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     summer training project summer training project Document Transcript

    • ACKNOWLEDGEMENT I am highly indebted to my project mentors, Mr. Sanjay Bharti for their continuoussupport, supervision motivation and guidance throughout the tenure of my project in spite oftheir hectic schedule who truly remained driving spirit in my project and their experience gaveme the light in handling research project and helped me in clarifying the abstruse concepts,requiring knowledge and perception, handling critical situations and in understanding theobjective of my work. I would like to thank all the staff of PepsiCo India Holdings Pvt. Ltd for theirdedication & support, To, Mr. Vivek Johari & Mr. Anurag Saxena, Who contributed withinsights that reflects their experience in marketing from which I gain a lot. All the TDM, ADC, and CE whose off time discussions with me always encouraged andmotivated me for the project; he was the one who helped me in understanding the market in abetter and easier way. My friends and colleagues Ankit Awasthi others that surround me andmake life fun to reduce stress and tiredness. And lastly, it is only when one writes and realizes the true power of MS word 2003, fromgrammar checks to replace-alls. It is simple. And the power of Windows XP the OS where MSOffice is …. Thank you Mr. Bill Gates and Microsoft Corp!
    • DECLARATION I Inamul Abdin declare that this project report entitled comparative analysis of marketshare Pepsi versed Coke is an original piece of work done and submitted by me towards partialfulfillment of my post graduate programme in MBA, under the guidance of Mr. Sanjay BhartiHOD MBA Dept., KIT Kanpur.Date: - Signature: - 2
    • PREFACE Market provides a key to gain actual success only to those brands which match best to thecurrent environment i.e. ‖imperative‖ which can be delivered what are the people needs and theyare ready to buy at the right time without any delay. It is perfectly true but this also depends onavailability of good quality products and excellent taste and services which further attract andadd a golden opportunity for huge sales. This also depends on the good planning approach and provide ample opportunity plussufficient amount of products for sales in the coming next financial year. This survey report introduces study of consumer‘s preferences for PEPSI. After goingthrough a detail analysis of market behavior and future prospect, it may also provide anopportunity to PEPSI to frame a good future plan to satisfy maximum needs of the customers andestablished its guiding role in the market of Kanpur in particular and throughout the country as awhole. The study report will also provide an opportunity to delineate its market potentialbusiness areas, products & services are to be offered by the company to the customers. This study report also provides the various factors affecting the services. MarketingDivision of PEPSI has to keep in mind various factors specially while preparing a plan formarketing its product or services. Details description along with analysis of surveyed data isbeing presented in this report. 3
    • TABLE OF CONTENTS PAGE NO.1. Executive Summary 72. Organizational Profile of the Company 8 a) Background of the company 9 b) Company profile in Indian Scenario 133. History of PepsiCo 164. Organizational Structure & Distribution Channels 325. Mission and vision 346. Beverages Industry In India 367. Pepsi Bottling Plants in India 378. Introduction of Coca-Cola 399. History of Coca-Cola 4010. Coca-Cola in India 4311. Flavors of Pepsi and Coca-Cola Comparatively 4512. Background of the Study 5013. Objectives of the Study 5214. Research methodology 5415. Limitation of Study 6116. Analysis and interpretation 6217. SWOT Analysis 8318. Conclusion of the Study 8819. Suggestions and Recommendations 9020. Questionnaire 9221. Bibliography 9422. Annexure 4
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    • Executive Summary . PepsiCo is the world‘s premier consumer Products Company focused on conveniencefood and beverages. We seek to produce healthy financial reward to investors a we provideopportunities for growth and enrichment to our employee. PepsiCo is a world leader in convenient foods and beverages, with 2011 revenues ofmore than $44 billion and 203,000 employees. . The group has built an expansive beverage and foods business. To support its operations,PepsiCo has 43 bottling plants in India, of which 15 are company owned and 28 are franchiseeowned PepsiCo‘s a business based on its sustainability vision of making tomorrow better thantoday. PepsiCo‘s commitment to living by this vision every day is visible in its contribution tothe country, consumers and farmers. The whole business of any FMCG ( Fast Moving Consumers Good ) company mainlydepends on the retailers , so we can say that the retailers are the backbone of any FMCGorganization .The whole project named as EDS (Each dealer survey) & Visi Report , in whichthe whole analysis based on current market position in Kanpur city. The project was undertaken under the guidelines of PepsiCo India Holding Pvt. Ltd. tocomparative study between PepsiCo and coke in order to increase the sales of Pepsi andproblems faced by distributor and retailers and recommend the company how to solve theseproblem. 6
    • A detailed survey to the consumer was carried to find out their preferences for SoftDrinks. The details of the methodology are stated below. Areas are Mall Road, Canal Road, Ghantaghar, Hulaganj, Sutarkhana, Mare Co.Bridge in Kanpur research design: Exploratory and descriptive. Sources of information areprimary and secondary data. 7
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    • Background of the Company .Type : Food & Non-alcoholic beverageManufacturer : PepsiCo.Country of Origin : United StatesFounded : New Bern N.C, U.S. (1890)Founder(s) : Caleb Bradham, Donald M. Kendall and Herman W. LayHeadquarters : Purchase, New York, U.S. R & D headquarters in ValhallaKey People : Indra Nooyi (Chairperson and CEO)Products : Pepsi, Diet Pepsi, Mountain Dew, AMP Energy, Aquafina, Sierra, IST, SoBe, Starbucks Frappuccino, Lipton Iced Tea, 7up, Mirinda, Izze, Tropicana Products, Copella, Naked Juice, Gatorade, Propel Fitness Water, Quaker Oats Company, Lays, Doritos, Cheetos, Kurkure, Fritos, Rold Gold, Ruffles, Tostitos, Slice.Revenue : US $ 44.3 billionOperating Income : US $ 7.3 billionNet Income : US $ 6.24 billionEmployees : 203,000 (2012)Divisions : PepsiCo Americas, PepsiCo InternationalWeb Site : PepsiCo.com 9
    • Pepsi Cola Company now produces and markets nearly 200 refreshment beverages toretail, restaurants and food service customers in more than 190 countries and territories aroundthe world. PepsiCo World Headquarters is located in Purchase, New York. Pepsi Co. is the world leader in the food chain business. It consists of many companiesamongst which the prominent ones are Pepsi Cola, Frito-lay, Pepsi food international, Pizza-hut, KFC and Taco bell. The group is presently into three most profitable businesses namely,Beverages Snacks foods and Restaurants. The beverages segment primarily market it Pepsi diet, Pepsi Mountain Dew and otherbrands worldwide and 7UP outside the U.S. market. They are positioned in close competitionwith Coca Cola inc. of USA. The Snacks food divisions manufacture and distribute and markets others snacksworldwide. The restaurant segment primarily consists of the operations of the worldwide Pizza-Hut, Taco bell, PepsiCo‘s restaurant distribution operation, supplies to Company owned andFranchise restaurants in the U.S. When Coca Cola changed its formula in 1985, Pepsi Stepped up its competition with itslong time archrival claiming victory in the Cola-wars. Coke and Pepsi expended their rivalry totea in 1991 when Pepsi formed a venture with No.1 Lipton in response to Coke‘s announcedventure with Nestle (Nestea). ―PepsiCo is going blue‖. This was the new color adopted by the company to strengthenits brand globally. Also the company is changed colors from Generation X to GENERATIONNEXT. Although Pepsi holdings over the years have become diverse in such fields as the Snacksindustry and Restaurants industry, this portfolio will discuss its core business and its highlysuccessful business of Beverages. The soft drink industry customer base is probably the widest 10
    • and deepest base in a world that is flooded with some many categories. According to BeverageDigest the customer base for soft drinks is a whopping 95% of regular users in the United States.This represents a large field of potential customers for Pepsi Cola. Pepsi prefers to segment itself as the beverage choice of the “New Generation”,“Generation Next”, or just as the “Pepsi Generation”. These terms adopted in Pepsi‘sadvertising campaigns are referring to the markets that marketers refer to as Generation X. TheGeneration X consumer is profiled to be between the ages of 18 to 29. They have highexpectations in life and are very mobile and active. They adopt a lifestyle of living for today andnot worrying about long-term goals. Those Pepsi‘s main emphasis on this segment they alsohave a focus on the 12 to 18 year old market. Pepsi believes if they can get this market to adopttheir product then they could establish a loyal customer for life. Pepsi Cola throughout its 100 years of existence has developed much strength. One of thestrengths that have developed Pepsi into such a large corporation is a strong franchise system.The strong franchise system was the backbone of success along with a great entrepreneur spirit.Pepsi‘s franchise system and distributors is credited to bring Pepsi from a 7,968 gallons of sodasold in 1903 to nearly 5 billion gallons in the year of 1997. Pepsi also has the luxury to spend 225 million dollars in advertising a year. Thisenormous advertising budget allows Pepsi to reinforce their products with reminder advertisingand promotions. This large budget also allows Pepsi to introduce new products and very quicklymake the consumer become aware of their new products. Pepsi also has had the good fortune of making very wise investments. Some of the bestinvestments have been in their acquiring several large fast food restaurants. They have also made 11
    • wise investments in snack food companies like Frito Lay, which at present time is the largestsnack company in the world. Probably high on the list of strengths is Pepsi‘s beverage line up. Pepsi has four soft drinks in the top ten beverages in the world. These brands are Pepsi,Mountain Dew, Diet Pepsi, and Caffeine Free Diet Pepsi. Some other strong brands are AllSport, Slice, Tropicana, Starbucks, Aquafina and a license agreement with Ocean Spray Juices. 12
    • Company Profile in Indian Scenario Since the entry of Pepsi co. to India in 1987, the soft drink Industry has undergone aradical change. When Pepsi entered parley was the leader with ‗Thumps UP‘ being its flagshipbrand. Other product offerings by parley included Limca & Gold Spot. Another upcomingplayer in the market was the erstwhile bottle of Coca-Cola, Pure Drinks. Its offerings includedCampa Cola, Camps Lemon and Campa Orange. With the re-entry of Coca-Cola in the Indian market, Pepsi had to go in for moreaggressive marketing to sustain its market share. The chronology the initial phase of the “CoalWars” in India was:-July 1986 An application for soft drinks-cum-snack food joint venture by Pepsi, Voltas and Punjab Agro is submitted to the government after an earlier proposed alliance- 1985, between Pepsi and Duncan‘s of the Goenkas fails to take off.Sept.1988 Final approval for the Pepsi Foods Limited (P.F.L) project granted by the Cabinet Committee on Economic Affairs of the Rajeev Gandhi Government.March 1990 Pepsi Cola and Seven up Launched in limited market in North India.May 1990 The government clears the Pepsi project again but with a change in brand name to Lehar Pepsi. Simultaneously it rejects the Coca-Cola application. Citra form the Parle stable hits the market.Dec 1991 Pepsi extends its soft drinks reach on national scale. Products launched Delhi and Bombay. 13
    • Jan 1992 Brito Foods application cleared by the FTPB. Pepsi and Parle start initial negotiations for strategic alliance but talks break off after a while.1993 Pepsi launches Teem and Slice. Captures about 25.30% of the soft drinks market in about two years.July 1993 Volta‘s pulls out of PFL joint venture. Pepsi decides to raise equity to 92% Reports of coke – Parle negotiations gain strength.1994 Pepsi brought Dukes& Sons1995 Pepsi launched Cans having capacity of 330 ml in various flavors.1997 Pepsi brought Mirinda Orange opposite to Fanta.1998 Pepsi launched Lemon Mirinda to give taught competition to Limca.1999 Pepsi has launched its Diet Pepsi Can and 1.5 Liters pet battles for health conscious people.1997 Refusing to dilute its equity state Coca-Cola winds up operations in the country. Parle launches Thumps Up and Drinks launches Campa Cola.2001 Pepsi launched Aquafina opposite to Kinley. 14
    • 2003 Pepsi launched Mountain Dew2005 Mirinda lemon zinger, 7UP.Ice was launched by Pepsi.2006 Bubbly Pepsi was launched.2007 Pepsi Gold was launched2009 Nimbooz by 7up was launched2010 PepsiCo India recently launched a new flavor named “7UP Ice” in Indian market. It is hard that 7UP. The taste of 7UP Ice is mint. And Mirinda Bat Berry. The taste of Mirinda Bat Berry is like Glicodin.2011 In April 2011, Pepsi announced that customers will be able to buy a complete stranger a soda at a new "social" vending machine, and even record a video that the stranger would see when they pick up the gift. In May 2011, the week before Memorial Day, Pepsi launched a limited edition flavor called "Memorial Day Pepsi", with blueberry and cherry flavors added to the cola.2012 In March 2012, Pepsi introduced Pepsi Next, a cola with half the calories of regular Pepsi. 15
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    • History of PepsiCo1893--Caleb Bradham, a young pharmacist and industrialist from New Bern, North Carolina,begins experimenting with many different soft drink concoctions; patrons and friends samplethem at his drugstore soda fountain.1898--It was first introduced as "Brads Drink" in New Bern, , North Carolina in 1898 by CalebBradham, a combination of carbonated water, sugar, vanilla, rare oils and cola nuts, is renamed"Pepsi-Cola" on August 28, 1898. Pepsi-Cola receives its first logo.1902--The instant popularity of this new drink leads Bradham to devote all of his energy todeveloping Pepsi-Cola into a full-fledged business. He applies for a trademark with the U.S.Patent Office, Washington D.C., and forms the first Pepsi-Cola Company. The first Pepsi-Colanewspaper advertisements appeared in the New Bern Weekly Journal. 17
    • 1903--"Doc" Bradham moves the bottling of Pepsi-Cola from his drugstore into a rentedwarehouse; he sells 7,968 gallons of syrup in the first year of operation.Pepsis theme line is "Exhilarating, Invigorating, and Aids Digestion."1904--Bradham purchases a building in New Bern known as the "Bishop Factory" for $5,000and moves all bottling and syrup operations to this location. Pepsi is sold in six-ounce bottles.Sales increase to 19,848 gallons.1905--Pepsi-Colas first bottling franchises are established in Charlotte and Durham, NorthCarolina.Pepsi receives its new logo, its first change since 1898.1906--Pepsi gets another logo change, the third in eight years. The modified script logo iscreated with the slogan, "The Original Pure Food Drink."There are 15 U.S. Pepsi bottling plants. The Pepsi trademark is registered in Canada. Syrup salesrise to 38,605 gallons.The federal government passes the Pure Food and Drug Act, banning substances such as arsenic,lead, barium, and uranium, from food and beverages. This forced many soft drink manufacturers,including Coca-Cola, to change their formulas. Pepsi-Cola, being free of any such impurities,claimed they already met federal requirements.Pepsi receives its new logo, its second change since 1905.1907--Pepsi-Cola Company continues to expand; the companys bottling network grows to 40franchises. Pepsi-Cola sells more than 100,000 gallons of syrup.Pepsi trademark is registered in Mexico. Syrup sales rise to 104,026 gallons. 18
    • 1908--Pepsi-Cola becomes one of the first companies to modernize delivery from horse drawncarts to motor vehicles. Two hundred fifty bottlers in 24 states are under contract to make andsell Pepsi-Cola.1909--Automobile race pioneer Barney Old field endorses Pepsi-Cola in newspaper ads as "Abully drink...refreshing, invigorating, a fine bracer before a race."1910--The first Pepsi-Cola bottlers convention is held in New Bern, NorthCarolina1920--Pepsi theme line speaks to the consumer with "Drink Pepsi-Cola, it will satisfy you."1923--Pepsi-Cola Company is declared bankrupt and its assets are sold to a North Carolinaconcern, Craven Holding Corporation, for $30,000.Roy C. Megargel, a Wall Street broker, buys the Pepsi trademark, business and good will fromCraven Holding Corporation for $35,000, forming the Pepsi-Cola Corporation.1928--After five continuous losing years, Megargel reorganizes his company as the NationalPepsi-Cola Company, becoming the fourth parent company to own the Pepsi trademark.1931--U.S. District Court for Eastern District Virginia declares the National Pepsi-ColaCompany bankrupt, the second bankruptcy in Pepsi-Cola history.The Loft candy company acquires the National Pepsi-Cola Company. Charles G. Guth, presidentof Loft, assumes leadership of Pepsi and commands the reformulation of Pepsi-Cola syrupformula. 19
    • 1933--By the end of the year, Guths new Pepsi-Cola Company is insolvent. In a series ofmoves, he acquires Megargels interest in the company, giving himself 91% ownership of Pepsi.1934--A landmark year for Pepsi-Cola. The drink is a hit and to attract even more sales, thecompany begins selling its 12-ounce drink for five cents (the same cost as six ounces ofcompetitive colas). The 12-ounce bottle debuts in Baltimore, where it is an instant success. Thecost savings proves irresistible to Depression worn Americans and sales skyrocket nationally.Caleb Bradham, the Founder of Pepsi-Cola and "Brads Drink," dies at 66 (May 27th, 1867-February 19th, 1934).1935--Guth moves the entire Pepsi-Cola operation to Long Island City, New York, and sets upnational territorial boundaries for the Pepsi bottler franchise system.1936--Pepsi grants 94 new U.S. franchises and year-end profits reach $2,100,000.1938--Walter S. Mack, Jr., V.P. of Phoenix Securities Corporation is elected President of thePepsi-Cola Company. Mack, who considers advertising the keystone of the soft drink business,turns Pepsi into a modern marketing company.1939--The "Pepsi & Pete" comic strip introduces the "Twice as much for a nickel" theme innewspapers. Pepsi-Cola Company names Mack as CEO. The Board of Directors removes Guthfrom the Pepsi payroll after he plans to personally acquire a competing cola.1940--Pepsi-Cola Company makes advertising history with "Nickel, Nickel," the firstadvertising jingle ever broadcast nationwide on radio.Pepsi receives its new logo, its third change since 1906. 20
    • 1941--The New York Stock Exchange trades Pepsis stock for the first time.In support of the war effort, Pepsis bottle crown colors change to red, white, and blue.1943--Pepsis theme line becomes "Bigger Drink, Better Taste."1948--Corporate headquarters moves from Long Island City, New York, to midtown Manhattan.1950-- Alfred N. Steele becomes President and CEO of Pepsi-Cola. Mr. Steeles wife,Hollywood movie star Joan Crawford, is instrumental in promoting the companys product line.Pepsi receives its new logo, which incorporates the "bottle cap" look. The new logo is the fifth inPepsi history.1953-- "The Light Refreshment" campaign capitalizes on a change in the products formula thatreduces caloric content.1955--Herbert Barnet is named President of Pepsi-Cola.1959--Pepsi debuts at the Moscow Fair. Soviet Premier Khrushchev and U.S. Vice PresidentNixon share a Pepsi.1960--Young adults become the target consumers and Pepsis advertising keeps pace with "Nowits Pepsi, for those who think young."1962--Pepsi receives its new logo, the sixth in Pepsi history. The serrated bottle cap logodebuts, accompanying the brands groundbreaking "Pepsi Generation" ad campaign. 21
    • 1963--After climbing the Pepsi ladder from fountain syrup salesman, Donald M. Kendall isnamed CEO of Pepsi-Cola Company. Pepsi-Cola continues to lead the soft drink industry inpackaging innovations, when the 12-ounce bottle gives way to the 16-ounce size. Twelve-ouncePepsi cans are first introduced to the military to transport soft drinks all over the world.1964--Diet Pepsi, Americas first national diet soft drink, debuts.Pepsi-Cola acquires Mountain Dew from the Tip Corporation.1965--Expansion outside the soft drink industry begins. Frito-Lay of Dallas, Texas, and Pepsi-Cola merge, forming PepsiCo, Inc.Military 12-ounce cans are such a success that full-scale commercial distribution begins.Mountain Dew launches its first campaign, "Yahoo Mountain Dew...Itll tickle your innards."1970--Pepsi leads the way into metrics by introducing the industrys first two-liter bottles. Pepsiis also the first company to respond to consumer preference with light-weight, recyclable, plasticbottles. Vic Bonomo is named President of Pepsi-Cola.The Pepsi World Headquarters moves from Manhattan to Purchase, NY.1974--First Pepsi plant opens in the U.S.S.R. Television ads introduce the new theme line,"Hello, Sunshine, Hello Mountain Dew."1976--Pepsi becomes the single largest soft drink brand sold in American supermarkets.The campaign is "Have a Pepsi Day!" and a classic commercial, "Puppies," becomes one ofAmericas best-loved ads. As people get back to basics, Pepsi is there as one of the simple thingsin life. 22
    • 1977--At 37, marketing genius John Sculley is named President of Pepsi-Cola.1978--The Company experiments with new flavors. Twelve-pack cans are introduced.1980--Pepsi becomes number one in sales in the take home market.1981--PepsiCo and China reach agreement to manufacture soft drinks, with productionbeginning next year.1982--Pepsi Free, a caffeine-free cola, is introduced nationwide. Pepsi Challenge activity haspenetrated 75% of the U.S. market.1983--Mountain Dew launches the "Dew it to it" theme.1984--Pepsi advertising takes a dramatic turn, as Pepsi becomes "the choice of a NewGeneration." Lemon Lime Slice, the first major soft drink with real fruit juice, is introduced,creating a new soft drink category, "juice added." In subsequent line of extensions, MandarinOrange Slice goes on to become the number one orange soft drink in the U.S. Diet Pepsi isreformulated with NutraSweet (aspartame) brand sweetener.1985--After responding to years of decline, Coke loses to Pepsi in preference tests byreformulating. However, the new formula is met with widespread Consumer rejection, forcingthe re-introduction of the original formulation as "Coca-Cola Classic." The cola war takes "onegiant sip for mankind," when a Pepsi "space can" is successfully tested aboard the space shuttle.By the end of 1985, the New Generation campaign earns more than 58 major advertising and 23
    • film-related awards. Pepsis campaign featuring Lional Richie is the most remembered in thecountry, according to consumer preference polls.1986--Chairman Donald M. Kendall retires and is succeeded by D. Wayne Calloway. 7-Upinternational is acquired in Canada. Pepsi-Cola acquires Mug Root Beer.1987--Pepsi-Cola President Roger Enrico is named President/CEO of PepsiCo WorldwideBeverages. Pepsi-Cola World Headquarters moves from Purchase to Somers, New York. After a27-year absence, Pepsi returns to Broadway with the lighting of spectacular new neon sign inTimes Square.1988--Craig Weatherup is appointed President/CEO of Pepsi-Cola Company.1989--Pepsi lunges into the next decade by declaring Pepsi lovers "A Generation Ahead." ChrisSinclair is named President of Pepsi-Cola International. Pepsi-Cola introduces an exciting newflavor, Wild Cherry Pepsi.1990--American Music Award and Grammy winner rap artist Young MC writes and performssongs exclusively for national radio ads for Pepsi. Ray Charles joins the Pepsi family byendorsing Diet Pepsi. The slogan is "You Got the Right One Baby."1991--Craig E. Weatherup is named CEO of Pepsi-Cola North America, as Canada becomespart of the companys North American operations. Pepsi introduces the first beverage bottlescontaining recycled polyethylene Terephthalate (or PET) into the marketplace. The developmentmarks the first time recycled plastic is used in direct contact with food in packaging. 24
    • 1992--Pepsi-Cola launches the "Gotta Have It" theme, which supplants the longstanding"Choice of a New Generation." Pepsi-Cola and Lipton Tea Partnership is formed. Pepsi willdistribute single serve Lipton Original and Lipton Brisk products. Crystal Pepsi: a refreshing,clear soda that is caffeine free has 100% natural flavors, no preservatives and is low in sodium,goes national. Mountain Dew introduces the popular theme line, "Get Vertical."1993--Brand Pepsi introduces its slogan, "Be Young. Have Fun. Drink Pepsi".Pepsi-Cola profits surpass $1 billion. Pepsi introduces an innovative 24-can multipack thatsatisfies growing consumer demand for convenient large-size soft drink packaging. "The Cube"is easier to carry than the traditional 24-pack and it fits in the refrigerator.1994--New advertising introducing Diet Pepsis freshness dating initiative features Pepsi CEOCraig Weather up explaining the relationship between freshness and superior taste to consumers.Pepsi Foods International and Pepsi-Cola International merge, creating the PepsiCo Foods andBeverages Company.1995--In a new campaign, the company declares "Nothing else is a Pepsi" and takes top honorsin the years national advertising championship.1996--In February of this year, Pepsi makes history once again, by launching one of the mostambitious entertainment sites on the World Wide Web. Pepsi World Eventually surpasses allexpectations, and becomes one of the most landed and copied, sites in this new media, firmlyestablishing Pepsis presence on the Internet.1997--In the early part of the year, Pepsi pushes into a new era with the unveiling of theGeneratioNext campaign. GeneratioNext is about everything that is young and fresh; a 25
    • celebration of the creative spirit. It is about the kind of attitude that challenges the norm withnew ideas, at every step of the way. PepsiCo Announces that, effective October 6th, it will spinoff its restaurant division to form Tricon Global Restaurants, Inc. Including Pizza Hut, Taco Bell,& KFC, it will be the largest restaurant company in the world in units and second-largest insales.1998--Pepsi celebrates its 100th anniversary. PepsiCo Chairman and CEO Roger A. Enricodonate his salary to provide scholarships for children of PepsiCo employees.Pepsi introduces PepsiOne - the first one-calorie drink without that diet taste!2000--Although Pepsi is a great place to work, Steven Truitt takes his skills and hard workelsewhere (for more money of course!), therefore putting an end to his Pepsi page! For moreinformation about Pepsi, choose a search engine and search for Pepsi or visit www.pepsi.com orwww.pepsico.com.2002-- The strategy was cited by Promo Magazine as one of 16 "Ageless Wonders" that "helpedredefine promotion marketing."2003-- The Centre for Science and Environment (CSE), a non-governmental organization inNew Delhi, said aerated waters produced by soft drinks manufacturers in India, includingmultinational giants PepsiCo and The Coca-Cola Company, contained toxins, including lindane,DDT, malathion and chlorpyrifos — pesticides that can contribute to cancer, a breakdown of theimmune system and cause birth defects. Tested products included Coke, Pepsi, 7 Up, Mirinda,Fanta, Thums Up, Limca, and Sprite. CSE found that the Indian-produced Pepsis soft drinkproducts had 36 times the level of pesticide residues permitted under European Unionregulations; Coca Colas 30 times. CSE said it had tested the same products in the US and found 26
    • no such residues. However, this was the European standard for water, not for other drinks. Nolaw bans the presence of pesticides in drinks in India.2004-- The Coca-Cola Company and PepsiCo angrily denied allegations that their productsmanufactured in India contained toxin levels far above the norms permitted in the developedworld. But an Indian parliamentary committee, in 2004, backed up CSEs findings and agovernment-appointed committee, is now trying to develop the worlds first pesticides standardsfor soft drinks. Coke and PepsiCo opposed the move, arguing that lab tests arent reliable enoughto detect minute traces of pesticides in complex drinks.2005-- The Coca-Cola Company and PepsiCo together hold 95% market share of soft-drinksales in India. PepsiCo has also been accused by the Puthussery panchayat in the Palakkaddistrict in Kerala, India, of practicing "water piracy" due to its role in exploitation of groundwater resources resulting in scarcity of drinking water for the panchayats residents, who havebeen pressuring the government to close down the PepsiCo unit in the village.2006-- Indra Krishnamurthy Nooyi has been the chairman and chief executive officer ofPepsiCo since 2006. During her time, healthier snacks have been marketed and the company isstriving for a net-zero impact on the environment. This focus on healthier foods and lifestyles ispart of Nooyis "Performance with Purpose" philosophy.2007-- PepsiCo redesigned their cans for the fourteenth time, and for the first time, includedmore than thirty different backgrounds on each can, introducing a new background every threeweeks.2008-- In October 2008, Pepsi announced that it would be redesigning its logo and re-brandingmany of its products by early 2009. 27
    • 2009--New Slogans are used in this year: "Yeh hai youngistaan meri jaan" (Hindi - meaning"This is our young country my baby").2010-- "Youngistan ka wow".2011– "Change the game" (India, Bangladesh & Pakistan for the 2011 Cricket World Cup) 28
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    • Organization Structure & Distribution Channel. Chart showing organizational structure & Distribution Channel of PepsiCo India 30
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    • Our Mission. "To be the worlds premier consumer Products Company focused on convenience foodand beverages. We seek to produce healthy financial rewards to investors as we provideopportunities for growth and enrichment to our employees, our business partners and thecommunities in which we operate. And in everything we do, we strive for honesty, fairness andintegrity."Our Vision. "To build India‘s leading total beverage company, delighting consumers by best meetingtheir everyday beverage needs, and stakeholders, by delivering performance with purpose,through our talented people."PepsiCo Sustainability Vision. "PepsiCo‘s responsibility is to continually improve all aspects of the world in which weoperate – environment, social, economic – creating a better tomorrow than today" 32
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    • Beverages Industry in India Indian Beverages industrys size is Rs. 8 thousand crores and it is dominated by twoplayers viz Pepsi & Coke only. This high profile industry has lot of potential for growth as percapita consumption in India is 9 bottles per annum (year) as compared to 20 bottles in Sri Lanka,14 in Pakistan, while 12 bottles a person in Nepal. The RKJ group is Indias leading supplier of retailer brand Carbonated and Non-Carbonated soft drinks, with beverage manufacturing facilities in India and Nepal. Its experiencein the beverage industry dates back to the sixties when it had the first franchise at Mathura. The family manufactures and markets Carbonated and Non-Carbonated Soft Drinks andMinerals Water under PEPSI brand. The various flavors and sub- brands are PEPSI, MirindaOrange, Mirinda Lemon, Mountain Dew, and 7UP, Slice Orange, Everest Soda and Aquafina. Ithas the license to supply beverages in the territories of Western U.P., part of M.P., half of theHaryana, whole of Rajasthan, Goa 3 districts of Maharashtra, and 13 districts of Karnataka andwhole of Nepal. The group has in total 18 bottling plants in India & Nepal and is responsible forproducing and marketing 44% of PEPSI requirement in India. The major ingredient in a soft drink is water. It constitutes close to 90% of the soft drinkcontent. Added to this, the drink also contains sweeteners, Carbon dioxide, Citric Acid/Malicacid, Colors, Preservatives, Anti Oxidants and other emulsifying agents, etc. The major players in the soft drinks market in India are PepsiCo and Coca-Cola Co, likeelsewhere in the world. Coca-Cola acquired a number of local brands like Limca, Gold Spot andThums Up when it entered Indian market for the second time. PepsiCo‘s soft drink portfolio also 34
    • consists of Miranda and 7Up along with Pepsi. The market share of each of the company is more or less the same, though there is a conflict in the estimates quoted by different sources. Pepsi Bottling Plant in India .1. Goa, Salcete2. Karnataka, Dharwad3. Rajasthan, Bhiwadi4. Rajasthan, Jodhpur5. Rajasthan, Jaipur6. Rajasthan, Alwar7. Uttar Pradesh, Greater Noida8. Uttar Pradesh, Kosi9. Kathmandu, Nepal 35
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    • Introduction of Coca-Cola Coca-ColaType Soft drink (Cola)Manufacturer The Coca-Cola CompanyCountry of United StatesoriginIntroduced 1886Color Caramel E-150d Cola, Cola Green Tea, Cola Lemon, Cola Lemon Lime, Cola Lime, ColaFlavor Orange and Cola Raspberry. Pepsi, Irn Bru, RC Cola, Cola Turka, Zam Zam Cola, Mecca-Cola, VirginRelated Cola, Parsi Cola, Qibla Cola, Evoca Cola, Corsica Cola,products Breizh Cola, Afri Cola 37
    • History of Coca-Cola In May, 1886, Coca Cola was invented by Doctor John Pemberton a pharmacist fromAtlanta, Georgia. John Pemberton concocted the Coca Cola formula in a three legged brasskettle in his backyard. The name was a suggestion given by John Pembertons bookkeeper FrankRobinson. Being a bookkeeper, Frank Robinson also had excellent penmanship. It was he who firstscripted‖Coca Cola" into the flowing letters which has become the famous logo of today. Thesoft drink was first sold to the public at the soda fountain in Jacobs Pharmacy in Atlanta onMay 8, 1886. Until 1905, the soft drink, marketed as a tonic, contained extracts of cocaine as well asthe caffeine-rich kola nut. By the late 1890s, Coca-Cola was one of Americas most popularfountain drinks. With another Atlanta pharmacist, Asa Griggs Candler, at the helm, the Coca-Cola Company increased syrup sales by over 4000% between 1890 and 1900. Advertising was an important factor in Pemberton and Candlers success and by the turnof the century, the drink was sold across the United States and Canada. Around the same time,the company began selling syrup to independent bottling companies licensed to sell the drink.Even today, the US soft drink industry is organized on this principle. Until the 1960s, both smalltown and big city dwellers enjoyed carbonated beverages at the local soda fountain or ice creamsaloon. Often housed in the drug store, the soda fountain counter served as a meeting place forpeople of all ages. Often combined with lunch counters, the soda fountain declined in popularity ascommercial ice cream, bottled soft drinks, and fast food restaurants came to the fore. On April 38
    • 23, 1985, the trade secret "New Coke" formula was released. Today, products of the Coca ColaCompany are consumed at the rate of more than one billion drinks per day. The Coca-Cola Company started out as an insignificant one man business and over thelast one hundred and ten years it has grown into one of the largest companies in the world. Thefirst operator of the company was Dr. John Pemberton and the current operator is RobertoGoizueta. Without societies help, Coca-Cola could not have become over a 50 billion dollarbusiness. Coca-Cola was invented by Dr. John Pemberton, an Atlanta pharmacist. He concoctedthe formula in a three legged brass kettle in his backyard on May 8, 1886. He mixed acombination of lime, cinnamon, coca leaves, and the seeds of a Brazilian shrub to make thefabulous beverage (Things go better with Coke). Coca-Cola debuted in Atlantas largest pharmacy, Jacobs Pharmacy, as a five cent non-carbonated beverage. Later on, the carbonated water was added to the syrup to make thebeverage that we know today as Coca-Cola. Coca-Cola was originally used as a nerve and braintonic and a medical elixir. Coca-Cola was named by Frank Robinson, one of Pembertons closefriends; he also penned the famous Coca-Cola logo in unique script. 39
    • Coca-Cola in India After a 16 years absence, Coca-Cola returned to India in 1993. The Companys presencein India was cemented in November that year in a deal that gave drink Coca-Cola ownership ofthe nations top soft-brands and bottling network. Coca-Cola India has made significantinvestments to build and continually improve its business in India, including new productionfacilities, wastewater treatment plants, and distribution systems and marketing equipment.During the past decade, the Coca-Cola system has invested more than US$ 1 billion in India. Coca-Cola Products in India . Leading Indian brands Thums Up, Limca, Maaza, Citra and Gold Spot join theCompanys International family of brands including Coca-Cola, Diet Coke, Sprite and Fanta,plus the Schweppes products range. 40
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    • "COLA FLAVOURS" Cola is a most popular flavor in any group of age. This is the most saleable flavor in theworld. Both PEPSICO & COCA COLA has its own cola flavor. PEPSICO has a cola flavornamed PEPSI and cola flavor of COCA COLA are THUMPS UP & COKE. PEPSI COLA is acash cow brand for the company in terms of sales revenue. PEPSI has two competitive brands inthe cola flavor. PepsiCo: Coca-Cola: 43
    • “LIME & LEMON FLAVORS” This segment of flavor is very likely in the children and aged person. PepsiCo has threebrands in this segment with comparison to the brands of Coca-cola. The Pepsi‘s brands areMountain Dew, 7UP and Nimbooz whether the Coca-cola has its Sprit & Limca in thissegment Mountain Dew is sweet lemon soft drink in India and in a few countries. It is mostlydemands by the children.7UP & Nimbooz lemon-lime soft drink. Sales of 7UP is third largest carbonated soft drink brandin U.S. most consumers prefer 7UP as their favourite brand than any other non-cola.PepsiCo: 44
    • Coca-Cola: 45
    • “ORANGE FLAVORS” This is another type of flavor in the soft drink industry. The taste is like orange. In thissegment PEPSI has a brand named MIRINDA whether COCACOLA has its FANTA in orange.This flavor is mostly preferred by children and women PepsiCo:Mirinda - Orange Dikha to Mooh Bola MirindaMirinda is an international soft drink brand from Spain that was launched in India in 1991. Coca-Cola: 46
    • “MANGO FLAVORS” In this category’s of flavor is like a Mango. This flavor is now becoming morepopular in India. In Mango flavor PEPSI has a well known name SLICE whetherCOCACOLA has a MAZAA in this segment.PepsiCo:Coca-Cola: 47
    • Background of the Study Market study is an essential process to develop the companies‘ database by collection ofdata, analyses of data, reporting of the data according to the specific situation for any marketingactivity that the company is facing due to the increase in the competition & the development ofvarious marketing competitors. Modern marketing calls not only for developing a good product, but pricing it attractively& making it accessible to target customers. Organizations also need to communicate with theirpresent & potential customers about their present offerings. Needs to develops an effective &efficient strategy with the aim of creating awareness, developing knowledge and likingpreference convictions among the organizations‘ target audience with a view to convert theminto prospective buyer. This project report is concern with the comparative analysis of the sales of PEPSI andCOCA COLA in Kanpur. This project report endeavors to study of "COMPARATIVE ANALYSIS OF PEPSIAND COKE". 48
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    • Objective of the Study Basicall y the obj ecti ve of the stud y was gaining the practical knowl edge onthe researcher‘s part . It was also to the gain the practi cal exposure b y appl yingmanagement theori es in the fi eld of marketing & also t he partial fulfillm ent ofthe MASTERS OF BUS INESS ADMINS TRATION (MBA) Programm e. On the compani es part the objective was " CO MPRATIVE ANALYSIS O FPE PSI AND CO KE ‖ whi ch includes - To det ermine the sales of PEP S I brands out of t otal soft drink sal es at Kanpur region. To ensure optimum use of existing sales efforts. Find out those point s where the compan y should improve itself. To forecast future requirem ents for marketing. To link the comparat ive anal ysis with o rganizational planning. To provide a basis for the Sal es Improvement Programm e.It is widel y accept ed that theor y broadens ones thinking & helps in i deagenerati on. But practical approach tends to test the feasibilit y of these ideas &how far theoreti cal knowledge can be applied in a situation successfull y. 50
    • The market research was conducted in compliance of the givenguidelines delivered to us expressl y t o achieve t he given objectives, whi chwere as under:1. Profitabilit y2. Im provement3. Sales4. To satisf y the customers 51
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    • Research Methodology Research is a systematized effort to gain new knowledge. Methodology is themost important part for such studies. The method of study adopted by me is to increase theknowledge & to gather more information regarding this project. The major emphasis in such studies is on the discovery of the ideas & fruitful relevantinformation. As such the research design appropriate for such studies must be flexible enough toprovide opportunity for considering different aspects of a problem under study.METHODS OF DATA COLLECTION:A) PRIMARY DATA: “Primary data are those data that have been observed and recodedby the researchers for the first time to their knowledge”.Survey method -- This method was adopted because it helped in securing detailedinformation from a sample of respondents. The information received from the respondents isrecorded on a form called the questionnaire. This is only method to measure attitude &motivation directly. Open framed discussion with managers.B) SECONDARY DATA: “Secondary data are statistics not gathered for the immediatestudy at hand but for some other purposes”. 53
    • I have also used the secondary data, which included the written document of the organization &other places. HEAD OFFICE (Warehouse) (PepsiCo India Holding Pvt. Ltd. In Kanpur) INTERNET PAPERS & RECORDS MAGAZINES Research Objectives & Related Sub Objectives 1 To examine the retail distribution of Pepsi in comparison of its competitors. 2 To know the expectation of the retailers. 3 To evaluate the market position of Pepsi. 4 To know the other alternatives and its competitor‘s brands position in market. 5 To know the brand image of Pepsi among retailers and customer or consumers. 6 To help in development & introduction of new product. 7 To identify the organization features of Pepsi food limited. 8 To study the effect of irregular supply on the sale of product. 54
    • Information Requirements – In Detail & Source of InformationFor the study of the market position and potential of Pepsi in city of Kanpur (UP), both primaryas well as secondary data was required. Primary data was collected from Retailers.Information required was: - 1 Name of Shop 2 Address of Shop 3 Type of Shop 4 Filled Stock of Pepsi as well as its competitor in shop 5 Unfilled Stock of Pepsi as well as its competitor in shop 6 Stock of Pet bottles of Pepsi and its competitor coke 7 Sale of Pepsi from the outlet 8 Whether any Cooling equipment used or not 9 Hoarding used or not 10 Any display material used or not.So I collected the primary data by conducting the surveys in the city of Kanpur (UP) through theEDS FORMAT, Visi Location, Visi Purity, Visi Charging > 70% and the secondary data wasdownloaded partially from the Internet and partially the course books. 55
    • Research Design UsedThere are two types of research design that is basically used in research. These are: - 1 Conclusive Research 2 Exploratory Research I was required to collect the information about how much stock a particular and newretailer is keeping at the time of survey, type of cooling equipment used, display material used,etc. so the Exploratory Research was the type of research design that was required and beingused by me to do the project. But some cases Conclusive Research also used. For my research I had to collect the information and data directly from each and everytype of retailer who is selling cold drinks. So the data I collected was the primary data. Hence theresearch instrument I used was the primary data collection. Therefore the research instrument used in my project was the EDS FORMAT & VISIFORMAT. The EDS FORMAT contains both open ended and closed ended questions. Retailerswere asked both the closed ended and open-ended questions and their opinions form the basis ofmy findings and suggestions. 56
    • Sampling Technique Used & Sample Size Why? 1 Stage 1: PepsiCo India Holdings Pvt. Ltd has been divided Kanpur city in to Differentareas. Out of those areas the Asst. Sales manager gave me 6 areas to do my work. In thesedifferent areas I have to cover shops in which the products of pepsico were selling by shopkeepers. 2 Stage 2: In the different areas given to me by asst. sales manager I have to get informationabout the reason which motivates shop keepers to sell the product of pepsico. The method usedby me to choose shops from different areas was judgmental. I went in those shops in which I saw a poster or hording of pepsi. I also went in thoseshops in which shopkeepers were selling product of pepsico. 57
    • Field Work – Method Used For Data CollectionPepsiCo India Holdings Pvt. Ltd had provided me EDS FORMAT & VISI FORMAT.I surveyed the market distributors area wise and covered each and every shop byjudgmental of shops.In some cases I have to ask for information to roadside seller of Pepsi & Coke.For collecting the information I have to go to different part of the city.For getting information about the reason behind the selling pepsi & Coke or its products,I have to talk with shopkeepers. 58
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    • Limitations of the Study Responsible managers & personals in the marketing department of PepsiCo IndiaHoldings Pvt. Ltd. Provide necessary assistance to me in ―Comparative Analysis of Pepsi &Coke‖. They discussed different aspects & functions of marketing as practical PepsiCo IndiaLtd. Almost all the necessary information was provided to me in the support of this projectreport. However there are some problems, which cannot escape from. The limitations faced, feltor expressed by me are as follows – The time duration of two months was not enough to survey the whole market The respondents were not very comfortable while giving information about their stock. Non-cooperative approach and the rude behaviors of the respondents. It cannot be used for a means of collecting information in areas where the literacy levels are low as the respondents may not be able to understand the purpose or the language of the EDS FORMAT & VISI FORMAT. There are chances of biasness in some answers as most of people while in the market places are in a hurry and asking question in such ambience is not very fruitful or good idea. During the survey, the ambience of Kanpur was not well due to extremely hot climate. This report is based on the data & information which was given by the retailers and it has been assumed that they had given correct information.I tried to overcome on these limitations. 60
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    • Area Covered .Mall Road (Direct Route):-Mall Road are belongs to direct route. This areas given to me by asst. sales manager I have to getinformation about the reason.Shubham Agency (Indirect Route):-Canal Road, Ghantaghar, Hulaganj, Marey Co. Bridge, Mall Road, Sutarkhana. Area CCX PCI Grand Total Canal Road 7 19 26 Ghantaghar 5 6 11 Hulaganj 10 22 32 Mall Road 2 11 13 Mare Co. Brige 4 4 8 Sutarkhana 4 14 18 Figure 1 62
    • Channel Type . In the channel type we find which type of shop is there like grocery shop, eating anddrinking shop, convenience, leisure. Channel PCI CCX Grand TotalConvenience 27 5 32Eating & Drinking 18 6 24Grocery 35 15 50Travel & Transports 1 1 2 Figure 2 63
    • Each Dealer Survey NAME OF DISTRIBUORS: - SUBHAM AGENCY AREA: - Canal Road, Ghantaghar, Hulaganj, Mall Road, Marey Co. Bridge, Sutarkhana Estim Status Cooling Equipment ated (PCI / PCI Name ofS.No. Address Area Channel Share CCX / Outlet Asset Size PCI ( Mixed %) ) No. (Lit.) CCX OWN Bablu Ghasiari mandi 1 Canal Road Convenience 78 Mix PCI Pan Shop Chauraha Mishra Batch No.21 Shop 2 Canal Road Convenience 100 PCI Yes Pan Shop No. 2 Canall Road Shop No. 96 3 Hari PCO Canal Road Convenience 100 PCI 35647 165 Express Road Harish 4 16/4 Canal Road Canal Road Convenience 20 Mix Yes Telecom Neta Pan 5 16/5 Canal Road Canal Road Convenience 29 Mix 48197 Yes Shop Anoop 6 16/21 Canal Road Canal Road Convenience 100 PCI Yes Jaiswal Rohit Tea 7 60/37 Canal Road Canal Road Convenience 100 PCI 51545 565 Stall Shiv Laxmi Coffey Eating & 8 Shanker Canal Road 100 PCI 25114 100 House Drinking Gupta Baba Tea Eating & 9 Express Road Canal Road 100 PCI 51549 380 Stall Drinking Krishna Eating & 10 Misthan 20 Express Road Canal Road 50 Mix 41627 340 Yes Yes Drinking Bhandar Dwivedi 89 Canal Road Nr. Eating & 11 Canal Road 100 PCI 51104 400 Tea Stall Marwadi School Drinking Sonal Block No. 209 Eating & 12 Monal Canal Road 100 PCI 48182 570 Express Road Drinking Tea Stall Akshut Eating & 13 13 Express Road Canal Road 44 Mix 37178 340 Yes Tea Stall Drinking Bablu Eating & 14 Ghasiyari Mandi Canal Road 100 PCI 51550 570 Egg Drinking Satish Block NO. 29 Shop Eating & 15 Cold Canal Road 100 PCI 43733 280 no.1 Canal Road Drinking Drink Dauji Eating & 16 Canal Road Canal Road 67 Mix Yes Mishthan Drinking Maya Eating & 17 Cold 25/17 Canal Road Canal Road 100 PCI 25299 200 Drinking Drink Bajpai Batch No.21 Shop 18 General Canal Road Grocery 100 PCI 47355 480 No. 2 Canall Road Store Amreesh Block No. 15 Shop 19 General Canal Road Grocery 100 PCI PCI No.5 Canal Road Store Shri 20 97 Express Road Canal Road Grocery 50 Mix Yes Mahalax 64
    • mi Store Gupta Block No. 1 Shop21 General Canal Road Grocery 100 PCI 42264 380 No. 1 Canal Road Store Shanu22 General 3/3 Canal Road Canal Road Grocery 0 CCX Yes Store Ajay Block No.1 Shop23 General Canal Road Grocery 100 PCI 42264 340 No2 Canal Road Store Soni24 General 30/12 Canal Road Canal Road Grocery 100 PCI 40556 340 Store Ambrish25 General 60/31 Canal Road Canal Road Grocery 100 PCI 12562 Store Jaiswal Express Road26 General Canal Road Grocery 0 CCX Yes Ghasiyari Mandi Store Shukla27 73/27 Ghantaghar Ghantaghar Convenience 67 Mix Yes Yes Pan Shop Badkau28 Ghantaghar Ghantaghar Convenience 67 Mix 32627 340 Yes Pan Shop Govind29 72/4 Ghantaghar Ghantaghar Convenience 100 PCI 09591 Pan Shop Mishra 72/2 Kailash30 Ghantaghar Convenience 60 Mix 48223 570 Yes PCO Building Arjun 71/1 Teliyana Eating &31 Ghantaghar 100 PCI 41529 280 Sweet Canal Road Drinking Santosh32 General 71/44 Teliyana Ghantaghar Grocery 100 PCI 19859 Store Shivam33 General 68/6 Teliyana Ghantaghar Grocery 100 PCI Yes Store Raju 72/2 Kailash34 General Ghantaghar Grocery 0 CCX Yes Building Store Surendra 6/46 Teliyana35 General Ghantaghar Grocery 100 PCI 42200 340 Chauraha Store Priya 71/187 Teliyana36 Ghantaghar Leisure 57 Mix 37183 340 Yes Hotel Canal Road Marwah 72/2 Kailash37 Ghantaghar Leisure 0 CCX Yes Hotel Building Neha 62/215 Harbansh38 Hulaganj Convenience 100 PCI Yes PCO Mohal Deepak39 (Guddu) 67/115 Bhusatoli Hulaganj Convenience 100 PCI 25115 100 Pan Sh. Sunil Pan 64/233 Gadariya40 Hulaganj Convenience 100 PCI Shop Mohal Kuldeep41 Lucknow Crossing Hulaganj Convenience 100 PCI Pan Shop Rajesh42 61/18 Hulaganj Hulaganj Convenience 50 Mix Yes Pan Shop Sunny 64/216 Gadariya Eating &43 Cold Hulaganj 38 Mix PCI Mohal Drinking Drink Ramesh 63/61 Harbansh44 Kirana Hulaganj Grocery 100 PCI 51105 480 Mohal Store Sri 62/197 Harbansh45 Shyam Hulaganj Grocery 100 PCI 48070 340 Mohal General 65
    • Store Shivam 67/125 Hulaganj46 General Hulaganj Grocery 42 Mix Yes kanpur Store Utsav 14/16 KDA Market47 General Hulaganj Grocery 30 Mix Yes Hulaganj Store Dinesh Bhusatoli48 Kirana Hulaganj Grocery 100 PCI Chauraha Store Raju49 General 61/183 Hulaganj Hulaganj Grocery 79 Mix 47032 340 Store Agrahari50 General 61/183 Hulaganj Hulaganj Grocery 100 PCI 16497 200 Store Sri Ganesh 61/121 D51 Hulaganj Grocery 100 PCI 46473 565 Shanker Hulaganj G St. Ashu52 General 66/214 Bhusatoli Hulaganj Grocery 100 PCI 25109 100 Store Sri Durga53 General 66/304 Bhusatoli Hulaganj Grocery 50 Mix 50996 480 Yes Store Utakarsh54 General 67/49 Bhusatoli Hulaganj Grocery 50 Mix 48063 310 Yes Store SK55 General 68/6 Bhusatoli Hulaganj Grocery 100 PCI Yes Store Mahesh56 General 69/107 Bhusatoli Hulaganj Grocery 71 Mix Yes Store Geeta57 General 67/71 Bhusatoli Hulaganj Grocery 100 PCI 19957 Store Vidhya Sahu 64/218 Gadariya58 Hulaganj Grocery 50 Mix 42231 340 Yes General Mohal St. Ravi 64/240 Gadariya59 General Hulaganj Grocery 100 PCI 41555 270 Yes Mohal Store Binda 64/18 Gadariya60 General Hulaganj Grocery 100 PCI 16433 100 Mohal Store Rakesh 61/153 Sitaram61 General Hulaganj Grocery 100 PCI Mohal Hula ganj Store Ashok 61/107 Hulaganj62 General Hulaganj Grocery 100 PCI 18947 120 Sitaram Mohal Store Santosh 61/13 Sitaram63 General Hulaganj Grocery 100 PCI Yes Mohal Hulaganj Store Khemu 61/212 Sitaram64 General Hulaganj Grocery 100 PCI Yes Mohal Canal Road Store Shyam Ji 61/35 Harbansh65 General Hulaganj Grocery 100 PCI Yes Mohal Chauraha Store Saurabh 64/62 Gadariya66 Hulaganj Grocery 50 Mix Yes General mohal 66
    • Store Sunil 64/75A Gadariya67 Provision Hulaganj Grocery 0 CCX Yes Yes Mohal Store Pappu 61/13 Sitaram68 Hulaganj Grocery 0 CCX Yes Yes Vedio Mohal Hulaganj Sadhna69 General 66/25 A Bhusatoli Hulaganj Grocery 73 Mix 19955 Yes Store Rahul70 63/5 Mall Road Mall Road Convenience 100 PCI 38510 Pco Mahesh71 63/2 Mall Road Mall Road Convenience 100 PCI 25248 200 Pan Shop Virendra72 63/2 Mall Road Mall Road Convenience 100 PCI 34484 Pan Shop K K Pan73 63/2 Mall Road Mall Road Convenience 100 PCI 09564 100 Shop Rajkumar74 Mall Road Mall Road Convenience 100 PCI 35123 280 Pan Shop Ram Ji 25/31 Karanchi75 Mall Road Convenience 100 PCI Yes Pan Shop Khana Anand Eating &76 Restaure 63/2 Mall Road Mall Road 100 PCI 12823 200 Drinking nt Ankit Eating &77 Bhojnala 63/2 Mall Road Mall Road 100 PCI 44363 Drinking y Vipin 63/2 Ghasiari Eating &78 Kumar Mall Road 100 PCI 51112 Mandi Drinking Tea Stall Jaanvi Eating &79 Cold 426A Mall Road Mall Road 50 Mix 35002 Yes Drinking Drink Sandeep Eating &80 Cold 95 Mall Road Mall Road 100 PCI 35958 Drinking Drink Paras Eating &81 127 Mall Road Mall Road 58 Mix 47712 Yes Milk Bar Drinking Om82 General 63/5 Mall Road Mall Road Grocery 50 Mix Yes Yes Store Mahesh Marey Company Marey Co.83 Convenience 63 Mix 35158 280 Pan Shop Pull Bridge Bhola Marey Co.84 63/5 King Market Convenience 0 CCX 32718 200 Yes Pan Shop Bridge Basantu Marey Co.85 Nr. Sunder Cinema Convenience 100 PCI Yes 100 Pan Shop Bridge Shop No. 14 Ravi Circular Road Marey Co.86 Confectio Convenience 50 Mix 34458 340 Yes Marey Company Bridge nary Pull Shop No. 72 Warsi Circular Road Marey Co.87 Convenience 100 PCI 51103 400 Telecom Marey Company Bridge Pull Aqib Shop No. 77 Javed Circular Road Marey Co.88 Convenience 100 PCI 19000 Confectio Marey Company Bridge nar Pull Ajay Tea Shop No. 13 Marey Marey Co. Eating &89 42 Mix 38347 340 Stall Company Pull Bridge Drinking Tiwari 40 Marey Marey Co. Eating &90 Cold 50 Mix Company Pull Bridge Drinking Drink 67
    • Mullu91 66/181 Motimohal Sutarkhana Convenience 100 PCI 12988 100 Pan Shop Sharma92 Electrical 65/1 Motimohal Sutarkhana Convenience 100 PCI Yes s Sanjay93 65/229 Motimohal Sutarkhana Convenience 100 PCI Yes Pan Shop Shri Pan94 70/71 Sutarkhana Sutarkhana Convenience 60 Mix Yes Shop Ajmeri 70/47 Mathuri Eating &95 Cold Sutarkhana 67 Mix Yes Mohal Drinking Drink Daya Shanker 70/48 Mathuri Eating &96 Sutarkhana 75 Mix 44179 280 Yes Cold Mohal Drinking Drink Narayan Sutarkhana Canal Eating &97 Sutarkhana 63 Mix 38817 280 Sweet Road Drinking Baburam 72/3 GhantaGhar Eating &98 Sutarkhana 100 PCI 35006 220 Tea Stall Sutarkhana Road Drinking Shri Ram99 General 65/49 Motimohal Sutarkhana Grocery 67 Mix 41741 220 Yes Store Prem100 Kirana 65/47 Motimohal Sutarkhana Grocery 67 Mix 48181 560 Store Rahul 66/148 Kachiyana101 General Sutarkhana Grocery 100 PCI Yes Mohal Store Prateek 66/172 Kachiyana102 General Sutarkhana Grocery 100 PCI Yes Mohal Motimohal Store RK103 General 69/134 Danakhori Sutarkhana Grocery 71 Mix PCI Store Pooja104 General Sutarkhana Sutarkhana Grocery 50 Mix Store Kaushik105 General 70/42 Sutarkhana Sutarkhana Grocery 100 PCI Yes Store Munna106 General 70/50 Sutarkhana Sutarkhana Grocery 50 Mix Yes Store Ajendra107 General 71/155 Sutarkhana Sutarkhana Grocery 100 PCI Yes Store Ramu 72/2 Sutarkhana108 General Sutarkhana Grocery 100 PCI 49529 540 Kailash Building Store Market Share of Cold Stocks PEPSI 58% EDS REPORT COKE 6% Figure 3 MIXED 35% PEPSI 71% EDS REPORT Figure 4 COKE 29% 68
    • Figure 3 Figure 4Interpretation: - As these pie charts show the market share of pepsi is more than coke. Thereasons may be many like better promotional schemes, good advertisement through differentmedia, better services, etc. 69
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    • Distribution of Visi (Freeze) .1. Visi of Pepsi 55%2. Visi of Coke 27%3. Own Freeze 19% 71
    • VISI ANALYSIS REPORT Create Visi 1st Visi Charging Rack Stacking FMO- FMO-S.No. Oulet Name Address Position Purity > 70 % Charging Minimum 1 2 5 Case Mahesh Pan Marey Company CCX Y Y PCI Y 1 Shop Pull Shop No. 13 Marey Company CCX Y Y PCI Y 2 Ajay Tea Stall Pull Shop No. 14 Circular Road CCX Y Y N/A Y Ravi Marey Company 3 Confectionary Pull Shop No. 72 Circular Road PCI Y Y PCI Y Marey Company 4 Warsi Telecom Pull 64/216 Gadariya PCI Y Y N/A N 5 Sunny Cold Drink Mohal 89 Canal Road Nr. Marwadi PCI Y Y PCI Y 6 Dwivedi Tea Stall School Om General CCX Y N N/A N 7 Store 63/5 Mall Road 8 Rahul Pco 63/5 Mall Road PCI Y Y PCI Y 9 Bhola Pan Shop 63/5 King Market CCX Y N N/A N Basantu Pan Nr. Sunder PCI Y Y PCI Y 10 Shop Cinema Mahesh Pan PCI Y Y PCI Y 11 Shop 63/2 Mall Road Virendra Pan PCI Y Y PCI Y 12 Shop 63/2 Mall Road 13 K K Pan Shop 63/2 Mall Road PCI Y Y PCI Y Anand PCI Y Y N/A Y 14 Restaurent 63/2 Mall Road 15 Ankit Bhojnalay 63/2 Mall Road PCI Y Y N/A Y Vipin Kumar Tea 63/2 Ghasiari PCI Y Y PCI Y 16 Stall Mandi 17 Jaanvi Cold Drink 426-A Mall Road CCX Y N PCI Y Sandeep Cold PCI Y Y PCI Y 18 Drink 95 Mall Road 19 Paras Milk Bar 127 Mall Road PCI Y Y N/A Y Rajkumar Pan PCI Y Y N/A Y 20 Shop Mall Road Ghasiari mandi PCI Y Y N/A Y 21 Bablu Pan Shop Chauraha Shiv Shanker Laxmi Coffey PCI Y N N/A Y 22 Gupta House 72
    • Batch No.21 Bajpai General Shop No. 2 PCI Y Y N/A Y23 Store Canall Road Shop No. 96 PCI Y Y N/A Y24 Hari PCO Express Road25 Baba Tea Stall Express Road PCI Y Y N/A Y Krishna Misthan CCX Y Y N/A Y26 Bhandar 20 Express Road27 Akshut Tea Stall 13 Express Road PCI Y Y N/A Y28 Neta Pan Shop 16/5 Canal Road PCI Y N N/A N Block No. 15 Amreesh Shop No.5 Canal PCI Y Y N/A Y29 General Store Road Sonal Monal Tea Block No. 209 PCI Y Y PCI Y30 Stall Express Road Gupta General Block No. 1 Shop PCI Y Y N/A Y31 Store No. 1 Canal Road Ashok General 61/107 Hulaganj PCI Y Y N/A Y32 Store Sitaram Mohal Ashu General PCI Y Y N/A N33 Store 66/214 Bhusatoli34 Bablu Egg Ghasiyari Mandi PCI Y Y N/A Y 71/1 Teliyana PCI Y Y N/A Y35 Arjun Sweet Canal Road Soni General 30/12 Canal PCI Y Y N/A Y36 Store Road 60/37 Canal PCI Y Y N/A Y37 Rohit Tea Stall Road Ambrish General 60/31 Canal PCI Y Y N/A Y38 Store Road Block NO. 29 Shop no.-1 Canal PCI Y Y N/A Y39 Satish Cold Drink Road40 Govind Pan Shop 72/4 Ghantaghar CCX Y Y N/A Y Shop No. 77 Circular Road PCI Y N N/A N Aqib Javed Marey Company41 Confectionar Pull Ramesh Kirana 63/61 Harbansh PCI Y Y N/A Y42 Store Mohal Sri Shyam 62/197 Harbansh PCI Y Y N/A Y43 General Store Mohal Raju General PCI Y Y PCI Y44 Store 61/183 Hulaganj Agrahari General PCI Y Y N/A Y45 Store 61/183 Hulaganj Sri Ganesh 61/121 D PCI Y Y N/A Y46 Shanker G St. Hulaganj 66/181 PCI Y Y N/A Y47 Mullu Pan Shop Motimohal Utakarsh CCX Y Y N/A Y48 General Store 67/49 Bhusatoli 73
    • Sri Durga PCI Y Y N/A Y49 General Store 66/304 Bhusatoli Geeta General PCI Y Y N/A Y50 Store 67/71 Bhusatoli Ajay General Block No.-1 Shop PCI Y Y N/A Y51 Store No-2 Canal Road Santosh General PCI Y Y N/A Y52 Store 71/44 Teliyana Deepak (Guddu) PCI Y Y N/A Y53 Pan Sh. 67/115 Bhusatoli 71/187 Teliyana PCI Y Y N/A N54 Priya Hotel Canal Road 72/2 Kailash PCI Y Y N/A Y55 Mishra PCO Building Raju General 72/2 Kailash CCX Y N CCX N56 Store Building Badkau Pan CCX Y Y N/A Y57 Shop Ghantaghar Shri Ram 65/49 PCI Y Y N/A N58 General Store Motimohal Prem Kirana 65/47 PCI Y Y N/A Y59 Store Motimohal Vidhya Sahu 64/218 Gadariya PCI Y Y N/A N60 General St. Mohal Ravi General 64/240 Gadariya CCX Y Y N/A Y61 Store Mohal Binda General 64/18 Gadariya PCI Y Y N/A Y62 Store Mohal R K General 69/134 PCI Y Y N/A Y63 Store Danakhori Daya Shanker 70/48 Mathuri PCI Y Y PCI Y64 Cold Drink Mohal Ramu General 72/2 Sutarkhana PCI Y Y N/A Y65 Store Kailash Building Baburam Tea 72/3 GhantaGhar PCI Y Y N/A N66 Stall Sutarkhana Road 73/27 CCX Y Y N/A Y67 Shukla Pan Shop Ghantaghar Surendra 6/46 Teliyana PCI Y Y N/A Y68 General Store Chauraha Sadhna General 66/25 -A CCX Y Y N/A Y69 Store Bhusatoli 25/17 Canal PCI Y Y N/A Y70 Maya Cold Drink Road Sutarkhana Canal PCI Y Y N/A Y71 Narayan Sweet Road Jaiswal General Express Road CCX N N CCX N72 Store Ghasiyari Mandi 72/2 Kailash CCX N N CCX N73 Marwah Hotel Building 74
    • Sunil Provision 64/75-A CCX N N CCX N 74 Store Gadariya Mohal 61/13 Sitaram CCX N N CCX N 75 Pappu Vedio Mohal Hulaganj Utsav General 14/16 KDA CCX N N N/A N 76 Store Market Hulaganj 77 Harish Telecom 16/4 Canal Road CCX N N N/A N 16/21 Canal CCX N N N/A N 78 Anoop Jaiswal Road Shri Mahalaxmi CCX N N N/A N 79 Store 97 Express Road 80 Dauji Mishthan Canal Road CCX N N N/A N 66/172 Prateek General Kachiyana Mohal CCX N N N/A N 81 Store Motimohal 82 Rajesh Pan Shop 61/18 Hulaganj CCX N N N/A N Munna General 70/50 CCX N N N/A N 83 Store Sutarkhana 70/71 CCX N N N/A N 84 Shri Pan Shop Sutarkhana VISI LOCATIONIst Location of Pepsi Visi: 68 %Ist Location of Coke Visi: 32 % 75
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    • VISI PURITYPepsi Visi-Purity: 85.00%Coke Visi-Purity: 15.00% 77
    • VISI CHARGING >70%Pepsi : 76 %Coke : 24 % 78
    • RACK CHARGINGPepsi: 18%Coke: 6%Not Allotted 76% 79
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    • SWOT ANALYSIS OF PEPSICO An analysis that includes environmental analysis, competitive analysis and analysis of corporate strengths, weakness, threats and opportunities.S.NO. STRENGTHS WEAKNESSES Demands of specific products are not 1 Big Brand Name in India. fulfilled. Communication Gap between Distributor and 2 Company has goodwill among the public. Retailer. Top management decides strategic planning and its implementation regarding the 3 availability, affordability of its brands. Good Schemes. Leakage Problem. 4 Increasing Market Share. Distributor does not work properly in season. 5 60 % market covered in India. Strong Distribution channel. Stock shortage problem in season. 6 Good Advertisement. Shortage of fridge or VISI in market. 7 Company has automatic plant for production. No maintenance of fridge or VISI. 8 Top management is very effective it take Sales representatives of company are not decisions on every aspect of business like performing according their efficiency so sales 9 social responsibility, sales promotion effected. marketing, finance distribution etc. 81
    • S.NO. OPPORTUNITIES THREATS 1 NIMBOOZ is a good option for LIMCA. Competitor (Coca-Cola). The forthcoming market would be the 2 Expend the market in rural area. market of consumers. So the schemes must be consumers oriented. Main competitor of Pepsi is Coke. Now a day’s coke is Improving planning, strategies 3 Attractive Schemes. & its implementation. Company should also change the market strategies. Now a day’s awareness of consumers Increase number of VISI and create Pepsi increasing rapidly so consumers are 4 Monopoly market. quantity conscious so company should plan according customer’s preferences. Increasing Market Share60 % market covered 5 Change Demand. in India. Company should consider on non-user of cold 6 drink Company can capture more market share 7 when introduces 200ml. For children at reasonable price Company must be decided to established 8 more visi in the market so that retailers pay more attention towards our products. 82
    • SWOT ANALYSIS OF COCA-COLAS.NO. STRENGTHS WEAKNESSES 1 Big brand name in India and Abroad. Communication Gap between Distributor and 2 Outstanding Reputations. Retailer. 3 Broader Product Line. Schemes are a Big Issue. 4 Good Schemes. Purification Problem. 5 Increasing Market Share. Distributor does not work properly in season. 45 % market covered in India and 60 % market 6 Stock shortage problem in season. in Abroad. 7 Strong Distribution channel. 8 Good Advertisement. 9 Company has automatic plant for production.S.NO. OPPORTUNITIES THREATS 1 LIMCA is a good option for Pepsi. Competitor (PepsiCo). 2 Expend the Market in All area. Nimbooz 3 Attractive Schemes. Wholesaler. Increase number of VISI and create Pepsi 4 Consistent in Test. Monopoly market. 5 Increasing number of Distributors. Change Demand. 83
    • Finding and Interpretation1 In terms of availability Pepsi is the most captured brands in the market2 Pepsis Aquafina is the most captured brand in the market, while on the other hand most of the retailers are not interested in selling Aquafina because of less margin compare to other brands.3 Most of the retailers are happy with the services of the PepsiCo, while some reported that the distributors are not very cooperative.4 Most of the retailers having companys cooling equipment are not satisfied with after sale services. In peak season of May and June most of Pepsi Companys were not working properly.5 Most of the retailers reported that they have not received any display material or hoarding since last one year or so.6 Leakage and damage bottles are not return in distributor‘s side.7 In some cases few retailer shown me Insect or fungus in the sealed glass bottle and reported against the cleanliness of glass bottles of PepsiCo.8 The most demanded pack of cold drink is of 200ml of glass bottle as it is in easy reach of common or lower class customer.9 Schemes are not provided timely. 84
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    • CONCLUSION OF THE STUDY As the results shows that market share of Pepsi cold drinks is more than the coca-cola,but it has some drawback like poor services in some areas, no maintenance of coolingequipment, cleanliness of glass bottles, recent allegations on the PepsiCo, etc. are the hurdle inpath of growth of PepsiCo in India. If we talk about its distribution network in Kanpur city, as survey results shows it issatisfactory but in some areas retailers reported that the distributor is not giving heed to theirproblems and uncooperative. And the delivery is not very regular in the peak season in someareas and retailer are facing stock outs. Advertisement which is backbone of any business in todays world is very good inPepsiCo India. Pepsi is running various sales promotional schemes and promotional campaignfor retailers, so that the company can meet the expectations of the retailer as compare to itscompetitor. Among the different pack of cold drinks most selling pack is 200 ml glass bottle as it is inreach of common man. Most of the retailer have suggested for the better services.Kanpur city has the very good market for cold drinks and it can be captured by good promotionalschemes and better services. The only competitor of PEPSI is COCA-COLA, & no local brandscan beat PEPSI. 86
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    • Suggestions On the Basis of above study following suggestions can be given:1 Perform a detail demand survey at regular interval to know about the unique needs and requirements of the customer.2 Better schemes should be introduced in the market & schemes should be provided timely.3 There should be regular visit of companys high official to the market for listening to the problems of the retailers.4 The company should be always in a position to receive continuous feedback and suggestions from its customers / consumers as well as from.5 The market and try to solve it without any delay to establish its own good credibility.6 Display material should be provided in large quantity so that it motivate retailer also helpful in receiving customer attention and ultimately better sales.7 More cooling equipment should be provided to retailers, so that retailer can stock Pepsi brands more and it also play role of display material.8 There should be regular inspection of Pepsis cooling equipments for malfunctioning and maintenance of the same for the longer period of time.9 Company should contact and try for new businesses. Like Railways, Airport and in Airlines, Bus Depot, Hotels, restaurant, etc.10 Rural people should be made aware of cold drink, they may be good prospects and some low price policies should be made for them. 88
    • Recommendations1 Pepsi, the choice of youth is not providing the first choice of young generation. Youth want something strong in cold drinks & thus prefers strong taste. Pepsi should come out with some extra strong taste to catch up maximum young generation and to become exactly Generation Next drink.2 The distribution channel should be focused on general stores because most of the people purchase soft drinks from general stores.3 The company should update the people about pesticides time to time because most of the people still afraid of pesticides.4 Most of the elders in the family take soft drinks but not pepsi they considered more orange and less strong taste company should come up with new taste keeping elders in its mind to increase sale and market share.5 People are Confused about the role of pepsi in health company should clear the soft drink role whether it is beneficial for health or not.6 Pepsi co should improved its advertisement quality, it should be realistic not imaginary.7 People get updated by T.V. pepsico should increase the updating by publicity as well as by Hoardings.8 Consistency (Nimbooz, Coke Diet).9 Number of Visi.10 Services of Visi.11 Demand effectiveness improper.12 Retailer depends on supplier.13 Create Monopoly market with the help of Visi.14 Schemes attract to retailer. 89
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    • SPECIMEN OF QUESTIONNAIREName of Dealer: _______________________________________________________________Contact Person: _______________________________________________________________Address: _____________________________________________________________________Landmark: ___________________________________________________________________Contact No.: __________________________________________________________________ Kind of Shop:  Eatery  Confectionary  Grocery  Others Which brand you purchase:  PEPSI  Both  COCA-COLA Which flavor you purchase more  COLA  Orange  Lime & Lemon  Mango 91
    •  Which volume of Pack preferred by customers:  200ml  600ml  300ml  2Ltr. Age group of your customers:  Below 15 yrs  25-35 yrs  15-25 yrs  35 yrs & Above Customers preference depends upon:  Brand  Availability  Advertisement  Scheme If customers preference depends upon schemes, than which age group is mainly affected by it.  Below 15 yrs  25-35 yrs  15-25 yrs  35 yrs & Above Average monthly consumption of PEPSI & COCA-COLA  PEPSI ……………….  COCA-COLA ………………. 92
    •  Do you make some extra efforts to sell/promote the PEPSI:  Yes  No If yes, then what type: …………………………………………………………………………. …………………………………………………………………………. Asset No. (Freezer No.)(Only for Pepsi) ……………………………. Any suggestion to the company: …………………………………………………………………………. …………………………………………………………………………. 93
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    • BIBLIOGRAPHYWebsiteshttp://www.pepsico.com/http://www.pepsi.com/http://www.google.com/http://www.Cocacola.comhttp://www.cocacolaindia.comBooks ReferredMarketing Management – Philip KotlerResearch Methodology – Kothari 95
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    • EDS(Every Dealer Survey) Format Name of Distributer:- Area:- Summer Trainee- Ice Glass Che Strength Cooling Equipment st in Signage Estim Status PCI use ( G. Sign Rack ated Name of (PCI / PCIS.No. Address Landmark Channel Share Outlet CCX / / PCI Size Mixed) Asset CC CC PC CC ( %) ( PCI Both No. X/ X I X Lit.) OW Mix PCI CCX CCX N ed) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
    • VISI FORMAT Route Name- Summer Trainee- PSR Name - Date- Create Visi 1st Visi Charging > Rack Stacking FMO- FMO-S.No. Oulet Name Address Position Purity 70 % Charging Minimum 1 2 5 Case 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35