History:

In 1953, Coca-Cola started their operations in Pakistan. In the first stage, it was not the same as it is now. In 1951,
they just had franchise bottling and then afterwards in 1996, company took over all the bottling system. The Coca-
Cola Company has its own plants and operates supply chain system.

CCI Pakistan produces, distributes and sells sparkling and still beverages of The Coca-Cola Company in Pakistan.
Having first started in 1996, Coca-Cola bottling operations in Pakistan came under the roof of Coca-Cola İçecek in
2008.

CCI Pakistan serves a consumer base of 208 million with 6 plants and more than 3000 employees across Pakistan.
Its product portfolio comprises Coca-Cola, Sprite, Fanta, Coca-Cola zero, Sprite Zero, Sprite Lemon Mint, Dasani,
Rani Pulpy, Cappy Joosi, Monster and Mutant.

CCBPL is a significant player in the growth of Pakistan’s economy since it is one of the country’s top foreign direct
investments in FMCG.

PEST Analysis (political, economic, social and

technological) on Coca Cola Beverages Pakistan Ltd
Political:
Coca-Cola management is not happy with the Govt. tax laws. As company is offering different products like Coke,
sprite, Fanta and they have to import Different concentrate for each product so this factor in the end causing Coca
Cola to pay heavy taxes. Last government was giving rebate to Coca Cola but the present government is not giving
any kind of rebate

Economical:
The fluctuations in Pakistan economy also effect Coke market position. Because of high inflation and low
purchasing power Coke is unable to capture many potential customers of the large Pakistani population who have
to struggle hard to make both ends meet rather than afford the luxury of drinking Coke as often as they would like
to. The current interest rate is very high and this is really affecting Coca Cola because they are doing business on
credit this factor in the end increase their cost.

Social:
Coke a customer oriented company, always takes steps for the welfare of its consumers. It also helps the needy
and knowledge seeking people with fewer resources by providing them books, scholarships & opportunities to
work. It has launched a program in remote and backward areas of Pakistan where it provides basic education to
children. It has also launched programs to increase awareness about the conservation of water & natural
resources, climate changes, waste environment education & recyclable products.

Technological:
The new methods of filling the bottles, the refrigeration methods, the disposable bottles, the PET bottles all made
so many changes in the beverage industry. Coke is adopting all the new technologies available. Coke is providing
refrigerators, visi/chest coolers and many more for keeping the bottles chilled, as they claim in the subcontinent
"thanda matlab Coca Cola". Coca Cola Company got the technology of dispensers so they give Coke to people that
is as fresh from the fountain. Coca Cola Company has opted the technology for the usage of PET bottles. Coca Cola
Company is producing new packaging sizes with differentiated packaging with the help of new technology every
day.

Challenges the company faces to be competent in this

intense competition

Current Scenario:
Like juices, Milo cold coffee, drinks, Shezan products e.g. squashes, tetra pack juices are also sort of threat but not
the direct threat for Coke because they provoke health consciousness and physical fitness. Although Coke has
converted their attack on health issues by offering Diet Coke and Minute Maid. And on the other hand the direct
rival of Coca Cola, Pepsi has come up with Pepsi Max in order to counter the health issues. Total beverage market
share of PEPSI is 51%, Coca Cola 38.8% and others 10.2%.

When you think of Coca-Cola and its competitors, Pepsi is probably the first name that comes to mind, and
rightfully so. The two companies have been in
competition since the late 19th century.

There is one notable difference. Pepsi owns Doritos, Lay's, Cheetos, Tostitos, and Fritos, among other food brands.
If everybody swore off soft drinks tomorrow, Pepsi could still thrive selling salty snacks.

Coca-Cola, on the other hand, has stuck to beverages. But it owns some beverage brands that might surprise some
of their customers, like Minute Maid, Powerade, Gold Peak Tea, Dasani, and Vitaminwater.

Coke is betting that, if people swear off soft drinks, they've still got to drink something. And it's worth noting that
their focus is on healthy alternatives. As consumer tastes and trends shift, Coca-Cola could be left vulnerable, but
the brand has a loyal following and the company has hedged its bets by moving with the beverage trends. The risk
in this area is moderate.

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