Global Market &

Strategic
Perspective
Caf Coffee Day

Indian Coffee Industry

In India, coffee is grown in regions that receive 2,5004,000mm
rainfall across more than 100 days, followed by a continuous dry
period of a similar duration
India is the third-largest producer and exporter of coffee in Asia, and
the sixth-largest producer and fifth-largest exporter of coffee in the
world
The country accounts for 3.9 per cent of the global coffee production
Of the total coffee produced in India, 70 per cent is exported and 30
per cent is consumed domestically
In 201415, India's coffee export volume was 286,545 metric tonnes
and value was US$ 810.1 million

About the Company

Coffee day Global Ltd. is a Chikmagalur based company.
It is the largest producer of Arabica beans in Asia
exporting to various countries including USA, Europe
and Japan
Caf Coffee Day was started as a retail restaurant arm
of CGL in 1996. The first CCD outlet was set up on July
11, 1996, at Brigade Road, Bangalore, Karnataka
As of March 2015, there are 1530 outlets across 29
states of India. Cafe Coffee Day has also expanded
outside India with its outlets in Austria (Vienna), Czech
Republic, Dubai, Malaysia & Cairo, Egypt.

Filter 1: Potential Countries

United Arab Emirates

United Arab Emirates is a country located in the

southeast end of the Arabian Peninsula on the Persian
Gulf
In 2013, the UAE's total population was 9.2 million, of
which 1.4 million are Emirati citizens and 7.8 million are
expatriates
Over 80% of the households live in nuclear families
Islam is the largest and official state religion of UAE
Popular beverages are Coffee and tea which can be
complemented with cardamom, saffron or mint to give

Singapore
Strictly follows traditional family system, but younger
generations follow western culture
Literacy is highest and primary schooling is compulsory
People are fluent in Cantonese, Mandarin and English
Ministry of Environment and Anti-pollution unit works
relentlessly to maintain air and water pollution

South Africa
South Africa is one of the most diverse countries among the
world.
Its mostly warm and sunny, boasting a diverse landscape
of semi-desert, mountainous, coastal and subtropical terrain
South Africas courts rule under Roman-Dutch law and
English common law.

 The country boasts sound economic policies, a

favourable
business
and
legal
environment,
advantageous access to other markets in Africa,
excellent industrial capability and cutting-edge
technology
Hungary
Hungary is a landlocked central European country
It was called a Nation of Horsemen in it pre historic
era
Hungary has a continental climate. Hot summers
and low overall humidity levels with frequent
showers and mild snowy winters
Hungary is democratic republic

Filter 2: SLEPT and CAGE

Based on general assumptions on the potential countries
above, Caf Coffee Day can either enter
1. South Africa
2. Singapore

Singapore- SLEPT
Republic of Singapore is a leading global city-state and island country
in Southeast Asia. It lies at the southernmost tip of continental Asia
Singapore's territory consists of the diamond-shaped main island and
more than 60 significantly smaller islets
Social Factors
Strictly follows traditional family system, but younger generations
follow western culture
Residents work hard to fulfil their desire which converts to nations
productivity
Literacy is highest and primary schooling is compulsory People have
higher purchasing power
People are fluent in Cantonese, Mandarin and English

Legal
Government runs the country as privately owned enterprise
Compulsion on voting, Anti Spitting Laws, Environmental
protection are being implemented from early 60s
Corruption rate is low since the penalty is hefty
Environmental
Ministry of Environment and Anti-pollution unit works
relentlessly to maintain air and water pollution
Since there is lack of water resources, depends heavily on
Malaysia. Introduced NEWater
Central Government provides healthcare, provide fund and
insurance to its citizens
Govt releases limited COE through which residents can own a
vehicle

Political
Peoples Action Party is in power since Independence

The country's constitution establishes

democracy as the political system

representative

The legal system of Singapore is based on English common law,

but with substantial local differences
Technological
Internet has played vital role in development of Singapore by
reducing cost and time spent in business
Residents can easily connect to others with the help of social
networking
Household broadband penetration rate is 70%
Widespread IT infrastructure, 10+MBPS broadband has received
applause worldwide

Singapore- CAGE

Cultural
High Power distance compared to other South east Asian
countries
Diverse Population- Chinese, Malay & Indians Religiously
Harmonious and system of meritocracy exists
Nuclear families largely- Asian Values with western touch
Educated and productive workforce
Administrative
Easy to establish business in Singapore. Company can be
registered within a day
One of the most liberal economies in the world
Economy actively seeks FDI , strict rules for IPR in order to
protect ideas

Geographical
Strategically located at the tip of Malay peninsula
Global hub with extensive trade agreements in Asian
countries Consists of 63 islands including the main Island
Ranked 4th in 2014 Environmental Performance Index
Singapore has no distinctive season, high humidity and
abundant rainfall. Temperature ranges from 22 to 35C
Economic
Singapore has the highest trade to GDP ratio
Electronics export contribute to about 30% of the GDP
Skilled and educated workforce
Third highest Per capita (Purchasing Power Parity)
Low corporate tax rate around 17% as of 2014

South Africa- SLEPT

Republic of South Africa, is the southernmost country in
Africa founded by Dutch traders in 1652.
Social Factors
South Africa is one of the most diverse countries among
the world.
They value human civility over materialism
South Africans want to keep harmonious working
relationships, so they avoid confrontations.
The nuclear family is especially important to the
English-speaking white community

Legal
South Africas courts rule under Roman-Dutch law and
English common law.
Their judiciary system consists of a Constitutional Court, a
Supreme Court of Appeals, High Courts, and Magistrate
Courts
Their judiciary system consists of a Constitutional Court, a
Supreme Court of Appeals, High Courts, and Magistrate
Courts
Environmental
Its mostly warm and sunny, boasting a diverse landscape of
semi-desert, mountainous, coastal and subtropical terrain
A central plateau, mountain ranges that surround the
plateau and low lying land along the coast make up most of
the countrys topography

Political
The parliament has two chambers, the National
Assembly and the National Council
The National Assembly has 400 members & The
National Council has 90 members
Their executive president is elected by the National
Assembly for a five-year term of office
Technological
South Africa has a well-developed system of
communications. The mobile telephone users
compared to world numbers is ranked at number
24. Internet users are ranked at number 49.
South Africa's transportation infrastructure is welldeveloped, supporting both domestic and regional

South Africa- CAGE

Cultural
South Africans want to keep harmonious working relationships, so
they avoid confrontations
Food plays a central role in the family and community life of all
groups
South Africa has much better statistics when it comes to marriage
and divorce rates when compared to the United States.
There are even some female tribal chiefs now, demonstrating they
have powerful role than before
Administrative
South Africa is an emerging market with an abundant supply of
natural resources; well-developed financial, legal, communications,
energy, and transport sectors; and a stock exchange that is Africas
largest and among the top 20 in the world.

Geographical
South Africa is located at the southernmost region of
Africa, with a long coastline that stretches more than
2,500km
South Africa has a generallytemperate climate, due
in part to being surrounded by the Atlantic and Indian
Oceans on three sides
The country is ranked sixth out of the world's
seventeen mega diverse countries.
Economical
The economy of South Africa is split into two
sections; one in competition with developed
countries and another with the very basic
infrastructure
The country boasts sound economic policies, a