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Slim Cola

    In The Name Of Allah Who Is Most Gracious and Most
                         Merciful



 Project On:

             Slim Cola
                (An innovative business)




Assigned by:
                Sir Faheem Alam
                    Lecturer (Visiting)
           Management Science Department


Submitted By:
     Ghulam Abbas (38), Abdul Rehman (32), Farhan Yousaf (36)

           Shahid Mushtaq (48) Muhammad Rizwan (45)

                       MBA (Morning)

                          Semester IV




University of Education
Lower mall campus Lahore
                   University of Education
                                                                Page 1 of 29




                             Lower Mall Campus Lahore
Slim Cola



             Acknowledgement
    First of all we thanks to Allah almighty who enable us to
 innovate this business project. After saying thanks to Allah we
    are thankful to all our friends and faculty of management
     science department who guide us to make this project.
 We dedicate this project to university of education lower mall
campus and all the students of management science departments
                        in entire world.




University of Education
Lower mall campus Lahore                                Page 2 of 29
Slim Cola
Overview ....................................................................................................................................................... 4
Industry Statistics .......................................................................................................................................... 5
Our Vision...................................................................................................................................................... 5
Our Mission ................................................................................................................................................... 6
Team: ............................................................................................................................................................ 7
Market Summary .......................................................................................................................................... 8
Opportunities ................................................................................................................................................ 9
SWOT ANALYSIS .......................................................................................................................................... 11
Problems ..................................................................................................................................................... 12
Solutions ..................................................................................................................................................... 13
Business Concept ........................................................................................................................................ 14
Competitor Analysis .................................................................................................................................... 15
Competitive Advantages ............................................................................................................................. 16
Technology .................................................................................................................................................. 16
Industrial Processing of Beverages ............................................................................................................. 17
Organizational Hierarchy and Supplier ....................................................................................................... 19
Financial Projections ................................................................................................................................... 24
Market Research Data ................................................................................................................................ 28
Summary ..................................................................................................................................................... 29




University of Education
 Lower mall campus Lahore                                                                                                                     Page 3 of 29
Slim Cola
                                         Overview
We are producing beverage products (Slim Cola) which makes the human slim and smart. We
have ingredients included in our drink which help us to achieve our purpose. We projected to
lounge our product in international market because to look slim and smart is desire of majority of
people in this world. After using slim cola the result may as in following picture.




University of Education
Lower mall campus Lahore                                                             Page 4 of 29
Slim Cola
                                  Industry Statistics
Based in Lahore Pakistan, the slim cola company is one of the most quality conscious
manufacturers and suppliers of beverage products including slim cola and slim citrus.

We are going ahead with to serve optimally hygienic beverage products on affordable rates. We
strictly follow the business ethics and make every possible effort to maintain Top Quality in our
products. Last but not the least, we are committed to provide right product at right cost with
delivery in right time as well.

All our products are manufactured strictly in bio clean room to keep them bacteria free. Our keen
eye on quality has helped us to maintain good hygiene and excellent quality in our entire
production. We also endeavor to maintain natural taste in our products.


                                        Our Vision
"Slim Cola’s responsibility is to continually improve all aspects of the world in which we operate
- environment, social, economic - creating a better tomorrow than today."
Our vision is put into action through programs and a focus on environmental stewardship,
activities to benefit society, and a commitment to build shareholder value by making Slim Cola a
truly sustainable company.




University of Education
Lower mall campus Lahore                                                             Page 5 of 29
Slim Cola
                              Our Mission

Our mission is to be the world's premier consumer Products Company focused on
 convenient beverages. We seek to produce financial rewards to investors as we
provide opportunities for growth and enrichment to our employees, our business
partners and the communities in which we operate. And in everything we do, we
                     strive for honesty, fairness and integrity.




University of Education
Lower mall campus Lahore                                            Page 6 of 29
Slim Cola


                                     Team:


Board of directors:   Shareholder:               Partners:

     Skeena Khalid        Shaokat Ali               Farhan yousaf
     Asghar Kent          Amir haider               Ghulam Abbas
     Bilal Bajwa          Atif Aslam                Shahid Mushtaq
     Ghulam Haider        Robeena Khalid            Abdul Rehman
     Imran Hashmi         Bushrah Tariq             Rizwan Batti
     Pervez naz           M Jamil
                           M nazir khan
                           Allah Dittah
                           Mrs. Surayya ahmed




  University of Education
  Lower mall campus Lahore                                          Page 7 of 29
Slim Cola
                                  Market Summary

Our target market are multicultural men and women ages 18 – 38 years who desire to maintain a
healthy lifestyle, achieve their ideal figure, and look to dieting as their solution.

Primary Market:
Our primary target market consists of men and women ages 27 – 38 years. These of all races are
targets within this market, and those women who are housewives are of major importance. In
addition to that, they are concerned with their appearance, health, physical presence, and societal
perception. Based on our research, these women strive to be strong influences within their
respected communities by running the household, and most importantly, maintaining their
beauty. Weight loss devices are still a relatively new idea, and there are very few choices
among brands. Weight loss devices are, however, perceived as innovative and promoters of a
positive lifestyle. Women will have access to slim cola at local grocery stores.

Secondary Market:
Our secondary market consists of multicultural men and women ages 18 – 26 years. These
people are looking to regain their former figures and improve their appearance and health. They
fall just below the target market and have high potential of becoming primary targets. These
women idolize such celebrities as those depicted in our advertisements endorsing slim cola.
Essentially, slim cola is likely to become their ideal dieting solution.

Undeveloped/Potential Market:
Our undeveloped/potential market consists of minority women ages 18 – 38 years. The
realization of how lucrative this market can be has become apparent in the past few years. By
advertising in Magazine (among other minority themed periodicals), we hope to reach this vast
growing market. Also, these consumers are looking to improve their image in society, and be
considered natural consumers in congruence with the dominant white consumer society .Slim
cola hopes to break the social barrier within consumption and improve sales among all races and
ethnicities.




University of Education
Lower mall campus Lahore                                                              Page 8 of 29
Slim Cola
                                    Opportunities
    Products    with an easy-to-feel effect, such as an energy boost, are likely to be more
       successful (at least in the short term) than a product like omega-3 milk, which provides
       an important nutrient but fails to give consumers instant gratification.

    Innovative packaging can also differentiate products and enable premium pricing.
     Optimal Control, for one, uses “daily-dose” packaging, contributing to a significant
     premium over regular products.

    Consumers need to grasp the health benefits associated with a given bottle in order to
     appreciate its relevance and premium pricing. Manufacturers of slim cola need to
     consider what actions they can take to better educate potential customers and provide this
     level of understanding.

    Manufacturers must be able to target a niche, communicating a specific health benefit
     linked to a common ailment or incorporating multiple desirable qualities into a single
     product.




Disease prevention:

The government’s efforts to reduce healthcare costs by investing in disease prevention are
raising consumer awareness of the link between diet and health. As a result, some consumers are
switching to products they perceive to be healthier or more purposeful. The trend toward slim
cola can be seen in the carbonated soft drink market.




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Lower mall campus Lahore                                                          Page 9 of 29
Slim Cola
What alternative opportunities can be penetrated or created?


 Potential   Advanced technology              New                   or New               or
 opportunity                                  underpenetrated          underpenetrated food
                                              health category          category

               Which companies are            Which companies are         Which companies are
               creating technologies to       providing products with     seeking     to   extend
 Identifying   advance        slim     food   health benefits not yet     applications of known
 key targets   possibilities?      Emerging   adequately     met     by   nutraceuticals to new
               technologies may make          current        functional   food      subcategories?
               functional foods more          foods? Companies are        Are there companies
               effective or deliver more      researching      products   that are trying to add
               timely benefits.               that will expand an         nutraceuticals to foods
                                              existing health benefit     consumers            eat
                                              category or bring a new     regularly?
                                              benefit to the market.

               Some      companies    are Some companies are Companies                   are
               currently researching:     currently researching the currently researching
                                          immune system benefit the inclusion of:
                    Technologies that category. That not only
 Research            enable the creation yogurt       and     dairy      Probiotics      in
 areas               of more stable beverages, but also to                  beverages and
                     functional     food juices, baked goods,               drinking goods.
                     formulations.        soups and coffee to
                                          improve the body’s             Fibers          in
                    Technologies that defenses against disease             beverages and
                     improve taste/smell. and infection.                    dairy products.

                    Technologies that                                        Healthy oils in
                     remove         grainy                                     dairy products.
                     textures of fibers


Today, an outstanding product quality and, at the same time, optimum line efficiency are aimed
at. Consumer requirements, such as natural products and top quality are just as important as the
slim cola manufacturer’s request for utmost flexibility of the Production process. In addition,
profitability, and therefore, optimum line efficiency are factors of utmost importance. The
steadily reduced product cycles represent another special challenge, as the new recipes must be
implemented quickly and at low cost. This requires sophisticated and well-coordinated systems
for slim cola production

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Lower mall campus Lahore                                                            Page 10 of 29
Slim Cola
                              SWOT ANALYSIS




STRENTH:
   Knowledge. Our competitors are retailers, pushing boxes. We know systems, networks,
    connectivity, programming, all the VARs, and data management.
   Relationship selling. We get to know our customers, one by one. Our direct sales force
    maintains a relationship.
   History. We've been in our town forever. We have loyalty of customers and vendors. We
    are local and also go to international.


WEAKNESSES:
   Costs. The chain stores have better economics. Their per-unit costs of selling are quite
    low. They aren't offering what we offer in terms of knowledgeable selling, but their cost
    per square foot and per dollar of sales are much lower.
   Price and volume. The major stores pushing boxes can afford to sell for less. Their
    component costs are less and they have volume buying with the main vendors.
   Brand power. Take one look at their full page advertising, in color, in the Sunday paper.
    We can't match that. We don't have the national name that flows into national advertising.


University of Education
Lower mall campus Lahore                                                        Page 11 of 29
Slim Cola
OPPORTUNITIES:
    Local area networks. LANs are becoming commonplace in small business, and even in
     home offices. Businesses today assume LANs as part of normal office work. This is an
     opportunity for us because LANs are much more knowledge and service intensive than
     the standard off-the-shelf PC.
    The Internet. The increasing opportunities of the Internet offer us another area of
     strength in comparison to the box-on-the-shelf major chain stores. Our customers want
     more help with the Internet, and we are in a better position to give it to them.
    Training. The major stores don't provide training, but as systems become more
     complicated, with LAN and Internet usage, training is more in demand. This is
     particularly true of our main target markets.
    Service. As our target market needs more service, our competitors are less likely than
     ever to provide it. Their business model doesn't include service, just selling the boxes.

THREATS:
    The computer as appliance. Volume buying and selling of computers as products in
     boxes, supposedly not needing support, training, connectivity services, etc. As people
     think of the computer in those terms, they think they need our service orientation less.
    The larger price-oriented store. When we have huge advertisements of low prices in
     the newspaper, our customers think we are not giving them good value




                                         Problems
The environment has always been ignored by most of the industries over many decades but
because of the serious consequences it made now it is taken as a serious issue and now annual
reports are prepared on every company’s environmental risks.
 Some of the current issues the slim cola is now facing include increased demand for variety and
innovation, governmental regulation on quality, product traceability, low profit margins and the
need for shelf life management.
The environmental risks include the following energy use, emission of greenhouse gases, Water
use and waste water generation, organic residues and packaging residues.
Besides of these some of challenges which industry face

      Variable customer requirements
      Ever-changing schedules and shorter production runs
      Short 'shelf life' of raw food materials
      Customers want more variety and innovation
      Faster cycle times and more communication
      Supply chain collaboration with other bottle manufacturers and distributors is critical
      Increased levels of regulation in the form of quality, documentation and traceability
University of Education
Lower mall campus Lahore                                                            Page 12 of 29
Slim Cola
                                         Solutions
Solutions & Technologies has developed dedicated solutions to help the industry meet its
obligations in terms of health, environmental and financial issues.

       Treatment technologies compliant with the most stringent disinfection and purification
       specifications ensure the production of safe water
       Prevention of Legionella and management of health risks through our preventive
       solutions and complete treatment programs to secure water treatment plants and cooling
       towers
       Treatment of effluents and fats using a wide range of technologies designed to
       guarantee that environmental regulations are met for effluent discharge
       Management of sludge services. Ranging from the optimization of water treatment
       plants through to sludge disposal, our cutting-edge technologies reduce the amount of
       sludge produced and facilitate its reuse
       Carbon & Water efficient integrated solutions, optimization of Energy and Chemicals
       consumption

Engineering Change Control:

Engineering Change Control (ECC) enables you to improve and continue to maintain the
management of engineering changes to your products. The Engineering Change Order process is
a workflow type subsystem, intended to replace the paper trail that typically accompanies any
changes to product design data. When the product is under the control of ECC, any maintenance
to a bill of material and/or routing of the product can be accomplished only by means of a current
ECO.

Material Variability and Dynamic Formula Adjustment:

Manufacturers have significant variance in their products from one raw material receipt to
another up to the final product. SYSPRO’s system will be to capture material variability, on a
lot-by-lot basis, easily adjusting formulas and recipes while ensuring excellent overall quality.
This flexibility will enable the manufacturer to use materials in the most effective manner
enabling considerable cost savings.

Low-Cost Manufacturing:

The Manufacturing suite of applications allows a manufacturer to keep their finished goods in
inventory at an absolute minimum. The system will allow for improved decision making based
on what's scheduled and what's running, capacity, resources, labor, work orders, overloads,
skills, potential problems, set-up, tear down and pegging. This in turn will allow the

University of Education
Lower mall campus Lahore                                                           Page 13 of 29
Slim Cola
manufacturer to make informed decisions on where to make the product, using which resources
and specify sequence scheduling thereby improving throughput.

Customer Service Management:

The Customer Relationship Management (CRM) suite of applications will enable manufacturers
to increase revenues and client satisfaction through optimal client management. The CRM
solution is designed to offer all the key components of business management in one simple
module combining customer contacts, marketing, sales, customer service, Help Desk, and after
market service and repairs. CRM allows everyone to share the same information putting people
in the center of the enterprise with a 360 degree view of the marketing, sales, order fulfillment
and accounting transactions.


                                  Business Concept

We are making slim cola drink for the fat person who wants to lose their weight. it’s a different
from other drinks like (Pepsi, coke, sprite, sting so on) because this not only provide just
refreshment, joy, taste but also reduce weight which new innovative feature not given by other
companies. the customer whose weight is much more from expectation buy slim cola and also
that at the reasonable price without any side effect with new technology. we sell our product
locally but our plan to stand globally

Marketing positioning Local marketing strategy enables slim cola to listen to all the voices
around the world asking for beverage that span the entire spectrum of tastes and occasions. slim
cola are determined not only to make great drinks, but also to contribute to communities around
the world through our commitments to education, health, wellness, and diversity.

 Slim cola serve its product using mass marketing technique, which obliviously falls in
undifferentiated marketing and undifferentiated marketing means no segmentation but there are
minor factor on which we can say that the slim cola segment its product and then target the
consumer somehow.

Growth is main objective. They look forward for expanding and growing in different market and
making a variety in their product line.




University of Education
Lower mall campus Lahore                                                           Page 14 of 29
Slim Cola
                                Competitor Analysis
We deem coca cola as our major competitor. Following is the analysis with our competitor the
coca cola company:




                                  vs
Flavor:
We have only cola and citrus but coca cola has juices and mineral water too.

Carbonation:
If you are comparing the original Coca-Cola and the original slim COLA, Coca-Cola has 1 gram
less carbonation than slim cola.

Slimness:
By using the slim cola the humans become slim and smart while other coals lack this quality

Bottle design:
We have colorful and attractive bottle designs but the bottles of coca cola are simple.

Taste:
Because we lounge our product for slimness we use less sugar than coca cola which differentiate
the taste.

Demand:
Demand of the product is not fulfill by the coca cola we will capture the right demand for
product.




University of Education
Lower mall campus Lahore                                                             Page 15 of 29
Slim Cola
                            Competitive Advantages
    We have ingredients in our drink which make the humans slim and smart.
    We minimize the lead time.




                                        Technology
About Machinery:
Quick Details
Place of Origin: Jiangsu China
                                 Brand Name: Hongma            Model Number: DCGF
(Mainland)
Processing Types: Carbonated                                   Usage: Coce cola production
                                 Processing: Filling Machine
Beverage                                                       line
Condition: New                   Operation: Easy               Guarantee: One year
Capacity: 2000-15000bph          Certificate: CE and ISO
Packaging & Delivery

Carbonated soft drink filling machine
1.Fully automatic.
2.Long service time.
3.SS304, SS316
4.Capacity:2000-15000bph




University of Education
Lower mall campus Lahore                                                       Page 16 of 29
Slim Cola
                     Industrial Processing of Beverages
Production of Beverages:

The production of the beverages starts from the preparation of simple syrup. The simple syrup is
prepared by making a solution of sugar and water; the combined product is well stirred in the
mixing machine with the aid of agitator. The simple syrup is then taken via pipes into another
mixing machine in the compartment called “Syrup Room”. Here the syrup is added to
concentrate in order to prepare the refined syrup. The addition of simple syrup and the
concentrate gives the soft drink otherwise known as the beverage. The type of the concentrate
(flavor) added to the simple syrup gives the corresponding beverage. The final beverage is
prepared by diluting the mixture with carbonated water and then bottled. Prior to the bottling of
the carbonated beverage, the bottles are subjected to through sanitation processes; the carbonated
beverage is filled accordingly into the bottles of various volumes. Subsequently, the bottles are
corked, labeled and stored into crates.




                        BEVERAGE PRODUCTION CYCLE

           Water                      Sugar                        Syrup
         Purification
             nn

       Carbonation                   Concentrate                    Bottling




Syrup Preparation:

Syrup is one of the most important ingredients of the carbonated drinks that is added to the drink
to give it a sweet taste add Citrimax and Chrome Mate. Sugars from the warehouse are placed in
the sugar bunkers and are then transferred to the dissolving tanks. In dissolving tank sugar is
mixed with water at a temperature of about 85°C and 800-1500 mPa pressure. The syrup is then
transported to activated carbon tank where the color and smell of the syrup is removed by the
action of carbon. To remove the carbon present in the syrup carbon filtration is done in hot pre-
coat filter. The syrup is then transferred to buffer tank and through heat exchanger (where its
temperature is dropped to 15-20°C) the final syrup is stored in the storage tank.




University of Education
Lower mall campus Lahore                                                           Page 17 of 29
Slim Cola

SYRUP MANUFACTURE PROCESS


        SUGAR                        ACTIVATED                     Buffer Tank
      WAHREHOUS                       CARBON
          E



         SUGAR                      Reaction Tank                     Heat
        BUNKRE                                                      Exchanger



      DISSOLVING                    Hot Pre-coat                    Storage Tank
       TANK 80o C                      Tank                          (15 - 20°C)



Carbon dioxide and Carbonation:

As discussed before, Carbonated Drinks are combination of carbonated water and syrups. Water
is carbonated by passing carbon dioxide under pressure through water. It is colorless, nontoxic
and inert gas.




University of Education
Lower mall campus Lahore                                                           Page 18 of 29
Slim Cola
                Organizational Hierarchy and Supplier

Organizational Hierarchy:


                                       Managing
                                         director




                       General                           General        General
  General
                       manger                            Manager        Manager
 Manager
                      sales and                          Finance       Operations
 technical
                      marketing


                                   Sales &
          Manager                 marketing         Manager         Manager
                                  department        finance
         production                                                administrat
                                                                      -ion


         Manager                    Research
                                                    Manager
         quality                      and
                                                     MIS
         control                  development                       Manager
                                   department                        legal

                                                    Manager
                                                    accounts/
                                                                    Manager
                                                      audit
                                                                    personnel



                                                                    Manager
                                                                   maintenance




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Lower mall campus Lahore                                                Page 19 of 29
Slim Cola

Suppliers:

INGREDIENT SUPPLIERS
     E.A. Weber & Co.
     Autocrat Coffee & Extracts
     American Color Research Center, Inc.
     Pulpa - The Brazilian Fruit Company
     RIO Syrup Company, Inc.
     Occidental Flavors Inc.
     Scientific Food Solutions LLC

EQUIPMENT/MACHINERY SUPPLIERS
     Triple-B Truck Body Co.
     Gardner Denver Corporation
     Water Management Group, Inc.
     ALLIEDFLEX Technologies, Inc.

COMPUTER SERVICES
   Insight Distribution Systems
   Global Beverage Group

OTHER

   BF Printing
   New Vibrations, Inc. - Bottle Carriers




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Lower mall campus Lahore                     Page 20 of 29
Slim Cola
                                   Marketing Plan
Marketing Mix:




Product:

Slim cola is for people who want to lose weight and don't know where to start. It has customized
meal plans, expert advice; and weight loss tools. Slim cola believes that one size does not fit
all. The Slim cola plan

    Combine lunch (turkey sandwich) with a slim cola.
    Snack on an apple, 1/2 grapes, 1/2 banana, 1 mini-bag light popcorn.
    Dine with sensible meals.
Ingredients:

      Carbonated water
      Sugar
      Caffeine
      Phosphoric acid
      Caramel color (E150d)
      Natural flavorings
      Citrimax and Chrome Mate
                                                                                 Slim Cola
                                                                    Slim Cola




Product Benefits:

      Flavor variety
      Nutritious (24 vitamins and minerals)
      Agreeable taste
      Quick and easy
University of Education
Lower mall campus Lahore                                                          Page 21 of 29
Slim Cola
        Encourages healthier lifestyle
        Lose weight the health way
        Convenient
        Availability in local grocery stores
        Energy to perform all household chores
        Keep slim figure without extreme exercise


Slim cola provide in different size like

SSRB (Standers size returnable bottle)

LRB (Litter returnable bottle)

NRB (No return bottle) or disposable bottle

PET (1.5 Litter plastic bottles)

CANS (tin pack 330 ml) packing: Coca Cola products are available in different packing

24 regular bottle shells

6 bottle pack for 1.5 pets



Price:

Taking competition into consideration slim cola provides its product at an affordable price to the
customer in the market and no compromise on quality is made. Because of such competitive
price it is also catering to the middle class & lower middle-class.




                      Size of Slim Cola                      Price (Rs.)
                      Regular bottle                         15

                      Non returnable or disposable bottle    35

                      1.5 liter bottle                       70

                      Slim Cola cane                         35


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Lower mall campus Lahore                                                           Page 22 of 29
Slim Cola

Place:

We want globalization in near future. Recently we adopt the policy to meet the right demand of
the customer therefore; we make available Slim Cola in every shop.

Promotion:
Slim cola adopts various advertising and promotional strategies to create an increased demand in
the market by associating with life style and behavior and mainly targeting value based
advertising. Slim cola uses CSR as its marketing tool to gain emotional benefits in consumers
mind. It has many brand ambassadors like Shahrukh khan, Reema Khan. It allows price
discounts and allowances to distributors and retailers in order to push more products into the
market. It employs both push strategy through promotions and pull strategy through
advertisements and campaigns.




             Slim Cola

             Real taste of life

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Lower mall campus Lahore                                                          Page 23 of 29
Slim Cola
                             Financial Projections
Set up cost:




         Plant and equipment
         Equipment                               PKR         150,000
         Vehicles                                PKR       1,200,000
         Telecommunications                      PKR          33,000
         Computers and software                  PKR         100,000


         Starting operations
         Advertising and promotion               PKR         250,000
         Raw materials and supplies              PKR         500,000
         Working capital                         PKR      10,000,000


         Start-up capital
         Equity investment                       PKR      32,900,000
         Borrowings                              PKR       5,000,000
         Total                                   PKR      37,900,000
         The result
         Total set-up costs                      PKR      12,381,000
         Surplus funds                           PKR      25,519,000
         Borrowings required                                       0


Break Even Analysis:
         Average selling price per unit   PKR 20
         Average cost of each unit        PKR 15
         Gross profit margin              25%
         Fixed costs                      PKR 529,800
         Dollar sales to break even       PKR 2,119,200
         Number of unit sales to break    105,960
         even




University of Education
Lower mall campus Lahore                                           Page 24 of 29
Slim Cola
Income Statement:
              Sales

              Sales (invoiced)             PKR 1,500,000.00
              Cost of goods sold           PKR 850,000.00
              Gross profit                 PKR 650,000.00
              Expenses

              Accounting fees              PKR    20,000.00
              Advertising                  PKR    25,000.00
              Bank charges                 PKR   12,000.00
              Bank interest                PKR   25,500.00
              Depreciation                 PKR   32,900.00
              Electricity and gas          PKR   100,000.00
              Equipment hire/lease
              Insurance                    PKR   3,000.00
              Legal fees                   PKR   12,000.00
              Motor vehicle expenses       PKR   35,000.00
              Postage, telephone and fax   PKR    6,000.00
              Stationery                   PKR   3,400.00
              Rent                         PKR   120,000.00
              Repairs and maintenance      PKR    5,000.00
              Security
              Sundries
              Superannuation
              Transport/courier costs
              Wages                        PKR 125,000.00
              Workers compensation         PKR 5,000.00




              Total                        PKR 529,800.00
              Result

              Net profit                   PKR   120,200.00
              Gross profit margin          43%
              Net profit margin            8%




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Lower mall campus Lahore                                      Page 25 of 29
Slim Cola
Balance Sheet:
        Assets

        Current assets                                PKR             27,688,500.00
          Cash                                        PKR             24,188,500.00
          Petty cash                                  PKR                 90,000.00
          Accounts receivable                         PKR                500,000.00
          Stock                                       PKR              1,200,000.00
          Short-term investment                       PKR                250,000.00
          Prepaid expenses                            PKR                 60,000.00
          Long-term investment                        PKR              1,400,000.00




        Fixed assets                                  PKR              9,219,000.00
          Land                                        PKR              2,000,000.00
          Buildings                                   PKR              2,100,000.00
          Improvements                                PKR                500,000.00
          Equipment                                   PKR              3,299,000.00
          Furniture                                   PKR                120,000.00
          Motor/vehicles                              PKR              1,200,000.00




        Total assets                                  PKR             36,907,500.00
        Liabilities

        Current liabilities                           PKR              3,507,500.00
          Accounts payable                            PKR              3,500,000.00
          Interest payable
          Taxes payable
          Income tax
          Sales tax                                   PKR                  7,500.00
          Payroll accrual




        Long-term liabilities                         PKR             33,400,000.00
          Borrowings                                  PKR                500,000.00
          equity                                      PKR             32,900,000.00



        Total liabilities                             PKR              36,907,500.00
        Net assets                                     PKR                         -
        Owner's equity                           Does not balance by $120,200

        Retained earnings
        Current year earnings                         PKR                120,200.00
        Total equity (should equal net assets)        PKR                120,200.00




University of Education
Lower mall campus Lahore                                                           Page 26 of 29
Slim Cola

Cash Flows Statement:

          Starting cash position      PKR 25,519,000.00
          Incoming
          Cash sales                  PKR   1,000,000.00
          Collections from accounts
          receivable
          Other cash receipts         PKR   500,000.00
          Total                       PKR 1,500,000.00
          Outgoing

          Fixed costs                 PKR    280,000.00
            Administration            PKR   120,000.00
            Marketing                 PKR   125,000.00
            Operations                PKR    35,000.00
          Variable costs              PKR    63,000.00
            Administration            PKR    10,000.00
            Marketing                 PKR   50,000.00
            Operations                PKR     3,000.00
          Total                       PKR   343,000.00
          Result

          Change during month         PKR 1,157,000.00
          Closing cash position       PKR 26,676,000.00




University of Education
Lower mall campus Lahore                                   Page 27 of 29
Slim Cola
                              Market Research Data
Water is an essential need of the human body. Most of the biological functions are based on
appropriate consumptions of water per day (eight glasses for a normal human being). Its shortage
(Dehydration) leads to problems like malfunctioning of kidney and excretion problems etc. slim
coal is developed as an alternate to meet the body’s fundamental requirement for hydration.
The first commercial artificially carbonated water product dates back to late eighteenth century.
Recommended for the consumption of lemon juice and soda water for stomach, it was sold in
tightly corked glass bottles.
Early effervescent drinks were manufactured by mixing sodium bicarbonate solution with lemon
juice or lime juice. This mixture can cure scurvy and therefore became a very strong reason for
its use in on board a ship. Thus were used for medicinal pedigree to a greater or lesser extent.
Examples include quinine tonic water, used as a cure for malaria in tropical regions.
Slim cola is an effective natural formula to reduce obesity and weight by reducing caloric intake.
It is used as a replacement for a part of the total daily diet and provides all the basic daily
nutritional requirement of the body. It also helps in bringing down the upper limit of total
cholesterol and LDL- cholesterol to the normal rang. It is mainly composed of basic food
ingredients.

Project brief (Local/International perspective):
Obesity is the most common disorder of slimming diets at the present time and is the main cause
of many health problems like heart diseases, high blood pressure, diabetes and also kidney
diseases. The main reason of obesity is an imbalance between energy intake and Energy output
causing a large accumulation of fat in the body. In order to control obesity, caloric intake is
reduced while maintaining the daily nutritional requirements of the body. Currently in the local
market, most of the slimming diets available are pharmaceutical based with some kind of
medicines in them and not many food based diet are available. Moreover, most of the diets are
imported from different countries. Therefore, slim cola diet product is developed using low cost
raw materials without the addition of any kind of medicine. Hence it imparts no side effects.




University of Education
Lower mall campus Lahore                                                           Page 28 of 29
Slim Cola
                                         Summary

We are producing beverage products (Slim Cola) which makes the human slim and smart. We
have ingredients included in our drink which help us to achieve our purpose. We projected to
lounge our product in international market because to look slim and smart is desire of majority of
people in this world. Our target market are multicultural men and women ages 18 – 38 years who
desire to maintain a healthy lifestyle, achieve their ideal figure, and look to dieting as their
solution. We deem coca cola Company as our major competitor. Our expected gross profit
margin and net profit margin are 43% and 8% respectively. We use the hongma machinery for
our slim cola production.




University of Education
Lower mall campus Lahore                                                           Page 29 of 29

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innovative project of entrepreneurship

  • 1. Slim Cola In The Name Of Allah Who Is Most Gracious and Most Merciful Project On: Slim Cola (An innovative business) Assigned by: Sir Faheem Alam Lecturer (Visiting) Management Science Department Submitted By: Ghulam Abbas (38), Abdul Rehman (32), Farhan Yousaf (36) Shahid Mushtaq (48) Muhammad Rizwan (45) MBA (Morning) Semester IV University of Education Lower mall campus Lahore University of Education Page 1 of 29 Lower Mall Campus Lahore
  • 2. Slim Cola Acknowledgement First of all we thanks to Allah almighty who enable us to innovate this business project. After saying thanks to Allah we are thankful to all our friends and faculty of management science department who guide us to make this project. We dedicate this project to university of education lower mall campus and all the students of management science departments in entire world. University of Education Lower mall campus Lahore Page 2 of 29
  • 3. Slim Cola Overview ....................................................................................................................................................... 4 Industry Statistics .......................................................................................................................................... 5 Our Vision...................................................................................................................................................... 5 Our Mission ................................................................................................................................................... 6 Team: ............................................................................................................................................................ 7 Market Summary .......................................................................................................................................... 8 Opportunities ................................................................................................................................................ 9 SWOT ANALYSIS .......................................................................................................................................... 11 Problems ..................................................................................................................................................... 12 Solutions ..................................................................................................................................................... 13 Business Concept ........................................................................................................................................ 14 Competitor Analysis .................................................................................................................................... 15 Competitive Advantages ............................................................................................................................. 16 Technology .................................................................................................................................................. 16 Industrial Processing of Beverages ............................................................................................................. 17 Organizational Hierarchy and Supplier ....................................................................................................... 19 Financial Projections ................................................................................................................................... 24 Market Research Data ................................................................................................................................ 28 Summary ..................................................................................................................................................... 29 University of Education Lower mall campus Lahore Page 3 of 29
  • 4. Slim Cola Overview We are producing beverage products (Slim Cola) which makes the human slim and smart. We have ingredients included in our drink which help us to achieve our purpose. We projected to lounge our product in international market because to look slim and smart is desire of majority of people in this world. After using slim cola the result may as in following picture. University of Education Lower mall campus Lahore Page 4 of 29
  • 5. Slim Cola Industry Statistics Based in Lahore Pakistan, the slim cola company is one of the most quality conscious manufacturers and suppliers of beverage products including slim cola and slim citrus. We are going ahead with to serve optimally hygienic beverage products on affordable rates. We strictly follow the business ethics and make every possible effort to maintain Top Quality in our products. Last but not the least, we are committed to provide right product at right cost with delivery in right time as well. All our products are manufactured strictly in bio clean room to keep them bacteria free. Our keen eye on quality has helped us to maintain good hygiene and excellent quality in our entire production. We also endeavor to maintain natural taste in our products. Our Vision "Slim Cola’s responsibility is to continually improve all aspects of the world in which we operate - environment, social, economic - creating a better tomorrow than today." Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making Slim Cola a truly sustainable company. University of Education Lower mall campus Lahore Page 5 of 29
  • 6. Slim Cola Our Mission Our mission is to be the world's premier consumer Products Company focused on convenient beverages. We seek to produce financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity. University of Education Lower mall campus Lahore Page 6 of 29
  • 7. Slim Cola Team: Board of directors: Shareholder: Partners:  Skeena Khalid  Shaokat Ali  Farhan yousaf  Asghar Kent  Amir haider  Ghulam Abbas  Bilal Bajwa  Atif Aslam  Shahid Mushtaq  Ghulam Haider  Robeena Khalid  Abdul Rehman  Imran Hashmi  Bushrah Tariq  Rizwan Batti  Pervez naz  M Jamil  M nazir khan  Allah Dittah  Mrs. Surayya ahmed University of Education Lower mall campus Lahore Page 7 of 29
  • 8. Slim Cola Market Summary Our target market are multicultural men and women ages 18 – 38 years who desire to maintain a healthy lifestyle, achieve their ideal figure, and look to dieting as their solution. Primary Market: Our primary target market consists of men and women ages 27 – 38 years. These of all races are targets within this market, and those women who are housewives are of major importance. In addition to that, they are concerned with their appearance, health, physical presence, and societal perception. Based on our research, these women strive to be strong influences within their respected communities by running the household, and most importantly, maintaining their beauty. Weight loss devices are still a relatively new idea, and there are very few choices among brands. Weight loss devices are, however, perceived as innovative and promoters of a positive lifestyle. Women will have access to slim cola at local grocery stores. Secondary Market: Our secondary market consists of multicultural men and women ages 18 – 26 years. These people are looking to regain their former figures and improve their appearance and health. They fall just below the target market and have high potential of becoming primary targets. These women idolize such celebrities as those depicted in our advertisements endorsing slim cola. Essentially, slim cola is likely to become their ideal dieting solution. Undeveloped/Potential Market: Our undeveloped/potential market consists of minority women ages 18 – 38 years. The realization of how lucrative this market can be has become apparent in the past few years. By advertising in Magazine (among other minority themed periodicals), we hope to reach this vast growing market. Also, these consumers are looking to improve their image in society, and be considered natural consumers in congruence with the dominant white consumer society .Slim cola hopes to break the social barrier within consumption and improve sales among all races and ethnicities. University of Education Lower mall campus Lahore Page 8 of 29
  • 9. Slim Cola Opportunities  Products with an easy-to-feel effect, such as an energy boost, are likely to be more successful (at least in the short term) than a product like omega-3 milk, which provides an important nutrient but fails to give consumers instant gratification.  Innovative packaging can also differentiate products and enable premium pricing. Optimal Control, for one, uses “daily-dose” packaging, contributing to a significant premium over regular products.  Consumers need to grasp the health benefits associated with a given bottle in order to appreciate its relevance and premium pricing. Manufacturers of slim cola need to consider what actions they can take to better educate potential customers and provide this level of understanding.  Manufacturers must be able to target a niche, communicating a specific health benefit linked to a common ailment or incorporating multiple desirable qualities into a single product. Disease prevention: The government’s efforts to reduce healthcare costs by investing in disease prevention are raising consumer awareness of the link between diet and health. As a result, some consumers are switching to products they perceive to be healthier or more purposeful. The trend toward slim cola can be seen in the carbonated soft drink market. University of Education Lower mall campus Lahore Page 9 of 29
  • 10. Slim Cola What alternative opportunities can be penetrated or created? Potential Advanced technology New or New or opportunity underpenetrated underpenetrated food health category category Which companies are Which companies are Which companies are creating technologies to providing products with seeking to extend Identifying advance slim food health benefits not yet applications of known key targets possibilities? Emerging adequately met by nutraceuticals to new technologies may make current functional food subcategories? functional foods more foods? Companies are Are there companies effective or deliver more researching products that are trying to add timely benefits. that will expand an nutraceuticals to foods existing health benefit consumers eat category or bring a new regularly? benefit to the market. Some companies are Some companies are Companies are currently researching: currently researching the currently researching immune system benefit the inclusion of:  Technologies that category. That not only Research enable the creation yogurt and dairy  Probiotics in areas of more stable beverages, but also to beverages and functional food juices, baked goods, drinking goods. formulations. soups and coffee to improve the body’s  Fibers in  Technologies that defenses against disease beverages and improve taste/smell. and infection. dairy products.  Technologies that  Healthy oils in remove grainy dairy products. textures of fibers Today, an outstanding product quality and, at the same time, optimum line efficiency are aimed at. Consumer requirements, such as natural products and top quality are just as important as the slim cola manufacturer’s request for utmost flexibility of the Production process. In addition, profitability, and therefore, optimum line efficiency are factors of utmost importance. The steadily reduced product cycles represent another special challenge, as the new recipes must be implemented quickly and at low cost. This requires sophisticated and well-coordinated systems for slim cola production University of Education Lower mall campus Lahore Page 10 of 29
  • 11. Slim Cola SWOT ANALYSIS STRENTH:  Knowledge. Our competitors are retailers, pushing boxes. We know systems, networks, connectivity, programming, all the VARs, and data management.  Relationship selling. We get to know our customers, one by one. Our direct sales force maintains a relationship.  History. We've been in our town forever. We have loyalty of customers and vendors. We are local and also go to international. WEAKNESSES:  Costs. The chain stores have better economics. Their per-unit costs of selling are quite low. They aren't offering what we offer in terms of knowledgeable selling, but their cost per square foot and per dollar of sales are much lower.  Price and volume. The major stores pushing boxes can afford to sell for less. Their component costs are less and they have volume buying with the main vendors.  Brand power. Take one look at their full page advertising, in color, in the Sunday paper. We can't match that. We don't have the national name that flows into national advertising. University of Education Lower mall campus Lahore Page 11 of 29
  • 12. Slim Cola OPPORTUNITIES:  Local area networks. LANs are becoming commonplace in small business, and even in home offices. Businesses today assume LANs as part of normal office work. This is an opportunity for us because LANs are much more knowledge and service intensive than the standard off-the-shelf PC.  The Internet. The increasing opportunities of the Internet offer us another area of strength in comparison to the box-on-the-shelf major chain stores. Our customers want more help with the Internet, and we are in a better position to give it to them.  Training. The major stores don't provide training, but as systems become more complicated, with LAN and Internet usage, training is more in demand. This is particularly true of our main target markets.  Service. As our target market needs more service, our competitors are less likely than ever to provide it. Their business model doesn't include service, just selling the boxes. THREATS:  The computer as appliance. Volume buying and selling of computers as products in boxes, supposedly not needing support, training, connectivity services, etc. As people think of the computer in those terms, they think they need our service orientation less.  The larger price-oriented store. When we have huge advertisements of low prices in the newspaper, our customers think we are not giving them good value Problems The environment has always been ignored by most of the industries over many decades but because of the serious consequences it made now it is taken as a serious issue and now annual reports are prepared on every company’s environmental risks. Some of the current issues the slim cola is now facing include increased demand for variety and innovation, governmental regulation on quality, product traceability, low profit margins and the need for shelf life management. The environmental risks include the following energy use, emission of greenhouse gases, Water use and waste water generation, organic residues and packaging residues. Besides of these some of challenges which industry face  Variable customer requirements  Ever-changing schedules and shorter production runs  Short 'shelf life' of raw food materials  Customers want more variety and innovation  Faster cycle times and more communication  Supply chain collaboration with other bottle manufacturers and distributors is critical  Increased levels of regulation in the form of quality, documentation and traceability University of Education Lower mall campus Lahore Page 12 of 29
  • 13. Slim Cola Solutions Solutions & Technologies has developed dedicated solutions to help the industry meet its obligations in terms of health, environmental and financial issues. Treatment technologies compliant with the most stringent disinfection and purification specifications ensure the production of safe water Prevention of Legionella and management of health risks through our preventive solutions and complete treatment programs to secure water treatment plants and cooling towers Treatment of effluents and fats using a wide range of technologies designed to guarantee that environmental regulations are met for effluent discharge Management of sludge services. Ranging from the optimization of water treatment plants through to sludge disposal, our cutting-edge technologies reduce the amount of sludge produced and facilitate its reuse Carbon & Water efficient integrated solutions, optimization of Energy and Chemicals consumption Engineering Change Control: Engineering Change Control (ECC) enables you to improve and continue to maintain the management of engineering changes to your products. The Engineering Change Order process is a workflow type subsystem, intended to replace the paper trail that typically accompanies any changes to product design data. When the product is under the control of ECC, any maintenance to a bill of material and/or routing of the product can be accomplished only by means of a current ECO. Material Variability and Dynamic Formula Adjustment: Manufacturers have significant variance in their products from one raw material receipt to another up to the final product. SYSPRO’s system will be to capture material variability, on a lot-by-lot basis, easily adjusting formulas and recipes while ensuring excellent overall quality. This flexibility will enable the manufacturer to use materials in the most effective manner enabling considerable cost savings. Low-Cost Manufacturing: The Manufacturing suite of applications allows a manufacturer to keep their finished goods in inventory at an absolute minimum. The system will allow for improved decision making based on what's scheduled and what's running, capacity, resources, labor, work orders, overloads, skills, potential problems, set-up, tear down and pegging. This in turn will allow the University of Education Lower mall campus Lahore Page 13 of 29
  • 14. Slim Cola manufacturer to make informed decisions on where to make the product, using which resources and specify sequence scheduling thereby improving throughput. Customer Service Management: The Customer Relationship Management (CRM) suite of applications will enable manufacturers to increase revenues and client satisfaction through optimal client management. The CRM solution is designed to offer all the key components of business management in one simple module combining customer contacts, marketing, sales, customer service, Help Desk, and after market service and repairs. CRM allows everyone to share the same information putting people in the center of the enterprise with a 360 degree view of the marketing, sales, order fulfillment and accounting transactions. Business Concept We are making slim cola drink for the fat person who wants to lose their weight. it’s a different from other drinks like (Pepsi, coke, sprite, sting so on) because this not only provide just refreshment, joy, taste but also reduce weight which new innovative feature not given by other companies. the customer whose weight is much more from expectation buy slim cola and also that at the reasonable price without any side effect with new technology. we sell our product locally but our plan to stand globally Marketing positioning Local marketing strategy enables slim cola to listen to all the voices around the world asking for beverage that span the entire spectrum of tastes and occasions. slim cola are determined not only to make great drinks, but also to contribute to communities around the world through our commitments to education, health, wellness, and diversity. Slim cola serve its product using mass marketing technique, which obliviously falls in undifferentiated marketing and undifferentiated marketing means no segmentation but there are minor factor on which we can say that the slim cola segment its product and then target the consumer somehow. Growth is main objective. They look forward for expanding and growing in different market and making a variety in their product line. University of Education Lower mall campus Lahore Page 14 of 29
  • 15. Slim Cola Competitor Analysis We deem coca cola as our major competitor. Following is the analysis with our competitor the coca cola company: vs Flavor: We have only cola and citrus but coca cola has juices and mineral water too. Carbonation: If you are comparing the original Coca-Cola and the original slim COLA, Coca-Cola has 1 gram less carbonation than slim cola. Slimness: By using the slim cola the humans become slim and smart while other coals lack this quality Bottle design: We have colorful and attractive bottle designs but the bottles of coca cola are simple. Taste: Because we lounge our product for slimness we use less sugar than coca cola which differentiate the taste. Demand: Demand of the product is not fulfill by the coca cola we will capture the right demand for product. University of Education Lower mall campus Lahore Page 15 of 29
  • 16. Slim Cola Competitive Advantages  We have ingredients in our drink which make the humans slim and smart.  We minimize the lead time. Technology About Machinery: Quick Details Place of Origin: Jiangsu China Brand Name: Hongma Model Number: DCGF (Mainland) Processing Types: Carbonated Usage: Coce cola production Processing: Filling Machine Beverage line Condition: New Operation: Easy Guarantee: One year Capacity: 2000-15000bph Certificate: CE and ISO Packaging & Delivery Carbonated soft drink filling machine 1.Fully automatic. 2.Long service time. 3.SS304, SS316 4.Capacity:2000-15000bph University of Education Lower mall campus Lahore Page 16 of 29
  • 17. Slim Cola Industrial Processing of Beverages Production of Beverages: The production of the beverages starts from the preparation of simple syrup. The simple syrup is prepared by making a solution of sugar and water; the combined product is well stirred in the mixing machine with the aid of agitator. The simple syrup is then taken via pipes into another mixing machine in the compartment called “Syrup Room”. Here the syrup is added to concentrate in order to prepare the refined syrup. The addition of simple syrup and the concentrate gives the soft drink otherwise known as the beverage. The type of the concentrate (flavor) added to the simple syrup gives the corresponding beverage. The final beverage is prepared by diluting the mixture with carbonated water and then bottled. Prior to the bottling of the carbonated beverage, the bottles are subjected to through sanitation processes; the carbonated beverage is filled accordingly into the bottles of various volumes. Subsequently, the bottles are corked, labeled and stored into crates. BEVERAGE PRODUCTION CYCLE Water Sugar Syrup Purification nn Carbonation Concentrate Bottling Syrup Preparation: Syrup is one of the most important ingredients of the carbonated drinks that is added to the drink to give it a sweet taste add Citrimax and Chrome Mate. Sugars from the warehouse are placed in the sugar bunkers and are then transferred to the dissolving tanks. In dissolving tank sugar is mixed with water at a temperature of about 85°C and 800-1500 mPa pressure. The syrup is then transported to activated carbon tank where the color and smell of the syrup is removed by the action of carbon. To remove the carbon present in the syrup carbon filtration is done in hot pre- coat filter. The syrup is then transferred to buffer tank and through heat exchanger (where its temperature is dropped to 15-20°C) the final syrup is stored in the storage tank. University of Education Lower mall campus Lahore Page 17 of 29
  • 18. Slim Cola SYRUP MANUFACTURE PROCESS SUGAR ACTIVATED Buffer Tank WAHREHOUS CARBON E SUGAR Reaction Tank Heat BUNKRE Exchanger DISSOLVING Hot Pre-coat Storage Tank TANK 80o C Tank (15 - 20°C) Carbon dioxide and Carbonation: As discussed before, Carbonated Drinks are combination of carbonated water and syrups. Water is carbonated by passing carbon dioxide under pressure through water. It is colorless, nontoxic and inert gas. University of Education Lower mall campus Lahore Page 18 of 29
  • 19. Slim Cola Organizational Hierarchy and Supplier Organizational Hierarchy: Managing director General General General General manger Manager Manager Manager sales and Finance Operations technical marketing Sales & Manager marketing Manager Manager department finance production administrat -ion Manager Research Manager quality and MIS control development Manager department legal Manager accounts/ Manager audit personnel Manager maintenance University of Education Lower mall campus Lahore Page 19 of 29
  • 20. Slim Cola Suppliers: INGREDIENT SUPPLIERS  E.A. Weber & Co.  Autocrat Coffee & Extracts  American Color Research Center, Inc.  Pulpa - The Brazilian Fruit Company  RIO Syrup Company, Inc.  Occidental Flavors Inc.  Scientific Food Solutions LLC EQUIPMENT/MACHINERY SUPPLIERS  Triple-B Truck Body Co.  Gardner Denver Corporation  Water Management Group, Inc.  ALLIEDFLEX Technologies, Inc. COMPUTER SERVICES  Insight Distribution Systems  Global Beverage Group OTHER  BF Printing  New Vibrations, Inc. - Bottle Carriers University of Education Lower mall campus Lahore Page 20 of 29
  • 21. Slim Cola Marketing Plan Marketing Mix: Product: Slim cola is for people who want to lose weight and don't know where to start. It has customized meal plans, expert advice; and weight loss tools. Slim cola believes that one size does not fit all. The Slim cola plan  Combine lunch (turkey sandwich) with a slim cola.  Snack on an apple, 1/2 grapes, 1/2 banana, 1 mini-bag light popcorn.  Dine with sensible meals. Ingredients:  Carbonated water  Sugar  Caffeine  Phosphoric acid  Caramel color (E150d)  Natural flavorings  Citrimax and Chrome Mate Slim Cola Slim Cola Product Benefits:  Flavor variety  Nutritious (24 vitamins and minerals)  Agreeable taste  Quick and easy University of Education Lower mall campus Lahore Page 21 of 29
  • 22. Slim Cola  Encourages healthier lifestyle  Lose weight the health way  Convenient  Availability in local grocery stores  Energy to perform all household chores  Keep slim figure without extreme exercise Slim cola provide in different size like SSRB (Standers size returnable bottle) LRB (Litter returnable bottle) NRB (No return bottle) or disposable bottle PET (1.5 Litter plastic bottles) CANS (tin pack 330 ml) packing: Coca Cola products are available in different packing 24 regular bottle shells 6 bottle pack for 1.5 pets Price: Taking competition into consideration slim cola provides its product at an affordable price to the customer in the market and no compromise on quality is made. Because of such competitive price it is also catering to the middle class & lower middle-class. Size of Slim Cola Price (Rs.) Regular bottle 15 Non returnable or disposable bottle 35 1.5 liter bottle 70 Slim Cola cane 35 University of Education Lower mall campus Lahore Page 22 of 29
  • 23. Slim Cola Place: We want globalization in near future. Recently we adopt the policy to meet the right demand of the customer therefore; we make available Slim Cola in every shop. Promotion: Slim cola adopts various advertising and promotional strategies to create an increased demand in the market by associating with life style and behavior and mainly targeting value based advertising. Slim cola uses CSR as its marketing tool to gain emotional benefits in consumers mind. It has many brand ambassadors like Shahrukh khan, Reema Khan. It allows price discounts and allowances to distributors and retailers in order to push more products into the market. It employs both push strategy through promotions and pull strategy through advertisements and campaigns. Slim Cola Real taste of life University of Education Lower mall campus Lahore Page 23 of 29
  • 24. Slim Cola Financial Projections Set up cost: Plant and equipment Equipment PKR 150,000 Vehicles PKR 1,200,000 Telecommunications PKR 33,000 Computers and software PKR 100,000 Starting operations Advertising and promotion PKR 250,000 Raw materials and supplies PKR 500,000 Working capital PKR 10,000,000 Start-up capital Equity investment PKR 32,900,000 Borrowings PKR 5,000,000 Total PKR 37,900,000 The result Total set-up costs PKR 12,381,000 Surplus funds PKR 25,519,000 Borrowings required 0 Break Even Analysis: Average selling price per unit PKR 20 Average cost of each unit PKR 15 Gross profit margin 25% Fixed costs PKR 529,800 Dollar sales to break even PKR 2,119,200 Number of unit sales to break 105,960 even University of Education Lower mall campus Lahore Page 24 of 29
  • 25. Slim Cola Income Statement: Sales Sales (invoiced) PKR 1,500,000.00 Cost of goods sold PKR 850,000.00 Gross profit PKR 650,000.00 Expenses Accounting fees PKR 20,000.00 Advertising PKR 25,000.00 Bank charges PKR 12,000.00 Bank interest PKR 25,500.00 Depreciation PKR 32,900.00 Electricity and gas PKR 100,000.00 Equipment hire/lease Insurance PKR 3,000.00 Legal fees PKR 12,000.00 Motor vehicle expenses PKR 35,000.00 Postage, telephone and fax PKR 6,000.00 Stationery PKR 3,400.00 Rent PKR 120,000.00 Repairs and maintenance PKR 5,000.00 Security Sundries Superannuation Transport/courier costs Wages PKR 125,000.00 Workers compensation PKR 5,000.00 Total PKR 529,800.00 Result Net profit PKR 120,200.00 Gross profit margin 43% Net profit margin 8% University of Education Lower mall campus Lahore Page 25 of 29
  • 26. Slim Cola Balance Sheet: Assets Current assets PKR 27,688,500.00 Cash PKR 24,188,500.00 Petty cash PKR 90,000.00 Accounts receivable PKR 500,000.00 Stock PKR 1,200,000.00 Short-term investment PKR 250,000.00 Prepaid expenses PKR 60,000.00 Long-term investment PKR 1,400,000.00 Fixed assets PKR 9,219,000.00 Land PKR 2,000,000.00 Buildings PKR 2,100,000.00 Improvements PKR 500,000.00 Equipment PKR 3,299,000.00 Furniture PKR 120,000.00 Motor/vehicles PKR 1,200,000.00 Total assets PKR 36,907,500.00 Liabilities Current liabilities PKR 3,507,500.00 Accounts payable PKR 3,500,000.00 Interest payable Taxes payable Income tax Sales tax PKR 7,500.00 Payroll accrual Long-term liabilities PKR 33,400,000.00 Borrowings PKR 500,000.00 equity PKR 32,900,000.00 Total liabilities PKR 36,907,500.00 Net assets PKR - Owner's equity Does not balance by $120,200 Retained earnings Current year earnings PKR 120,200.00 Total equity (should equal net assets) PKR 120,200.00 University of Education Lower mall campus Lahore Page 26 of 29
  • 27. Slim Cola Cash Flows Statement: Starting cash position PKR 25,519,000.00 Incoming Cash sales PKR 1,000,000.00 Collections from accounts receivable Other cash receipts PKR 500,000.00 Total PKR 1,500,000.00 Outgoing Fixed costs PKR 280,000.00 Administration PKR 120,000.00 Marketing PKR 125,000.00 Operations PKR 35,000.00 Variable costs PKR 63,000.00 Administration PKR 10,000.00 Marketing PKR 50,000.00 Operations PKR 3,000.00 Total PKR 343,000.00 Result Change during month PKR 1,157,000.00 Closing cash position PKR 26,676,000.00 University of Education Lower mall campus Lahore Page 27 of 29
  • 28. Slim Cola Market Research Data Water is an essential need of the human body. Most of the biological functions are based on appropriate consumptions of water per day (eight glasses for a normal human being). Its shortage (Dehydration) leads to problems like malfunctioning of kidney and excretion problems etc. slim coal is developed as an alternate to meet the body’s fundamental requirement for hydration. The first commercial artificially carbonated water product dates back to late eighteenth century. Recommended for the consumption of lemon juice and soda water for stomach, it was sold in tightly corked glass bottles. Early effervescent drinks were manufactured by mixing sodium bicarbonate solution with lemon juice or lime juice. This mixture can cure scurvy and therefore became a very strong reason for its use in on board a ship. Thus were used for medicinal pedigree to a greater or lesser extent. Examples include quinine tonic water, used as a cure for malaria in tropical regions. Slim cola is an effective natural formula to reduce obesity and weight by reducing caloric intake. It is used as a replacement for a part of the total daily diet and provides all the basic daily nutritional requirement of the body. It also helps in bringing down the upper limit of total cholesterol and LDL- cholesterol to the normal rang. It is mainly composed of basic food ingredients. Project brief (Local/International perspective): Obesity is the most common disorder of slimming diets at the present time and is the main cause of many health problems like heart diseases, high blood pressure, diabetes and also kidney diseases. The main reason of obesity is an imbalance between energy intake and Energy output causing a large accumulation of fat in the body. In order to control obesity, caloric intake is reduced while maintaining the daily nutritional requirements of the body. Currently in the local market, most of the slimming diets available are pharmaceutical based with some kind of medicines in them and not many food based diet are available. Moreover, most of the diets are imported from different countries. Therefore, slim cola diet product is developed using low cost raw materials without the addition of any kind of medicine. Hence it imparts no side effects. University of Education Lower mall campus Lahore Page 28 of 29
  • 29. Slim Cola Summary We are producing beverage products (Slim Cola) which makes the human slim and smart. We have ingredients included in our drink which help us to achieve our purpose. We projected to lounge our product in international market because to look slim and smart is desire of majority of people in this world. Our target market are multicultural men and women ages 18 – 38 years who desire to maintain a healthy lifestyle, achieve their ideal figure, and look to dieting as their solution. We deem coca cola Company as our major competitor. Our expected gross profit margin and net profit margin are 43% and 8% respectively. We use the hongma machinery for our slim cola production. University of Education Lower mall campus Lahore Page 29 of 29