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By Sohail Khan

Industry Analyses
Porters five forces

Suppliers Number of Suppliers with different bargaining power but overall if we analyze each constituent of the supplies, there is inconsistency in the quality and Availability of supplies. So we can conclude that there were few suppliers who actually had good quality and availability of supplies. Substitutes A variety of substitutes for soft drinks is available in market. No strong brand preferences for a particular brand made it easy for people to switch to other brands. Buyers 59.3 million Consumers of soft drink in India show that there is a huge market of buyers. Institutional buyers such as hotels, restaurants, government department and retail outlets throughout the country. Threat of New Entrants/Entry Barriers Huge Initial investment. Not easy to achieve economies of scale in manufacturing and bottling operations. At present level of consumption it was not feasible to set up factories that are viable. Rivalry There are only two major players in the cola segment. Both are competing for market leadership Customers has low switching costs. Industry is growing. Exit barriers are high and rivals will stay and compete.

By Sohail Khan

Recommendations 1. Increase the range of SKUs in the retail outlets. 2. Use efficient logistics for less breakage of bottles in crates. 3. Reach out to large retail outlets throughout India. 4. Carry out research to determine the preference of consumers towards different size bottles (SkUs). 5. Increase focus on Shopper Marketing instead of traditional marketing techniques.

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