East west college of management

Subject: Business and Industry

Project Assignment on Food industry

Submitted to the department of

management

To
Jyothi ma’am
By
1st year MBA C section students

1. Maya M
2. Sukriya Ali
3. Sirisha PN
4. Ranjini KM
5. Divya RN
6. Nikitha N

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 INDEX

COMPANY PAGENO.

1.COCOCOLA 3-9

2.ARLA 10-15

3.PRPSICO 16-21

4. NESTLE 22-28

5. REDBULL 29-32

6. AMUL 33-36

OPINION 37

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 Coca-Cola Company
-Maya M

Started

Coca-Cola, or Coke, is a carbonated soft drink manufactured by The Coca-Cola Company.

Originally marketed as a temperance drink and intended as a patent medicine, it was invented in
the late 19th century by John Stith Pemberton and was bought out by businessman As a Griggs
Candler, whose marketing tactics led Coca-Cola to its dominance of the world soft-drink market
throughout the 20th century. The drink's name refers to two of its original ingredients: coca leaves,
and kola nuts (a source of caffeine). The current formula of Coca-Colaremains a trade secret,
although a variety of reported recipes and experimental recreations have been published.

Coca-Cola has retained many of its original design features in modern glass bottles

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 Type Cola

Manufacturer The Coca-Cola Company

United States
Country of
origin

Introduced May 8, 1886; 133 years ago

Color Caramel E-150d

Variants
Diet Coke
Diet Coke Caffeine-Free
Caffeine-Free Coca-Cola
Coca-Cola Zero Sugar
Coca-Cola Cherry
Coca-Cola Vanilla
Coca-Cola Citra
Coca-Cola Life
Coca-Cola Mango

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 Related
products Pepsi
RC Cola
Afri-Cola
Postobón
Inca Kola
Kola Real
Cavan Cola

coca-cola.com
Website

History

This refurbished Coca-Cola advertisement from 1943 is still displayed in Minden, Louisiana.

Early Coca-Cola vending machine at Biedenharn Museum and Gardens in Monroe, Louisiana

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 Confederate Colonel John Pemberton, who was wounded in the American Civil War and
became addicted to morphine, began a quest to find a substitute for the problematic drug. In 1885
at Pemberton's Eagle Drug and Chemical House, a drugstore in Columbus, Georgia, he registered
Pemberton's French Wine Coca nerve tonic. Pemberton's tonic may have been inspired by the
formidable success of Vin Mariani, a French-Corsicancoca wine, but his recipe additionally
included the African kola nut, the beverage's source of caffeine.

It is also worth noting that a Spanish drink called "Kola Coca" was presented at a contest in
Philadelphia in 1885, a year before the official birth of Coca-Cola. The rights for this Spanish drink
were bought by Coca-Cola in 1953.

In 1886, when Atlanta and Fulton County passed prohibition legislation, Pemberton responded by
developing Coca-Cola, a nonalcoholic version of Pemberton's French Wine Coca. It was marketed
as "Coca-Cola: The temperance drink", which appealed to many people as the temperance
movement enjoyed wide support during this time. The first sales were at Jacob's Pharmacy in
Atlanta, Georgia, on May 8, 1886, where it initially sold for five cents a glass. Drugstore soda
fountains were popular in the United States at the time due to the belief that carbonated water was
good for the health, and Pemberton's new drink was marketed and sold as a patent medicine,
Pemberton claiming it a cure for many diseases, including morphine addiction, indigestion, nerve
disorders, headaches, and impotence. Pemberton ran the first advertisement for the beverage on
May 29 of the same year in the Atlanta Journal.

By 1888, three versions of Coca-Cola – sold by three separate businesses – were on the market. A
co-partnership had been formed on January 14, 1888, between Pemberton and four Atlanta
businessmen: J.C. Mayfield, A.O. Murphey, C.O. Mullahy, and E.H. Blood worth. Not codified
by any signed document, a verbal statement given by as a Candler years later asserted under
testimony that he had acquired a stake in Pemberton's company as early as 1887. John Pemberton
declared that the name "Coca-Cola" belonged to his son, Charley, but the other two manufacturers
could continue to use the formula.

Charley Pemberton's record of control over the "Coca-Cola" name was the underlying factor that
allowed for him to participate as a major shareholder in the March 1888 Coca-Cola Company
incorporation filing made in his father's place. Charley's exclusive control over the "Coca-Cola"
name became a continual thorn in as a Candler's side. Candler's oldest son, Charles Howard

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Candler, authored a book in 1950 published by Emory University. In this definitive biography
about his father, Candler specifically states: "..., on April 14, 1888, the young druggist As a Griggs
Candler purchased a one-third interest in the formula of an almost completely unknown proprietary
elixir known as Coca-Cola." The deal was actually between John Pemberton's son Charley and
Walker, Candler & Co. – with John Pemberton acting as cosigner for his son. For $50 down and
$500 in 30 days, Walker, Candler & Co. obtained all of the one-third interest in the Coca-Cola
Company that Charley held, all while Charley still held on to the name. After the April 14 deal, on
April 17, 1888, one-half of the Walker/Dozier interest shares were acquired by Candler for an
additional $750.

Company
In 1892, Candler set out to incorporate a second company; "The Coca-Cola Company" (the current
corporation). When Candler had the earliest records of the "Coca-Cola Company" destroyed in
1910, the action was claimed to have been made during a move to new corporation offices around
this time.

After Candler had gained a better foothold on Coca-Cola in April 1888, he nevertheless was forced
to sell the beverage he produced with the recipe he had under the names "Yum Yum" and "Koke".
This was while Charley Pemberton was selling the elixir, although a cruder mixture, under the
name "Coca-Cola", all with his father's blessing. After both names failed to catch on for Candler,
by the middle of 1888, the Atlanta pharmacist was quite anxious to establish a firmer legal claim
to Coca-Cola, and hoped he could force his two competitors, Walker and Dozier, completely out
of the business, as well.

John Pemberton died suddenly on August 16, 1888. Asa Candler then decided to move swiftly
forward to attain full control of the entire Coca-Cola operation.

Charley Pemberton, an alcoholic and opium addict unnerved Asa Candler more than anyone else.
Candler is said to have quickly maneuvered to purchase the exclusive rights to the name
"CocaCola" from Pemberton's son Charley immediately after he learned of Dr. Pemberton's death.
One of several stories states that Candler approached Charley's mother at John Pemberton's funeral
and offered her $300 in cash for the title to the name. Charley Pemberton was found on June 23,

7
1894, unconscious, with a stick of opium by his side. Ten days later, Charley died at Atlanta's
Grady Hospital at the age of 40.

In Charles Howard Candler's 1950 book about his father, he stated: "On August 30 [1888], he Asa
Candler became sole proprietor of Coca-Cola, a fact which was stated on letterheads, invoice
blanks and advertising copy."

With this action on August 30, 1888, Candler's sole control became technically all true. Candler
had negotiated with Margaret Dozier and her brother Woolfolk Walker a full payment amounting
to $1,000, which all agreed Candler could pay off with a series of notes over a specified time span.
By May 1, 1889, Candler was now claiming full ownership of the Coca-Cola beverage, with a total
investment outlay by Candler for the drink enterprise over the years amounting to $2,300.

In 1914, Margaret Dozier, as co-owner of the original Coca-Cola Company in 1888, came forward
to claim that her signature on the 1888 Coca-Cola Company bill of sale had been forged.
Subsequent analysis of other similar transfer documents had also indicated John Pemberton's
signature had most likely been forged as well, which some accounts claim was precipitated by his
son Charley.

On September 12, 1919, Coca-Cola Co. was purchased by a group of investors for $25 million and
reincorporated. The company publicly offered 500,000 shares of the company for $40 a share. In
1986, The Coca-Cola Company merged with two of their bottling operators (owned by JTL
Corporation and BCI Holding Corporation) to form Coca-Cola Enterprises Inc. (CCE). In
December 1991, Coca-Cola Enterprises merged with the Johnston Coca-Cola Bottling Group, Inc.

Geographic Reach

The world's largest beverage company sells products in some 200 countries and generates about
35% of its sales in the US. Outside the US, unit case volume is highest in Mexico, China, Brazil,
and Japan. Headquartered in Atlanta, Coca-Cola has about 290 offices, plants, warehouses, and
other facilities across the globe.

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Financial Performance

Coca-Cola's annuals sales and profits have been trending lower over the past several years as
traditional soft drink sales have fallen with changing consumer tastes in developed markets.
Revenue has declined more than 30% over the past five years and net income had also dropped
significantly until 2018.

The soft-drink maker's sales fell 10% to $31.9 billion in 2018 as the refranchising of bottling
territories and bottling operations (part of a deliberate structural change) resulted in a significant
drop in sales from the Bottling Investments segment. That was offset slightly by an increase in
volume and a more favorable price, product, and geographic mix.

Coca-Cola's net income that year jumped more than 500% to $6.4 billion on improved operating
margins and lower income taxes from the prior year, when profit was hit hard by a one-time
transition tax resulting from the Tax Reform Act signed into law in late 2017.

Cash at the end of 2018 was $8.9 billion, an increase of $2.9 billion from the prior year. Cash from
operations contributed $7.3 billion to the coffers, while investing activities provided another $6.3
billion from proceeds from disposal of investments. Financing activities used $10.6 billion,
primarily on payments of debt and dividends.

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 Arla

- sukriya Ali

History

Way back in the 1880’s, dairy farmers in Denmark and Sweden formed small cooperatives to
invest in common dairy production made efficient use of their milk and higher quality products.
The earnings they made from their milk were equally split between the dairy farmers and together
they built a good future for themselves and the next generation on their farm.

Over the years, the cooperative idea proved increasingly attractive. Small farmer cooperatives
merged and became stronger. They expanded from local to regional to national cooperatives. In
2000, the largest Danish dairy cooperative merged with its Swedish counterpart and Arla Foods,
the first cross-border dairy cooperative, was formed. The cooperative idea also flourished in other
countries and through recent mergers cooperative owners in the UK, the Netherlands, Germany,
Belgium and Luxembourg have joined Arla Foods. And we will continue to grow stronger.

Company profile
Arla Foods' objective is to be the consumers' and customers' preferred dairy. In Northern Europe-
with a wide range of dairy products. In Southern Europe--with selected ranges of cheese and butter.
Outside Europe--with a product range adapted to the individual markets. Moreover, Arla Foods
intends to maintain and develop its position as an innovative global supplier of added value, milk-

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based ingredients for leading food producers throughout the world. With Northern Europe as its
natural domestic market, Arla Foods is dedicated to providing consumers with a broad range of
high-class dairy products. From a solid base in Denmark and Sweden, where the Group has its
roots, Arla Foods aims at maintaining close links with customers in all key export markets through
a network of sales companies. In addition, through Arla Foods Ingredients, the Group is one of the
world's leading global suppliers of added-value, milk-based ingredients to selected sectors of the
food industry. Arla Foods's nearly 15,000 dairy farmer owners have helped make it one of the
world's leading dairy products manufacturers and the leading dairy group in Europe.

Milestone achieved
After a difficult first quarter, Arla came out of 2018 with improved sales and brand share as the
company’s performance grew stronger throughout the year. The transformation programme
Calcium delivered cost-savings far beyond targets for the year and thanks to a historically strong
balance sheet the Board of Directors has proposed to pay out the entire net profit for 2018 to farmer
owners.

Group revenue increased to EUR 10.4 billion (compared to EUR 10.3 billion in 2017 and EUR 9.6
billion in 2016) driven mainly by strong growth in branded sales volumes of 3.1 per cent with a
wider range of dairy products to meet consumer needs. Thereby Arla grew its share of branded
business to 45,2 per cent, surpassing the long-term target in the Good Growth Strategy 2020 of 45
per cent.

Arla’s performance price – which measures the value Arla creates per kilogram of owner milk –
rebounded after the first quarter and improved throughout the year, ending at a full-year average
of 36.4 for 2018.

NET PROFIT TO BE PAID OUT TO FARMER OWNERS

By the end of 2018 the negative impact of the summer’s drought in Europe was registered as
expected growth in milk volumes stalled in Europe and Arla’s farmer owners faced increasing feed
prices. Arla’s historically strong balance sheet has allowed the Board of Directors to propose an
extraordinary one-time pay-out of the full net profit for 2018 of EUR 290 million to farmer owners.

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This will be paid out as 2.3 eurocent per kilogram of milk each farmer owner has delivered to the
cooperative.

Arla Foods Chairman Jan Toft Nørgaard says, “As a farmer-owned dairy company we care deeply
about the livelihood of our farmers and we see how many of our colleagues have been affected by
the drought last summer. We have this exceptional opportunity to help them without putting our
company Arla at risk and I am proud that we have proposed to do so.”

Growth

Arla branded products recorded the largest growth of any of the 100 UK grocery brands listed,
achieving growth of £37m in 2016. The Arla brand portfolio grew £8.5m more than the next closest
brand (Pepsi, £29.3m), reflecting a strong sales performance of volume driven growth of 7.6% last
year.

The Arla brand is the 21st most valuable grocery brand in the UK as it debuts in The Grocer’s
prestigious Britain’s Biggest Brands index, an annual report of the UK’s 100 most popular names
in food and drink. The achievement is in line with Arla’s UK Strategy 2020, the organization’s
most ambitious business strategy, aiming to create the Arla brand into a top household name by
2020 and establishing itself as the champion of British dairy. Stuart Ibberson, Senior Director,
Marketing, at Arla Foods UK, said: “We are delighted with Arla’s top-drawer performance in The
Grocer’s Britain’s Biggest Brand index. The growth of the Arla brand is a phenomenal
achievement and reflects our position as a positive example of how product innovation can open
up new possibilities for consumers and producers alike. This success is driven by our commitment
to the development of innovative products that cater to a variety of consumer tastes and lifestyles.
Last year alone, Arla branded milk products brought in an additional £95m thanks to products such
as award winning Arla B.O.B and Arla Farmers Milk, keeping us on track to meet our ambitious
Strategy 2020 targets.”

The Arla brand was launched in to the UK in 2015 and comprises a variety of dairy products
including milk, yoghurt and cheese. Major products launched last year include Arla B.O.B, Arla
Organic Farm Milk, Arla Quark and Arla Protein Cottage Cheese, adding to the already successful
portfolio of Arla skyr, Protein, Cravendale and Lactofree. The Grocer’s Britain’s Biggest Brand

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index for 2016 was published 17 March 2017, and ranks grocery brands according to the value of
their total UK sales. Arla-owned brands Lurpak and Anchor also placed in this year’s table,
finishing 14th and 70th respectively. Source: Nielsen 52 w/e 31st Dec 16. 52w/e value sales of the
category, subtracting what the value of sales would be if all of Arla’s branded volume was sold at
standard fresh pricing.

Marketing department

We want to develop our role as a global food company that adds value to people’s lives through
natural nutrition and responsible operations.

In order to succeed, we will:

• Excel in eight dairy categories

• Focus on six geographical regions

• Win as one united and efficient Arla

Excel in eight dairy categories

We have matched our own strengths in the dairy categories to the consumer needs we see globally.
This has led us to identify growth opportunities on a global or regional scale in eight categories.
In these, we want to excel with innovative products, a world class supply chain, compelling
marketing and strong partnerships with our customers. The prioritized categories and our
ambitions for them are:

Milk and powder: We want to lead and shape the market with nutritious value-added products.

Milk-based beverages: We want to shape the market for on-the-go products that are made from
natural ingredients.

Spreadable cheese: We want to be a leader with both cream cheese that is made from natural
ingredients and high quality processed cream cheese.

Yogurt: We want to build a strong position that is based on health benefits and natural ingredients.

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Butter and spreads: We want to be a global leader with world class products made from natural
ingredients.

Specialty cheese: We want to be a leading player with creatively crafted products and concepts.

Mozzarella: We want to create a global foodservice position with high quality mozzarella.

Ingredients: We want to be the global leader in value-added whey.

Focus on six regions

We will focus on six regions in which we believe Arla has the greatest potential to grow a longterm
profitable business for our farmer-owners.

Over the years Arla has built a strong position in Northern Europe where we are the preferred dairy
company for consumers, and the Middle East where our brands are among the strongest in the food
industry. We will continue to build on these market positions as we also develop our business in
four other regions and China, Nigeria, USA and Russia as our main focus markets.

Towards 2020, we expect 50 per cent of our growth to come from Europe. The other 50 per cent
will come from the regions outside Europe.

Distribution

Home to some of the UK’s leading dairy brands, including Cravendale, Anchor, Lurpak and
Castello, Arla Foods UK supplies a full range of fresh dairy products to the major retailers and
foodservice customers.

Not only is Arla the UK’s number one dairy company, by milk pool, it is the largest supplier of
both butter and spreads and cheese in the country. The business has a yearly combined milk pool
of circa 3 billion liters and a turnover in excess of £2 billion.

Making 4,000 deliveries to stores and regional distribution centers each day, Arla has including
2,500 farmer owners, spread geographically throughout the country. Behind this leading business
is a team of circa 3,500 colleagues across the UK located at our dairies, distribution centers and
head offices.

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 PepsiCo

-Sirisha PN

History

The soft drink Pepsi was developed by Caleb Bradham, a pharmacist and businessman from Duplin
County, North Carolina. He coined the name "Pepsi-Cola" in 1898 while marketing the drink from
his pharmacy in New Bern, North Carolina. As his drink gained popularity, Bradham founded the
Pepsi-Cola Company in 1902 and registered a patent for his recipe in 1903 The company was
incorporated in Delaware in 1919. Bradham's company experienced years of success leading up
World War I. However, sugar rationing during the war and a volatile sugar market in the war's
aftermath damaged the company's financial health to such a degree that in 1923, Bradham declared
bankruptcy and returned to running pharmacies in North Carolina.

On June 8, 1923 the company trademark and secret recipe were purchased by Craven Holding
Corporation. In 1931, Roy Megargel, a Wall Street broker, purchased the Pepsi trademark,
business, and goodwill from Craven Holding in association with Charles Guth. Guth was also the
president of Loft, Incorporated, a leading candy manufacturer based in Long Island City, New
York. Loft ran a network with 115 stores across the Mid Atlantic at the time of Guth's acquisition.
Guth used Loft's labs and chemists to reformulate the Pepsi syrup recipe, and he used his position
as president of the company to replace Coca-Cola with Pepsi Cola at Loft's shops and restaurants.
Guth also used Loft resources to promote Pepsi, and moved the soda company to a location close
by Loft's own facilities in New York City.
In 1935, the shareholders of Loft sued Guth for his 91% stake of Pepsi-Cola Company in the
landmark case Guth v. Loft Inc. Loft won the suit and on May 29, 1941 formally absorbed Pepsi
into Loft, which was then re-branded as Pepsi-Cola Company that same year. Loft restaurants and
candy stores were spun off at this time.

In the early 1960s, Pepsi-Cola's product lines expanded with the creation of Diet Pepsi and
purchase of Mountain Dew. In 1965, the Pepsi-Cola Company merged with Frito-Lay, Inc. to
become PepsiCo, Inc. At the time of its foundation, PepsiCo was incorporated in the state of

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Delaware and headquartered in Manhattan, New York. The company's headquarters were
relocated to the present location of Purchase, New York in 1970, and in 1986 PepsiCo was
reincorporated in the state of North Carolina. After 39 years trading on the New York Stock
Exchange, PepsiCo moved its shares to Nasdaq on December 20, 2017.

Company profile
PepsiCo, Inc. engages in the manufacture, marketing, distribution and sale of beverages, food, and
snacks. It is a food and beverage company with a complementary portfolio of brands, including
Frito-Lay, Gatorade, Pepsi-Cola, Quaker, and Tropicana. It operates through the following
business segments: Frito-Lay North America; Quaker Foods
North America; North America Beverages; Latin America; Europe Sub-Saharan Africa; and Asia,
Middle East, and

North Africa. The Frito-Lay North America segment markets, distributes, and sells snack foods
under the Lay's, Doritos, Cheetos, Tostitos, Fritos, Ruffles, and Santitas brands. The Quaker Foods
North America segment includes cereals, rice, and pasta under the Quaker, Aunt Jemima, Quaker
Chewy, Cap'n Crunch, Life, and Rice-A-Roni brands. The North America Beverages segment
consists of beverage concentrates, fountain syrups, and finished goods under various beverage
brands such as Pepsi, Gatorade, Mountain Dew, Diet Pepsi, Aquafina, Diet Mountain Dew,
Tropicana Pure Premium, Sierra Mist, and Mug. The Latin America segment covers beverage,
food, and snack businesses in Latin America region. The Europe Sub-Saharan Africa segment
comprises of beverage, food, and snack goods in Europe and Sub-Saharan Africa regions. The
Asia, Middle East, and North Africa segment offers snack food products under the Lay's, Kurkure,
Chipsy, Doritos, Cheetos, and Crunchy brands. The company was founded by Donald M. Kendall,
Sr. and Herman W. Lay in 1965 and is headquartered in Purchase, NY.

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Milestone achieved

In this turbulent economic environment, with a more fickle and demanding consumer base than we
have ever seen, the battle to win the hearts and minds of consumers has never been more intense.
Nor has it ever played out so quickly, unpredictably and publicly. Because of how deeply social
and digital media have permeated consumer culture, brands are putting more and more of their
energy into digital, aiming to take their brands to the next level.

Take P&G, for example. Last week, they announced that they will be banking on digital media to
drive their marketing efforts long term. P&G realizes that digital is not a fad, and they are willing
to take that risk. At General Electric, Beth Comstock and her team are driving their healthcare and
green programs by leveraging technology – most notably, they are investing in emerging
technologies that will change the future of business.

Growth

Last month, during PepsiCo's (NASDAQ:PEP) fourth-quarter 2018 earnings conference call, and
again at the Consumer Analyst Group of New York (CAGNY) conference on Feb. 20, new
PepsiCo CEO Ramon Laguarta expressed his vision for the beverage and snacks conglomerate.
Any shareholders looking for a swift restructuring of core segments, or a major upcoming business
transaction, were left with decisively extinguished hopes. Laguarta's most important
communication, after an intensive four-month review of strategy with key management team
members, is that PepsiCo doesn't currently "see the need to shed or acquire businesses in any
significant way."

Instead, the CEO has chosen to focus on a multiyear program of business optimization, expressed
broadly and literally as "faster, stronger, better." As I observed in an analysis last December,
Laguarta indeed had options to enact drastic change via a potential split-up of the beverage and
snacks businesses, or via a mega-merger, in order to rapidly increase shareholder value. As it is,
Laguarta believes the best method by which PepsiCo can enhance shareholder value is to accelerate
top-line growth. He's set a rather aggressive 4% to 6% annual revenue expansion target --
aggressive for a multinational in the consumer packaged goods (CPG) industry, that is.

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Personally, I'm ambivalent regarding the "faster, stronger, better" mantra. As a business phrase, it's
likely effective in distilling a more elaborate strategy into generalities the entire PepsiCo employee
base can rally around. And certainly, it pithily communicates the organization's ongoing approach
to shareholders.

On the other hand, the expression borders on the uninspired and cliche. For investors of a certain
age, it will evoke the famous tag line of the Six Million Dollar Man (aka "The Bionic Man") TV
serial from the 1970s: "We can make him...better, stronger, faster." And younger PepsiCo acolytes
will undoubtedly hear in the line an echo of Daft Punk's electronic music standard: "Harder, Better,
faster and stronger.

Marketing Department.

PepsiCo is undergoing a major transformation in its beverage marketing ranks. The company is
restructuring its marketing department to include three new marketing roles, with an eye toward
embracing a more global approach. The three executives, expected to be two external candidates
and one internal candidate, will take on various duties handled by Jill Beraud, chief marketing
officer-PepsiCo Beverages America. Ms. Beraud has chosen to leave the company amid the
restructuring, according to executives close to PepsiCo.

Brad Jakeman, who gaming giant Activision Blizzard confirmed today had left his role as exec
VP-CMO, will be taking on the role of head marketer for the Pepsi trademark globally. According
to executive’s familiar with the matter, his new role will involve responsibility for Pepsi, Diet
Pepsi and Pepsi Max, primarily, though he will also be working on the company's other soft-drink
brands, such as Mtn Dew and Sierra Mist.

A second executive is expected to be the global chief marketer for beverage brands, not including
carbonated soft drinks, Gatorade or Tropicana. That would leave brands such as So Be, Aquafina
and Propel. Simon Lowden, who currently has a chief marketer role for Pepsi International, is said
to be taking on the role of CMO for the U.S. beverages business.

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Distribution

• Direct store delivery

Under the DSD system, PepsiCo delivers products directly to retail stores. Of the three channels,
DSD enables PepsiCo to merchandise with maximum visibility. It’s more suitable for products that
are restocked often and are sensitive to promotions and marketing.

• Customer warehouse

The customer warehouse system is a less expensive distribution channel. It’s ideal for products
that are less fragile and perishable, have lower turnover, and are not purchased impulsively.

• Third-party distributor networks

PepsiCo distributes food and beverage products to restaurants, businesses, schools, and
stadiums through third-party food service and vending distributors and operators. •

Leveraging its dominant position

PepsiCo is the second-largest nonalcoholic beverage maker in the United States with a large
scale of operations. The company’s dominant position helps it enjoy favorable relationships with
its retailers, who allow the company to have major shelf space. This helps PepsiCo influence
consumer shopping patterns and increases the coincidence of purchase of its complementary food
and beverage products.

You can invest in PepsiCo through exchange-traded funds (or ETFs) such as the Consumer Staples
Select Sector Standard & Poor’s depositary receipt (or SPDR) Fund (XLP) and the SPDR MSCI
World Quality Mix exchange-traded fund (or ETF) (QWLD).

PepsiCo also manufactures and distributes certain brands licensed from Dr Pepper Snapple Group,
Inc. (DPS) such as Dr Pepper, Crush, and Schweppes, as well as certain juice brands licensed from
Dole and Ocean Spray. The extensive distribution of PepsiCo and The Coca-Cola Company (KO)
gives them a competitive edge against other nonalcoholic beverage makers.
PepsiCoHQPurchaseNY.jpg
PepsiCo's global headquarters building from the Donald M. Kendall Sculpture Gardens in
Harrison, New York, in the hamlet of Purchase

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 Nestle company

-Ranjini KM

History

Nestles start date back to 1866, when two split Swiss enterprise were found that would later form
the core of Nestle. In the subsequent decades, the two challenging enterprise forcefully delayed
their businesses throughout Europe and the United States.

Nestle was formed in 1905 by the merger of the Anglo-Swiss Milk Company, established in 1866
by brothers George Page and Charles Page, and Farine Lactee Henri Nestle, founded in 1866 by
Henri Nestle. The company grows significantly during the First World War and again following
the Second World War, expanding its contributions outside its early reduced milk and child
formula products. The company has made a number of corporate acquisitions, including Crosse

& Blackwell in 1950, Findus in 1963, Libby’s in 1971, Rowntree Mackintosh in 1988 and Gerber
in 2007.

Nestlé’s products include baby food, bottled water, breakfast cereals, coffee, confectionery, dairy
products, ice cream, pet foods and snacks. 29 of Nestlé’s brands have annual sales of over 1 billion
Swiss francs (about $ 1.1 billion), including
Nespresso, Nescafe, KitKat, Smarties, Nesquik, Stouffer’s, Vittel, and Maggi. Nestle has around
450 factories, operates in 86 countries, and employs around 328,000 people. It is one of the main
shareholders of L’Oreal, the world’s largest cosmetics company.

Nestle has a primary listing on the SIX Swiss Exchange and is a element of the Swiss Market
Index. It has a secondary listing on Euronext. In 2011, Nestle was listed No. 1 in the Fortune Global
500 as the world’s most gainful business with a market capitalization of $ 200 billion, Nestle
ranked No. 13 in the FT Global 2011.

As nutrition, health and wellness company, Nestle, is committed to the improvement of value of
life by helping community in which it operates to meet basic and necessary human needs. The

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competitors are glaxosmith con, Britannia, rei agro, kwality dairy, Lakshmi energy, heritage foods
etc.

Over the years Nestle has used its resources, skills and technology to help find solutions to the
many socio-economic challenges facing communities. Many of the communities are confront
by challenges such as poor cleanliness, lack of clean water, poverty, diseases, underfeeding,
food security and many others.

Company profile:
Nestle India Ltd, one the biggest players in FMCG segment, has a existence in milk & nutrition,
beverages, prepared dishes & cooking aids & chocolate & confectionery segments. The company
is unavailable in the food business. The food business incorporate product groups, such as milk
products and nutrition, beverages, prepared dishes and cooking aids, chocolates and confectionery.

Nestle India manufactures products under brand names, such as Nescafe, Maggi, Milky bar, Milo,
Kit Kat, Bar-One, Milkmaid and Nestea.

The company has also introduced products of daily utilization and use, such as Nestle Milk, Nestle
Slim Milk, Nestle Fresh ‘n’ Natural Dahl and Nestle Jeera Raita. The company’s brands include
milk products and nutrition, prepared dishes and cooking aids, beverages, and chocolates and
confectionery. Their milk products and nutrition includes Nestle Everyday Dairy Whitener, Nestle
Everyday Ghee, Nestle Milk, Nestle Slim Milk and Nestle Dahl. Beverages Include Nescafe
Classic, Nescafe Sunrise Premium, Nescafe Sunrise Special and Nescafe Cappuccino.

Nestle India is a secondary of Nestle S.A. The company has attendance across India with 7
manufacturing facilities and four branch offices extend across the region. The four branch offices
in the country help facilitate the sales and marketing of its products. They are in Delhi, Mumbai,
Chennai and Kolkata.

The company’s four factories were awarded the internationally predictable external certification
ISO 14001 for adherence to environmental processes and OSHAS 18001 for Health and Safety.

In the year 2008, the company launched Nestle Nesvita Pro-Heart Milk with Omega-3 in Mumbai.
Nestle Nesvita Pro-Heart is part of daily diet and has Omega-3 heart friendly nutrients
scientifically known to help manage cholesterol. As part of their ongoing dedication to offering

21
best in class nutrition products to Indian consumers, the company launched NESTLE NAN 3, a
follow-up formula for older infants. During the year, MAGGI PICHKOO Tomato Ketchup was
launched in a unique easy to handle day pack to drive affordability, taste and convenience for a
larger number of consumers.

Milestones achieved
CNBC Awaaz Consumer Awards has honoured Nescafe as the most preferred coffee brand.
Business India has rated Nestle India as No.1 on Return On Capital Employed amongst Super 100
companies.

In 2011-2012 Nestle India was awarded the ‘Best Exporter of Instant Coffee’, ‘Highest Exporter
to Russia and CIS”, ‘Highest Exporter to Far East Countries’ .

Recent developments

The company has introduced products in milk segment for daily consumption and use such as
Nestle Milk, Nestle Slim Milk, Nestle Fresh ‘n’ Natural Dahl and Nestle Jeera Raita.

Growth of nestle

In 2008 profit growth are increase 29.06%, in 2009 profit growth are increase 22.64%, in 2010
profit growth are increase 24.99%, in 2011 profit growth are increase 17.45%, in 2011 profit
growth are increase 11.06%.
In 2008 sales are increase 23.40%, In 2009 sales are increase 18.62%, In 2010 sales are increase
21.94%, In 2011 sales are increase 19.76%, In 2011 sales are increase 10.83%. Nestle company
continues to maintain high operating margins at around 21%. We believe low volume growth
resulted from lower off-take by canteen store departments, which sustained to result in slower
growth across industry. Depreciation provisioning has increased by approximately 86% due to
aggressive capacity addition by the company in the last one year. The lower net profit growth is
also due to a reduction in the tax benefits enjoyed by the company at its Pantnagar plant in the
March 2012 quarter. net profits expanded just 9 per cent in the March 2012 quarter; growth in the
March 2011 quarter stood at 27 per cent.

22
The Nestle scrip closed at Rs 4,938.10 up by 0.92% while the Bombay Stock Exchange marginally
declined by 0.33% to close at 17,151.29.

In 2010 operating profit are 1015.39 crore, in 2011 operating profit are 1245.42 crore, in 2012
operating profit are 1537.96 crore. Nestle company every year increase the profit because of the
customer are purchased from the different product in the market. Customer are satisfied for the
all the products.

Marketing department Product:

 Milkmaid
 Lacto gain
 Nestle cerelac
 Nestle Nescafe
 Nestle munch
 Nestle KitKat
 Nestle magi
 Nestle nestogen

Distribution channel:

• Manufacturer
• agent distributor
• retailer
• end customers

Segmentation:

• Geographic segmentation:
It is compare the spending levels, income levels, employment levels and buying lifestyle.

• Demographic segmentation:
23
This refers to ways of separating people according to age, gender and income.

• Psychographic segmentation:
There are no. of important issue to not regarding the use of socio – economic groups. They refer
to the head of household. They do not refert to income levels.

• Behavioristic segmentation:
It is considered consumer behavior patterns

building in Vevey, Vaud,

Type Public

Traded as SIX: NESN

ISIN CH0038863350

Industry Food processing

24
 Founded
1866; 153 years ago (as Anglo-Swiss Condensed Milk Company)
1867; 152 years ago (as Farine Lactée Henri Nestlé)
1905; 114 years ago(as Nestlé and Anglo-Swiss Condensed Milk Company)

Founder Henri Nestlé

Headquarters Vevey, Vaud,Switzerland

Area served
Worldwide

Key people
Paul Bulcke (Chairman) Ulf
Mark Schneider (CEO)

Revenue CHF91.43 billion (2018)[2]

Operating CHF13.75 billion (2018)[2]

income

Net income CHF10.46 billion (2018)[2]

Total assets CHF137.01 billion (2018)[2]

Total equity
CHF58.40 billion (2018)[2]

Owner treasury stock (0.033),BlackRock (0.037), Norges Bank Investment

Management (0.0253)

25
 Number of 308,000 (2018)[2] employees

Website www.nestle.com

26
 REDBULL
-gives you wiiings

- Divya RN

Inspired by functional drinks from the Far East, Austrian entrepreneur Dietrich Mateschitz
founded Red Bull in the mid-1980s. He developed not only a new product but also a unique
marketing concept and launched Red Bull Energy Drink in Austria on April 1, 1987. A completely
new product category was born – energy drinks.

He modified the ingredients to suit the tastes of Westerners, and, in partnership with Chaleo,
founded Red Bull GmbH in 1987 in Chakkapong, Thailand. In Thai, daeng means red, and a
krating (known in English as a gaur or Indian bison) is a large species of wild bovine native to
South Asia.

For nearly 3 years, from 1984 to 1987, Dietrich Mateschitz worked on the formula for Red Bull,
the positioning of the brand, the packaging and the marketing concept.

Logo and slogan

Red Bull is sold in a tall and slim blue-silver can. Originally only available in a single nondescript
flavor and regular or sugar-free formulas, a line of "color editions" with artificial fruit flavors were
added to the line beginning in 2013. The Red Bull company slogan is "Red Bull gives you wings",
occasionally "No Red Bull, no wings".

Headquarters and ownership

Red Bull GmbH is headquartered in Fuschl am See, an Austrian village of about 1,500 inhabitants
near Salzburg. In 2008, Forbes magazine listed both Chaleo and Mateschitz as the 250th richest
people in the world with an estimated net worth of US$4 billion. The company is 51 percent
27
controlled by the Yoovidhya family who, for technical reasons, own the trademark in Europe and
the US.

Marketing
Rather than following a traditional approach to mass marketing, Red Bull has generated awareness
and created a 'brand myth' through proprietary extreme sport event series such as Red Bull Cliff
Diving World Series, Red Bull Air Race, Red Bull Crashed Ice and stand-out stunts such as the
Stratos space diving project.

Red Bull's marketing also includes multiple sports team ownerships (Formula One teams Red Bull
Racing and Scuderia Toro Rosso, football clubs RB Leipzig, FC Red Bull Salzburg, FC Liefering,
Red Bull Brasil and New York Red Bulls), celebrity endorsements, and music, through its record
label Red Bull Records.

Controversies
Energy drinks have been associated with health risks, such as masking the effects of intoxication
when consumed with alcohol, and excessive or repeated consumption can lead to cardiac and
psychiatric conditions. However, the European Food Safety Authority (EFSA) concluded that an
adequate consumption of Red Bull and other popular energy drinks is safe and that the amount of
caffeine in a standard Red Bull can is unlikely to interact adversely with other typical constituents
of energy drinks or with alcohol. Energy drinks have the effects that caffeine and sugar give, but
there is no distinct evidence that the wide variety of other ingredients has any effect.

Market in different countries

In Thailand, energy drinks are most popular with blue-collar workers. Red Bull re-positioned the
drink as a trendy, upscale drink, first introducing it at Austrian ski resorts. Pricing was a key
differentiator, with Red Bull positioned as a premium drink and Krating Daeng as a lower cost
item. In many countries, both drinks are available, dominating both ends of the price spectrum.

In 1992, the product expanded to Hungary and Slovenia. It entered Germany and the UK in 1994,
the United States (via California) in 1997 and the Middle East in 2000.

28
In 1995, Krating Daeng authorized its drink, labelled as Red Bull, to be sold in China. Since 2014,
the Austrian Red Bull (carbonated) has also been exported to China. This has created confusion
since both drinks use the same brand name, in both English and Chinese.

Similarly, in Southeast Asia, Red Bull and Krating Daeng are often confused as both use the Red
Bull name in their packaging, although they are two separate products aimed at different markets.
The main difference is that Red Bull comes in a tall blue and silver can while the Thailand Red
Bull, or Krating Daeng, is in a smaller gold can. The two drinks also differ in terms of taste - Red
Bull has less sugar and is carbonated. The flavouring used for Red Bull is still produced in Bangkok
and exported worldwide.

Sales and market position

By the end of 2018, Red Bull employed 12,239 people in 171 countries. In 2018, 6.790 billion cans
of Red Bull were sold worldwide. This represents an increase of 7.7% compared to the already
very successful year 2017. Group sales grew by 3.8% from 5.336 billion euros to 5.541 billion
euros. Sales quantity, turnover, productivity and operating profit were further increased and
represent record figures in the history of the company. Red Bull has the highest market share of
any energy drink in the world, with 6.790 billion cans sold in a year (as of 2018).

The main reasons for these positive figures are the exceptional sales development in the Red
Bull markets of India (+30%), Brazil (+22%), Eastern Europe (+22%), Northern Europe
(+12%), and Germany (+12%), as well as consistent cost management and the continuation of
corresponding brand investments.

Their growth and investment plans for the 2019 financial year are also very ambitious,
providing for a continuation of the positive development to date and - as it is customary at Red
Bull - being financed from operating cash flow.

29
 Amul

- Nikitha

HISTORY

The Kaira District Co-operative Milk Producers' Union Ltd. was registered on December 1, 1946
as a response to the exploitation of marginal milk producers by traders or agents of the only existing
dairy, the Polson (brand) dairy, in the small town of Anand (in KairaDistrict of Gujarat). Milk
Producers had to travel long distances to deliver milk, which often went sour in summer, to Polson.
The prices of buffalo and cow milk were arbitrarily determined. Moreover, the government at that
time had given monopoly rights to Polson to collect milk from Anand and supply it to Bombay
city.

Angered by the unfair and manipulative trade practices, the farmers of Kaira approached Sardar
Vallabhbhai Patel under the leadership of local farmer leader Tribhuvandas K. Patel. He advised
them to form a cooperative and supply milk directly to the Bombay Milk Scheme instead of Polson
(who did the same but gave them low prices). He sent Morarji Desai to organize the farmers. In
1946, the milk farmers of the area went on a strike which led to the setting up of the cooperative
to collect and process milk. Milk collection was also decentralized, as most producers were
marginal farmers who could deliver atmost 1–2 liters of milk per day. Cooperatives were formed
for each village too.

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The Cooperative was further developed and managed by Dr.Verghese Kurien along with H.M.
Dalaya. Dalaya's innovation of making skim milk powder from buffalo milk for the first time
anywhere in the world and a little later, along with Kurien's help, making it on a commercial scale,
led to the first modern dairy of the cooperative at Anand, which would successfully compete
against established players in the market.

The trio's (T. K. Patel, Kurien and Dalaya's) success at the cooperative's dairy soon spread to
Anand's neighborhood in Gujarat, and within a short span, five unions in other districts – Mehsana,
Banaskantha, Baroda, Sabarkantha and Surat were set up.

In order to combine forces and expand the market while saving on advertising and avoid
competing against each other, the GCMMF, an apex marketing body of these district cooperatives
was set up in 1973. The Kaira Union which had the brand name of Amul with it since 1955,
transferred it to GCMMF.

Impressed with the success of the dairy cooperative, Prime Minister Lal Bahadur Shastri, during
his visit to Anand in 1964, asked Dr. Kurien to replicate the Anand pattern of cooperative dairying
at Amul, all over India. Thus, the National Dairy Development Board (NDDB)was formed and the
programme, Operation Flood launched.

COMPANY INFO
The GCMMF is the largest food products marketing organization of India. It is the apex
organization of the Dairy Cooperatives of Gujarat. Over the last five and a half decades, Dairy
Cooperatives in Gujarat have created an economic network that links more than 3.1 million village
milk producers with millions of consumers in India. These cooperatives collect on an average 9.4
million liters of milk per day from their producer members, more than 70% of whom are small,
marginal farmers and landless laborers and include a sizeable population of tribal folk and people
belonging to the scheduled castes. The turnover of GCMMF (AMUL) during 2010–11 was INR
97.74 billion (US$1.77 billion). It markets the products, produced by the district milk unions in 30
dairy plants. The farmers of Gujarat own the largest state of the art dairy plant in Asia – Mother
Dairy, Gandhinagar, Gujarat – which can handle 2.5 million liters of milk per day and process 100
MTs of milk powder daily. [citation needed] On 18 Aug 2012, Vipul Chaudhary of Mehsana
district's milk cooperative was elected chairman of GCMMF, following a court's intervention.

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The Amul brand

GCMMF (AMUL) has the largest distribution network for any FMCG company. It has nearly 50
sales offices spread all over the country, more than 5 000 wholesale dealers and more than 700
000 retailers.

Amul became the world's largest vegetarian cheese and the largest pouched-milk brand.

AMUL is also the largest exporter of dairy products in the country. AMUL is available today in
over 40 countries of the world. AMUL is exporting a wide variety of products which include Whole
and Skimmed Milk Powder, Cottage Cheese (Paneer), UHT Milk, Clarified Butter (Ghee) and
Indigenous Sweets. The major markets are USA, West Indies, and countries in Africa, the Gulf
Region, and SAARCneighbours, Singapore, The Philippines, Thailand, Japan and China, and
others such as Mauritius, Australia, Hong Kong and a few South African countries. Its bid to enter
the Japanese market in 1994 did not succeed, but it plans to venture again.

In September 2007, Amul emerged as the leading Indian brand according to a survey by Synovate
to find out Asia's top 1000 Brands.

In 2011, Amul was named the Most Trusted brand in the Food and Beverages sector in The Brand
Trust Report, published by Trust Research Advisory. rediff.com; "India's top 20 brands: Amul is
No. 1"

PRODUCTS

Amul's product range includes milk powders, milk, butter, ghee, cheese, Masti Dahi, Yoghurt,
Buttermilk chocolate, ice cream, cream, shrikhand, paneer, gulab jamuns, flavored milk, basundi,
Nutramul brand and others. In January 2006, Amul plans to launch India's first sports drink
Stamina, which will be competing with Coca Cola's Powerade and PepsiCo's Gatorade.

In August 2007, Amul introduced Kool Koko, a chocolate milk brand extending its product
offering in the milk products segment. Other Amul brands are Amul Kool, a low calorie thirst
quenching drink; Masti Butter Milk; Kool Cafe, ready to drink coffee and India's first sports drink
Stamina.

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Amul's sugar-free Pro-Biotic Ice-cream won The International Dairy Federation Marketing Award
for 2007.

ADVERTISING
An Amul butter ad on Pakistan's Kargil Warfiasco. The image shows the "Amul baby" in between
George Fernandes and Atal Bihari Vajpayee.

In 1966, Amul hired Sylvester daCunha, then managing director of the advertising agency AS to
design a new ad campaign for Amul Butter. daCunha designed an ad campaign as series of
hoardings with topical ads, relating to day-to-day issues. The campaign was widely popular and
earned a Guinness world record for the longest running ad campaign in the world. In the 1980s,
cartoon artist Kumar Morey and script writer Bharat Dabholkar had been involved with sketching
the Amul ads; the latter rejected the trend of using celebrities in advertisement campaigns.
Dabholkar credited chairman Varghese Kurien with creating a free atmosphere that fostered the
development of the ads.

Despite encountering political pressure on several occasions, daCunha's agency has made it a
policy of not backing down. Some of the more controversial Amul ads include one commenting
on Naxalite uprising in West Bengal, on the Indian Airlines employees strike, and the one depicting
the Amul butter girl wearing a Gandhi cap Amul hired DraftFCB+Ulka for the brands of Amul
milk, chocolates, paneer, ghee, ice-cream.

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 Opinion about food industry

1. A food revolution, which is transforming the way people prepare meals across the country,
appears to be under way. As families grow smaller, people prefer fully prepared meals,
instead of fixing them from scratch.
2. “The food service industry is projected to grow further, at a double digit rate, over the next
five years. This has encouraged both budding entrepreneurs and existing businesses to
venture into this sector, and glean knowledge from existing players in order to replicate
their success. This includes adoption of convenience foods”.
3. The use of convenience foods, which was earlier restricted to quick service restaurant
formats, is also increasingly finding favor in fine dining formats, though in varying
degrees.
“Earlier, the chefs used to rely on complete backward integration of their recipes, where
they used to make their own chutneys and grind their own masalas to deliver a unique and
signature taste, which became the hallmark of the restaurant,” .
4. Sensing the opportunity, leading food companies such as Unilever, Nestle, PepsiCo, Fun
Foods and Capital Foods are augmenting their infrastructure and developing new
categories of convenience foods such as South Indian premixes, soup powders, readymade
gravies, cereal based breakfast options, and various kinds of dessert mixes. Some brands
have collaborated with food service operators and developed customized products to
extend their own product portfolio.
5. Currently, food processing accounts for almost one-third of the total food market in India.
The food processing industry is valued at US$258 billion, and is the fifth largest industry
domestically in terms of production, consumption, export, and expected growth in the
country. It contributes to around 14 percent of manufacturing Gross Domestic Product
(GDP) and 13 percent of India’s total food export.
6. The government of India recognizes the need to encourage India’s food processing sector
given the country’s immense potential. Accordingly, the Indian government has allocated
nearly a billion dollars under the twelfth five-year plan (2012-17) to implement various
schemes for the promotion and development of the food processing sector.

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35