about the Pepsi product through the

Radio, 46 % retailer know about the Pepsi product through the TV , 12% of the retailer

know about the product through the Newspaper ,6% of the retailer know about the product

through the friends and 4% retailer know about the product through the other things .

Q.2. Monthly sales (in Rs.)

Monthly Sales (InRs)

Respondent Percentage

Les than 5000 12 12%5000 to 10000 16 16%10000 to15000 40 40%Above 15000 32 32%Total 100 100%


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It has been found that 12% Distributor/Retailer are monthly sales (Rs)Less than 5000, 16%

Distributor / Retailer are monthly sales (Rs) 5000 to 10000 , 40 % Distributor / Retailer aremonthly sales (Rs) 10000 to 15000 and 32% Distributor / Retailer are monthly sales (Rs)

above 15000.

Q. 3.Which brands of soft drinks are available in the outlet?

Soft Drinks Available in the Outlet

Pepsi cola 22%Mirinda 12%Mirinda (l) 8%7UP 24%Slice 16%

Mountain Dew 18%


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Total 100%

It has been found that 22% Pepsi Cola soft drinks are available in the outlet because the

taste of the soft drinks is very sweet so mostly customer prefer Pepsi Cola, 12% and 8%Mirinda and Mirinda(L) soft drinks are available in the outlet, 24% 7Up are available in

the outlet, 16% Slice are available in the outlet because it is a Mango flavors soft

drinks.18% Mountain Dew are available in the outlet.

Q. 4. When a customer comes to your shop which brand of softdrinks

He/she demands? (Rank them).

Brand of soft Drinks Respondents Percentage

Pepsi 46 46%Coca cola 38 38%

Other 16 16%


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Total 100 100%

It has been found that 46% customer demand Pepsi because the product of the Pepsi brand

is very sweet and Mango flavor product Slice mostly children like, 38% customer demandsCoca Cola because the product sweet is minimum amount and mostly like sugar Patient and

16% customer demand other Brand (Rank them).

Q. 5.Number of carets sold per month of soft drinks.

Number of Carets

Sold in per month

Respondent Percentage

0-50 Carets 4 4%50-100 Carets 22 22%100-150 Carets 42 42%150-200 Carets 32 32%


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Total 100 100%

It has been found that 42% Retailers told that 100 -150 number of carets sold in per month

because they Retailers belongs to very crud area so customer also be use the soft drinks,32% retailers told that maximum 150-200 carets sold in per month, 22% retailers told that

50- 100 carets sold in per month and 4% retailers told that 0-50 number of carets sold in per

month because they retailers also belongs to ruler area.

Q .6.What is the position delivery of Pepsi products?

Position Delivery of Pepsi

product

No. of Respondent Percentage

Very Good 30 30%Good 42 42%


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Bad 18 18%Worst 10 10%

Total 100 100%

It has been found that 30 % delivery of Pepsi products are very good , 42 % delivery of

Pepsi products are good , 18% delivery of Pepsi product are bad and 10 % delivery of

Pepsi product are worst .

Q. 7.What is the frequency of the visit of Pepsi executive?

Frequency of the Visit of Pepsi

Executive

No. of

Respondent

Percentage

Daily 30 30%Alternate Day 34 34%

Weekly 22 22%


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Fortnightly 14 14%Total 100 100%

It has been found that 30 % distributor visit of Pepsi executive Daily, 34 % distributor

visit of Pepsi executive Alternate Day, 22% distributor visit of Pepsi executive Weekly

and 14% distributor visit of Pepsi executive Fortnightly.

Q.8.Which types of outlets are selling more?

Types of outlets No. of Respondent Percentage

General Store 24 24%Restaurant 14 14%


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Betel Shop 10 10%Sweet Shop 36 36%

Other 16 16%Total 100 100%

Out of 100 respondents I found 36 % sale of Pepsi on sweet shops that are maximum

because every sweet shop use the Visi cooler for the own product protection and a lot of

customer want to more cool soft drinks. 24% sale of Pepsi on the general store, 14% on the

restaurants because a lot of customer prefer take drink in restaurant because that place is

very peace, 10 % on the Betel shop and 16 % sales on the others shops respectively.

Example-Medical Store, Cyber Caf.

Q .9.Which factors affect the sale most?

Factors affect the sale No. of Respondent Percentage

Advertisement 16 16%

Scheme 12 12%Presence 16 16%


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Taste 30 30%Price 14 14%

Others 12 12%Total 100 100%

It has been found that there are various factors affect the sale of the Pepsi product, 30%

respondent say that Taste is most factors of the product sale because the Taste of the Pepsi

product is very highly sweet, 16 % of the respondent says that Advertisement and Presence

is also a factor of the Pepsi product, 14 % respondent say that price is also factor of the

sales the product and 12% respondent say that scheme and others factor also affect the sale

of the product.

Q. 10.Which Company Visi-Cooler do you have?

Company Visi -cooler No. Of Respondent Percentage

Pepsi 38 38%Coca Cola 24 24%Both 22 22%Own 16 16%


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Total 100 100%

It has been found that 38 % retailers told Pepsi company Visi-Cooler use for the Soft drinks

because visi-cooler also provided by the Pepsi company.24 % retailers told Coca Cola

Company

Visi-cooler use for the soft drinks , 22% told that both Visi-cooler use because the shop of

the retailers is very big area ,16% retailers told me own Visi-cooler use for soft drink.

Q. 11.Do you know about all flavors pack (size) and respective

wholesale price Pepsi soft drinks.

Flavors Pack&Wholesale



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Price

Yes 60 60%

No 40 40%Total 100 100%

It has been found that 60% retailers said Yes know about the all flavors pack &

wholesale price of Pepsi soft drinks because retailers also sold the product in the market

daily on the price list , 40% retailers said that No Know about the all flavors pack &

wholesale price.

Q . 12. Have you been provided with sign board/display rackby Coke Company?

Provide Sign board / No. of Respondent Percentage


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Display

Rack By

CompanyYes 74 74%No 26 26%Total 100 100%

It has been found that 74 % retailers said that company also provide the Sign board /

Display rack by coke company because sign board also use for the protect the product in a

shop.26% retailers said that company not be provide the sign board , those retailers use own

display rack /sign board for the basically need.

Q.13.Do you think that aggressive advertising further help you to

increase the sales volume of Cola?

Important of

Advertising



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Increase the sales

Yes 54 54%

No 46 46%Total 100 100%

It has been found that mostly 54 % distributor say Yes advertising help in increase the

sales volume of cola because advertisement is the base of the product introduce first time

in the market and 46 % distributor say No advertising help in increase the sales volume

of cola.

FINDINGS


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FINDINGS OF THE STUDY

Out of the 100 respondent ,It has been found that 32% percent

retailer know about the Pepsi product through the TV, 46 %


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retailer know about the Pepsiproduct through the Radio , 12%

of the retailer know about the product through the Newspaper ,

6% of the retailer know about the product through the friends

and 4% retailer know about the product through the other

things .

It has been found that there are various factors affect the sale

of the Pepsi product, 30% respondent say that taste is most

factors of the product sale because the Taste of the Pepsiproduct is very highly sweet, 16 % of the respondent says that

Advertisement and Presence is also a factor of the Pepsi

product, 14 % respondent say that price is also factor of the

sales the product and 12% respondent say that scheme and

others factor also affect the sale of the product. It has been found that 30 % distributor visit of Pepsi executive

Daily, 34 % distributor visit of Pepsi executive Alternate

Day, 22% distributor visit of Pepsi executive Weekly and

14% distributor visit of Pepsi executive Fortnightly.

Out of 100 respondents I found 36 % sale of Pepsi on sweet

shops that are maximum, 24% sale of Pepsi on the general

store, 14% on the restaurants , 10 % on the Betel shop and 16

% sales on the others shops respectively. Example-Medical

Store, Cyber Caf.

It has been found that 12% Distributor/Retailer are monthly

sales (Rs)Less than 5000, 16% Distributor / Retailer are


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monthly sales (Rs) 5000 to 10000 , 40 % Distributor / Retailer

are monthly sales (Rs) 10000 to 15000 and 32% Distributor /

Retailer are monthly sales (Rs) above 15000.

It has been found that 22% Pepsi Cola soft drinks are available

in the outlet , 12% and 8% Mirinda and Mirinda(L) soft drinks

are available in the outlet, 24% 7Up are available in the outlet,

16% Slice are available in the outlet because it is a Mango

flavors soft drinks.18% Mountain Dew are available in the

outlet.

It has been found that 38 % retailers told Pepsi company Visi-

Cooler use for the Soft drinks ,24 % retailers told Coca Cola

Company Visi-cooler use for the soft drinks , 22% told that

both Visi-cooler ,16% retailers told me own Visi-cooler usefor soft drink.

It has been found that 60% retailers said Yes know about the

all flavors pack & wholesale price of Pepsi soft drinks because

retailers also sold the product in the market daily on the price

list , 40% retailers said that No Know about the all flavorspack & wholesale price.

It has been found that 74 % retailers said that company also

provide the Sign board / Display rack by coke company

because sign board also use for the protect the product in a

shop.26% retailers said that company not be provide the sign


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board , those retailers use own display rack /sign board for the

basically need.

It has been found that mostly 54 % distributor say Yes

advertising help in increase the sales volume of cola because

advertisement is the base of the product introduce first time in

the market and 46 % distributor say No advertising help in

increase the sales volume of cola.


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Suggestions &Recommendations


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Suggestions & Recommendations

Lumbini Beverages Pvt. Ltd. should introduce some

change in its marketing function and advertising to market more

rational. The following factors to be worthy of consideration:-

1. A complain Register should be provided by the company to

every distributor in every route so that, retailers/customerscan write their problems. The complain register should be

checked by consumer executive and depot in charge at time

to time.

2. A clear notification should be given to teach distributor and

each route agent to give cash memo (with printed

number) and maintain route card for every transaction.

3. Proper care should be given the companys employees at

the time of scheme close. Signature of scheme receiving

on the cash memo should be taken and it should be also

maintained in route card. Claim of scheme should be passed

after the deeply stud y of above three points i.e. difference

between opening stock and closing, signature of scheme

receiving on the cash memo and sells maintained in the

route card.

4. Some retailers keep other companies products in the

Pepsis fridge, while is provided by the company. To check


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additional scheme be given in every month, in the peak

seasons After the checking of Pepsis Fridge (3or 4 times

in every month ) if It is found that retailer does not keep

other companies products in the Pepsis Pepsi fridge the

claim of scheme should be passed . Thus we can

improve/increase its sell and employees activities.

5. There is no electricity problem in the whole area of Patna.For chilled soft drink, ice box which is compulsory and

dredge both should be provided by the company.

6. The numbers of outlets are too much. So it is required toshort the route and extra vehicles/tricycles provide in this route.

7. Facilities provided by the company should be increased.

Facilities requirements should be fulfilled in all the rural

and urban area properly after deeply study for various

aspects or retailers by the help of company employee and

depot incharge.

8. The vendors can also be provided with uniform by the

company in order to give them visibility.


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9. An appropriate name should be given to these

tricycles and properly advertisement thus giving them

some sort of identity.

10. In winters, as the sales from these tricycles may be very low

because of seasonal factors Beverages Pvt. Ltd. should

think of introducing such packs Beaver its various brands

of beverages .

11. It is vital take for Lumbini Beverages Pvt. Ltd. that

maintain the performance of Pepsi in future therefore

performance of soft drink was very good in this year in

comparison of coke.

12. Now a day with the introduction of tetra packs such as

fruity, Tree Top etc. So Lumbini Beverages Pvt. Ltd.

should think of introducing such packs of its various

brands of beverages.

13. Lumbini beverages Pvt. Ltd. should be provided its the rural

area also.


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LIMITA TIO NS


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LIMITA TIO N S

As I was asked to carry on my vocational training I found the

following limitations during my training period. So I could not

collect all information regarding my topic.

(i) Shortage of time factor was one of the biggest constraints.

(ii) Most stress was given on the primary data as it was

difficult to collect secondary data from the organization

and distribution since it is difficult to ascertain the

authenticity of their statements.

(iii) All the observation and recommendation will be made onthe feed back


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Conclusion

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Conclusion

In the earlier chapters of this report on various aspects of

soft drinks industry with particular referenceto

establishment of Lumbini Beverages

Pvt. Ltd. Its organizational structure and

channel of Distribution Lumbini Beverage Pvt. Ltd. etc havebeen studied Present chapter is an attempt to summaries the

whole report and present a view suggestion.

From the data analysis and survey conducted by me, I

arrived at the following conclusions:-

(1) Pepsi has the entire flavor i.e. Cola, Leman, Orange, Mango in

the market and its market share is comparatively more than Coke.

(2) The majority of the retailers deal in all brands of Pepsi and Coca-

Cola.

(3) One of the major drawbacks of Pepsi products is that all the

flavors do not reach at each and every retail outlets but

competitors products do reach that is why competitor enters in toPepsi exclusive outlets .

(4) The major problem faced by the distributor is the shortage of

supply particularly pets.

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(5) Distributor functions just as order takes; they should

contribute me and communicate to the retailers.

(6) It should be checked that whether our products is reaching to the

outlets timely and regularly or not.

(7) Although the Visi-cooler, Sign board/Display rack and Glass

strength provided by Pepsi are more than Coke but still there

are number of retailers, who are either not having these or

others have provided them .(8) There is irregular in the supply of Visi-cooler, some retailers,

which sell more are not provided Visi-cooler which some

retailers, which sell less, are provided visi- cooler.

(9) Some of the Visi-cooler provided by Pepsi is not

functioning properly, complaints regularly, are entertained after

a long time.

(10) Most of the retailers are in need of board but not provided

by the Pepsi

Company.

(11) Most of the retailers especially small retailers have

complained that the sales man

doesnt inform about any sales promotional scheme.

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Bibliography

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Bibliography

BOOKS

Kotler, Philip, Marketing Management, Pearson

Education,12th edition, 2008, New Delhi.

Kothari, C.R., Research Methodology, Second Revised

Edition, New age International Publishers.

MAGAZINES

Business world, November, December Edition.

Competition Success Review, November, December.

SEARCH ENGINE

www.google.com

WEBSITE

www.pepsico.com

Roll No: 1112370007
http://www.google.com/http://var/www/apps/conversion/tmp/scratch_4/www.pepsico.comhttp://var/www/apps/conversion/tmp/scratch_4/www.pepsico.comhttp://www.google.com/


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Annexure

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pepsico summer training report

Documents