For the Coca-Cola, recognized its brand to be the best global brand around the world. Nevertheless, PepsiCo still working hard and catching up right behind the Coca-Cola, become the biggest rival for Coca-Cola in non-alcoholic drink industry. So what are the competitive advantages these both companies do have, let us discuss. 4.1 Distribution Method Coca-Cola conquer the market by having a very extensive distribution through partnership with bottling partner. Hindustan Coca-Cola Beverages Pvt. Ltd, is the largest bottling partner of the Coca-Cola Company in India, by owning 24 bottling plants at strategic location in various states widely covered across India, has an extensive distribution system spanning more than a million outlets. You could simply find Coke from anywhere, examples likes vending machines, airlines, kiosk, convenient stores, supermarket, restaurants, cafes, hotels and night clubs which made the Coca-Cola grab the largest market share in the beverage industry. Besides, Coca-Cola beverages also distributed by wholesalers and distributors to reach those niche market. Coca-Cola wins big contract with global QSR players likes McDonald’s, Subway and Burger King. Figure 1 Coca-Cola System PepsiCo’s products reach the market through direct store delivery (DSD), customer warehouse, and third-party distributor networks. Under DSD system, PepsiCo delivers their company’s products directly to retail stores. Thus, customer warehouse system is known as a less expensive
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They offer a different variety selection of products from appliances to building supplies. The large network of stores could draw in different interest of customers. Customers with different wants and needs would potentially help by offering merchandise that grabs the customer’s attention in a specific area. Logistics and distribution is they own and operate many distribution centers without third parties involved. As owners and operators of the centers that helps them to decrease the sales volume.
Pharmasim – Final Simulation Report Team 12 Team Member: Rajvi Patel Table of Contents Introduction 2 Pricing 2 Advertising 4 Sales force 8 Promotion 10 Segmentation 12 Product life cycle 13 Line extensions 14 Cumulative net income & final stock price 15 Conclusion & Future Forecast 16 References 17 Key Success Factors 17 Table of Figures Figure 1 Comparison of Manufacturer Suggested Price for different brands 4 Figure 2 Advertising Expenditures for Allstar products through Period 0 to Period 10 5 Introduction Team 12 reached its goals established in the initial strategy report by achieving a cumulative net income of $1,414 M and a stock price of $203.16. Team 12 was also achieved in percentage share of manufacturer’s sales
Costco excels by having fewer choices to choose from and focusing on volume translating into lower prices for customers. Costco supply chain efficiency is industry leading. An integral component of Costco’s supply chain efficiency is the cross-dock distribution (depot) facility.
• Financial Information: Costco shoppers usually spend more than they expected. They typically spend over a $100 when they shop at Costco. The company had sales of $93 billion a year. Costco biggest seller is there meat market. They sell $4 half billion of year in meat, and they sell $55 million chickens.
Delivery Options. Nordstrom offers customers the option to buy online, taking advantage of the e-commerce aspect, and then pick up their order in stores or have it delivered.22 Inventory Visibility. Nordstrom has gone through an inventory management overhaul, which has increased their cross-channel inventory visibility in stores.23 Supply Chain Software. Nordstrom has recently invested a minority stake in Dsco, a supply chain software.
Costco Wholesale Corporation is an international membership warehouse that brings low prices, best quality and a wide selection of products to their customers. Costco began operation in 1983 and has successfully thrived in the past thirty years. The company has had some weakness, and threats throughout the years, but has many strengths as well as opportunities for the company. Costco’s liquidity and efficiency, solvency, profitability and market prospects show the problems and success the company has achieved. The company’s liquidity and efficiency show how well Costco is using their assets and resources to meet short-term cash requirements.
Infrastructure The infrastructure of Macy’s is very strong due to the management team. Macy’s has been divided into four separate divisions. Mississippi, Iowa, Arkansas, Alaska and Nebraska are the only states that do not have a Macy’s. In 2006, Macy’s was spread out into four different geographic divisions; East, Central, West, and Florida.
This new process represented a major change in channel ordering and logistics and established the basic principles of CRP. In order to improve logistics in the channel, P&G began shipping products based on retail demand data, placing orders automatically for the retailer. Second, P&G rewrote their OBS.A key element of the new ordering process was the development of common databases for product, pricing and policy specifications. The common databases developed to support simplified pricing, were designed to provide data directly to the customer 's own system electronically. Third, P&G moved from Brand to Category Management.
According to the Costco 2015 annual report, Costco carries less SKU’s than traditional grocery stores in its market, thus increasing their buying power with higher quantities purchases and creates competition for suppliers trying to get product in their stores. Costco’s business strategy of utilizing its buying power through minimizing the variety of its SKU’s to reduce costs, and using their volume to create supplier competition to place product on their shelves, lowers their cost of goods. Utilizing the warehouse retail model reduces maintenance costs and inventory management, and based on the fact
We at Costco offer our customers a national brand, and also provides products exported abroad. In addition, we offer a wide range of product lines also offer such products in six categories: sundries, Hardlines, food, smooth lines, fresh and auxiliary food. We also provide other services including gas stations, pharmacies, food court, optical, travel. Much of our consumer product we sell here are for sale only in quantities case, carton, or
Thusly, the organization can arrange vast volumes and advantage from lower costs and more prominent quality while suppliers are guaranteed of ensured requests. IKEA sources its materials near suppliers to lessen transporting expenses. The organization additionally utilizes IWAY way to deal with nearly incorporate suppliers with its inventory network. Every one of the endeavors of nearly incorporating inventory network results in lower expenses and an upper
By using low-cost incremental technology that software applied to inventory control, order selection, short interval scheduling as well as sales forecasting. Company have managed to reduce their inventory levels through just-in-time system, electronic direct interchange (EDI) and extranet enabling retailer and supplier to be in constant touch. Electronic warehousing systems are used for the storage of information. (Marketing policy, planning and communication) For any changes which may occur, the company must be ready to adapt by having IT department that will handles all the technological issues.
Coffee: 17. Who did Europeans get coffee from and how did it spread to Europe? The European got coffee from the Arab world since it originates in Yemen. During the seventeen-century Europeans visiting the Arab world were astonished by the popularity of coffee. Coffee spread through European powers starting with Britain that then moved to France, Germany and Holland.
Coca Cola was first introduced by John Styth Pemberton, a pharmacist, in the year 1886 in Atlanta, Georgia when he concocted caramel-colored syrup in a three-legged brass kettle in his backyard. He first “distributed” the product by carrying it in a jug down the street to Jacob’s Pharmacy and customers bought the drink for five cents at the soda fountain. Carbonated water was teamed with the new syrup, whether by accident or otherwise, producing a drink that was proclaimed “delicious and refreshing”, a theme that continues to echo today wherever Coca-Cola is enjoyed. Coca-Cola originated as a soda fountain beverage in 1886 selling for five cents a glass. Early growth was impressive, but it was only when a strong bottling system developed that Coca-Cola became the world-famous brand it is today.