Research Project on Nimbooz by Pepsico

A Study on the Customer Preference of Nimbooz, Kolkata Chapter| Table of Content| Pg. Nos. | Chapter I| Introduction and Literature Review| | | * Introduction to the Topic| 6| | * Introduction to the Industry| 9| | * Introduction to the Company| 25| | * Introduction to Nimbooz| 44| Chapter II| Research Design| | | * Title of the project report| 59| | * Statement of the Problem| 59| | * Scope of the Study | 59| | * Objective of the Study| 59| | * Hypothesis Development| 59| | * Methodology| 60| | * Data Sampling | | | * Sampling Details| | | * Tools for Data Analysis| | * Limitations of the Study| 61| Chapter III| Analysis and Interpretation| 62| Chapter IV| Summary Of Findings| 85| Chapter V| Recommendations and | 86| | Conclusion| 89| | | * Bibliography | 90| | * Annexures| 91| | * Questionnaire| | INTRODUCTION TO TOPIC The beverage industry of India has seen the introduction of new products over the last few years. PepsiCo launched the lime-lemon drink Nimbooz. The drink is an addi tion to its 7-up category with real lemon juice, no fizz and no artificial flavors. This research is to identify the market performance of one such product that is Pepsi co. s Nimbooz. Market research  is any organized effort to gather information about  markets  or customers. It is a very important component of  business strategy. The term is commonly interchanged with  marketing research; however, expert practitioners may wish to draw a distinction,in that marketing  research is concerned specifically about marketing processes, while  market  research is concerned specifically with markets. Market Research is the key factor to get advantage over competitors. Market research provides important information to identify and analyze the market need, market size and competition.Market research includes social and opinion research, and is the systematic gathering and interpretation of information about individuals or organizations using statistical and analytical methods and techniques of the applied social sciences to gain insight or support decision making. The process of market research included – Step 1: Problem Definition The first step in any marketing research project is to define the problem. In defining the problem, the researcher should take into account the purpose of the study, the relevant background information, what information is needed, and how it will be used in decision making.Problem definition involves discussion with the decision makers and analysis of secondary data. Once the problem has been precisely defined, the research can be designed and conducted properly. Step 2: Development of an Approach to the Problem Development of an approach to the problem includes formulating an objective or theoretical framework, analytical models, research questions, hypotheses, and identifying characteristics or factors that can influence the research design. This process is guided by case studies and simulations, analysis of secondary data and pragmatic considerations.Step 3: Research Design Formulation A research design is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the required information, and its purpose is to design a study that will test the hypotheses of interest, determine possible answers to the research questions, and provide the information needed for decision making. Conducting exploratory research, precisely defining the variables, and designing appropriate scales to measure them are also a part of the research design.The issue of how the data should be obtained from the respondents (for example, by conducting a survey or an experiment) must be addressed. It is also necessary to design a questionnaire and a sampling plan to select respondents for the study. Step 4: Data Collection Data collection handing out questionnaires to respondents for study. It involves a certain level of interaction with the respondents. Step 5: Da ta Preparation and Analysis Data preparation includes the editing, coding, transcription, and verification of data. Each questionnaire or observation form is inspected, or edited, and, if necessary, corrected.Number or letter codes are assigned to represent each response to each question in the questionnaire. Step 6: Report Preparation and Presentation The entire project is documented in a written report which addresses the specific research questions identified, describes the approach, the research design, data collection, and data analysis procedures adopted, and present the results and the major findings. The findings should be presented in a comprehensible format so that they can be readily used in the decision making process. The project incorporates the analysis of the customer preference of Nimbooz.The research studies the overall post-launch consumer behavior and analyses the customer preference of Nimbooz. | INTRODUCTION TO THE BEVERAGE INDUSTRY A  beverage  is a drink specifically prepared for human consumption. Beverages almost always largely consist of water. Drinks often consumed include: Water (both flat or carbonated),Juice based drinks, Soft drinks, Sports and Energy drinks, Alcoholic beverages like beer or spirits ,Coffee, tea ,Dairy products like milk. Filling of beverages can be done cold, hot, ambient and cold-aseptic filling to mention the latest trend of beverage marketing and technology.The beverage is mainly categorized into two major categories based upon the alcoholic and nonalcoholic nature of the drink: An alcoholic beverage is a drink containing ethanol, commonly known as alcohol. Alcoholic beverages are divided into three general classes: beers, wines, and spirits. They are legally consumed in most countries, and over 100 countries have laws regulating their production, sale, and consumption. In particular, such laws specify the minimum age at which a person may legally buy or drink them. This minimum age varies between 16 and 25 years, depending upon the country and the type of drink.Most nations set it at 18 years of age. A non-alcoholic beverage is a beverage that contains less than 0. 5% alcohol by volume. Non-alcoholic versions of some alcoholic beverages, such as non-alcoholic beer mocktails, are widely available where alcoholic beverages are sold. Non-Alcoholic beverages are further of two types based upon carbon content. Carbonated beverages which include sodas, soft drinks which are â€Å"fizzy† and carbonated under pressure. Non-Carboanted beverages are those that lack any carbon content these beverages include contain Fruit juices, Coffee, Tea and other flavoured drinks like lemonade, gigerale etc.The beverage market is worth $55 billion worldwide. The tides are turning for many beverage categories. While the carbonated soft drink and beer categories are merely treading water with flat sales, the energy drink category is surging ahead like never before. Bottled water, ready-to-drink cof fee, ready-to-drink tea and sports drinks follow close behind with substantial sales increase- drinks without added sugar, no beer, along with developments in juice drinks and dairy-based drinks, are helping to turn around sales in these categories.What follows is a category-by-category look at the state of the beverage industry, including the top brands, new products,  innovations and future trend setters. The above graph shows the relative share of all the beverages worldwide. As shown by the above graph the different beverage sectors can be classified according to importance. THE CHANGING BEVERAGE INDUSTRY In order to be successful in the marketplace, one has to think in terms of health innovation, flavor innovation, ingredient innovation and specific age groups. These are the factors that will shape the future of the beverage industry.Today’s consumers are concerned with overall health and wellness. As a result, there is significant impact on food and beverage purchases . Many studies have shown that consumers are as concerned with good health as they are about maintaining a high quality of life. Beverage Industry have gone deep into the consumer preferences and tastes. The soft drink industry is training people to seek out new products, even the big companies are coming out with limited-edition flavors, and consumers are beginning to see that there is more flavor activity going on in the category.Whether that really nets anybody any sales gains is another thing, but it is teaching consumers to seek out and try new products. The beverage industry has grown drastically in the last 10-15 years. Each year the beverage manufacturers turnover increase and they continue to introduce new beverages. The graph shows that the Non carbonated sector is the dark horse which has shown tremendous growth rate from 1997-2010. With health and wellness being major concerns and obesity becoming a global issue, the future of the beverage industry is the non carbonated sector as shown. Packaging TechnologiesWith the increasing global customer base, beverage retailing is transforming. However, with the move toward globalization, it requires longer shelf life, along with monitoring food safety and quality based upon international standards. To address these needs, nanotechnology is enabling new food and beverage packaging technologies. Applications in nano-enabled packaging span development of improved tastes, color, flavor, texture and consistency of beverages, increased absorption and bio-availability of nutrients and health supplements, new food packaging materials with improved mechanical, barrier and antimicrobial properties.According to a study by iRAP, Inc. , the total nano-enabled food and beverage packaging market in the year 2008 was US$4. 13 bln, which is expected to grow in 2009 to US$4. 21 bln and forecasted to grow to US$7. 30 bln by 2014, at a CAGR of 11. 65%. Active technology represents the largest share of the market, and will cont inue to do so in 2014, with $4. 35 billion in sales. In spite of several challenges and restrictions faced by this industry, it is a ‘roll’ like never before. Customer preferences may have shifted, but they are still always on the lookout for a can of ‘coke’ or a new ‘flavored’ drink to quench their thirstINDIAN BEVERAGE MARKET India has a population of more than 1. 15 Billions which is just behind China. According to the estimates, by 2030 India population will be around 1. 450 Billion and will surpass China to become the World largest in terms of population. Beverage Industry which is directly related to the population is expected to maintain a robust growth rate. The price stability throughout the year has contributed to the increase in domestic liquor sales. India is a booming market for the beverage industry. It already accounts for about ten per cent of global beverage consumption today.This means that the country has the third-largest be verage consumption after the USA and China. But that is not the end of the road. Market analyses indicate that beverage sales in India will be increasing by more than 60 per cent between 2008 and 2012. Since India is a country of tea and coffee drinkers, packaged cold drinks have enormous potential. Packaged water, beer, spirits and carbonated drinks are recording what rates are in some cases high double-digit growth. All in all, annual per capita consumption of packaged beverages is supposed to triple from 2. 6 litres in 2000 to 8. 7 litres in 2012.The total carbonated beverages and juices market is estimated at 284 million crates a year. The market is highly seasonal in nature with consumption varying from 25 million crates per month during peak season to 15 million during offseason. REASONS FOR GROWTH: In India, various positive factors drive the beverage markets. One is the rising number of people in the middle class with extra money to spend on new beverages like wine, new bran ds of imported whiskey, or the fancy energy drinks, some of which are really good to enable people to work longer, to listen longer during conferences, and even to party longer and have fun. Economic drivers:  With strong economic drivers of consumer spending, India is a very different market from that of the 1980s or 1990s. With a GDP of USD800 billion and a GDP growth rate in 2005-06 of over 8 percent, India is now the third largest economy in Asia. Average GDP growth of the last 10 years has been 6. 5 percent per annum. And most significantly, the stepping up of GDP growth is driven primarily by domestic demand rather than exports. * Demographic drivers:  Macro There are compelling demographic trends in the country that promise new and sustained opportunities for beverage product suppliers who can read right the signals.The country boasts an expanding middle class that is currently 350 million strong (a population larger than that of the USA or the European Union). The rapid growth in the retail sector (over 20 percent per annum) is a confirmation of the increasing buying power of the middle class. FRUIT BEVERAGE INDUSTRY: The Indian beverage market offers hot options. The fruit beverages industry in India now stands at Rs 1100 crores (approx. Euro 180 million) and the market has grown at the rate of 30%. Part of the industry of fast moving consumer goods is also the beverage industry.The total beverage industry in India is being estimated to grow at 17% this year, according to experts. Food and beverages segment has not suffered despite the slowdown in the economy. FMCG in stores has done very well. In fact, it registered 10-15% growth in this segment last year. CARBONATED BEVERAGE INDUSTRY Approximately 120 billion liters of beverages are consumed by Indians every year, but only 5% represent store-bought packaged beverages. The majority of Indian consumers (75%) still consume non-alcoholic store-bought beverages less than once a day’, highlight ing a large untapped market opportunity, particularly in the carbonated drinks and juice or juice-based categories (estimated to be worth $1. 5 Billion and $. 25 billion respectively). In order to increase consumption and penetration of such beverages manufacturers will have to address the two primary reasons why some Indians abstain entirely, that is, health concerns and undesirable taste Beverage majors like Coca Cola India, for example, again reported growing sales.Coca-Cola in India reported a solid first quarter 2009 results not only despite a challenging economic environment, but also with unit case volume increasing by 31%. And eight quarters out of the 11 quarters had a double-digit growth. . MILK BASED BEVERAGES Demand for milk and milk-based beverages are also rising. India is the world’s biggest producer and consumer of milk, since milk plays a major role in the Indian diet. The consumption of milk and milk-based beverages has increased by an annual average of 2. 7 per cent in the last four years and most of them (65 per cent) are sold â€Å"loose† / unpackaged.The proportion of the market accounted for by packaged milk and dairy products are increasing, however. In the past four years, for example, demand for milk filled in pouches has grown by 4. 5 per cent annually, while the fi gure for milk in cartons is about 25 per cent. The rising consumption is making it necessary for appropriate investments to be made by the beverage industry. The sector is highly fragmented and 95 per cent of these producers have small or very small operations. Of this, the health beverage industry is valued at $230 million.The Indian beverage industry faces over supply in segments like coffee and tea. However, more than half of this is available in unpacked or loose form. Indian hot beverage market is a tea dominant market. Consumers in different parts of the country have heterogeneous tastes. The urban-rural split of the tea market was 51:49 in 2000. Coffe e is consumed largely in the southern states. The size of the total packaged coffee market is 19,600 tonnes or $87 million. Increasingly packaged coffee is becoming extremely popular and so is the â€Å"cafeteria culture† as promoted by Barista and Cafe Coffee Day.PACKAGED WATER Though not technically a beverage. Packaged mineral water is also considered to be a part os the Beverage Industry. Mineral water market in India is a 65 million crates ($50 million) industry. On an average, the monthly consumption is estimated at 4. 9 million crates, which increases to 5. 2 million during peak season. BEVERAGES FOR HEALTH AND WELLNESS IN INDIAN MARKET The global health and wellness trends in the beverage sector are beginning to notice an increasing level of activity in India.There is today a growing health and wellness consciousness among consumers and an increasing importance given to fitness and healthy lifestyle choices. Changing work and lifestyle habits leave less time for home cooking and therefore spur demand for convenience and ‘complete nutrition’ from meal replacements. There is a greater inclination to ‘self-care’ rather than ‘medicate’, a greater awareness of the ‘functional’ benefits of health beverages and a greater willingness to pay a premium for such beverages. RESPONSE TO HEALTH AND WELLNESSWith these strong drivers of growth, it is not surprising that the beverage industry in India has begun to respond with products that are marketed clearly on a health and wellness platform. However, to set the record straight, ‘health and wellness’ is not a wholly new platform for the Indian market. India has, for decades, had a thriving health food drinks market. Market leader, GlaxoSmithKline Consumer Healthcare (GSKCH), has had iconic brands ‘Horlicks’, ‘Boost’, ‘Viva’ and ‘Maltova’ create ‘top-of-the-mind' recall across generations of Indians.The fact is that there has all along been a strong multinational presence in beverage market and more recently this has been witnessing the emergence of Indian ‘multinationals’ across this sector. However, much of the marketing for health food drinks in the past has been general health and energy positioning, rather than the focus on specific benefits or ingredients that is characteristic of most mature health food markets. This is now changing and the specific initiatives of some companies are going a long way to creating a truly dynamic health and wellness beverage sector in India.Global market leader in Probiotic fermented milk drinks, Yakult, has teamed up with Danone to start manufacturing its probiotic fermented milk drink in India from 2007. Calcium-fortified beverages are a rapidly growing market. Some examples of brands that have introduced calcium-fortified products are ‘Amul Shakti’, Coca-Cola India’s ‘Mazza’, GCMMF launched sports drink ‘Stamina' in early 2006. ‘Red Bull’ was launched in India in 2003. Carbonated beverage giants Coke and Pepsi have also planned to widen their product portfolio with ‘health-based’ beverages (non-carbonated).Pepsi’s ‘Gatorade’ is already on the market. And in what must be among the most significant recent commercialization efforts of a traditional Indian drink, ‘Amul Masti’ Spiced Buttermilk was launched (in a 200 ml tetra pack), marketed on the platform of being free of colour, preservatives, acids and sucrose sugar. SUMMARY: * Indian Beverage Market CAGR[2007-2010]:21% * India ranked 3rd in largest beverage consumption after the USA and China * Total Indian Beverage Consumption every year:120 billion liters * Fruit Beverages Market size: Rs 1100 crores (approx.Euro 180 million) * Fruit Beverage market growth rate: 30% * Majority of Indian consumers:75% consume Non-alcoholic beverages and 25% Alc oholic Beverages * Carbonated Drinks Market size: $1. 5 Billion * Juice or juice-based Drinks Market size: $. 25 billion * Health beverage industry is valued at $230 million * Indian Beer Market Growth Rate: 7 – 8 % * Indian Beverage Industry is 10% of Global beverage consumption today. * Milk-based beverages consumption has increased by an annual average of 2. 7 per cent in the last four years * Total packaged coffee market size: 19,600 tons or $87 million. The Indian soft drink market is worth Rs. 21,600 million a year with a growth of around 7%. * The total soft drink (carbonated beverages and juices) market is estimated at 284 million crates a year or $1 billion. * Peak season soft drink consumption : 25 million * Off-season soft drink consumption: 15 million * The market is predominantly urban with 25 per cent contribution from rural areas. * Coca cola and Pepsi dominate the Indian soft drinks market. * Indian Mineral water market size : 50 million industry. BARRIERS IN THE INDIAN BEVERAGE INDUSTRYDespite this flurry of activity, the market is still plagued by low levels of awareness and a lack of sophistication in consumer choices. Price remains a stumbling block. Public concerns over safety and quality of beverages have been aggravated by research findings over alarming levels of pesticide residues in bottled water and soft drinks. Furthermore, there is a lack of detail and clarity in food safety regulation regarding nutraceuticals and functional beverages, and regarding health claims. Within the beverage industry there is inadequate understanding of how to take traditional ingredients into the modern food processing environment.Finally, the retail sector, despite its growth, is still mostly unorganized and this limits the ability to differentiate health and wellness products through the allocation of exclusive shelf space devoted to this category. OVERCOMING BARRIERS: To overcome these challenges, beverage suppliers need to approach the market w ith a multi-pronged strategy for increasing penetration. It can be given as follow: * Price resistance can, to some extent, be overcome by moving from ‘imported’ to manufactured in India’ products. For example, imported ‘Gatorade’ cost INR45 per 200 ml bottle.Now, made in India, it costs INR25. * Substitution or modification is in some ways easier to execute than addition. (Examples of substitution would be herbal tea replacing regular tea or soy milk replacing regular cow’s milk. Examples of modification would be ‘low-fat’, ‘no-fat’, ‘lite’ variants of established beverage brands). * The growing trend towards on-the-go consumption/out-of-home consumption (at the workplace, in schools, colleges and gyms) presents suppliers with new place and form of consumption options (for example, vending machines for dispensing health drinks at schools). Abandoning the ‘one-size-fits-all’ positioning and g eneric selling points of the past, in favour of targeted and specific messaging based on validated health benefits is likely to be more effective to the better informed middle class today. * Leveraging the intrinsic appeal of traditional Indian ingredients such as ayurvedic, herbal or oleoresin ingredients, but delivered in a modern, safe, convenient and consistent form, or packaging and branding traditional Indian health drinks such as buttermilk and lassi, could create whole new markets that derive their strength from known and trusted traditional ingredients or drinks. In the end, beverage suppliers who unlearn many of the long-held misconceptions about Indian consumers and respond instead to their changing needs and priorities will be best placed to maximize the health and wellness opportunity in this large and growing market LEADING COMPANIES Coca-Cola Company: The Coca-Cola Company (Coca-Cola) manufactures, markets and distributes nonalcoholic beverage concentrates and syrups. The syrups, concentrates and beverage bases for Coca-Cola and nearly 400 other soft-drink brands are manufactured and sold by the Coca-Cola Company and its subsidiaries in nearly 200 countries around the world.More than 60% of its products are sold outside of the US. It is headquartered in Atlanta, Georgia. The company recorded revenues of $23,104 million during the fiscal year ended December 2005, an increase of 6. 3% over 2004. The company's net profit was $4,872 million in fiscal year 2005, an increase of 0. 5% over 2004. PepsiCo, Inc. : PepsiCo is a leading global snack and beverage company. The company manufactures, markets and sells a range of salty, convenient, sweet and grain-based snacks, carbonated and non-carbonated beverages and foods.The company operates in 200 countries besides the US and Canada. It is headquartered in Purchase, New York. The company recorded revenues of $32. 6 billion during the fiscal year ended December 2005, an increase of 11. 3% over 2004. The ne t profit was $4,078 million in fiscal year 2005, a decrease of 3. 2% from 2004. Parle Bisleri Pvt Ltd : Parle Bisleri is an Indian bottled water company. The group is also involved in the production of fruit juices under the Alfa brand. Bisleri is a brand of bottled water in India. Bisleri has 60% market share in packaged drinking water in India Unilever:Unilever Group (Unilever) is one of the leading companies in the global fast-moving consumer goods segment. Unilever operates under a dual structure. Unilever NV and Unilever PLC are the twin parent companies of the Unilever Group. Also, Unilever NV, Unilever PLC and their group companies constitute a single reporting entity for presenting consolidated accounts. The group operates primarily in Europe, the Americas, Asia and Africa. It is headquartered in Blackfriars, the UK and employs about 206,000 people. The group recorded revenues of $49,310. million during the fiscal year ended December 2005, an increase of 2. 9% over 2004. The operating profit of the group was $6,605. 1 million during fiscal year 2005, an increase of 25. 4% over 2004. The net profit was $4,940. 8 million in fiscal year 2005, an increase of 35. 2% over 2004. Parle Agro Pvt Ltd: Parle Agro is an Indian company in the beverages industry and has brands like Frooti, consistent winner of India's fruit beverage brand, Appy, Appy Fizz and packaged drinking water, Bailley. A pioneer in the Indian industry, Parle Agro is associated with many firsts.They were the first to introduce fruit drinks in tetra packaging, first to introduce apple nectar and the first to introduce fruit drinks in PET bottles. In 2008, Parle Agro forayed into foods with the launch of two confectionery brands, Mintrox mints and Buttercup candies. This was soon followed by two more brands – Buttercup Softease and Softease Mithai. Recent beverage products from Parle Agro include Saint Juice, LMN and Grappo Fizz. In 2009, Parle Agro forayed into snacks with the launch of Hippo, in line with the company’s vision of becoming a major player in the foods and beverages industry.SWOT ANLYSIS OF THE BEVERAGE INDUSTRY * STRENGTH * Renewal and investment * Innovation and Technological development * Experience in searching for new markets, niches and partners * Availability of key raw materials, cheaper labour costs and presence across the entire value chain gives India a competitive advantage. * WEAKNESS * Old technologies and poor work organization * Insufficient pace of creation and implementation of innovations * Insufficiently effective activities of small and medium-sized businesses * Change in household consumption patterns * OPPORTUNITIES Presence of a favorable market * Market globalization * Foreign direct investment promoting knowledge and developing export channels * Transfer of production to the countries with smaller labour costs * Well established distribution network * THREATS * Unfavorable market trends in energy resources * Increasing competition among exporters and decreasing dependency on one market * Intense competition between the organized and unorganized segments and low operational cost. * Water scarcity in India INTRODUCTION TO PEPSICO COMPANY Pepsi Co. : An IntroductionPepsiCo, Incorporated is a large conglomerate with interests in manufacturing, marketing and selling a wide variety of carbonated and non-carbonated beverages, as well as salty, sweet and grain-based snacks, and other foods. Company Profile Type : Public (NYSE:  PEP) Founded : New York, (1965) Headquarters : Purchase, New York Area  served : Worldwide Key  people : Indra K. Nooyi (Chairwoman), (President) & (CEO) Industry : Food, Non-alcoholic beverage The PepsiCo challenge (to keep up with archrival The Coca-Cola Company) never ends for the world's no. carbonated soft-drink maker. Its soft drinks include Pepsi, Mountain Dew, and Slice. Cola is not the company's only beverage: Pepsi sells Tropicana orange juice brands, Slice mango d rink, Gatorade sports drink, Nimbooz lime drink and Aquafina water. The company also owns Frito-Lay, the world's no. 1 snack maker with offerings such as corn chips (Doritos, Fritos) and potato chips (Lay's, Ruffles). Its Quaker Foods division offers breakfast cereals (Life), pasta (Pasta Roni), rice (Rice-A-Roni), and side dishes (Near East). A true global giant, Pepsi's products are available in some 200 countries.HISTORY Born in the Carolinas in 1898, Pepsi-Cola has a long and rich history. The drink is the invention of Caleb Bradham (left), a pharmacist and drugstore owner in New Bern, North Carolina. The information published here is provided by PepsiCo, Inc. and may be accessed at their site: www. pepsi. com. The story behind Pepsi co. goes as follows, in summer of 1898, as usual, was hot and humid in New Bern, North Carolina. So a young pharmacist named Caleb Bradham began experimenting with combinations of spices, juices, and syrups trying to create a refreshing new drink to serve his customers.He succeeded beyond all expectations because he invented the beverage known around the world as Pepsi-Cola. Caleb Bradham had known that to keep people returning to his pharmacy, he would have to turn it into a gathering place. He did so by concocting his own special beverage, a soft drink. His creation, a unique mixture of kola nut extract, vanilla and rareoils, became so popular his customers named it â€Å"Brad's Drink. † Caleb decided to rename it â€Å"Pepsi-Cola,† and advertised his new soft drink. People responded, and sales of Pepsi-Cola started to grow, convincing him that he should form company to market the new beverage. In 1902, he launched the Pepsi-Cola Company in the back room of his pharmacy, and applied to the U. S. Patent Office for a trademark. At first, he mixed the syrup himself and sold it exclusively through soda fountains. But soon Caleb recognized that a greater opportunity existed to bottle Pepsi so that people could drink it anywhere. The business began to grow, and on June 16, 1903, â€Å"Pepsi-Cola† was officially registered with the U. S. Patent Office. That year, Caleb sold 7,968 gallons of syrup, using the theme line â€Å"Exhilarating, Invigorating, Aids Digestion. He also began awarding franchises to bottle Pepsi to independent investors, whose number grew from just two in 1905, in the cities of Charlotte and Durham, North Carolina, to 15 the following year, and 40 by 1907. By the end of 1910, there were Pepsi-Cola franchises in 24 states. Pepsi-Cola's first bottling line resulted from some less-than-sophisticated engineering in the back room of Caleb's pharmacy. Building a strong franchise system was one of Caleb's greatest achievements. Local Pepsi-Cola bottlers, entrepreneurial in spirit and dedicated to the product's success, provided a sturdy foundation.They were the cornerstone of the Pepsi-Cola enterprise. By 1907, the new company was selling more than 100,000 gallons of syrup per year. Growth was phenomenal, and in 1909 Caleb erected a headquarters so spectacular that the town of New Bern pictured it on a postcard. Famous racing car driver Barney Oldfield endorsed Pepsi in newspaper ads as â€Å"A bully drink†¦ refreshing, invigorating, a fine bracer before a race. † The previous year, Pepsi had been one of the first companies in the United States to switch from horse-drawn transport to motor vehicles, and Caleb's business expertise captured widespread attention.He was even mentioned as a possible candidate for Governor. A 1913 editorial in the Greensboro Patriot praised him for his â€Å"keen and energetic business sense. † Pepsi-Cola enjoyed 17 unbroken years of success. Caleb now promoted Pepsi sales with the slogan, â€Å"Drink Pepsi-Cola. It will satisfy you. † Then came World War I, and the cost of doing business increased drastically. Sugar prices see sawed between record highs and disastrous lows, and so did the price of producing Pepsi-Cola. Caleb was forced into a series of business gambles just to survive, until finally, after three exhausting ears, his luck ran out and he was bankrupted. By 1921, only two plants remained open. It wasn't until a successful candy manufacturer, Charles G. Guth, appeared on the scene that the future of Pepsi-Cola was assured. Guth was president of Loft Incorporated, a large chain of candy stores and soda fountains along the eastern seaboard. He saw Pepsi-Cola as an opportunity to discontinue an unsatisfactory business relationship with the Coca-Cola Company, and at the same time to add an attractive drawing card to Loft's soda fountains. He was right.After five owners and 15 unprofitable years, Pepsi-Cola was once again a thriving national brand. One oddity of the time, for a number of years, all of Pepsi-Cola's sales were actually administered from a Baltimore building apparently owned by Coca-Cola, and named for its president. Within two years, Pepsi would earn $ 1 million for its new owner. With the resurgence came new confidence, a rarity in those days because the nation was in the early stages of a severe economic decline that came to be known as the Great Depression. TIMELINE – 1898 Caleb Bradham, a New Bern, North Carolina, pharmacist, renames â€Å"Brad's Drink,† a carbonated soft drink he created to serve his drugstore's fountain customers. The new name, Pepsi-Cola, is derived from two of the principal ingredients, pepsin and kola nuts. It is first used on August 28. * 1902 Bradham applies to the U. S. Patent Office for a trademark for the Pepsi-Cola name. * 1903 In keeping with its origin as a pharmacist's concoction, Bradham's advertising praises his drink as â€Å"Exhilarating, invigorating, aids digestion. * 1905 A new logo appears, the first change from the original created in 1898. * 1906 The logo is redesigned and a new slogan added: â€Å"The original pure food drink. † The trademark is registered in Cana da. * 1907 The Pepsi trademark is registered in Mexico. * 1909 Automobile racing pioneer Barney Oldfield becomes Pepsi's first celebrity endorser when he appears in newspaper ads describing Pepsi-Cola as â€Å"A bully drink†¦ refreshing, invigorating, a fine bracer before a race. † The theme â€Å"Delicious and Healthful† appears, and will be used intermittently over the next two decades. 1920 Pepsi appeals to consumers with, â€Å"Drink Pepsi-Cola. It will satisfy you. † * 1932 The trademark is registered in Argentina. * 1934 Pepsi begins selling a 12-ounce bottle for five cents, the same price charged by its competitors for six ounces. * 1938 The trademark is registered in the Soviet Union. * 1939 A newspaper cartoon strip, â€Å"Pepsi ; Pete,† introduces the theme â€Å"Twice as Much for a Nickel† to increase consumer awareness of Pepsi's value advantage. 1940 Pepsi makes advertising history with the first advertising jingle ever broadcast nationwide. Nickel, Nickel† will eventually become a hit record and will be translated into 55 languages. A new, more modern logo is adopted. * 1941 In support of America's war effort, Pepsi changes the color of its bottle crowns to red, white and blue. A Pepsi canteen in Times Square, New York, operates throughout the war, enabling more than a million families to record messages for armed services personnel overseas. * 1943 The â€Å"Twice as Much† advertising strategy expands to include the theme, â€Å"Bigger Drink, Better Taste. † * 1949 â€Å"Why take less when Pepsi's best? † is added to â€Å"Twice as Much† advertising. 1950 â€Å"More Bounce to the Ounce† becomes Pepsi's new theme as changing soft drink economics force Pepsi to raise prices to competitive levels. The logo is again updated. * 1953 Americans become more weight conscious, and a new strategy based on Pepsi's lower caloric content is implemented with â€Å"The Light Refre shment† campaign. * 1954 â€Å"The Light Refreshment† evolves to incorporate â€Å"Refreshing Without Filling. â€Å". * 1963 In one of the most significant demographic events in commercial history, the post-war baby boom emerges as a social and marketplace phenomenon.Pepsi recognizes the change, and positions Pepsi as the brand belonging to the new generation-The Pepsi Generation. â€Å"Come alive! You're in the Pepsi Generation† makes advertising history. It is the first time a product is identified, not so much by its attributes, as by its consumers' lifestyles and attitudes. * 1964 A new product, Diet Pepsi, is introduced into Pepsi-Cola advertising. * 1966 Diet Pepsi's first independent campaign, â€Å"Girlwatchers,† focuses on the cosmetic benefits of the low-calorie cola. The â€Å"Girlwatchers† musical theme becomes a Top 40 hit.Advertising for another new product, Mountain Dew, a regional brand acquired in 1964, airs for the first time, b uilt around the instantly recognizable tag line, â€Å"Ya-Hoo, Mountain Dew! † * 1967 When research indicates that consumers place a premium on Pepsi's superior taste when chilled, â€Å"Taste that beats the others cold. Pepsi pours it on† emphasizes Pepsi's product superiority. The campaign, while product-oriented, adheres closely to the energetic, youthful, lifestyle imagery established in the initial Pepsi Generation campaign. 1969 â€Å"You've got a lot to live. Pepsi's got a lot to give† marks a shift in Pepsi Generation advertising strategy. Youth and lifestyle are still the campaign's driving forces, but with â€Å"Live/Give,† a new awareness and a reflection of contemporary events and mood become integral parts of the advertising's texture. * 1973 Pepsi Generation advertising continues to evolve. â€Å"Join the Pepsi People, Feelin' Free† captures the mood of a nation involved in massive social and political change. It pictures us the way w e are-one people, but many personalities. 1975 The Pepsi Challenge, a landmark marketing strategy, convinces millions of consumers that Pepsi's taste is superior. * 1992 Celebrities join consumers, declaring that they â€Å"Gotta Have It. † The interim campaign supplants â€Å"Choice of a New Generation† as work proceeds on new Pepsi advertising for the '90s. Mountain Dew growth continues, supported by the antics of an outrageous new Dew Crew whose claim to fame is that, except for the unique great taste of Dew, they've â€Å"Been there, Done that, Tried that. † * 1993 â€Å"Be Young, Have fun, Drink Pepsi† advertising starring basketball superstar Shaquille O'Neal is rated as best in U.S. * 1994 New advertising introducing Diet Pepsi's freshness dating initiative features Pepsi CEO Craig Weatherup explaining the relationship between freshness and superior taste to consumers. * 1995 In a new campaign, the company declares â€Å"Nothing else is a Pepsiâ⠂¬  and takes top honors in the year's national advertising championship. * 1998 – Pepsi celebrates its 100th anniversary. PepsiCo. Chairman and CEO Roger A. Enrico donates his salary to provide scholarships for children of PepsiCo employees. Pepsi introduces PepsiOne – the first one calorie drink without that diet taste! STRENGTH & WEAKNESSES OF PEPSI CO.Pepsi Cola throughout its 100 years of existence has developed much strength. One of the strengths that have developed Pepsi into such a large corporation is a strong franchise system. The strong franchise system was the backbone of success along with a great entrepreneur spirit. Pepsi’s franchise system and distributors is credited to bring Pepsi from a 7,968 gallons of soda sold in 1903 to nearly 5 billion gallons in the year of 1997. . Pepsi-Cola provides advertising, marketing, sales and promotional support to Pepsi-Cola bottlers and food service customers. This includes some of the world's best-loved and most-recognized advertising.New advertising and exciting promotions keep. Pepsi-Cola brands young. The company manufactures and sells soft drink concentrate to Pepsi-Cola bottlers. The company also provides fountain beverage products. Pepsi also has had the good fortune of making very wise investments. Some of the best investments have been in their acquiring several large fast food restaurants. They have also made wise investments in snack food companies like Frito Lay, which at present time is the largest snacks company in the world. Probably high on the list of strengths is Pepsi’s beverage line up.Pepsi has four soft drinks in the top ten beverages in the world. These brands are Pepsi, Mountain Dew, Diet Pepsi, and Caffeine Free Diet Peps. Some other strong brands are All Sport, Slice, Tropicana, Nimbooz, Aquafina and a license agreement with Ocean Spray Juices. Pepsi Cola like any company has weaknesses. Ironically, the one strength that has been credited for most of its success in the past has now become a weakness for Pepsi. This former strength is the franchise system. The franchise system in Pepsi Corporate view has become a liability. Pepsi in today’s market must be able to act as one instead of several separate units. * The franchise system has become a hurdle to Pepsi because many of these franchises have become very strong and will not be dictated by PepsiCo on how to handle their operations. Some of these franchises are unwilling to support certain Pepsi products and at times produce their own private label products that are in direct competition with Pepsi products. * Secondly the franchisees are not willing to make capital expenditures to keep up with Coca-Cola who is a firm believer in reinvesting into their infrastructure (Coca Cola at present time does not operate a franchise bottling system). * Pepsi customers buy nearly five billion gallons of soft drinks per year. Pepsi customers buy their products because of taste, price, p ackaging and promotional factors and of a wide variety of brands. Pepsi customers also buy their products due to the high accessibility of Pepsi brands. * Pepsi products are distributed to many outlets. For example, supermarkets where Pepsi buys large shelf area and display areas so the customer can find them easier, viz, Convenience stores, Restaurants, Movie theaters and almost and other conceivable spots. * Another competitive advantage that Pepsi has is in their product Mountain Dew. Mountain Dew has grown a staggering 74. 1% over the last five years. Mountain Dew has a 6. 3% market share and has recently become the No. 4 soft drink in America. At this current pace Mountain Dew will become the first non-cola to reach the 1billion gallon mark in one year. * Pepsi also has an advantage as an innovator in their field. They are the first soft drink makers to introduce a new one-calorie soda called Pepsi-One with, just approved by the FDA, Ace-K. PEPSICO IN INDIAPepsiCo entered India in 1989 and has grown to become one of the country’s leading food and beverage companies. One of the largest multinational investors in the country, PepsiCo has established a business which aims to serve the long term dynamic needs of consumers in India. PepsiCo India and its partners have invested more than U. S. $1 billion since the company was established in the country. PepsiCo provides direct and indirect employment to 150,000 people including suppliers and distributors. PepsiCo nourishes consumers with a range of products from treats to healthy eats, that deliver joy as well as nutrition and always, good taste.PepsiCo India’s expansive portfolio includes iconic refreshment beverages Pepsi, 7 UP, Mirinda and Mountain Dew, in addition to low calorie options such as Diet Pepsi, hydrating and nutritional beverages such as Aquafina drinking water, isotonic sports drinks – Gatorade, Tropicana100% fruit juices, and juice based drinks – Tropicana Nectars, Tropicana Twister and Slice. PepsiCo’s foods company, Frito-Lay, is the leader in the branded salty snack market and all Frito Lay products are free of trans-fat and MSG. It manufactures Lay’s Potato Chips, Cheetos extruded snacks, Uncle Chipps and traditional snacks under the Kurkure and Lehar brands.The company’s high fibre breakfast cereal, Quaker Oats, and low fat and roasted snack options enhance the healthful choices available to consumers. Frito Lay’s core products, Lay’s, Kurkure, Uncle Chipps and Cheetos are cooked in Rice Bran Oil to significantly reduce saturated fats and all of its products contain voluntary nutritional labeling on their packets. The group has built an expansive beverage, snack food and exports business and to support the operations are the group's 39 bottling plants in India, of which 17 are company owned and 22 are franchisee owned. PEPSICO VS COCACOLA IN INDIABoth target all income segments of as their products are a ttractive and likeable. Both companies produce parallel products and services (Coca Cola Company, 2009). It is a known factor that when a company goes beyond the national boundaries, the distribution channel and production becomes main concern. When PepsiCo. launches new product and a new promotion strategy, Coca Cola, follows its fierce competitor, with its own version or vice-versa. Both companies are multinational and as they enter new market, they consider many issues such as legal risk, political risk, business risk etc. ecause of the fact that in past these companies had to leave the market due to above mentioned reasons. The companies are very conscious towards taste preferences of the targeted customers. Both companies work on ethics and moral values. They both have public relation department which serves as a chain between consumers and the company. The above graph shows the beverage ranking as at the beginning of 2011. Pepsi reverses a global trend in India, beating its ma in rival Coca-Cola in market share. In terms of Brand Trust too, Pepsi at rank 36 is at 160% higher than its closest cola competitor, Coca-Cola at 60th rank.However the Coke camp has 5 brands among the top 300, as compared to the Pepsi-camp which is only represented by 3 brands among the 300 Most Trusted Brands of India. PEPSICO INDIA SWOT ANALYSIS: Strengths – (a) Pepsico is a well-known brand in FMCG sector. (b) Pepsico is offering many attractive sales promotion schemes. (c) Pepsico is having good market share. (d) Pepsico is offering many brands like 7up, Slice, Mirinda etc. (e) Pepsico is offering Varity of tastes to select. Weakness – (a)Lack of effective customer services. (b) Retailers are not getting proper schemes of Pepsi. c)Visis are out of order. In Jaipur town there is appropriate maintenance services available. (d) Retailers are complaining about cooling. Visis are not cooling well mainly 300 and 400 liters. Opportunities: – (a) Large beverage mar ket. (b) Popular in youth as well as children. (c) New taste can be introduced like apple, even health drink also. (d) In India the major competitors of Pepsi are tea, coffee, lassi, inthis case Pepsi can come in 100 ml or even 50 ml at Rs. 3 or 4. Threats: – (a) Increasing competitors day by day. (b) Poor publicity by competitors. c) Numberless innovation’s area in beverage industry. PEPSICO INDIA PERFORMANCE Pepsi is one of the most well known brands in the world today available in over 160 countries. The company has an extremely positive outlook for India. Outside North America two of our largest and fastest growing businesses are in India and China, which include more than a third of the world’s population. (PepsiCo’s annual report, 1999) Faced with the existing policy framework at the time, the company entered the Indian market through a joint venture with Voltas and Punjab Agro Industries.With the introduction of the liberalization policies since 19 91, Pepsi took complete control of its operations. The government has approved more than US$ 400 million worth of investments of which over US$ 330 million have already flown in. One of PepsiCo’s key strategies was to develop a completely local management team. Pepsi has 19 company owned factories while their Indian bottling partners own 21. Since the entry of Pepsi-Cola to India in 1989, the soft drink industry has under gone a radical change. When Pepsi-Cola entered, Parle was the leader with the Thums-up being its flagship brand.Other products offering by Parle included Limca & Goldspot, another upcoming player in the market was, the erstwhile bottler of Coca-Cola, â€Å"pure drinks†. Its offering includes Campa- Cola, Campa-Lemon & Campa-Orange The two advertisements tags: ‘yehi hai right choice baby’ and ‘nothing official about it’ immediately ring a bell- it’s got to be Pepsi. The advertisement tag ‘yehi hai right choice bab y’ was the first ‘Hinglish’ slogan ever used in the in the Indian market. This slogan proved to be the best suited one for Pepsi and it was a mega hit and at that moment of time.Pepsi in a short span of its operations in India has found a place in the hearts and minds of the Indian consumers. The success has primarily been due to the innovative and passionate Indian team, which has been built over the years. Pepsi is a trendsetter managed and run by Indians, where important decisions are taken locally. The RKJ group is India's leading supplier of retailer brand Carbonated and Non-Carbonated soft drinks, with beverage manufacturing facilities in India and Nepal. It has the license to supply beverages in the territories of Western U. P. part of M. P. , half of Haryana, whole of Rajasthan, Goa, 3 districts of Maharashtra, 9 districts of Karnataka and whole of Nepal. The group has in total 18 bottling plants in India & Nepal and is responsible for producing and marke ting 44% of Pepsi requirement in India. This group has brought name and fame to the Pepsi as in all this regions Pepsi is at the commanding position and in the mean this group has diversified itself into ice cream, suiting and shirtings, restaurants, beer plant in Mauritius & edible oil plant in Sri Lanka PESTICIDE CONTROVERSY 2003:Although Pepsi’s sales were hurt post-cola contamination controversy, Pepsi spokesperson maintained that â€Å"it was difficult to assess whether the slump was due to the controversy or a lean monsoon. Weather has played a spoilt sport, too, and the season has been dull so they were cross fingered whether sales have been hit by the pesticides issue alone. † PERFORMANCE IN 2010: PepsiCo reported that volume, revenue and profit growth for the fourth quarter and the full year of 2010 were driven by gains across its worldwide snacks and beverage businesses.Beverage performance for the quarter was led by high double-digit growth in India, For the full year, beverage volume was led by double-digit growth in India and China. The net revenue grew by 34 per cent, net income rose by six per cent and core constant currency net income rose by 15 per cent. PepsiCo said, â€Å"Our snack and beverage volume gains for the quarter and full year were led by strong performance in key emerging markets. The Middle East, India and China, each reported snack volumes growing by strong double digits, and acquisitions contributed two points of snacks volume growth in the quarter and for the full year. . The company further strengthened its position in India through the formation of a joint venture with Tata Global Beverages to develop and market hydration beverages for the India market. The chronology PEPSICO. in India was: 1977: Parle launched Thums-up and pure drinks launched Coca-Cola. * 1998: In September, final approval for the Pepsi Foods Ltd. Project granted by the â€Å"Cabinet Committee† on economic affairs of the â€Å"Rajeev Gandhi Govt. † * 1990: In March, â€Å"Pepsi-Cola and 7-up† launched markets in north India. 1990: In May, The government cleared the Pepsi-Cola project again but with a change in brand name to â€Å"Lehar Pepsi†, simultaneously it rejects the Coca-Cola application â€Å"Citra† from the Parle, stable hited the market. * 1991: Pepsi-Cola extended its soft drinks business and reached at national scale. Pepsi-Cola launched its product in Delhi and Bombay. * 1992: In January, Brito foods application is cleared by the FIPB. Pepsi-Cola and Parle start initial negotiation for a strategic alliance but took break off after a while. * 1993: Pepsi-Cola launched â€Å"Slice and Teem† captured about 25-30% of the soft drink market in about 2 years. 1994: Pepsi bought â€Å"Dukes & Sones†. * 1995: Pepsi-Cola lunched cans, having capacity of 330ml in various flavors. * 1996: Pepsi-Cola domestic and international operations combined into a Pepsi-Cola Compan y. International and domestic operations combined into one business unit called â€Å"Frito-lay Company†. * 1997: Pepsi-Cola brought â€Å"Mirinda Orange† opposite to â€Å"Fanta†. * 1998: Pepsi-Cola launched â€Å"Mirinda Lemon† opposite to â€Å"Limca†. * 1999: Pepsi-Cola launched â€Å"Diet Pepsi† in can and 1. 5 Lit. PET bottle for health conscious people. * 2001: Pepsi-Cola launched Slice in â€Å"Tetra† Pack. 2003: Pepsi-Cola launched â€Å"Pepsi Blue† to get the favour of world cup season. * 2005: Pepsi-Cola launched Mirinda in â€Å"Straw Berry† flavour to get the favour of movie Batman. * 2005: Pepsi-Cola launched 7-up as â€Å"7-up ice†. * 2009: Pepsi- Cola launches â€Å"Nimbooz†. NIMBOOZ: PEPSICO’S NEWEST OFFERING! INTRODUCTION Numbu Paani is a delicious thirst quencher made from freshly squeezed lemons, salt and sugar. It has a clean and refreshing flavour and is rich with vitamin C. Nim bu Paani, which is nothing but lemonade or lemon squash. It is commonly available in all the towns of India, particularly in the summer season.It is very easy to prepare. Fresh lemon is squeezed in a glass and salt and sugar is added to it. Crushed ice may also be added. Nimbu Paani’ has always been the most commonly consumed cold beverage for Indians, especially during hot summers. Hence it made perfect business sense to launch a non-fizzy drink during summers as it scores above the colas in the health aspect (carbonated drinks actually soaks up the body’s moisture leaving the system more dry). With links to childhood obesity and tooth decay, soft drink sales were down for the first time in 20 years.And sales of bottled water, juices and energy drinks are continuing to eat into the soda market. At such a time PepsiCo decided to launch â€Å"Nimbooz†. The added advantage of it being a very familiar natural refreshing drink which is now being offered in a hygieni c and convenient way would make the mothers prefer it over the Colas. LAUNCH OF NIMBOOZ: The lime-lemon category is the fastest growing segment of the Rs 7,000-crore aerated soft drink market, with both competing brands Sprite from Coca-Cola and PepsiCo's 7-Up registering healthy growth rates.At the onset of the summer, PepsiCo India had launched packaged nimbu paani, Nimbooz by 7UP. The product has been created to suit Indian tastes. PepsiCo was delighted to introduce Nimbooz, a packaged nimbu paani offering specially developed to suit Indian tastes and preferences. Nimbu paani is a well loved Indian drink and Nimbooz brings consumers this well-loved taste backed by PepsiCo quality. PepsiCo claimed that Nimbooz contained no artificial flavours and contained real lemon juice. On 26 Feb 2009  PepsiCo India, the country’s leading food & beverage company, launched its packaged nimbu paani, Nimbooz by 7Up.Inspired by fresh, home-made nimbu paani, India’s favourite bevera ge, Nimbooz by 7Up has been specially created to suit Indian tastes. Nimbooz is a delicious nimbu paani, with real lemon juice, no fizz, and no artificial flavours. Available in trendy, convenient packs, Nimbooz is a great way to enjoy nimbu paani ina hygienic format. PepsiCo has drawn up an intensive consumer activation campaign to market Nimbooz. The 360 degree marketing communication plan will build awareness through multi-city launches and road shows, 3D activation, leveraging Out-of-Home (OOH) media, radio, press and outdoors.Aggressive trial generation & sampling initiatives were also be taken forward across major cities of the country. A special ‘Nimbooz Highway Gadi’ had been created that would visit the four major highways connecting Delhi to Jaipur, Dehradun, Agra to drive trails and consumer education To introduce the beverage, as part of the teaser campaign which kicked off on March 15, an 18-foot tall wooden lemon squeezer with a four-foot lemon replica in it was placed outside various malls and junctions. The message on it read, â€Å"Asli Refresher Coming Soon†.This innovation was executed at Ambi Mall, Gurgaon; Great India Place, NOIDA; Court Chowk, Amritsar; and Fun Republic Mall, Chandigarh. For the revealer, the lemon was replaced with a 20-foot high Nimbooz bottle on March 18. The teaser in Mumbai was spread across five days. For this, a knotted gunny bag stuffed with lemons was mounted on a canter at Mahim Causeway. The message on the sack read, â€Å"4 Din Mein Asli†. Day 2 saw an untied sack with lemons scattered around it and a similar message, with the number of the day changed.The sack got shorter for the next two days and on the fifth day, a returnable glass bottle (RGB) of Nimbooz appeared on the canter. The on-ground initiative was supported by a TV commercial that reflects Nimbooz ‘Ekdum Asli Indian’ proposition. The film had been created by BBDO India. In times of tough competition, brandin g needs to stand out and this is where outdoor media helps, by making the communication as big as possible. Lemon is central to the idea of Indian refreshment and the same thought went in the making of Nimbooz.They decided to keep the brand proposition simple, yet appealing, by dwelling on the authenticity of Ekdum Asli Indian Nimbu-Paani. â€Å"Its like rebirth of nimboo pani with a new refreshing and energetic taste. Definitely this product has given great and tough competition to the other drinks of its segment. People really love its taste and want to purchase Nimbooz. also pushing friends and family member to try it as they believe once they will try then rest Nimbooz will handle in short YEHI HAI RIGHT CHOICE† WHAT IS A MARKETING MIX? The term â€Å"marketing mix† was coined in 1953 by Neil Borden in hisAmerican Marketing Association presidential address. However, this was actually a reformulation of an earlier idea by his associate, James Culliton, who in 1948 d escribed the role of the marketing manager as a â€Å"mixer of ingredients†, who sometimes follows recipes prepared by others, sometimes prepares his own recipe as he goes along, sometimes adapts a recipe from immediately available ingredients, and at other times invents new ingredients no one else has tried. The marketing mix is probably the most famous marketing term. Its elements are the basic, tactical components of a marketing plan.Also known as the Four P's, the marketing mix elements are price, place, product, and promotion. Elements of the marketing mix are often referred to as the â€Å"Four P's†: * Product – It is a tangible object or an intangible service that is mass produced or manufactured on a large scale with a specific volume of units. Intangible products are service based like the tourism industry & the hotel industry or codes-based products like cellphone load and credits. To retain its competitiveness in the market, product differentiation is required and is one of the strategies to differentiate a product from its competitors. Price – The price is the amount a customer pays for the product. The business may increase or decrease the price of product if other stores have the same product. * Place – Place represents the location where a product can be purchased. It is often referred to as the distribution channel. It can include any physical store as well as virtual stores on the Internet. * Promotion represents all of the communications that a marketer may use in the marketplace. Promotion has four distinct elements: advertising, public relations, personal selling and sales promotion. MARKETING MIX OF NIMBOOZPRODUCT: PepsiCo India launched a packaged nimbu paani offering – Nimbooz – under its 7Up brand to expand its non-carbonated drinks portfolio. Nimbooz is a non-carbonated lemon drink which contains no artificial flavors and contains real lemon juice. INGREDIENTS: * Water * Sugar * Concent rated Lemon Juice (0. 8%) * Acidity regulators (296,330) * Salt * Preservatives (202) *contains added flavor (natural and nature identical flavouring substances) NUTRIONAL FACTS| ENERGY (kcal)| 43|CARBOHYDRATES (g)| 10. 8| SUGARS (g)| 10. 5| PROTEIN (g)| 0| FAT (g)| 0| PACKAGING: Nimbooz offers great value to consumers in three packaging formats of: * 200ml returnable glass bottles * 350ml pet bottles * 200 ml tetra .PRICE: Nimbooz is relevant and affordable offering for consumers on the go because of its ready-to-drink format that is both convenient and hygienic. The proposition of the Indian refresher perfectly captures the mass appeal of this product and will certainly drive consumer connect.The pricing strategy adopted is of course that of PENETRATION PRICING as followed by all PepsiCo products. PLACE: PepsiCo already has well established distribution network for its other brands so it becomes easier for them to cover the entire Indian market and place Nimbooz in retail outlets and restaurants. Traditional Trade :At Kirana stores in the above mentioned packages. Modern trade:Distribution through sports clubs, gymnasiums, tie ups with sports institutes etc. Wheel and Spokes model: In rural areas, where one dealer serves many villages.After the launch a newspaper article cited the following: | | | PROMOTION PepsiCo has drawn up an intensive consumer activation campaign to market Nimbooz. The 360 degree marketing communication plan has build awareness through multi-city launches and road shows, 3D activation, leveraging Out-of-Home (OOH) media

Gender segregation In US Essay

In the recent past, United State has been a victim of gender inequality. For instance, in the colonial era, reading and writing were the essential skills. However, these skills were mainly taught to boys and only privileged girls. This is a clear discrimination that makes the girls child disadvantaged and thus affects her social development and limit her interaction. One of the most important aspects in human development is the gender-role development. Age between two & six are the essential stage when the children start to learn of the abilities, and gender. In making of toys for playing, the America culture separates toys for girls and boys. The boys will shy from playing with dollies and the girls also avoid playing with tennis balls. This separation affects the social development of the children in many ways. First, the playing styles and behaviors will be centered on the identity ‘I am a Girl’ or ‘I am a Boy’. This spreads to the social context of the family, school, and peer group. Most theories of social development highlight early childhood as initial and the essential stage in social development. Much of the learning in this stage occurs by imitation. That is, boys learn to be boys by observing their fathers and girls learn l to be girls by observing their mothers. When children imitate similar sex they tend to be appreciated. However, imitating the opposite sex would attract punishment. This stereotype leaves a lasting impact on the mind of the children who grow up to believe that girls and boys are different and should be treated differently. This has been the root cause of gender disparity in US. Reference: Axtell, J. (1974). Gender-Role Development – The Development of Sex and Gender. Illinois; University of Illinois Press.

Human Trafficking

The primary focal point of my research project is human trafficking in SE Asia, why it happens and what we can do to help prevent it. Throughout the world men, women and children are being trafficked into a form of modern day slavery. Mainly women and small children are being forced to perform physical labor including prostitution in several countries. Many women forced into this cruel industry are coming from Asian countries such as Japan, China, Vietnam, Laos, Thailand and the Philippines. The majority of these women and children are sold into slavery to pay off certain other debts, or they leave their homes in hopes of labor. Unknowingly, they are getting involved in a cruel and sadistic world of forced sex. Many organized gangs including the Japanese Yakuza and the Chinese Triad are involved in human trafficking. It occurs in almost every country on this planet; however, it is mostly successful in environments with a tourism industry or a military presence. I have spent some time in Korea as well as Germany and I noticed a huge amount of women from Asian countries who were being forced to sell their bodies to U. S. Army personnel as well as civilians from those countries. Although, it is illegal, most people just turn a blind eye towards it and allow it to continue, primarily because of the amount of money it brings in to the economy. It is a US$ 5 billion to US$ 9 billion dollar annually industry according to the United Nations Economic Commission for Europe. Due to the fact that this industry makes so much money off of it, it is hard to do much about it. There are organizations such as the UN, the Polaris Project, and the US Department of State just to name a few. Unfortunately, it continues to rear its ugly head in our civilization. Everyone can do their part to help fight and prevent human trafficking. Human beings were not created to be sold into modern day slavery. I amassed these resources in order to help others do research and possibly make a difference in this ongoing epidemic.

Typography Essay Example | Topics and Well Written Essays - 500 words

Typography - Essay Example Naturally then upon completion of the project, I was exposed to the experimentation of nontraditional methods of type development, while seeking design inspiration from my own environment I chose materials based on ordinary objects bought at the local 99 cent only stores. Some items students worked with plastic suction cup hooks, plastic sandwich bags and an electrical outlet adapter. The purpose of this exploration was to expose students to the potential of typographic solutions inspired from the everyday. I found each experiment to be equally inspiring. I have always been enchanted with simplicity. I think that it is the obvious which is overlooked. The materials at the 99 cent stores are consistently looked at as if they are throw-aways but imagine if an alphabet based on simplicity could work as a language for those who suffered from visual diseases. Working with the simple objects reminded me of what the original purpose of language is. We use language to communicate with others, and it think that it can be said that the majority of cultures somehow find their way into 99 cent stores, thus the culture has common elements as it is. Inventing a language from the items merely takes my concept to the next level. When we look at Chinese, Japanese and Egyptian lettering, we see beautiful art forms. The same very much exists in my project.

Telecommuting Essay Example | Topics and Well Written Essays - 2500 words

Telecommuting - Essay Example While the new concept has many specific advantages and at the same time certain inherent limitations over conventional work places and can be implemented only in limited spheres of work, the concept is gaining immense popularity both among employers and employees due to tremendous flexibility available to them while working at home and also sufficiently meeting company deadlines. The aim of this paper is to study and bring out various advantages and disadvantages of telecommuting and their effects on organizational work culture and certain behavioral aspects in the present era. Hidden inside our advance to a new production system is a potential for social change so breathtaking in scope that few among us have been willing to face its meaning. For we are about to revolutionize our homes as well. Telecommuting is the trend which has grown fast since 1975 when just about 3% people worked from home and they were mostly farmers. Today, a much greater number of people are telecommuting and working from home. Telecommuting essentially implies that employees are using means of computers and telephones for work rather than using normal transportation channels. This has helped them save commuting time wasted on roads or rail, which in many cases can be up to 2-3 hours a day or 25-30% of time spent outside homes. This work culture saves money for employers as well in terms of reduced infrastructural requirements for employees and added benefits of improved productivity, better motivation for people in need as well as personal satisfaction for the employees who cannot move out of homes but want to work nevertheless. However, this aspect has had a considerable effect of lasting nature on the prevalent office culture. In succeeding paragraphs, we shall discuss the advantages and disadva ntages of telecommuting Telecommuting: Benefits Saved Time and Effort. As per a recent research, 10 minutes commuting time one-way amounts to two 40 hrs weeks a year. A similar 40 min one way commuting time consumes eight working weeks every year. (Telework, 2006) For those of us not understanding the gravity of the situation, this commuting time which is actually wasted doing nothing productive is actually equivalent to our whole entitlement of leave and holidays every year. Imagine having double number of off-duty days without any effect on your salary! Improved Productivity. Direct fallout of telecommuting has been improved productivity of an individual. While working from office, many good employees have serious reservations owing to their personal requirements at home. This is especially so in cases of working mothers, single parents or individuals with similar responsibilities. Such people, despite their good employability, cannot work and thus choose part time working or staying at homes. Even if they choose to work, they are pre-occupied with their personal requirements directly or indirectly affecting their work quality and as well as company's output. If such people have an opportunity to work from home than commute to office

Western Australian Economy. Legal and Political Environment Essay

Western Australian Economy. Legal and Political Environment - Essay Example The industrial and commercial sectors have been the leading presentations used to offer the needed ventures to achieve stability in income generation and present stable resource acquisition. Developed societies have excelled in presenting stable economies with a larger share in GDP and proper application of the resources available. With the competition in the business industry to maximize on the available resources, opportunity generation is elevated. The other stable presentation has been in the government provision to offer the needed resources and opportunities to stabilize the economy. Western Australian economy has been the example of the dominant GDPs in the global sector with an elevating sector that is boosted by stable supply in the resources. The economy has been developed based on the principles required in developing stable economies capable of presenting support to the existing population. The economy has grown since 2010 by 3.5% with a stable supply of mineral reserve a nd energy to drive the industries (Government of WA, 2002). With globalization, the existing sanctions and limited operations within borders have been opened to promise free participation of foreign members in exploiting the resources available within the country. The globalization aspect has been noticed to play a significant role in developing the stable economy of Western Australia with resources and energy sources benefiting from the modernization process. Legal and Political Environment The political sector within the Western Australian economy sector has been classified to be advanced into providing the needed platform to conduct business activities. With the economy supported by stronger policies and a stable mining economy, the developments have been subjected towards maintaining the level of income within the industrial sector. The global Financial Crisis (GFC) had been avoided due to the strength of the policies subjected towards developing the available resources and allo wing the needed platform to conduct foreign business (WACAR, 2010). The resources have developed the ideology in the government and legal framework and offer stable employment opportunities and utility of the resources (Scott, 2012). Western Australia covers the region of an estimated one-third within the whole Australia with the majority of the labor supplied by the interstate and international workforce. The other contribution by the WA government has been extended in the provision to offer a $30 billion budget to be supported to development sector (WACAR, 2010). The state has supported the needed initiatives to be invested in development projects to favor the increasing market sector with the labor department encouraging foreign policies to add to the population. With the increasing population, the budget has also been developed to support modern urban housing projects to the increasing population within the economy. The population with the incentive that is given to development projects and the business community prefers the current elected government. The government realizes the need to offer stability within the WA economy by presenting the needed funds to develop the health sector, education and infrastructure. The legal framework is supportive of the reforms to support health facilities and offer strict regulations against the parties that exploit the oil resources. The state government laws support the stable urban system and the by-laws that offer security to the development platform noticed within the region. Financial Climate The economy is greatly supported by the export of minerals in gold and natural gas and boasts of a dominant facility to support the industries within the econom

Prioritizing Ethical Issues of a Corporate Example Dilemma Described Essay

Prioritizing Ethical Issues of a Corporate Example Dilemma Described - Essay Example They need immediate help and Tru-Seal is able to provide that, so it should. Secondly, Tru-Seal is not capable of accommodating the deal with Ford currently unless it increases its workforce. If it does not increase its workforce, the deal with Ford will be jeopardized. This will be a lose-lose situation for both Tru-Seal and the residents of the Jones County. Thirdly, Tru-Seal should increase the workforce because the Indian firm seems positive on continuing with the deal with Ford after it acquires Tru-Seal. In order to continue the work smoothly, it is unlikely for the Indian firm to completely replace the existing workforce at that time with new and inexperienced workforce as it would affect the quality of work as well as productivity. Last but not the least, it is not established that the Indian firm will acquire Tru-Seal. Unless it actually acquires it, chances exist that Tru-Seal might not be acquired in which case, it would be an unwise decision to not increase the workforce now. Yes, it is better for Tru-Seal to keep the union informed about the pending sale of the company. In spite of all the differences of the company with the unions, and the history of the company’s tough relations with the unions, informing the unions will be safer and less inconvenient choice compared to not informing them. If Tru-Seal does not inform the union, the union might engage in legal proceedings against the company at the time of its sale to the Indian firm, thus incurring a lot of cost to the owners in fines and damages. On the other hand, even if the union is informed about the pending sale, it is more likely that the union will support the decision of increasing the workforce at the Jones County given the high unemployment rate at present. Having met all environmental regulatory actions to date and having fostered a good relationship and open dialogue with the Michigan Department of Environmental

Literacy Enhancement Teaching Assignment Example | Topics and Well Written Essays - 500 words

Literacy Enhancement Teaching - Assignment Example I made two colorful books, with splashing colors. One book contained the photographs of those persons whom Evan was familiar with, like his parents, his aunt, and me. I showed him the pictures twice a day for two weeks. Initially, he would not take an interest but that was only for a day. From the second day on, he started taking great interest which showed that he was recognizing the faces. When I showed him the pictures, he gave me smiles and giggled as if he was too pleased to see the faces. He also did some baby talk which included little sounds. This helped me learn that this activity enhanced his recognition capability and memory. In understanding the patterns of cognitive development in infants and children and how families affect their development, the contributions of Jean Piaget (1896-1980) and Erik Erikson (1902-1994) hold a very significant importance. Children go through a number of cognitive stages in intellectual development, and they learn to develop emotional attachm ent right from their infancy. This emotional attachment made Evan recognize the faces in the photographs and smile at them. In the second book, I attached pictures of things that Evan saw on daily basis. They included his feeding bottle, diaper, a fluffy little cushion, and some of his toys. First I showed him the things in real, and then I would show him the pictures. I noticed that every time I showed him the pictures, he would raise his legs in the air and do some baby talk like â€Å"oo-aa†. This activity helped develop memory and initiated speech. Evan would also touch the pictures as if wanting to get a feel for them. My experience proved that Evan loved to see the pictures and feel the textures.  

Cause marketing costs Essay Example | Topics and Well Written Essays - 250 words

Cause marketing costs - Essay Example However, there are emerging issues even as multinational companies seek to maximize profits. Corporate social responsibility, international labor law, ethical issues and level competitive ground are the realities that companies have to address. Owing to the relatively tight competition in different industries, for-profit companies have to embrace non-price competitive strategies. Reconciling the increasing cost of production and profit margin explains the redefinition of value chain process. The source of the product does not matter in the current society as long as the brand is known. The companies are majoring on marketing and brand quality. Exploiting technology differences, labor and input factor cost variations across countries has become useful in surviving by the companies(Cullen & Parboteeah, 2014). Public image of the company is closely related to its product brand and this can be evidenced in the market size scramble by firms of the same products like Nike, Puma and Adidas among others in the sports and apparel industry. It can therefore be noted that globalization has restructured the socio-economic and political behavior of people which is reflected in the companies’ competitive trend and consumer

The affects of football Essay Example for Free

The affects of football Essay From the early ages in history to present day, sports have had a major impact on society. Football is a very popular sport played in America and many other countries. Some may say that football is a violent sport and its not beneficial in any way, but in reality it gives a person all the basic tools needed not only for playing the game, but also how you interact with people in society. Also it is very simple to get involved in most cites and towns. Football is a great game that is both fun and instructive. Football is game played by twenty-two players on a field at once, with eleven players on the defensive and offensive side of the ball. The goal of the game is to get a leather cone shaped ball, called a football, into the opposing teams end zone. On offense you have four tries to gain ten yards and gain a first down, which mean you have another four tries to go another ten yards. The defense in return has four tries to stop the offense or they get the football. A great football team is one that works very well together, and is disciplined enough that they can win without falling apart. Football is such a great sport because it takes eleven players on each side of the ball to do their assignment to become a great team. Each player has a different job, and if every player does their job than they can accomplish their task. There is no other game like football, it is a game where you can tackle and throw your rival as hard as you can without getting in trouble. It is a violent sport but a teams violence has to be controlled. Sports in society today are often a big deal. Teens go to high school and can get very competitive in any sport. Football is one of the best sports to get involved with because it teaches so many things children and teens need to be active in society. It teaches: discipline, teamwork, interaction, self-restraint, and perseverance. It is one of the only team sports that you actually need all the players on the field to work together and knows what theyre doing to become a good team. Practice makes prefect, and to become a better player you need to be disciplined and learn from your mistakes. Football also teaches players to control their anger on and off the field, and to keep working harder. It keeps teens out of trouble and gives them something to do, rather than cause trouble. Living in Amsterdam has a major effect on why I and many other teens play football. Amsterdam is, and has always been, and great football tradition. It all starts out with the children and the great Pee Wee football program we call Little Giants. This program teaches little kids from age seven through twelve the art of the game of football. When players get too old for this program they move on to the junior high school team which has always been another great program that teaches kids the fundamentals of life. Then the players move on to the junior varsity team where they get trained to play on the top school level. Varsity is the top of line for school football. This is where every little giants player wants to play. These players are envied by all, for the decades of great football they have played. There is no other greater feeling than to play a home game on a Friday night under the lights on the Amsterdam turf, while being watches by thousands of screaming fans, the steam that can be seen on the top of every players head, and the joy that runs through your body as you see the time run out and your are a champion again. The greatest accomplishment these players have is winning the state title and raising their helmets in the dome of Syracuse and yelling champions for the last time of their football career. As a player walks off that field there is no better feeling of pride in the fact that you are an Amsterdam football player. Sports have had a major impact on society. Football is a very popular sport played in America and many other countries. Some may say that football is a violent sport and its not beneficial in any way, but in reality it gives a person all the basic tools needed not only for playing the game, but also how you interact with people in society. Also it is very simple to get involved in most cites and towns. It can be the one thing that matters the most in a students high school career. The accomplishments that can be earned from football are like no other. Football takes time and effort to become a better player. To know that your whole team has worked the hardest and plays the best together is an incredible feeling. Football is a great game that is both fun and instructive. After winning a state title and walking off the field I thought to myself, there is not one other thing I would have dedicated myself to for so many years than the hot turf of a football field.

Effects of Type 1 Diabetes on Pregnancy

Effects of Type 1 Diabetes on Pregnancy Introduction Diabetes mellitus is a serious endocrine disorder caused by a deficiency or diminished effectiveness of the hormone insulin and is categorized into two sub-categories, type 1 and type 2, together with the lesser known variant gestational diabetes (Burden, 2003, pp30-32). Type 1 diabetes is thought to be a genetically controlled autoimmune disorder that presents in childhood and is also know as juvenile onset diabetes or insulin dependent diabetes. Type 2 diabetes usually occurs in older, obese individuals; however, this type of diabetes is becoming increasingly more common among children and adolescents. Debatably, this is because of the increase in childhood obesity because of the sedentary lifestyle some children are adopting in today’s society. There is also an hereditary predisposition to type 2 diabetes. If one or both parents have type 2 diabetes the offspring is at an increased risk of getting the condition (Rosenbloom et al, 1999, pp345). It is important to note that g estational diabetes that is a complication of pregnancy is different from the pre-existing diabetes in pregnancy that will be discussed in this essay. It is thought that approximately three to five percent of pregnancies are complicated by type 1 diabetes. During pregnancy diabetes mellitus can have a damaging detrimental affect on both maternal and foetal health. Conversely, diabetes is affected by the physiological changes that take place during pregnancy (Bewley, 2002, pp47-48). This essay will examine the effects of type 1 diabetes on a seventeen year old (Carol) that is six weeks pregnant. The essay will start by investigating the prevalence of diabetes mellitus in order to acquire a global picture of the disease. The aetiology and physiology of type 1 diabetes will then be discussed. This essay will then go on to consider the signs and symptoms of the condition and its effects on Carol now and in the future. Next the complications of diabetes in general and during pregnancy will be discussed, considering the effects on Carol and her unborn child. The effects of type 1 diabetes on the developing embryo, foetus and mother will be addressed. Finally, the hereditary link for type 1 diabetes will be considered and the essay will then be concluded. Epidemiology Diabetes mellitus is a growing global and public health problem. The World Health Organisation (2006, p1) estimates that the problem could escalate to an estimated three hundred million people by 2025. It is thought that approximately one and a half million people in the United Kingdom have diabetes mellitus. Type 1 accounts for approximately twenty percent of cases of diabetes mellitus. Type 2 diabetes accounts for more than eighty percent of cases with more than one million people diagnosed in the United Kingdom (Burden, 2003, pp30-32). The aetiology and physiology of type 1 diabetes mellitus This section focuses on the causes of disease and the biological aspects of diabetes mellitus. As mentioned type 1 diabetes results from the complete absence of the hormone insulin that is involved in glucose metabolism. It is thought that it is an autoimmune disease in which the bodys immune system attacks and destroys the beta cells in the islets of Langerhans that are embedded in the tissues of the pancreas (See diagram 1). Diagram 1, this shows the islets of Langerhans that are deeply embedded with the tissues of the exocrine pancreas (http://cal.man.ac.uk/student_projects/2000/mnby7lc2/pancreas.htm). Diagram 1 The pancreas has two functions the exocrine cells produce digestive fluids and the endocrine cells produce hormones. It is the endocrine insulin producing beta cells that are important in the role of diabetes mellitus. The beta cells (see diagram 2) make insulin and when the body’s immune system attacks it results in the destruction of these cells. As the cells die insulin production stops and the consequences of this are impairment in function of, and damage to many of the organs in the body. Diagram 2 shows the insulin producing beta cells that are found in the islets of Langerhans (http://cal.man.ac.uk/student_projects/2000/mnby7lc2/pancreas.htm). Diagram 2 It is not known exactly what triggers this immune attack, but susceptibility to the disease might be inherited. The autoimmune attack may be triggered by reaction to a virus infection. The attack is thought to be carried out by the T cells of the immune system (Waugh and Grant, 2001, p234). In Diabetes mellitus there is too much glucose in the blood. When carbohydrates are eaten they are broken down into glucose. This process is known as gluconeogenesis and occurs in the liver and kidneys. The level of glucose in the blood is regulated by the naturally occurring hormone insulin. Insulin promotes transport and entry of glucose into the body’s cell and tissues. Glucose is essential to the production of energy within the cells and without it cellular death will occur (Tortora and Grabowski, 2003, p627). Signs and symptoms of type 1 diabetes mellitus This section will examine the signs and symptoms that Carol would have exhibited before diagnosis and during the course of the condition. The initial clinical indication of untreated diabetes relates to elevated blood sugar levels, and loss of glucose in the urine. When there are excessive amounts of glucose in the urine, water is taken out of the body in large amounts by the process of osmosis (Waugh and Grant, 2001, p235). This results in polyuria (increased urine output) and that leads to dehydration. Dehydration causes polydipsia (increased thirst) leading to increased fluid consumption. The inability to utilise glucose energy eventually leads to weight loss despite excessive hunger (polyphagia). Dramatic weight loss would have been a clinical sign exhibited by Carol. Some patients also complain of fatigue, nausea and vomiting. Patients with diabetes are prone to developing infections of the bladder, skin, and vaginal areas; this is because hyperglycaemia can disrupt the action o f phagocytes that are help to fight infection. The immune system in diabetes sufferers is suppressed and this limits the body’s ability to resist invasion by bacteria or viruses. Fluctuations in blood glucose levels can lead to blurred vision and extremely elevated glucose levels can lead to lethargy. Diabetic ketoacidosis is a serious medical condition resulting from uncontrolled diabetes. Ketoacidosis is caused by lack of insulin and occurs when the body uses fat as an energy source and ketones build up in the blood. Ketoacidosis starts slowly and builds up to a life-threatening condition that can result in coma and possible death (Burden, 2003, pp30-32). Carol may have exhibited all or some of these symptoms when first diagnosed and she is exhibiting symptoms of weight loss, tiredness and mood changes at present. Debatably, this is because here blood glucose levels are uncontrolled due to her pregnancy. Having said this however, research has found that adolescents (in particularly girls) are not vigilant in all aspects of managing their condition. Having a certain level of hyperglycaemia will enable a person to eat, yet remain thin. In today’s society that is obsessed with thinness teenage girls might undertake such an action (Carson, 2000, pp36-37). Complications of diabetes mellitus in general and during pregnancy There are many long-term clinical complications of diabetes that affect various systems and organs of the body. Having diabetes mellitus increases the risk of developing irreversible microvascular or macrovascular disease. Microvascular diseases include retinopathy, nephropathy and neuropathy and macrovascular diseases include ischemic heart disease, stroke and peripheral vascular disease. These disease are all a result of poor glycaemic control (Donnelly et al., 2000, pp1062-1066). Diabetic retinal and renal disease will be discussed in more detail as pregnancy can result in further complications and poor pregnancy outcome. Diabetic retinopathy is an eye disease that can lead to blindness. The longer a person is diabetic, the higher the chances are of developing the condition. It is thought that prolonged periods of hyperglycaemia cause damage to the blood vessels in the retina at the back of the eye. Diabetic retinal disease can deteriorate during pregnancy and poor glycaemic control in the first trimester is associated with the progression of retinopathy (Hill, 2004, p40-44, Donnelly et al, 2000, pp1062-1066). Carol should have her retinas examined at the start of her pregnancy to establish if she has pre-existing retinopathy. If retinopathy is diagnosed than Carol will need to have regular eye tests to monitor the condition. Continuous good glycaemic control will stop the condition from progressing. Diabetic renal disease or nephropathy is again caused by hyperglycaemia resulting in damage to the capillaries in the kidneys. The kidneys are then unable to undertake filtration of amino acids and this leads to hypertensive disease. Women who have pre-existing nephropathy are at an increased risk of poorer pregnancy outcomes. This is because high blood pressure as a direct result of nephropathy can cause pre-eclampsia. This in turn can cause premature delivery and maternal death (Donnelly et al, 2000, pp1062-1066, Hill, 2004, pp40-44). It is important therefore, that Carol’s blood pressure is monitored throughout her pregnancy as hypertension is a sign of pre-eclampsia (Bewley, 2002, p50). Effects of type 1 diabetes on the developing embryo, foetus and mother It is suggested that type 1 diabetes mellitus in pregnancy puts the foetus and the developing baby at far greater risk than is imposed on the mother. Various, potentially damaging problems can arise from foetal reactions to maternal glucose levels. Therefore, if a mothers glucose levels are high, the foetus will have correspondingly high levels (Bewley, 2002, p51). If a mothers blood glucose levels are continuously high (hyperglycaemia) during the first-trimester there is an increased risk of congenital anomalies such as neural tube defects that include spina bifida, abnormalities of the heart and anatomical abnormalities of the bones (Confidential Enquiry into Maternal and Child Health, CEMACH, 2005, p37). Neural tube defects are major birth defects of a baby’s brain or spine. They happen when the neural tube (that later turns into the brain and spine) does not develop in a correct anatomical manner resulting in damage to the brain or spine (Tortora and Grabowski, 2003, p1073). This happens within the first few weeks that a woman is pregnant, often before a woman knows that she is pregnant. Another condition that is attributed to maternal diabetes is that of Polyhydramnios. This is the medical condition of too much amniotic fluid in the amniotic sac. Polyhydramnios is generally due to maternal diabetes and is thought to be caused by increased foetal urination. This is caused by the elevated amount of glucose in the mothers blood that cross the placenta and makes the blood of the foetus hyperglycaemic. This results in increased urine output from the foetus. In pregnancies affected by Polyhydramnios, approximately twenty percent of the neonates are born with a congenital anomaly of some type. There are a number of risks that are increased in polyhydramnios including cord prolapse, placental abruption and perinatal death (Pilu Nicolaides, 2006) Other adverse neonatal conditions that are attributed to maternal diabetes are neonatal mortality, premature birth, hypoglycaemia and an increased risk of respiratory distress syndrome (Bewley, 2002, p51). There is also an increased risk of macrosomia that can lead to an augmented possibility of shoulder dystocia and an assisted delivery. Macrosomia is related to maternal hyperglycaemia and is characterised by larger-than-normal birth weight in a newborn at over 4500 grams (10 pounds). High levels of glucose in the mothers blood readily pass through the placenta to the developing baby stimulating insulin production in the baby. Insulin is a potent growth hormone and so fat is deposited which can result in a large baby. This can cause shoulder dystocia and birth trauma because the baby will not easily fit through the birth canal. Postpartum, the newborn continues to produce excessive quantities of insulin that can result in the infant being hypoglycaemic.The mother has an increased pr evalence of pre-eclampsia, postpartum infection, postpartum bleeding, and caesarean section (Reece et al, 2004, p169) . It appears from the research indicated that Carol needs to have optimum glucose control for her own health and for that of her baby. Women with type 1 diabetes should have a pre-conception glucose level within normal limits that is an HbA1c of below 7 percent. The management of pregnancies complicated by pre-existing diabetes mellitus should begin prior to conception (Reece et al, 2004, pp481). However, at seventeen it is quite possible that Carol’s pregnancy was unplanned. Is type 1 diabetes mellitus hereditary? It is thought that there may be a genetic or inherited susceptibility to diabetes. If a parent has type 1 diabetes, the chance that their children will be affected is about twenty-five to forty percent. In the instance of type 1 diabetes various genes have been indentifyed that might predispose an individual to the disease. Therefore, it is suggested that this genetic mutation might incline an individual to diabetes. It is debated that a genetic element is not, in itself enough to cause autoimmunity. It is suggested that external influences such as a viral infection are thought to trigger the disorder. It can be said that type 1 diabetes is an immunological disease that has a genetic background cause (Littorin, 2001, pp1033-37). It is possible therefore, that Carol has inherited a genetic susceptibility to type 1 diabetes from her mother, but environmental factors might activate the actual disease. Conclusion Diabetes is an increasingly common disease that if not controlled can cause a number of disabling lasting complications that can have a destructive influence on both quality and quantity of life. Type 1 diabetes is thought to be an autoimmune disease that leads to the complete destruction of the insulin producing beta cells in the pancreas. Insulin is needed to help glucose enter the cells of the body. Glucose is required in the cells to produce energy for normal cell function. It is possible that there is an hereditary link that predisposes an individual to the condition. As Carol was diagnosed with type 1 diabetes mellitus at the age of seven and she has had difficulty in controlling her blood glucose levels, she is at an increased risk of developing diabetic complications. It appears that her pregnancy will also intensify the effects of some of the complications affecting both her own health and that of her baby. It is suggested that Carol needs to attain good glycaemic control for her own health and for the health of her baby. Bibliography Bewley C (2002) Diabetes in pregnancy. Nursing Standard, 16, 25, 47-52. Burden M (2003) Diabetes: signs, symptoms and making a diagnosis. Nursing Times, 99, 1, 30-32. Carson C (2000) Managing adolescents with type 1 diabetes. Nursing Times, 96, 45, 36-37 Confidential Enquiry into Maternal and Child Health: Pregnancy in Women with Type 1and Type 2 diabetes in 2002-03, England, Wales and Northern Ireland. London: CEMACH; 2005. Diagram 1 and Diagram 2 http://cal.man.ac.uk/student_projects/2000/mnby7lc2/pancreas.htm, date accessed 23/11/2006. Donnelly R, Emslie-Smith AM, Gardner ID and Morris AD (2000) Vascular complications of diabetes. British Medical Journal, 320, 1062-1066. Hill J (2004) Identifying and managing the complications of diabetes. Nursing Times, 100, 34, 40-44. Littorin B (2001) Family Characteristics and Life Events Before the Onset of Autoimmune Type 1 Diabetes in Young Adults: A nationwide study. Diabetes Care, 24, 1033-1037. Pilu G and Nicolaides KH (2006) The 18-23 week scan: Polyhydramnios. http://www.fetalmedicine.com/18-23scanbook/Chapter14/chap14-03.htm, date accessed 23/11/2006. Reece EA, Coustan DR and Gabbe SG (2004) Diabetes in Women: Adolescence, Pregnancy and Menopause. 3rd edition, Philadelphia, Lippincott Williams and Wilkins. Rosenbloom AL, Young RS, Joe JR and Winter WE (1999) Emerging Epidemic of Type 2 Diabetes in Youth. Diabetes Care, 22, (2), 345-354. Tortora GJ and Grabowski SR (2003) Principles of Anatomy and Physiology. 10th edition, New Jersey, John Wiley Sons, Inc. Waugh A and Grant A (2001) Ross and Wilson Anatomy and Physiology in Health and Illness. 9th edition, London, Churchill Livingstone. World Health Organisation (2006) Diabetes. Fact sheet NÂ °312, September 2006, http://www.who.int/mediacentre/factsheets/fs312/en/ date accessed 23/11/2006.