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Essay

soft drinks in rural market in India

Essay specific features

 

Issue:

Business

 

Written by:

Shirley T

 

Date added:

October 11, 2015

 

Level:

University

 

Grade:

A

 

No of pages / words:

2 / 377

 

Was viewed:

6430 times

 

Rating of current essay:

 
Essay content:

Rural India is still a highly price-sensitive marketplace, so the major soft drink companies are forced to cut profit margins in order to compete there. India's purchasing power parity per capita of US$2,850 is representative of a nation in which the average consumer has insufficient income to engage in discretionary spending...
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Nevertheless, during the hot season, spur-of-the-moment beverage sales are commonplace. In order to position themselves for sales growth, the major soft drink companies priced a 200-milliliter bottle at the equivalent of 11 U.S. cents. Although that price is not sustainable beyond the short term, management hopes that it will be enough to wrest market share away from local products and substantially increase sales volume in 2004...
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