Professional Documents
Culture Documents
BUSINESS ENVIRONMENT
Assignment 1
Submitted to By Deepinder S.
Rana
Ms. Shavina Goyal R.No: 5607
MBA 1st Section-
A
IMPLICATIONS: “The above news brings forth the change in social needs, with
need of web services in rural India, there more chances of technological
development in field of agriculture as there is also an increase need for it. This news
also lightens up the efforts of central govt. with support by various local level govts.
like in HP the BSNL data one has special scheme for villages, with minimal rentals,
in Punjab govt. has made the easy availability of basic hardware for internet usage.
These changes have opened a new explorable market for computer related firms in
hardware, software and service sector.”
IMPICATIONS: “The news reminds of 1990 when there were very strict rules
for any type of investment in India, but the passing of time the things have changed
on political and social level, the multinational are now welcomed in India. The
reason behind this open environment is Globalization on an international level, i.e. if
a company will not be allowed to set up its business in India it will target Indian
economy from neighboring state and it will also lead to loosing of substantial
Foreign investment. The increase in foreign investment will further boost the
economy. But the present day restrictions must continue for a substantial and safe
growth”
Coca-Cola is stepping into the tricky segment of dairy products that would put it at loggerheads with
the likes of Amul and Danone. It is testing waters with a mango pulp-based milk drink called Milky
Delite, which is an extension of its popular mango drink, Mazza. At present, Milky Delite is being sol
d in packs of 200 ml for Rs 15 in Kolkata. After two months of testing, Coca-Cola would take the dri
nk to the rest of the country. The company is said to have slotted Rs 65 crore in the production of frui
t beverages.
To extend its portfolio into milk products, Coca-Cola is sprucing up its supply chain — milk-based
drinks need cold storage both in transit and at stores. Milk solids, one of the key ingredients in the
product, will be sourced from Karnal in Haryana. Mango pulp is being sourced from Maharashtra.
Milky Delite will be processed in one of the company’s bottling plants in Kolkata. It has trained sales
teams and retailers on product handling — storing the product below 30 degree Celsius and so on.
Over the next two months, Maaza Milky Delite would be retailed across 3,000 ou
tlets in Kolkata. Once it reaches about 1,000 outlets, Coca-Cola will launch its pr
omotion campaign. The test phase will see a TV and outdoor ad campaign, besid
es consumer activation on the retail front. There will be road shows for sampling,
while the TV ad will be aired on the leading channels in the city. Kolkata with its
distinct vernacular preferences in TV channels will let Coca-Cola gauge audience
conversions through advertising in regional channels without it spending heavily
on media. The campaign, with its tagline “Sharing not possible”, has been create
d by Leo Burnett. .
Danone, the French dairy major, offers Choco Plus, a chocolate smoothie, at a price range similar to
that of Milky Delite. Most players in the category have offerings priced between Rs 13 and Rs 18 for
175-200 ml packs. While Britannia scalded its fingers with Zip Sip a few years ago, it has re-entered
the market with Actimind. It has upped the stakes by adopting HDPE packaging which is more
convenient than cartons and has a longer shelf life.
Coca-Cola is not leaving Milky Delite’s success to chance. It was developed at the company’s R&D
centre in Gurgaon after extensive consumer research and stability tests to match the taste of Indian
consumers. The packs can survive for four months of Indian climate. Globally, Coca-Cola is not new
to dairy products: It has products such as SuperMilky in China, Nutriboost in Vietnam, Fanta Lactic
in Honk Kong, Macau, Taiwan and the US, and Minute Maid Duofrutas in Spain. In India, there are
not many branded mango-milk drinks, with most players banking on coffee, chocolate and thandai-
based milk drinks. This gives Coca-Cola a headstart. Can Maaza Milky Delite pass the slurp test?