Completed Project Bisleri Market Analysis 14 April 2013

8/11/2019 Completed Project Bisleri Market Analysis 14 April 2013

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A DISSERTATION REPORT

ON

BISLERI (PACKAGED DRINKING WATER INDUSTRY)

SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT OFBACHELOR IN BUSINESS ADMINSTRATION

SUBMITTED BY;

NAME

ADITYA JAIN

DECLARATION



I... student of B.B.A. from New Delhi In!i!"!e #$ M%n%&e'en!, ere!" de#$%re t%t I

%&e #om'$eted 'ro(e#t re'ort on )*+-/-*01 %s % '%rt of te #ourse re2u3rement.

I furter de#$%re t%t te 3nform%t3on 'resented 3n t3s 'ro(e#t 3s true %nd or343n%$ to te

!est of m" 5no6$ed4e.

D%!e *+-/-*0 N%'e Ad3t"% 7%3n

Pl%e8 Ne6 De$3



ACKNOWLEDGEMENT

I t%5e t3s o''ortun3t" to t%n5 te New Delhi In!i!"!e #$ M%n%&e'en!, to 43&e me

t3s #%n#e to 'ro&e te 6ort 3n te f3e$d of te rese%r# t%t I %&e !een %!$e to

#ondu#t. It %s !een % '$e%sur%!$e e9'er3en#e f3$$ed 63t 5no6$ed4e %nd %6%reness to

t%5e '%rt 3n t3s 'ro(e#t 're'%r%t3on. T3s 'ro(e#t %s not on$" e$'ed us %#%dem3#%$$"

!ut %$so en$34tened us underst%nd3n4 te #or'or%te 6or$d %nd te3r 'os3t3on 3n te

'resent !us3ness 6or$d.

M" rese%r# 6ou$d %&e !een 3n#o%te 63tout te %ss3st%n#e of te res'ondents 6o

e$'ed me 63tout es3t%t3on 3n s%r3n4 te3r e9'er3en#es out to $e%rn te 'ro#ess. Te

%4en#" 'eo'$e %&e !een re%$$" e$'fu$ %nd %&e 43&en me % det%3$ed e9'$%n%t3on of

te %d&ert3sement %nd %s 6e$$ %s 'r 'ro#ess %$on4 63t &er" 6ort" en#our%4ement. I

%m 34$" 3nde!ted %nd o!$34ed to %$$ of tem.



TABLE O* CONTENTS

S.N# TOPIC

. +. ABSTRACT

,. INTRODUCTION

-. COMPANY PRO*ILE

. MAIN ANALYSIS

/. OBJECTI0ES AND SCOPE

1. RECOMMENDATION AND

CONCLUSION

2. RE*ERNCES

ABSTRACT



B3s$er3 3s % !r%nd n%me s"non"mous to m3ner%$ 6%ter 3n Ind3%. It %s %''ro93m%te$" :-;

m%r5et s%re 3n '%#5%4ed dr3n53n4 6%ter 3n #ountr". Br%nd 3s o6ned !" P%r$e Com'%n",

63# !ou4t o&er B3s$er3 3n *: from It%$3%n #om'%n". In3t3%$$", B3s$er3 f%#ed te

'ro!$ems of %##e't%n#e from #onsumers. It 6%s d3ff3#u$t to %d&ert3se for % #om'%n"

somet3n4 %s !ott$ed 6%ter, 63# 3s #o$or $ess, t%ste$ess %nd odor $ess. In m3d e34t3es

#om'%n" #%n4ed 3ts '%#5%43n4 to PET !ott$es 63# so6s tr%ns'%ren#" %nd #$e%r 6%ter

to #onsumers. T3s 4%&e m3ner%$ 6%ter m%r5et % !oost. In Ind3%, 6%ter 3s s#%r#e %nd

2u%$3t" 3s 'oor so 3n3t3%$$" te #onsumers 6ere on$" fore34ners %nd NRI<s. Terefore, to

3n#re%se 3ts #ustomer<s !%se, #om'%n" #%me u' 63t #omfort%!$e %nd %fford%!$e 'r3#e

!ott$e 63# 6%s % 4re%t su##ess %nd so6ed 0--; 4ro6t. Ind3% !ott$ed 6%ter m%r5et 3s

%''o9 3s 6ort Rs *,---*,/-- #rore =Rs *-*/!3$$3on>. See3n4 t3s 4ro6t o&er te "e%rs,

m%n" ne6 '$%"ers %&e entered te m%r5et. Amon4st tem ?3n$e" from Co5e, A2u%f3n%

from Pe's3, 53n4f3ser %nd no6 H3m%$%"%n from T%t% %re m%3n '$%"ers of 3ndustr". Tere

%re m%n" u's %nd do6n 3n $%st #ou'$e of "e%rs !ut !r%nd re#%$$ of B3s$er3 3s %m%@3n4

63# e$'ed #om'%n". In order to d3fferent3%te form oter '$%"ers #om'%n" tr3es to

#ome u' 63t d3fferent %nd ne6 #%m'%34ns on re4u$%r 3nter&%$s In #%se of food %nd 6%ter,

6ene&er 'eo'$e %re sus'3#3ous of te 2u%$3t" of 'rodu#t te" don<t e%t un"43en3# food

%nd 3nste%d of %&3n4 non 'ur3f3ed 6%ter te" 'refer to st%" t3rst". B3s$er3 3tse$f seems to

'$%" on t3s need for s%fet", #o3n3n4 te 'o'u$%r t%4$3ne P$%" 3t s%fe<. Te %d&ert3s3n4

e$'ed d3fferent3%te te 'rodu#t from 3ts #om'et3tors 6o, more or $ess, #ommun3#%ted

not3n4. B3s$er3<s se%$ 6%s %$so !re%5%6%" =en#e 3rre'$%#e%!$e>, e&en tou4 t3s

m%nuf%#tur3n4 'ro#ess of se%$3n4 seems to !e s$o6 %nd #ou$d #$o4 u' te %ssem!$" $3ne.

Some6ere %$on4 te no6 t%t s'%#e 6%s o##u'3ed !" A2u%f3n% %nd ?3n$e". Te )s%fe1

!re%5%6%" se%$ 6%s re'$%#ed !" % re4u$%r se%$, !ut te #%n4e 6%sn<t #ommun3#%ted %nd

more &%r3%nts ='%#5%43n4> emer4ed. Some of tese &%r3%nts 6ere so$d s3mu$t%neous$".

Te" 6ere m%nuf%#tured 3n d3fferent '%rts of De$3, %nd one %d te 6e!s3te

666.!3s$er3.#om 'r3nted on 3t, 63$e te oter %d 666.!3s$er3.#o.3n 'r3nted.

So, te m3st%5e 6%s % #om'$ete $%#5 of #ommun3#%t3on on B3s$er3<s '%rt. No6 te" %&e %

ne6 'rodu#t out % m3ner%$ 6%ter !r%nd =%s o''osed to % '%#5%4ed dr3n53n4 6%ter



!r%nd>, %nd te" %re %d&ert3s3n4 3t. St3$$, tere %re tree t"'es of B3s$er3 !ott$es 3n te

m%r5et 3n De$3 r34t no6. No6 %4%3n B3s$er3 #%n4ed 3ts '%#5%43n4 %nd #%me u' 63t %

ne6 !ott$e. It %s !een 4ener%$ fee$3n4 t%t ?3n$e"<s ne6 '%#5%43n4 3s more %##e't%!$e !"

te 'eo'$e %s 3t 3s e%s" to 4r3' 3t. In % '%#5%4ed 6%ter m%r5et, 6ere te 'rodu#t 3s not so

d3fferent3%ted, te #om'%n" %s to #onst%nt$" 3nno&%te ne6 !r%nd3n4 te#n32ues,

d3str3!ut3on #%nne$s, %d&ert3s3n4 %nd 3n f%#t ne6 '%#5%43n4 te#n32ues.

INTRODUCTION

%ter 3s te most 3m'ort%nt $32u3d 3n te 6or$d. 3tout 6%ter, tere 6ou$d !e no $3fe, %t $e%st

not te 6%" 6e 5no6 3t. In tod%"s $3&3n4 #ond3t3on, te need for Pure Dr3n53n4 %ter 3s

!e#om3n4 te 3ssue for te #ommon M%n.

E34t" 'er#ent of te um%n met%!o$3sm #ons3sts of 6%ter. T3s 3s te re%son 6" -; of

um%n d3se%ses %re 6%ter !orne. Tere %re t"'es of 6%ter 3m'ur3t3es, 63# %re root #%use



of 6%ter !orne d3se%ses.

*. M3#ro!3o$o43#%$B%#ter3% &3rus.

/. D3sso$&ed 3m'ur3t3es #em3#%$.

. Im!%$%n#e of M3ner%$Content.

Tere %re r%'3d #%n4es t%t %re t%53n4 '$%#e 3n our en&3ronment s3n#e $on4 %nd te %3r %nd te

6%ter 'o$$ut3on 3s on %n 3n#re%se. Te m%3n sour#e of dr3n53n4 6%ter 3s r3&er %nd do6nstre%m

63# %$so %&e not !een %!$e to es#%'e te 'o$$ut3on. en % #onsumer !e#%me %6%re of te

'ro!$ems #%used !" 6%ter 'o$$ut3on te m%r5et s%6 %n %d&ent of #er%m3# 6%ter f3$ters, 63#

f3$ters te dust %nd sus'ended '%rt3#$es !ut d3sso$&ed 3m'ur3t3es %nd m3#ro!3o$o43#%$ 3m'ur3t3es

%re not #$e%red out. Te m3ner%$ !%$%n#e 3s %$so not m%3nt%3ned.

*-s 63tnessed more #%n4es !" % t%' %tt%#ment 6ere3n Iod3ne res3n 3s used to f3$ter te

6%ter. It de%#t3&%tes m3#ro!3o$o43#%$ 3m'ur3t3es to %n e9tent !ut %s s3de effe#ts due to 3od3ne

%nd 3t does not t%5e #%re of d3sso$&ed 3m'ur3t3es m3ner%$ !%$%n#e.

L%te *-s 63tnessed U$tr% G3o$ent !%sed 'ur3f3er, 63# f3$ters dust %nd de%#t3&%tes !%#ter3% to %

4re%t e9tent. It m%3nt%3ns te odor %nd #o$or of 6%ter !ut does not #$e%r out te d3sso$&ed

3m'ur3t3es %nd m3ner%$ '%rt3#$es. Tus #%me %d&ent of m3ner%$ 6%ter.

H3stor3#%$$", te need for 'ur3f3ed 6%ter 63t3n Ind3%n omes %d !een 5e't do6n to %

m3n3mum.

Essent3%$$", tere 6ere tree t"'es of 6%ter t%t 6%s used for d3fferent 'ur'oses. Te f3rst t"'e

6%s used for r3ns3n4. Te se#ond t"'e, 63# 6%s used for #oo53n4, 6%s #$e%ner %nd 5e't

#o&ered. Te t3rd t"'e 6%s te #$e%nest dr3n53n4 6%ter %nd 6%s &er" often !o3$ed !efore

use.

S3n#e %n %&er%4e f%m3$" needed % sm%$$ 2u%nt3t", not more t%n f3&e or s39 $3ters % d%",



!o3$ed %nd f3$tered 6%ter %d !een % #on&en3ent so$ut3on for some t3me .Te f%$$outs 6ere

o!&3ous. It 6%s &er" d3ff3#u$t to #on&3n#e te 'eo'$e t%t 'ur3f3#%t3on s"stem 6%s 6ort te

'r3#e. Tere 6%s no &3s3!$e 6%" to demonstr%te te !enef3t. Te oter63se somno$ent

m%r5et !e4%n to #%n4e on#e #om'%n3es $35e Eure5% For!es t%r4eted te off3#e se4ment,

63$e te m3ner%$ 6%ter '$%"ers 6ent %fter tr%&e$ers. Ion E9#%n4e 6%s te on$" #om'%n",

63# %d %n" me%sure of su##ess 3n enter3n4 omes 63t eroB. But #$e%n dr3n53n4 6%ter

returned on te n%t3on%$ %4end% % $3tt$e $%ter.

en 6e 6ere 53ds 3n s#oo$, 6e $e%rned t%t e%# mo$e#u$e of 6%ter 3s m%de u' of t6o

"dro4en %toms %nd one o9"4en %tom. e %$so $e%rned t%t 3t 6%s 4re%t fun to f3$$ u' our

s2u3rt 4uns 63t 6%ter, %t $e%st unt3$ te 'r3n#3'%$ #%u4t us. %t 6e re%$$" d3dnt $e%rn,

o6e&er, 6%s o6 mu# 6%ter 6e needed 3n order to !e e%$t" um%n !e3n4s.

est Euro'e%ns, sout As3%ns %nd 7%'%nese $3&e 3n te most dense$" 'o'u$%ted re43ons of te 4$o!e

%nd 6orr" #onst%nt$" %!out te 2u%$3t" of te3r dr3n53n4 6%ter dr%6n from r3&ers %nd $%5es. Most

3s 'o$$uted %nd unf3t for um%n #onsum't3on. In Nort Amer3#%, 'eo'$e ne&er 6orr3ed %!out

6%ter 2u%$3t" %nd s%fet" unt3$ e%r$" *- s %nd rest%ur%nts %$6%"s 'ro&3ded 3#ed 6%ter free. Some

st3$$ do. Ten #%me

Perr3er, te Fren# m3ner%$ 6%ter em'%s3@3n4 o6 rest%ur%teurs #ou$d 3n#re%se te3r

re&enues !" re'$%#3n4 3#ed 6%ter ser&3#e 63t !ott$ed 6%ter. Rest%ur%teurs ne&er m3ss %n

o''ortun3t" to 3n#re%se te3r 'rof3ts, %nd soon stud3es st%rted to surf%#e #$%3m3n4 t%t ser&3n4

3#ed 6%ter 6%s #ost$" %nd no one !enef3ted. M%n" rest%ur%nts st%rted ser&3n4 %utom%t3#%$$"

!ott$ed 6%ter, %nd #%r4ed outr%4eous %mounts 3.e J .+- for -- m$. Tese d%"s, % +- m$

!ott$e 4oes for J *-. 3n some rest%ur%nts, '$us %''$3#%!$e t%9es %nd t3'K

Me%n63$e, te 6ord s%&&" !ott$ed 6%ter m%r5eters st%rted #3r#u$%t3n4 te m"t t%t dr3n53n4

!ott$ed m3ner%$ 6%ter 3s s%fer, ne&er ment3on3n4 6%t te3r stud3es 6ere #om'%r3n4. It 3s s%3d

t%t te 3n%!3t%nts of se&en #3t3es !et6een S63t@er$%nd %nd te Neter$%nds #onsume te 6%ter

of te R3ne R3&er. In tese '%rts 'eo'$e dr3n5 !eer, 63ne, !ott$ed 6%ter or fru3t (u3#es %nd sun

t%' 6%ter. Nort Amer3#%ns %&e re#ent$" !e4un to dr3n5 !ott$ed 6%ter, !ut %$re%d" te

d3st3n#t3on !et6een s'r3n4 6%ter, m3ner%$ 6%ter, %nd f3$tered t%' 6%ter 3s !$urred !e"ond



redem't3on. S'r3n4 6%ter must #ome from % n%tur%$ s'r3n4s 63t 'ro&en 'ur3t" of

#ont%m3n%nts m3ner%$ 6%ter must #ont%3n /--- '%rts 'er m3$$3on 3n m3ner%$s %nd f3$tered t%'

6%ter me%ns (ust t%t. Euro'e%ns %$6%"s 'referred m3ner%$ 6%ter or e%u de sour#e =s'r3n4 6%ter>

s3n#e te3r r3&ers 6ere 'o$$uted % $on4 t3me %4o. No6 #ons3der%!$e efforts %re m%de to #$e%n %$$

m%(or Euro'e%n R3&ers. Te R3ne R3&er, te T%mes, te Lo3re %re #$e%n enou4 to %$$o6 se&er%$

s'e#3es of f3s to tr3&e.

As %$6%"s, $%r4e #om'%n3es 63t #ons3der%!$e #%s reser&es dom3n%te te m%r5et. rou'e

D%none, % Fren# #on4$omer%te, m%r5ets E&3%n, Go$&3# %nd Cr"st%$ S'r3n4s Nest$e, % S63ss

food mu$t3n%t3on%$ 63t e%d2u%rters 3n Montreu9 m%r5ets Perr3er, Nest$e Pure L3fe %nd S%n

Pe$$e4r3no. Not to !e outdone soft dr3n5 43%nt Co#%Co$% (o3ned te #%use 63t f3$tered t%' 6%ter

%nd 'os3t3oned te3r !r%nd %s 'ure, s%fe, $3fest"$e 6%ter. Co#% Co$% m%r5ets D%s%n3 %nd Pe's3

Co$% A2u%f3n%. en 3t #omes to m3ner%$ 6%ter, Goss =Nor6%"> T"n%nt =Ire$%nd> G3te$,

C%t$edon, Go$&3#, =Fr%n#e> A''o$3n%r3s =erm%n">, S'% =Be$43um> %ste3ner =Austr3%> S%n

Benedetto, S%n Pe$$e4r3no, A2u% d3 Ne'3, Lete =It%$">, R%m$os% =S6eden>Borse# =Rom%n3%>

st%nd out. Te" d3s'$%" d3st3n#t t%ste 'rof3$es t%t s'r3n4 %nd f3$tered 6%ters $%#5, !ut tend to !e

more e9'ens3&e. en 3t #omes to #onsum't3on, C%n%d3%ns #onsume %''ro93m%te$" - $3tres

'er #%'3t%, It%$3%ns *+ $3tres, Fren# *, Dut# **, erm%ns *-* %nd Amer3#%ns :. Te $o6

'er #%'3t% #onsum't3on #%n !e %ttr3!uted to te 3$$us3on t%t t%' 6%ter 3s s%fe. In re%$3t", on$"

$%r4e #3t3es #ontro$ t%' 6%ter 2u%$3t" re4u$%r$" %nd &34orous$" %nd tre%t 3t %''ro'r3%te$" for

s%fet". In sm%$$ #ommun3t3es, s#%r#e f3n%n#3%$ resour#es %nd $%#53n4 e9'ert3se often m%5e t%'

6%ter s%fet" 2uest3on%!$e. S3n#e te 3ntrodu#t3on of PET !ott$es ='o$"et"$ene tere'%te>

!ott$ed 6%ter #onsum't3on 3n#re%sed !" *: 'er#ent 3n f3&e "e%rs %nd #ont3nu3n4 4ro6t of te

m%r5et 3s fore#%st !" te C%n%d3%n Bott$ed %ter Asso#3%t3on 3n R3#mond H3$$, Ont%r3o. Te

2uest3on for rest%ur%nt '%trons rem%3ns 6eter to %s5 for !ott$ed or m3ner%$ 6%ter, or dem%nd

3#e 6%ter. It %$$ de'ends on te s3tu%t3on. ou #%n %s5 'o$3te$" for 3#e 6%ter, 3f t%t 3s 6%t "ou

'refer, or % 4$%ss of 63ne, or !eer. Te #ost 3s %$most te s%me for %$$ te tree, or "ou #%n

#om'$%3n to m%n%4ement t%t 'r3#es #%r4ed for !ott$ed 6%ter %re r3d3#u$ous %s 3s te #%se 63t

63ne.



INDUSTRY PRO*ILE

%ter 3s te most 3m'ort%nt ne#ess3t" for $3fe. Te dr3n53n46%ter needs for 3nd3&3du%$s

&%r" de'end3n4 on te #$3m%te, '"s3#%$ %#t3&3t" %nd te !od" #u$ture. But for %&er%4e

#onsumers 3t 3s est3m%ted to !e %!out t6o to four $3ters 'er d%". Te 4ro63n4 num!er of

#%ses of 6%ter !orne d3se%ses, 3n#re%s3n4 6%ter 'o$$ut3on, 3n#re%s3n4

ur!%n3@%t3on, 3n#re%s3n4 s#%r#3t" of 'ure %nd s%fe 6%ter et#. %s m%de te !ott$ed 6%ter

!us3ness (ust $35e oter #onsumer 3tems. S#%r#3t" of 'ot%!$e %nd 6o$esome 6%ter %t

r%3$6%" st%t3ons, tour3sts s'ots, %nd ro$e of tour3sm #or'. et#. %s %$so %dded to te

4ro6t.



Ind3%ns #urrent$" s'end3n4 %!out J-m % "e%r on !ott$ed 6%ter, %n%$"sts est3m%te. Te

'%#5%4ed 6%ter m%r5et #onst3tutes *+ 'er #ent of te o&er%$$ '%#5%4ed !e&er%4e 3ndustr",

63# %s %nnu%$ s%$es of %t $e%st J/.:!n, Dee'%5 7o$$", % s'o5es'erson for Co#%Co$%

Ind3% s%3d.

A$most %$$ te m%(or 3ntern%t3on%$ %nd n%t3on%$ !r%nds 6%ter !ott$es %re %&%3$%!$e 3n

Ind3%n m%r5et r34t from te m%$$s to r%3$6%" st%t3ons, !us st%t3ons, 4ro#er" stores %nd

e&en %t '%n6%$%s so'. Before fe6 "e%rs !ott$e 6%ter. 6%s #ons3dered %s te r3# 'eo'$es

#o3#e, !ut no6 3t 3s 'enetr%ted e&en 3n rur%$ %re%s. Te 4ro6t %nd st%tus of Ind3%n

Bott$ed Industr" 3n #om'%r3son 63t estern or As3%n m%r5et, Ind3% 3s f%r !e3nd 3n

terms of 2u%ntum, 3nfr%stru#ture, 'rofess3on%$3sm %nd st%nd%rds 3m'$ement%t3on. Te 'er

#%'3t% #onsum't3on of m3ner%$ 6%ter 3n Ind3% 3s % mere -.+$3ter #om'%red to *** $3ter 3n

Euro'e %nd 0+$3ter 3n USA. A$so As 'er UN stud" #ondu#ted 3n *// #ountr3es, 3n

#onne#t3on 63t 6%ter 2u%$3t", Ind3%s num!er 6%s d3sm%$ */-. In #om'%r3son to 4$o!%$

st%nd%rds Ind3%s !ott$ed 6%ter se4ment 3s $%r4e$" unre4u$%ted. Former Pres3dent Dr.

A.P.7. A!du$ ?%$%m %s ur4ed "oun4sters on 7u$" *, /-*- to !e %6%re of 6%ter

#onser&%t3on te#n32ues to %&o3d 4r%&e 6%ter #r3s3s 3n future.It 3s so s%d t%t tod%",

'eo'$e %re for#ed to !u" 6%ter 3n '$%st3# !ott$es. I %m to$d t%t !ott$ed 6%ter 3ndustr" 3s

6ort ne%r$" *---- #rore ru'ees %nd e&en !34 #om'%n3es $35e te Co5e %nd Pe's3 %re3n&o$&ed 3n t3s !ott$3n4 of 6%ter %nd m%53n4 mone". So, 3t 3s 3m'er%t3&e t%t 6e ou4t to

s%&e 6%ter, e %dded. Do not !e sur'r3se 3f tod%"s !ott$es 6%ter 3ndustr" !e#omes ne9t

O3$ 3ndustr" !" /-/+.

B#!!le3 W%!e4 In3"!45 in In3i%



%ter Sort%4e %nd He%$t A6%reness Dr3&3n4 Bott$ed %ter Consum't3on 3n Ind3%. Te

Ind3%n m%r5et 3s est3m%ted %t %!out Rs *,--- Crore %nd 3s 4ro63n4 %t 6o''3n4 r%te of 0-

'er #ent. B" /-*-, 3t 63$$ re%# Rs 0,--- +,--- Crore 63t 'er #ent m%r5et for n%tur%$

m3ner%$ 6%ter. A##ord3n4 to % n%t3on%$$e&e$ stud", tere %re more t%n /-- !ott$ed 6%ter

!r%nds 3n Ind3% %nd %mon4 tem ne%r$" - 'er #ent %re $o#%$ !r%nds. In f%#t, m%53n4

!ott$ed 6%ter 3s tod%" % #ott%4e 3ndustr" 3n te #ountr". Le%&e %$one te metros, 6ere %

!ott$ed6%ter m%nuf%#turer #%n !e found e&en 3n % oneroom so', 3n e&er" med3um %nd

sm%$$ #3t" %nd e&en some 'ros'erous rur%$ %re%s tere %re !ott$ed 6%ter

m%nuf%#turers. 3$e Ind3% r%n5s 3n te to' *- $%r4est !ott$ed 6%ter #onsumers 3n te

6or$d, 3ts 'er #%'3t% 'er %nnum #onsum't3on of !ott$ed 6%ter 3s est3m%ted to !e f3&e $3tres

63# 3s #om'%r%t3&e$" $o6er t%n te 4$o!%$ %&er%4e of /0 $3tres. Tod%" 3t 3s one of

Ind3%s f%stest 4ro63n4 3ndustr3%$ se#tors. Bet6een * %nd /--0, te Ind3%n !ott$ed

6%ter m%r5et 4re6 %t % #om'ound %nnu%$ 4ro6t r%te =CAR> of /+ 'er #ent te

34est 3n te 6or$d. Te tot%$ %nnu%$ !ott$ed 6%ter #onsum't3on 3n Ind3% %d tr3'$ed to +

!3$$3on $3ters 3n /--0 from *.+ !3$$3on $3ters 3n *. $o!%$ #onsum't3on of !ott$ed 6%ter

6%s ne%r3n4 /-- !3$$3on $3ters 3n /--:.

B#!!le3 w%!e4 !#6 6l%5e4 in In3i%

Te m%r5et $e%der 3s B3s$er3 Intern%t3on%$, 63# !o%sts % 0- 'er #ent s%re. It 3s fo$$o6ed

!" Co#% Co#%<s ?3n$e" =%round /+ 'er #ent> %nd Pe's3Co<s A2u%f3n% =%round *- 'er

#ent>. Te to' '$%"ers 3n !ott$ed 6%ter 3ndustr" 3n Ind3% %re te m%(or 3ntern%t3on%$ 43%nts

$35e Co#% #o$%, Pe's3, Nest$e %nd not3#e%!$e 'resen#e of n%t3on%$ '$%"ers $35e Mount

E&erest, M%n35#%nd, ?3n4f3ser, Mo%n Me%53ns, S?N Bre6er3es , Ind3%n R%3$6%"s so

on. 3t 3n#re%s3n4 #om'et3t3on, t3s se#tor 63$$ re43ster % ro!ust 4ro6t 3n /-*-, 'red3#t

3ndustr" %n%$"sts. To t%5e on r3&%$s 3n t3s se#tor, Pe's3Co Ind3% 3s dr%63n4 u' % fres

4%me '$%n 63# 3n#$udes, 3n&estment 3n #%'%#3t" en%n#ement, '%#5%43n4 3n3t3%t3&es %nd

!e$o6te$3ne %#t3&3t3es to 'um' u' &o$umes 3n te o&er#ro6ded #%te4or". Me%n63$e,

s6%des3 m%(or P%r$e A4ro 3s e9tend3n4 te m%nuf%#tur3n4 f%#3$3t" for B%3$$e" from / to

:- '$%nts t3s "e%r. 3$e s6%des3 m%(or B3s$er3 Intern%t3on%$ 3s !eef3n4 u' 3ts

d3str3!ut3on, m%nuf%#tur3n4 %nd m%r5et3n4 o'er%t3ons, Co#%Co$% Ind3% 3s s%r'en3n4 3ts



fo#us on '%#5%43n4 3n3t3%t3&es of ?3n$e" to 6oo ne6 #onsumes. In essen#e, te '%#5%4ed

6%ter 3ndustr" 3n Ind3% 63$$ soon 63tness % m%(or tuss$e !et6een s6%des3 %nd &3des3

'$%"ers to 4%3n m%r5et %nd m3nd s%re. Te 6estern re43on %##ounts for 0- 'er #ent of te

m%r5et %nd te e%stern re43on (ust *-. Ho6e&er, te !ott$3n4 '$%nts %re #on#entr%ted 3n te

soutern re43on of te %''ro93m%te$" *,/-- !ott$3n4 6%ter '$%nts 3n Ind3%, :-- %re 3n

T%m3$ N%du. But % m%(or 'ro!$em 3s soutern Ind3%, es'e#3%$$" T%m3$ N%du, 3s 6%ter

st%r&ed. To' mu$t3n%t3on%$ '$%"ers su# %s Co#%Co$% %nd Pe's3Co %&e !een tr"3n4 for

te '%st de#%de to #%'ture te Ind3%n !ott$ed 6%ter m%r5et. Tod%" te" %&e #%'tured %

s34n3f3#%nt 'ort3on of 3t. Ho6e&er, P%r$e B3s$er3 #ont3nues to o$d 0- 'er #ent of te

m%r5et s%re. ?3n$e" %nd A2u%f3n% %re f%st #%t#3n4 u', 63t ?3n$e" o$d3n4 /-/+ 'er

#ent of te m%r5et %nd A2u%f3n% %''ro93m%te$" *- 'er #ent. Te rest, 3n#$ud3n4 te

sm%$$er '$%"ers, %&e /-/+ 'er #ent of te m%r5et s%re.

7i!#45 #$ B#!!le3 w%!e4 in In3i%

M3ner%$ !ott$ed 6%ter 3n Ind3% under te n%me B3s$er3 6%s f3rst 3ntrodu#ed 3n Mum!%3 !"

B3s$er3 Ltd., % #om'%n" of It%$3%n or343n 3n *:+. M3ner%$ !ott$ed 6%ter 6ere 3n 4$%ss

!ott$es 3n t6o &%r3et3es !u!!$" %nd st3$$ 3n *:+ T3s #om'%n" 6%s st%rted !" S34nor

Fe$3#e 6o f3rst !rou4t te 3de% of se$$3n4 !ott$ed 6%ter 3n Ind3%. P%r$e !ou4t o&er

B3s$er3 =Ind3%> Ltd. In *: %nd st%rted !ott$3n4 M3ner%$ 6%ter 3n 4$%ss !ott$es under te

!r%nd n%me B3s$er3, $%ter P%r$e s63t#ed o&er to PGC non return%!$e !ott$es %nd f3n%$$"

%d&%n#ed to PET #ont%3ners. S3n#e *+ Mr.R%mes 7. C%u%n %s st%rted e9'%nd3n4

B3s$er3 o'er%t3ons su!st%nt3%$$" %nd te turn o&er %s mu$t3'$3ed more t%n /- t3mes o&er

% 'er3od of *- "e%rs %nd te %&er%4e 4ro6t r%te %s !een %round 0-; o&er t3s 'er3od.

Present$" 3t %s '$%nts %nd ** fr%n#3sees %$$ o&er Ind3%. B3s$er #omm%nd % :-; m%r5et

s%re of te or4%n3@ed m%r5et. Current$", B%3$$e" %s % n%t3on%$ 'resen#e 3n + $%5 ret%3$

out$ets %#ross te #ountr". )e '$%n to 3n#re%se m%nuf%#tur3n4 '$%nts for B%3$$e" from /



to :-, 'resent$" 0- '$%nts %re o'er%t3on%$ %nd fe6 more 63$$ !e re%d" for o'er%t3ons o&er

te ne9t fe6 monts,1 3nformed N%d3% C%u%n, (o3nt m%n%43n4 d3re#tor of P%r$e A4ro.

0%4ie!5 #$ 6%8%&e

Bott$ed 6%ter 3s so$d 3n % &%r3et" of '%#5%4es8 'ou#es %nd 4$%sses, - m$ !ott$es, +--

m$ !ott$es, one $3tre !ott$es %nd e&en /- to +-$3tre !u$5 6%ter '%#5s. Te form%$ !ott$ed

6%ter !us3ness 3n Ind3% #%n !e d3&3ded !ro%d$" 3nto tree se4ments 3n terms of #ost8

'rem3um n%tur%$ m3ner%$ 6%ter, n%tur%$ m3ner%$ 6%ter %nd '%#5%4ed dr3n53n4 6%ter.

Prem3um n%tur%$ m3ner%$ 6%ter 3n#$udes !r%nds su# %s E&3%n, S%n Pe$$34r3no %nd

Perr3er, 63# %re 3m'orted %nd 'r3#ed !et6een Rs.- %nd Rs.**- % $3tre. N%tur%$ m3ner%$

6%ter, 63t !r%nds su# %s H3m%$%"%n %nd C%t#, 3s 'r3#ed %round Rs./- % $3tre. P%#5%4ed

dr3n53n4 6%ter, 63# 3s not3n4 !ut tre%ted 6%ter, 3s te !344est se4ment %nd 3n#$udes

!r%nds su# %s P%r$e, B3s$er3, Co#%Co$%s ?3n$e" %nd Pe's3Cos A2u%f3n%. Te" %re

'r3#ed 3n te r%n4e of Rs.*-*/ % $3tre. Te FDA %$so #$%ss3f3es some !ott$ed 6%ter

%##ord3n4 to 3ts or343n.

A4!ei%n well w%!e4 %ter from % 6e$$ t%t t%'s %n %2u3fer$%"ers of 'orous ro#5, s%nd

%nd e%rt t%t #ont%3n 6%ter63# 3s under 'ressure from surround3n4 u''er $%"ers of

ro#5 or #$%".

Mine4%l w%!e4 %ter from %n under4round sour#e t%t #ont%3ns %t $e%st /+- '%rts 'er

m3$$3on tot%$ d3sso$&ed so$3ds. M3ner%$s %nd tr%#e e$ements must #ome from te sour#e of

te under4round 6%ter. Te" #%nnot !e %dded $%ter.



S64in& w%!e48 Der3&ed from %n under4round form%t3on from 63# 6%ter f$o6s n%tur%$$"

to te e%rts surf%#e. S'r3n4 6%ter must !e #o$$e#ted on$" %t te s'r3n4 or trou4 %

!oreo$e t%''3n4 te under4round form%t3on feed3n4 te s'r3n4. If some e9tern%$ for#e 3s

used to #o$$e#t te 6%ter trou4 % !oreo$e, te 6%ter must %&e te s%me #om'os3t3on

%nd 2u%$3t" %s te 6%ter t%t n%tur%$$" f$o6s to te surf%#e.

Well w%!e48 %ter from % o$e !ored or dr3$$ed 3nto te 4round, 63# t%'s 3nto %n

%2u3fer.

T%6 W%!e4 Some !ott$ed 6%ter %$so #omes from mun3#3'%$ sour#es3n oter 6ordste

t%'. Mun3#3'%$ 6%ter 3s usu%$$" tre%ted !efore 3t 3s !ott$ed.

Wh5 B#!!le3 w%!e49

M3$$3ons of 'eo'$e, !ot 3n rur%$ %nd ur!%n Ind3%, suffer from 3n%de2u%te or no t%' 6%ter

su''$". E&en some '%rts of Mum!%3, te #ountr"s f3n%n#3%$ #%'3t%$, 4et % mere t6o ours

of d%3$" 6%ter su''$". Te #3t"s G3r%r su!ur! 4ets 0+ m3nutes. So !ott$ed 6%ter 3s mu#

3n dem%nd !" res3dents e&en tou4 te !us3nesses 'rof3t3n4 from te s%$es %re tr3&3n4

from %##ess to 'u!$3# 6%ter sour#es, !ott$ed 6%ter f3$$s % &o3d #re%ted !" 4o&ernment

f%3$ure to %ddress !%s3# ser&3#es, Peter $e3#5 of te P%#3f3# Inst3tute 6r3tes 3n 3ts or$d

%ter re'ort. In m%n" '%rts of te 6or$d, t%' 6%ter 3s not %&%3$%!$e or s%fe to dr3n5,

6r3tes . In tese re43ons, te f%3$ure of 4o&ernments to 'ro&3de !%s3# 6%ter ser&3#es %s

o'ened te door to 'r3&%te #om'%n3es %nd &endors f3$$3n4 % #r3t3#%$ need, %$!e3t %t % &er"



34 #ost to #onsumers. Te 3nst3tute re%sons t%t 4o&ernments sou$d t%' 3nto s'end3n4

on #ommer#3%$ 6%ter !" #onsumers to se#ure funds to 'ro&3de s%fe 6%ter %t fr%#t3on of

te #ost. Bott$ed 6%ter %s !een tre%ted !" d3st3$$%t3on, re&erse osmos3s, or oter su3t%!$e

'ro#ess %nd t%t meets te def3n3t3on of 'ur3f3ed 6%ter. Te !ott$ed 6%ter tre%tments

3n#$ude8

Di!ill%!i#n In t3s 'ro#ess, 6%ter 3s turned 3nto % &%'or. S3n#e m3ner%$s %re too e%&" to

&%'or3@e, te" %re $eft !e3nd, %nd te &%'ors %re #ondensed 3nto 6%ter %4%3n.

Re:e4e #'#i %ter 3s for#ed trou4 mem!r%nes to remo&e m3ner%$s 3n te 6%ter.

A#l"!e + 'i4#n $il!4%!i#n %ter f$o6s trou4 f3$ters t%t remo&e '%rt3#$es $%r4er

t%n one m3#ron 3n s3@e, su# %s Cr"'tos'or3d3um, % '%r%s3t3# 'roto@o%n.

O<#n%!i#n Bott$ers of %$$ t"'es of 6%ters t"'3#%$$" use o@one 4%s, %n %nt3m3#ro!3%$

%4ent, to d3s3nfe#t te 6%ter 3nste%d of #$or3ne, s3n#e #$or3ne #%n $e%&e res3du%$ t%ste

%nd odor to te 6%ter.

B#!!le3 W%!e4 7#w S%$e9

Te !ott$ed 6%ter 3ndustr" %s s'ent !3$$3ons o&er te '%st de#%de to se$$ "ou on te 3de%

t%t !ott$ed 6%ter 3s !etter t%n t%' 6%ter. e$$ te sort %ns6er 3s te" %re !ot

une%$t". One of te most 3ron3# '%rts of te !ott$ed 6%ter tr%4ed" 3s t%t te 6%ter

!ott$3n4 3ndustr" 4ets te 6%ter free, f3$ters 3t, !ott$es 3t %nd se$$s 3t !%#5 to us %t *,--;

'rof3t. Te 3ron3# '%rt 3s t%t t%' 6%ter 3s $e43s$%ted to !e .- 'H neutr%$. Te" f3rst dum'

% TON of #o$r3ne 3n te 6%ter to 53$$ off %$$ te !%d !%#ter3%, t3s m%5es 3t 34$"

%#3d3#. In Ind3% %round *-- #om'%n3es se$$ %n est3m%ted 0/0 m3$$3on $3tres of !ott$ed 6%ter

&%$ued %t %round Rs /-- #rore 3n te #ountr" %nnu%$$". Most !ott$ers #$%3m t%t te3r



6%ter 3s *-- 'er #ent !%#ter3%free %nd #ont%3ns m3ner%$s t%t m%5e 3t t%st3er %nd e%$t3er.

But 3s te 6%ter 3n tese !ott$es re%$$" s%fe to dr3n5 Do te" #onform to 3ntern%t3on%$ or

n%t3on%$ st%nd%rds To f3nd out, te Amed%!%d!%sed Consumer Edu#%t3on %nd Rese%r#

So#3et" =CERS>, %n 3nde'endent non'rof3t 3nst3tut3on 63t % so'3st3#%ted 'rodu#t

test3n4 $%!or%tor", re#ent$" #%rr3ed out % det%3$ed stud" on * m%(or !r%nds of !ott$ed

6%ter %&%3$%!$e 3n te #ountr". Te n%t3on%$ !r%nds B3s$er3 =se'%r%te s%m'$es 6ere

t%5en from te3r un3ts 3n B%n4%$ore, %@3%!%d, C%$#utt% %nd B%rod%> %nd B%3$$e"

=Mum!%3 %nd Sur%t> 6ere se$e#ted on te !%s3s of te3r dom3n%nt 'os3t3on 3n te o&er%$$

m%r5et. B3s3$ =Mes%n%>, o$den E%4$e =Cenn%3>, A2u%s'% =Mum!%3>,S%34%n4%

=Amedn%4%r>, N3r%nt%r =T%ne>, Tru't3 =Cenn%3> %nd es =N%d3%d> 6ere 3n#$uded

!e#%use of te3r re43on%$ 'o'u$%r3t". To #onform to 3ntern%t3on%$ st%nd%rds for su#

test3n4, /* !ott$es of e%# !r%nd 6ere tested 3n te CERS $%!or%tor" %4%3nst %n%$"t3#%$

%nd sensor" '%r%meters %s 6e$$ %s for m3#ro!3o$o43#%$ #ont%m3n%t3on. To ensure

f%3rness, te resu$ts 6ere sent to te 3nd3&3du%$ #om'%n3es for te3r #omments.

So o6 s%fe 3s !ott$ed 6%ter Not t%t s%fe, s%"s te CERS sur&e". As m%n" %s *- of te

* !r%nds %d fore34n f$o%t3n4 o!(e#ts 3n #$e%r &3o$%t3on of norms, %4%3n dur3n4 % sur'r3se

3ns'e#t3on !" te e%$t #omm3ttee #%3rm%n M%n(un%t% Redd" %nd te%m %t t6o m3ner%$

6%ter un3ts 3n te B%n4%$ore on 7%nu%r" **, /-**, 3t 6%s found t%t m3ner%$ 6%ter

'rodu#t3on un3t o6ners 6ere !ott$3n4 !ore6e$$ 6%ter. Te un3ts 6ere %$so 3$$e4%$$" us3n4

se&er%$ !r%nded $%!e$s on te !ott$es to m%r5et te 6%ter. Te st%nd3n4 #omm3ttee &3s3ted

% m3ner%$ 6%ter 'rodu#t3on un3t #%$$ed AM Enter'r3ses %nd found te o6ner se$$3n4 6%ter

63tout %n ISI m%r5 from te Bure%u of Ind3% St%nd%rds. He 6%s found m393n4 m3ner%$

6%ter 63t !ore6e$$ 6%ter %nd se$$3n4 3t 3n #%ns to te 'u!$3#.



W%!e4 4e#"4e #:e4=e>6l#i!e3

Te m%(or3t" of te !ott$3n4 '$%nts %re de'endent on 4round6%ter. Te" #re%te u4e

6%ter stress 3n te %re%s 6ere te" o'er%te !e#%use 4round6%ter 3s %$so te m%3n sour#e

3n most '$%#es te on$" sour#e of dr3n53n4 6%ter 3n Ind3%. T3s %s #re%ted u4e

#onf$3#t !et6een te #ommun3t" %nd te !ott$3n4 '$%nts. Pr3&%te #om'%n3es 3n Ind3% #%n

s3'on out, e9%ust %nd e9'ort 4round6%ter free !e#%use te 4round6%ter $%6 3n te

#ountr" 3s %r#%3# %nd not 3n tune 63t te re%$3t3es of modern #%'3t%$3st so#3et3es. Te

e93st3n4 $%6 s%"s t%t te 'erson 6o o6ns te $%nd o6ns te 4round6%ter !ene%t.

T3s me%ns t%t, teoret3#%$$", % 'erson #%n !u" one s2u%re metre of $%nd %nd t%5e %$$ te

4round6%ter of te surround3n4 %re%s %nd te $%6 of $%nd #%nnot o!(e#t to 3t. T3s $%6 3s

te #ore of te #onf$3#t !et6een te #ommun3t" %nd te #om'%n3es %nd te m%(or re%son

for m%53n4 te !us3ness of !ott$ed 6%ter 3n te #ountr" 34$" $u#r%t3&e.

T%5e for 3nst%n#e te #%se of Co#%Co$%s !ott$3n4 '$%nt 3n drou4t'rone ?%$% Der% ne%r

7%3'ur. Co#%Co$% 4ets 3ts 6%ter free e9#e't for % t3n" #ess =for d3s#%r43n4 te

6%ste6%ter> 3t '%"s to te St%te Po$$ut3on Contro$ Bo%rd % $3tt$e o&er Rs.+,--- % "e%r

dur3n4 /----/ %nd Rs./0,/0: 3n /--. It e9tr%#ts %$f % m3$$3on $3tres of 6%ter e&er" d%"

%t % #ost of *0 '%3se 'er *,--- $3tres. So, % Rs.*- 'er $3tre ?3n$e" 6%ter %s % r%6

m%ter3%$ #ost of (ust -.-/-.- '%3se. =It t%5es %!out t6o to tree $3tres of 4round6%ter to

m%5e one $3tre of !ott$ed 6%ter.> On A'r3$ , more t%n *,+-- &3$$%4ers def3ed % 'o$3#e

#ordon %nd m%r#ed to Co#%Co$%s !ott$3n4 '$%nt 3n Med34%n( &3$$%4e, G%r%n%s3, 3n Utt%r

Pr%des st%te, dem%nd3n4 t%t te #om'%n" 3mmed3%te$" sut do6n 3ts !ott$3n4 '$%nt. In

7%nu%r", te Ne6 De$3!%sed Ener4" %nd Resour#es Inst3tute =TERI> %d&3sed Co#%Co$%



to sut % !ott$3n4 '$%nt 3n te drou4tstr3#5en st%te of R%(%st%n. Ind3%s M3n3str" of

%ter Resour#es %s r%n5ed -; of 4round 6%ter resour#es 3n R%(%st%n %s )o&er

e9'$o3ted %nd ne%r$" 0; resour#es %s d%r5 #r3t3#%$, te 4r%&est r%n53n4 %#ross

te #ountr"

B#!!le3 w%!e4 #'6%nie e%4n hi&h 64#$i!

%t 3s %m%@3n4 3s t%t 'eo'$e %re 're'%red to '%" Rs. */ for % $3ter of 6%ter3n Ind3%

es'e#3%$$" 6en te #ost of m%ter3%$ 3n'ut =-./+ '%3s% 'er $3ter e9#$ud3n4 $%!ors #ost>

'%$es 3nto 3ns34n3f3#%n#e !efore te 'r3#e of te 'rodu#t. U' to 0-; of !ott$ed 6%ter

#omes from te s%me sour#e %s t%' 6%ter, !ut 3s so$d !%#5 to #onsumers %t undreds of

t3mes te #ost, s%"s te 6e!s3te of te Nort Amer3#%n T3n5 outs3de te

Bott$e #%m'%34n. Not on$" %re te Co#%Co$% !ut tere tous%nds of !r%nds 3n Ind3%s

J00+ m3$$3on '%#5%4ed 6%ter 3ndustr". Not (ust !ott$ers %re 3n&o$&ed. In sout

Ind3%, tous%nds of fue$ tru#5s #on&erted to !e 6%ter #%rr3ers se$$ 4round 6%ter to

ouseo$ds %nd est%!$3sments %t %!out J*- for +,--- $3ters. More t%n *,--- t%n5ers

#%rr" 6%ter dr%6n from f%rm$%nd surround3n4 Cenn%3, %##ord3n4 % so#3%$ %#t3&3st R

Sr3n3&%s%n. He est3m%tes % J*0 m3$$3on t%n5er 3ndustr" 3s #%s3n4 3n on Cenn%3s

%#ute 6%ter s#%r#3t". Te stor" 3s re'$3#%ted %#ross Ind3%, 3n#$ud3n4 3n Ne6 De$3.

Pl%!i B#!!le P#ll"!i#n

T%' 6%ter 3s % $o#%$ 'rodu#t t%t needs no '%#5%43n4. $o!%$$", !ott$ed 6%ter %##ounts for

%s m%n" %s *.+ m3$$3on tons of '$%st3# 6%ste %nnu%$$", %##ord3n4 to te S3err% C$u!. In

%dd3t3on, !3$$3ons of !ott$es end u' 3n te 4round e&er" "e%r. S%d$", on$" /-; e&er 4et



re#"#$ed, %##ord3n4 to te Cont%3ner Re#"#$3n4 Inst3tute. Te oter -; Bes3des

$%ndf3$$s, m%n" !ott$es end u' 3n o#e%ns, 'os3n4 % r3s5 to m%r3ne $3fe. B" 'ur#%s3n4

!ott$ed 6%ter, "ou<re 3nd3re#t$" r%3s3n4 te 'r3#e of 4%so$3ne %nd #ontr3!ut3n4

to $o!%$ %rm3n4 %nd #$3m%te #%n4e. In /--, te m%nuf%#turers of '$%st3# 6%ter

!ott$es 4ener%ted more t%n /.+ m3$$3on tons of #%r!on d3o93de em3ss3ons %nd re2u3red te

e2u3&%$ent of more t%n * m3$$3on !%rre$s of o3$, %##ord3n4 to te P%#3f3# Inst3tute.

Amer3#%ns dr%n5 more t%n - !3$$3on s3n4$eser&3n4 !ott$es of 6%ter $%st "e%r. et te

&%st m%(or3t" of us %&e %n un$3m3ted sour#e of #$e%n, EPAre4u$%ted t%' 6%ter f$o63n4

from our f%u#ets.

The %n!i=#!!lin& 64#!e!

Te %nt3!ott$3n4 'rotests 3n Ind3% %4%3nst Pe's3 %nd Co#%Co$% e#o 3n#re%sed #on#ern

3n Euro'e %nd te Un3ted St%tes o&er te 'ro$3fer%t3on of !ott$ed 6%ter, 3n#$ud3n4

te #re%t3on of !3$$3ons of soon un6%nted '$%st3# #ont%3ners. In Ind3%, 'rotests %4%3nst

te !ott$3n4 '$%nt 3n drou4t'rone ?%$% Der% ne%r 7%3'ur fo#us on te sour#e of te

'%#5%4ed 6%ter %nd o6 !ott$3n4 #om'%n3es %re 4r%!!3n4 under4round 6%ter.

Te trut 3s, m%n" 6%ter #om'%n3es 4et te3r 6%ter from sour#es 3n de&e$o'3n4

#ountr3es, su# %s Ind3% %nd F3(3. In tose '$%#es, te #om'%n3es t%5e 6%ter t%t on#e

!e$on4ed to %n ent3re &3$$%4e %nd !u" 3t for temse$&es, for#3n4 te &3$$%4ers to '%" for

6%ter t%t te" used to !e %!$e to use %s % #ommun3t", free of #%r4e.

On *e4"%45 ,/? ,@++ te Ind3%n st%te of ?er%$% %s '%ssed % !3$$ %$$o63n4

#om'ens%t3on #$%3ms %4%3nst soft dr3n5 43%nt Co#%Co$% o&er %$$e4ed en&3ronment%$

d%m%4e #%used !" % !ott$3n4 '$%nt. Te $e43s$%t3on %do'ted !" te st%te %ssem!$" on

Tursd%" #re%tes % tr3!un%$ em'o6ered to 'ro#ess #$%3ms for %$$e4ed $osses resu$t3n4



from &3o$%t3ons of en&3ronment%$ re4u$%t3ons. Te P%$%55%d !ott$3n4 f%#tor" 3n ?er%$%

6%s #$osed 3n /--+ %fter 'rotests from %#t3&3sts %nd res3dents. A 34$e&e$ st%te '%ne$

#on#$uded $%st "e%r t%t te '$%nt %d #%used en&3ronment%$ %nd so3$ de4r%d%t3on %s 6e$$

%s 6%ter #ont%m3n%t3on, %nd re#ommended % f3ne of 0 m3$$3on do$$%rs. Co#%Co$% den3ed

%$$ te %$$e4%t3ons.

P4#=!%6 w%!e4 #ni#"ne

Te London E&en3n4 St%nd%rd ne6s'%'er r%n % %ter on T%' #%m'%34n 3n A'r3$ to

%&e t%' 6%ter %&%3$%!$e for dr3n53n4 3n #3t" rest%ur%nts %nd !%rs. Te t%!$o3d re'orted

4ett3n4 su''ort for 3ts %nt3'%#5%4ed 6%ter #%m'%34n from te London C%m!er of

Commer#e %nd Industr", te m%"ors off3#e, $e%d3n4 rest%ur%nts %nd #%3ns su#

%s St%r!u#5s, Cost% Coffee %nd M#Don%$ds. Fo$$o63n4 4ro63n4 'rot%' 6%ter

#ons#3ousness, !ott$ed 6%ter s%$es 3n Br3t%3n d3''ed ; 3n te "e%r to M%r# -.

E#onom3sts %t te C%$3forn3%!%sed P%#3f3# Inst3tute t%t est3m%ted te J*-- !3$$3on &%$ue

of te 4$o!%$ 3ndustr", %s5 6" #onsumers %re re%d3$" '%"3n4 for !ott$ed 6%ter t"'3#%$$"

#ost3n4 % tous%nd t3mes more 'er $3ter t%n 342u%$3t" mun3#3'%$ t%' 6%ter.

Are #onsumers 63$$3n4 to '%" t3s 'r3#e !e#%use te" !e$3e&e t%t !ott$ed 6%ter 3s s%fer

t%n t%' 6%ter P%#3f3# Inst3tute e9'erts %s5. Do te" %&e % re%$ t%ste 'referen#e for

!ott$ed 6%ter Or 3s te #on&en3en#e of te 'ort%!$e '$%st3# !ott$e te m%(or f%#tor Are

te" t%5en 3n !" te 3m%4es 'ortr%"ed 3n #ommer#3%$s %nd on te !ott$es

Te stud", #ondu#ted !" te US!%sed E%rt Po$3#" Inst3tute, s%"s te 4$o!%$ #onsum't3on

of !ott$ed 6%ter %s 4ro6n !" + 'er #ent o&er te '%st f3&e "e%rs, des'3te te f%#t t%t te

'rodu#t 3s often no e%$t3er t%n t%' 6%ter %nd #osts u' to *-,--- t3mes more. Em3$"



Arno$d, te %utor of re'ort, s%"s t%t te J*-- !3$$3on s'ent e%# "e%r on !ott$ed 6%ter 3s

ne%r$" t3mes te sum 3n&ested 3n 'ro&3d3n4 s%fe dr3n53n4 6%ter 3n de&e$o'3n4 #ountr3es.

B#!!le3 W%!e4 l%w in In3i%

Te term m3ner%$ 6%ter 3s m3s$e%d3n4 !e#%use our $%6s do not st3'u$%te te m3n3mum

m3ner%$ #ontent $e&e$ re2u3red for 6%ter to !e $%!e$ed %s su#. Amed%!%d!%sed

Consumer Edu#%t3on %nd Rese%r# So#3et" =CERS>, %n 3nde'endent non'rof3t 3nst3tut3on

63t % so'3st3#%ted 'rodu#ttest3n4 $%!or%tor", re#ent$" #%rr3ed out % det%3$ed stud" on *

m%(or !r%nds of !ott$ed 6%ter %&%3$%!$e 3n te #ountr". As m%n" %s *- of te * !r%nds

%d fore34n f$o%t3n4 o!(e#ts 3n #$e%r &3o$%t3on of norms found 3n te sur&e", te CERS

stud" 3nd3#%tes t%t tere 3s %n ur4ent need to re&3se st%nd%rds for !ott$ed 6%ter.

7e%l!h I"e=P"4i!5 #$ #!!le3 w%!e4

C3t" 6%ter s"stems must 3ssue )r34t to 5no61 re'orts %!out 6%t<s 3n te 6%ter. Bott$ers

su##essfu$$" 53$$ed t3s re2u3rement for !ott$ed 6%ter. U' to -; of !ott$ed 6%ter 3s

unre4u$%ted !" te Food Dru4 Adm3n3str%t3on. A##e't%n#e of te su''osed 'ur3t" of

!ott$ed 6%ter 3s !e3n4 underm3ned 3n Ind3% !" te 4o&ernment He%$t De'%rtments

6%rn3n4 of 'est3#3des %nd #ont%m3n%t3n4 or4%n3sms !e3n4 'resent 3n some !ott$ed

'rodu#ts. Te not3on t%t #ommer#3%$ 'rodu#ts t%ste !etter %s %$so t%5en % 5no#5 from

De#%nter, % Br3t3s m%4%@3ne, 63# $%st De#em!er fe%tured to' 63ne t%sters test3n4

unm%r5ed s%m'$es of 6%ter from // !r%nds, %$on4 63t t%' 6%ter from ut3$3t" #om'%n"

T%mes %ter %nd 6%ter from te De#%nter off3#e 6%ter #oo$er. Te De#%nter '%ne$

r%n5ed ser&3#ed t%' 6%ter t3rd 3n te $3st, %!o&e te 6or$ds $e%d3n4 !r%nd, E&3%n =*+t>,

%nd te 6or$ds most e9'ens3&e !ott$ed 6%ter 0/- Go$#%n3# =*t> %nd B$3n4 H/- =//nd



out of /0 !r%nds t%sted>. 0/- Go$#%n3# se$$s %t J % $3ter, %nd B$3n4 H/- =3n S6%ro&s53

#r"st%$studded !ott$es> %t J % $3ter. De#%nter ed3tor u" ood6%rd s%3d te t%st3n4 test

e9'osed te outr%4eous 'r3#es of m3ner%$ 6%ter.

T4%3i!i#n%l In3i%n 'e!h#3 #$ ##lin& %n3 6"4i$5in& w%!e4

No6 'eo'$e of Ind3% turn3n4 te3r !%#5s on te #ountr"s %n#3ent metods of #oo$3n4 %nd

'ur3f"3n4 6%ter, stored 3n e%rten 'ots, for 3nst%n#e, 3t 3s not on$" refres3n4$" #oo$ %nd

t%st" !ut 3s s%3d to !e#ome !%#ter3%free. et te #ommon summer s34t of 6%ter m%t5%s

=e%rten 'ots> 3n 'u!$3# off3#es %nd s'%#es 3s 43&3n4 6%" to u'turned '$%st3# drums

d3s'ens3n4 '%#5%4ed 6%ter.

R%inw%!e4 i %$e 3#en! 4in& %#"! %3:e4e e$$e!

For #entur3es 'eo'$e %&e tou4t r%3n6%ter %s uns%fe, !ut #ontr%r" to te3r !e$3efs, %s 'er

%n Austr%$3%n stud", dr3n53n4 of untre%ted r%3n6%ter 3s s%fe for um%n e%$t. Te stud"

6%s #ondu#ted under te %us'3#es of em3nent rese%r#ers from Me$!ourne<s Mon%s

Un3&ers3t". Te ent3re te%m too5 % $oo5 %t -- omes t%t used r%3n6%ter #o$$e#ted 3n

6%ter t%n5s %s te3r 'r3m%r" dr3n53n4 sour#e. T3s ende%&or %s !een des#r3!ed %s % 6or$d

f3rst stud" t%t #omes 3n te m3dst of 4ro63n4 #r3t3#3sm of !ott$ed 6%ter.

New 3e:el#6'en! in #!!le3 w%!e4 in3"!45

S#$!=34in8 '%#4 hi8e 64ie #n 4ie in 0AT

Mum!%3, M%" /, /-**8 Softdr3n5 m%(or Co#%Co$% %s 35ed 'r3#es !" u' to f3&e 'er

#ent 3n %t $e%st t6o m%(or m%r5ets su# %s M%%r%str% %nd De$3. T3s 3s te se#ond 'r3#e



3n#re%se !e3n4 done !" te #om'%n" 3n te $%st t6o monts. In A'r3$, te f3rm t%t se$$s

Tums U', S'r3te, F%nt% %nd M%%@%, %d 35ed 'r3#es of 3ts %er%ted !e&er%4es !" u' to

n3ne 'er #ent due to sur43n4 '%#5%43n4 %nd tr%ns'ort%t3on #osts After te 'r3#e 35e, %

*./+$3tre !ott$e of Tums U' 3s no6 %&%3$%!$e for Rs , u' from Rs . Pr3#es of /-- m$

!ott$es of S'r3te, M%%@% %nd L3m#% %re u' !" Rs * from Rs . Te #om'%n" %s %$so

3n#re%sed 'r3#es of 3ts t6o$3tre !ott$es of S'r3te %nd Tums U' to Rs : from Rs :-. Te

Ind3%n su!s3d3%r" of te US #o$% 43%nt !$%mes 3n#re%se 3n te &%$ue %dded t%9 =GAT>

$e&3ed !" st%te 4o&ernments of M%%r%str% %nd De$3 for te 'r3#e 35es. Te st%te

&%$ue%dded t%9 =GAT> %s 3n#re%sed to /- 'er #ent from */.+ 'er #ent e%r$3er, s%3d sen3or

Co#%Co$% Ind3% off3#3%$s.

Re6#4! 64e6%4e3 5 C4iil

For te tot%$ soft dr3n5 =#%r!on%ted !e&er%4es %nd (u3#es> m%r5et, te re'ort 're'%red !"

Cr3s3$ est3m%tes 3t %t o&er /+ m3$$3on #r%tes =%!out /- !3$$3on un3ts> % "e%r. Te m%r5et 3s

34$" se%son%$ 3n n%ture 63t #onsum't3on &%r"3n4 from /+ m3$$3on #r%tes 'er mont

dur3n4 'e%5 se%son to *+ m3$$3on dur3n4 offse%son. Te m%r5et 3s 'redom3n%nt$" ur!%n

63t /+ 'er #ent #ontr3!ut3on from rur%$ %re%s. Co#% Co$% %nd Pe's3 dom3n%te te Ind3%n

soft dr3n5s m%r5et. M3ner%$ 6%ter m%r5et 3n Ind3% 3s % :+ m3$$3on #r%tes 3ndustr". On %n

%&er%4e, te mont$" #onsum't3on 3s est3m%ted %t 0. m3$$3on #r%tes, 63# 3n#re%ses to

+./ m3$$3on dur3n4 'e%5 se%son.

B4%n3 Re4%n3e38



Inte$$e#tu%$ Pro'ert" A''e$$%te Bo%rd %s ru$ed t%t re43ster3n4 te 6ord H3m%$%"%n does

not 43&e e9#$us3&e r34ts to %n" #om'%n" to use te term %s % tr%dem%r5 for 3ts 'rodu#ts.

Re6#4! W%4n Ene4&5 D4in8 C%n Be D%n&e4#" $#4 Ki3

Po'u$%r ener4" dr3n5s m%de 63t #%ffe3ne #%n !e d%n4erous for #3$dren %nd teens,

%##ord3n4 to % re'ort 3n te (ourn%$ Ped3%tr3#s on Fe!ru%r" *0, /-**, 63# s%"s "oun4

'eo'$e sou$dnt #onsume te !e&er%4es. Te re'ort found t%t 53ds 63t d3%!etes, mood

d3sorders %nd e%rt, 53dne" or $3&er d3se%ses #ou$d suffer from e%rt '%$'3t%t3ons, se3@ures,

#%rd3%# %rrest or de%t from #onsum3n4 te dr3n5s, B$oom!er4 re'orted.

SC "%he %!i#n %&%in! Pe6i #:e4 6e!ii3e #n!en! #n N#:. +

Te Su'reme Court on No&em!er *, /-*- 2u%sed te 'rose#ut3on of soft dr3n5 43%nt

Pe's3Co !" te ?er%$% 4o&ernment o&er te 'est3#3de #ontent found 3n 3ts !ott$es '3#5ed

%t r%ndom from te m%r5et. A tree(ud4e !en# e%ded !" 7ust3#e A$t%m%s ?%!3r set

%s3de te #r3m3n%$ 'ro#eed3n4s, m%3n$" %##e't3n4 te %r4ument of te #om'%n" t%t tere

6%s no $%6 or st%nd%rd 4o&ern3n4 'est3#3de %du$ter%t3on 3n #o$d dr3n5s. Te #om'%n" %d

%r4ued t%t 3t 6%s fo$$o63n4 un3&ers%$$" %##e'ted norms 63t re4%rd to 'est3#3de res3due

3n food %rt3#$es.

C#%=C#l% C#'6%n5 l##8in& %he%3 $#4 w%!e4

Co#%Co$% uses - !3$$3on $3ters of 6%ter %nnu%$$" to 'rodu#e 3ts !e&er%4es. T%ts %!out

6%t At$%nt% uses 3n f3&e monts, %##ord3n4 to te #3t"s De'%rtment of %tersed

M%n%4ement. In /--, te #om'%n" s%3d, Co#%Co$% used /.0 $3ters of 6%ter to 'rodu#e



%n %&er%4e one$3ter !e&er%4e. One $3ter 4oes 3nto te !e&er%4e 3tse$f, %nd *.0 $3ters %re

used for m%nuf%#tur3n4 'ro#esses su# %s r3ns3n4, #$e%n3n4 %nd #oo$3n4. Te #om'%n"

s%"s 3ts 4$o!%$ s"stem of %!out *,--- !ott$3n4 '$%nts 3s on tr%#5 to 3m'ro&e 6%ter

eff3#3en#" !" /- 'er#ent !et6een /--0 %nd /-*/.

In3i% !# Se4:e % 7" $#4 I'6#4!e3 Al%8%n W%!e4

S/C $o!%$ S"stems, !%sed 3n S%n Anton3o, Te9%s, %s %nnoun#ed '$%ns to e9'ort */

!3$$3on 4%$$ons of 6%ter 'er "e%r from te B$ue L%5e Reser&o3r 3n S3t5%, A$%s5%, to % ne6,

"etto!e!u3$t 6%ter u! on te 6est #o%st of Ind3%. Te f3rst s3'ment to te ne6 u! 3n

Ind3% 6ose $o#%t3on rem%3ns und3s#$osed for se#ur3t" re%sons 3s %t $e%st * monts

%6%", Rod B%rt$ett, 'res3dent %nd CEO of S/C $o!%$, to$d Ind3%est O#to!er *+, /-*-.

Te 6%ter u! 63$$ !e !u3$t 3n te ne9t s39 monts, 63$e #ustom!u3$t 6%tertr%ns'ort

t%n5ers, #ost3n4 %!out J+ m3$$3on, 63$$ !e !u3$t o&er te ne9t * monts. E93st3n4 o3$

t%n5ers #%nnot !e used !e#%use of 'otent3%$ #ont%m3n%t3on from $efto&er o3$ res3dues, e

e9'$%3ned. Te 6%ter 63$$ !e '%#5%4ed %t te u!, %nd ten d3str3!uted 3n Ind3% %s 6e$$ %s

se&er%$ CC u$f Coo'er%t3on Coun#3$ #ountr3es, 3n#$ud3n4 S%ud3 Ar%!3%, Ir%2 %nd

UAE.

TN G#:! "4&e3 !# !%8e #:e4 !he %le #$ #!!le3 w%!e4

Te T%m3$n%du %ter Su''$" And Dr%3n%4e Bo%rd =TAD> or5ers Feder%t3on on M%"

*+, /-*- su44ested te St%te 4o&ernment t%5e o&er te s%$e of !ott$ed dr3n53n4 6%ter %nd

m%5e 3t %&%3$%!$e %t Rs. / % $3tre. Te St%te 4o&ernment 63# 6%s 4ener%t3n4 % u4e

3n#ome from s%$e of Ind3%n m%de Fore34n $32uor =IMFL> trou4 TASMAC out$ets



sou$d t3n5 of m%53n4 %&%3$%!$e 4ood dr3n53n4 6%ter to 'eo'$e, Feder%t3on ener%$

Se#ret%r" s%3d. Te 4o&ernment #ou$d e%rn re&enue of Rs +,--- #rore e&en 3f 3t so$d 6%ter

%t Rs. / % $3tre, e s%3d %dd3n4 t%t mu$t3n%t3on%$ %nd 'r3&%te #om'%n3es se$$3n4 '%#5%4ed

dr3n53n4 6%ter 6ere e%rn3n4 #rores of ru'ees %s 'rof3t 6ere%s %#tu%$ #ost of 'ur3f"3n4

6%ter 6%s $ess t%n f3&e '%3se 'er $3tre.

G# G4een

In De#em!er /-*- %t te Co'en%4en C$3m%te t%$5s, or4%n3@ers 6%nted to 4o %s 4reen %s

'oss3!$e %nd so te" d3d not 'ro&3de de$e4%tes !ott$ed 6%ter %nd 3nste%d offered

Co'en%4en t%' 6%ter 3n #orn st%r# #u's.

*#4'%!i#n #$ In3i%n Be:e4%&e A#i%!i#n (IBA)

In 7u$" /-*- r3&%$s Co#%Co$% %nd Pe's3Co %&e #ome to4eter %$on4 63t oter

!e&er%4es m%5ers %nd !ott$ers to form te Ind3%n Be&er%4e Asso#3%t3on =IBA>, 63# 63$$

!e te 3ndustr"<s s3n4$e 'o3nt of 3nter%#t3on 63t te 4o&ernment %nd e$' #om'%n3es,

#om'$" 63t food s%fet" 4u3de$3nes %nd oter re4u$%t3ons. 7u3#es m%5er D%!ur, '%#5%43n4

#om'%n" Tetr% P%5, !ott$3n4 #om'%n3es Pe%r$ Dr3n5s %nd Ben4%$ Be&er%4es, ener4" dr3n5

m%5er Red Bu$$, %nd dr3' %nd s'r3n5$er s



COMPANY PRO*ILE

Bile4i

A !r%nd t%t '3oneered te #on#e't of m3ner%$ 6%ter, !ott$ed 63t 3ts d3st3n#t 4reen $%!e$,

B3s$er3, tod%", 3s % ouseo$d n%me. Po6ered !" * o6ned '$%nts, #o'%#5ers, **

fr%n#3sees %nd % 63de d3str3!ut3on %nd ret%3$ net6or5 '%n Ind3%, B3s$er3 3s %t te #entre of

te A2u% reen Re&o$ut3on.



M3ner%$ %ter under te n%me B3s$er3 6%s f3rst 3ntrodu#ed 3n Mum!%3 3n 4$%ss !ott$es 3n

t6o &%r3et3es !u!!$" st3$$ 3n *:+ !" B3s$er3 Ltd., % #om'%n" of It%$3%n or343n. T3s

#om'%n" 6%s st%rted !" S34nor Fe$3#e B3s$er3 6o f3rst !rou4t te 3de% of se$$3n4 !ott$ed

6%ter 3n Ind3%. P%r$e !ou4t o&er B3s$er3 =Ind3%> Ltd. In *: st%rted !ott$3n4 M3ner%$

6%ter 3n 4$%ss !ott$es underte !r%nd n%me B3s$er3. L%ter P%r$e s63t#ed o&er to PGC

nonreturn%!$e !ott$es f3n%$$" %d&%n#ed to PET #ont%3ners. S3n#e *+ Mr. R%mes 7.

C%u%n %s st%rted e9'%nd3n4 B3s$er3 o'er%t3ons su!st%nt3%$$" %nd te turn o&er %s

mu$t3'$3ed more t%n /- t3mes o&er % 'er3od of *- "e%rs %nd te %&er%4e 4ro6t r%te %s

!een %round 0-; o&er t3s 'er3od. Present$" 6e %&e '$%nts ** fr%n#3sees %$$ o&er

Ind3%. e %&e our 'resen#e #o&er3n4 te ent3re s'%n of Ind3%. In our future &entures 6e

$oo5 to 'ut u' four more '$%nts 3n -:-. e #omm%nd % :-; m%r5et s%re of te

or4%n3@ed m%r5et. O&er6e$m3n4 'o'u$%r3t" of B3s$er3 te f%#t t%t 6e '3oneered

!ott$ed 6%ter 3n Ind3%, %s m%de us s"non"mous to M3ner%$ 6%ter % ouseo$d n%me.

en "ou t3n5 of !ott$ed 6%ter, "ou t3n5 B3s$er3. e %t B3s$er3 te" &%$ue te3r

#ustomers terefore %&e de&e$o'ed un32ue '%#5 s3@es to su3t te need of e&er"

3nd3&3du%$. Te" %t 'resent %&e +-m$ #u's, /+-m$ !ott$es, +--m$, *L, *.+L, /L 63# %re

te nonreturn%!$e '%#5s +L, /-L 63# %re te return%!$e '%#5s. T3$$ d%te te Ind3%n

#onsumer %s !een offered B3s$er3 6%ter, o6e&er 3n te3r effort to !r3n4 to #onsumers

somet3n4 refres3n4$" ne6, te" %&e 3ntrodu#ed B3s$er3 N%tur%$ Mount%3n %ter

6%ter !rou4t to "ou from te foot3$$s of te mount%3ns s3tu%ted 3n H3m%#%$ Pr%des.

Hen#e te3r 'rodu#t r%n4e no6 #om'r3ses of t6o &%r3%nts8 B3s$er3 63t %dded m3ner%$s

B3s$er3 Mount%3n %ter. It 3s te3r #omm3tment to offer e&er" Ind3%n 'ure #$e%n

dr3n53n4 6%ter. B3s$er3 %ter 3s 'ut trou4 mu$t3'$e st%4es of 'ur3f3#%t3on, o@on3sed



f3n%$$" '%#5ed for #onsum't3on. R34orous RD str3n4ent 2u%$3t" #ontro$s %s m%de us

% m%r5et $e%der 3n te !ott$ed 6%ter se4ment. Str3#t "43ene #ond3t3ons %re m%3nt%3ned 3n

%$$ '$%nts. In our ende%&our to m%3nt%3n str3#t 2u%$3t" #ontro$s e%# un3t 'ur#%ses

'erforms #%'s on$" from %''ro&ed &endors. Te" 'rodu#e our o6n !ott$es 3nouse.

De6%4!'en! in MF P%4le Bile4i P:!. L!3

MFS P%4le Bile4i P:!. L!3.H It 3s % med3um s#%$e #om'%n" %nd 3t m%nuf%#tures %nd

se$$s )P%#5%4ed Dr3n53n4 %ter1 Te d3fferent de'%rtments of t3s #om'%n" %re8

*. *ille4 De6%4!'en!

T3s 3s te '$%nt 3n 63# te !ott$es %re f3$$ed %nd '%#5ed under str3#t $e&e$s of "43ene

%nd s%fet" %s 'er te EU norms.

/. Pl%!i De6%4!'en!

C%6 Se!i#n

P4e$#4' Se!i#n

T3s 3s te De'%rtment 6ere 'et m%ter3%$ 3s 'ro#essed to m%5e 'reforms us3n4 : E5ou

3n(e#t3on mou$d3n4 m%#3ne of *- %nd - tonnes %s 'er te re2u3rements of te

'reform.

Preforms %re %&%3$%!$e 3n &%r3ous s3@es %##ord3n4 to te s3@e of !ott$e.



C%'s %re m%de from % m39ture of HDPE %nd LLDPE us3n4 0 C3n#3nn%t3 M3$%#ron %nd /

3ndsor 3n(e#t3onmou$d3n4 m%#3nes.

. W%!e4 T4e%!'en! Pl%n!

O&er ere te r%6 6%ter from te !ore 6e$$s 3s tre%ted 3n se&er%$ st%4es !efore 3t 3s f3$$ed

tus m%53n4 3t &er" 'ure for um%n use.

0. Bl#win& De6%4!'en!



O&er ere te 'reforms %re !$o6n 3nto !ott$es. T3s de'%rtment %s &%r3ous m%nu%$ %nd

fu$$" %utom%t3# stret# !$o6 mou$d3n4 m%#3nes.

+. W%!e4 Te!in& L%#4%!#45

Te 6%tertest3n4 $%! ensures t%t te 6%ter s%fet" st%nd%rds %re m%3nt%3ned %s 'er te

BIS %nd EU norms.

:. 7ORAI De6%4!'en! (G4in3in& De6%4!'en!) =

A$$ re(e#ted !ott$es, #%'s, (%rs %nd $um's of '$%st3# m%ter3%$ %re sent o&er ere for

4r3nd3n4 3n order to reuse 3t. Before 3t #%n !e 4r3nded 3t 3s &er" #%refu$$" se4re4%ted 3n

d3fferent 4rou's. Te" %$so !u" '$%st3# !ott$es from outs3de %nd 4r3nd tem for res%$e. It 3s

% fu$$" %utom%t3# '$%nt

2. S!#4e De6%4!'en!

A$$ te sto#5 of f3n3sed, sem3f3n3sed 4oods %re stored o&er ere %nd %re d3s'%t#ed %s

'er te orders. U' to +- tonnes of sto#5 %re d3s'%t#ed 3n % d%".



MAIN ANALYSIS

M%48e!in& 'i>

Te set of #ontro$$%!$e t%#t3#%$ too$s 'rodu#t, 'r3#e, 'romot3on, %nd '$%#e =0 Ps>, t%t te

f3rm !$ends to 'rodu#e te res'onse 3t 6%nts, 3n te t%r4et m%r5ets.

The P

P4#3"!

Te m%3n 'rodu#t of te #om'%n" 3s te m3ner%$ 6%ter !" te n%me of B3s$er3 M3ner%$

6%ter. Oter t%n m3ner%$ 6%ter te #om'%n" %s %$so te sod% 6%ter under 3ts !r%nd

n%me #%$$ed te B3s$er3 Sod% %ter. Te #on#e't of !ott$ed m3ner%$ 6%ter 6%s 3ntrodu#ed

3n Ind3%, f3rst !" B3s$er3, %nd t%t 3s te re%son, 3t %s !e#ome % 4ener3# n%me for te

m3ner%$ 6%ter. B3s$er3 %s !e#ome % 'erfe#t s"non"m of te m3ner%$ 6%ter for te Ind3%n

#onsumers. Te m%3n #%$$en4e f%#3n4 te #om'%n" or %n" oter '$%"er 3n t3s m3ner%$

6%ter 3ndustr" 3s t%t tere 3s no s#o'e of 3n&ent3on %nd 3nno&%t3on 3n te 'rodu#t, 63#

#%n !e %dded %s te %dd3t3on%$ !enef3ts of te 'rodu#t. It 3s (ust 6%ter %fter %$$. T3s 3s

6%t te Ind3%n #ustomers t3n5 of te !ott$ed 6%ter. If 6e %re t%$53n4 %!out % 'rodu#t

$35e te$e&3s3on 6e #%n t3n5 t%t te 3nno&%t3ons #ou$d 'ro&3de e9tr% !enef3ts der3&ed

from te 'rodu#t. For e9%m'$e oter t%n 3ts #ore us%4e te 'rodu#t #%n 'ro&3de for

Internet f%#3$3t3es us3n4 #on&ers3on.

Pl%e

P$%#e st%nds for te #om'%n" %#t3&3t3es t%t m%5e te 'rodu#t %&%3$%!$e to te t%r4et

#ustomers. To m%5e te 'rodu#t %&%3$%!$e to te t%r4et #onsumers % 4ood d3str3!ut3on

net6or5 %s to !e tere to su''ort te 4ood 2u%$3t" of te 'rodu#t. Here 3n te #%se of tem3ner%$ 6%ter 3ndustr" te d3str3!ut3on net6or5 3s te 3m'ort%nt f%#tor 3n !e3n4

#om'et3t3&e %nd te #%t# $3es 3n m%53n4 6%ter %&%3$%!$e to m%93mum num!er of '$%#es 3n

te #ountr"



P4ie $#4 *#ll#win& P%8%&in& 0%4i%n!

Pr3#e 3s te sum of &%$ues t%t #onsumer e9#%n4e for te !enef3ts of %&3n4 or us3n4 te

'rodu#t or ser&3#e. Pr3#e 3s te on$" e$ement 3n te m%r5et3n4 m39 t%t 'rodu#es re&enue.

A$$ oter e$ements re'resent #osts. In Ind3%, 6ere te m%(or3t" of te 'o'u$%t3on

#om'r3se of te m3dd$e3n#ome 4rou' %nd $o6er 3n#ome 4rou's 3t 3s not %rd to

underst%nd t%t 'r3#3n4 3s one of te most 3m'ort%nt f%#tor 3n te !u"3n4 de#3s3ons. B3s$er3

%s met te e9'e#t%t3ons of te #onsumers 3n terms of 'r3#3n4 te 'rodu#t %nd %$so

m%53n4 te 'rodu#t %&%3$%!$e 3n &%r3%t3ons of $3tres, m%53n4 B3s$er3 !ot #on&en3ent %nd

%fford%!$e. Te #om'%n" 3s fo$$o63n4 % &er" %44ress3&e 'r3#3n4. Its 'rodu#t 3s %&%3$%!$e

%t % &er" re%son%!$e 'r3#e.

• *./ Ltrs Rs. *-

• / Ltrs Rs. /-

• + Ltrs Rs. 0-

• /-Ltrs Rs. */-

P4#'#!i#n

Modern m%r5et3n4 #%$$s for more t%n (ust de&e$o'3n4 % 4ood 'rodu#t, 'r3#3n4 3t%ttr%#t3&e$", %nd m%53n4 3t %&%3$%!$e to te t%r4et #ustomers, #om'%n3es must %$so

#ommun3#%te 63t te3r #ustomers, %nd 6%t te" #ommun3#%te sou$d not !e $eft to

#%n#e. A Com'%n"<s tot%$ m%r5et3n4 #ommun3#%t3ons 'ro4r%m #%$$ed 3ts Promot3on

M39 #ons3sts of s'e#3f3# !$end of %d&ert3s3n4, 'erson%$ se$$3n4, s%$es 'romot3on, %nd

'u!$3# re$%t3ons too$s t%t te #om'%n" uses to 'ursue 3ts %d&ert3s3n4 %nd m%r5et3n4

o!(e#t3&es

C#'6e!i!i#n in '%48e!

Te m3ner%$ 6%ter m%r5et 3s set to e9'$ode %nd 3t te Rs./,---#rore m%r5 3n te ne9t

#ou'$e of "e%rs. T3s 3s dr%63n4 te !34 4uns %ttent3on. F3rst Br3t%nn3% $%un#ed E&3%n.

And re#ent$", soft dr3n5s 43%nt Pe's3 entered te fr%" 63t A2u%f3n%. No6, Nest$e too

3s re'orted$" '$%nn3n4 % for%". Me%n63$e, P%r$eA4ro<s B%3$e" %s !een 4ro63n4 ste%d3$".



Sm%$$ $o#%$ '$%"ers too %re !re%t3n4 do6n B3s$er3<s ne#5 r3d3n4 on !etter tr%de m%r43ns

%nd 3ntens3&e d3str3!ut3on =3n te3r res'e#t3&e %re%s of o'er%t3on>.Te #om'et3t3on f%#3n4

B3s$er3 #%n !e #%te4or3@ed 3nto % fe6 !r%nd n%mes $35e

• P%r$e B%3$e"

• Pe's3 A2u%f3n%

• Co#% Co$% ?3n$e"

3t P%r$e<s B%3$e" !e3n4 te m%3n #om'et3tor %nd se#ond 3n m%r5et s%re 3n te

or4%n3@ed m%r5et, B3s$er3 f%#es tremendous #om'et3t3on from te unor4%n3@ed se#tor.

A"%$in%

Te %d&%nt%4e for A2u%f3n% 3s t%t tou4 tere %re o&er -- $%!e$s of !ott$ed 6%ter 3n

te Ind3%n m%r5et, fe6 #%n !e #%$$ed !r%nds. It 3s ne#ess%r" to remem!er t%t e&er"

'rodu#t 63t % n%me 3s not % !r%nd e&en B3s$er3 %s !e#ome 4ener3# to t3s #%te4or". It

does not %&e %n" emot3on%$ &%$ues %tt%#ed to 3t. So tere 6%s no d3ff3#u$t" for Pe's3 3n

#re%t3n4 s'%#e 3n su# % m%r5et, 63# 3s #om'$ete$" d3fferent from te soft dr3n5s

m%r5et, 6ere 3t 63$$ !e &er" d3ff3#u$t for %n" ne6 '$%"er to f3nd % s$ot. So te #re%t3&e

te%m %t HTA &3rtu%$$" %d %n em't" #%n&%s to 6or5 on. And 3t #%me u' 63t % #%m'%34n

t%t d3d %&e 'eo'$e t%$53n4. F3rst, % ser3es of te%sers, fo$$o6ed !" % f3$m t%t so6ed

e%$t" !od3es %nd "outfu$ 'eo'$e %nd, of #ourse, $ots of 6%ter. A$tou4 A2u%f3n% 3s

on$" %&%3$%!$e 3n % +- m$ 'et !ott$e, te 'r3#3n4, %t Rs.*-, 3s #om'et3t3&e. And 3t 3s s%fe.

In %dd3t3on to te t%m'er 'roof se%$, tere 3s % re$3%!$e metod of #e#53n4 6eter te

!ott$e %s !een ref3$$ed. Te d%te of m%nuf%#tur3n4 %s !een 6r3tten on te #%' %s 6e$$ %s

on te !ott$e. Tus % 'erson 6o 3s ref3$$3n4 3t 6ou$d %&e to f3nd % m%t#3n4 #%' %nd

!ott$e, te 'ro!%!3$3t" of 63# 3s &er" $o6.



C#% C#l% Kinle5

Co#%Co$% (o3ned te r%#e !" %nnoun#3n4 te 3mm3nent $%un# of 3ts o6n !r%nd of 6%ter

%nd, 3n te 'ro#ess, 'utt3n4 to rest rumors of 3ts so#%$$ed t%5eo&er of B3s$er3. ?3n$e" 3s

t%r4et3n4 3nst3tut3ons.

P%4le A&4#= B%ille5

B%3$$e" te !r%nd t%t 3s o6ned !" R%mes C%u%n<s !roter Pr%5%s C%u%n 3s

&er" 'o'u$%r 3n te soutern '%rt of Ind3%. Soutern '%rt of Ind3% %##ounts for /-; of

te s%$e of te 6o$e 6%ter m%r5et 3ndustr". B3s$er3 6ou$d %&e % tou4 #om'et3t3on from

B%3$$e" s3n#e te #om'%n" '$%ns to s're%d 3ts 'resen#e 3n t%t '%rt of te #ountr". Anoter

t3n4 t%t m%5es te #om'et3t3on d3ff3#u$t for te #om'%n" 3s te 'r3#e %t 63#

3t<s #om'et3tor 3s offer3n4 te 'rodu#t. L35e B3s$er3 3t %$so 43&es te * $t. For Rs.*-.Te

on$" stren4t 'o3nt of te #om'%n", 63# 3t #%n #%'3t%$3@e, 3s 3t<s 4ener3# n%me. And %$so

te #om'%n" 6ou$d %&e to enter t%t m%r5et 63t % stron4 d3str3!ut3on !%se. e 5no6

te f%#t t%t B%3$$e" %s 4ro6n %t % r%'3d '%#e us3n4 te route of fr%n#3s3n4, 63#

B3s$er3 %s not %do'ted %s "et. T3s 3s %noter 'o3nt, 63# te #om'%n" 6ou$d %&e to

t%5e #%re of to f%#e te #om'et3t3on.

P4#3"! P4#$ile

It<s % #om'$3ment !e3n4 4ener3# to te #%te4or", !ut 3t<s not &er" 4ood 6en #onsumers

t3n5 %n" m3ner%$ 6%ter !r%nd 3s B3s$er3. B3s$er3 3s % 'rodu#t est%!$3sed 3n Ind3% !"

R%mes C%u%n, C%3rm%n of P%r$e A2u% M3ner%$s %s !e#ome % 4ener3# !r%nd.

B3s$er3 6%s te f3rst m%r5eted !ott$ed 6%ter 3n % tot%$$" &3r43n m%r5et. Te !r%nd %s

!e#ome s"non"mous 63t m3ner%$ 6%ter #onsumers %##e't %n" !r%nd offered !" te

ret%3$er 6en te" %s5 for B3s$er3. So f%r R%mes C%u%n<s B3s$er3 en(o"s te $%r4est

m%r5et s%re of +:; 3n te Rs**-- #rores m3ner%$ 6%ter m%r5ets %nd 3s 4ro63n4 %t

te r%te of *-; 'er %nnum. Annu%$ s%$es of B3s$er3 %&e tou#ed Rs0--#rores. In

se&ent3es, B3s$er3 6%s te on$" m3ner%$ 6%ter, 63# %d n%t3on%$ 'resen#e, %nd te

s%$e 6%s to te tune of %''ro93m%te$" one undred tous%nd #%ses &%$ued %t %!out Rs.:-

$%#s.



M%n"$%!"4in&

A 2u3#5 $oo5 %t B3s$er3s m%nuf%#tur3n4 re%# 3nd3#%tes t%t 3t 3s re'resented %#ross te

#ountr" Nort %##ounts for +; of s%$es for te 3ndustr", est %##ounts for -;, Sout

/-; %nd te E%st *+;.In order to !e %&%3$%!$e 3n unt%''ed %re%s B3s$er3 %s setu' *:

'$%nts $o#%ted %$$ o&er te #ountr" treefourts of 63# %re #om'%n" o6ned. Te

!%$%n#e 3s run !" fr%n#3sees. B3s$er3 %s + '$%nts 3n te Nort, + 3n te est t6o of

63# 6ere setu' 3n te $%st "e%r %t Amed%!%d %nd Sur%t, 0 3n te Sout %nd / 3n te

E%st. Te #om'%n" %s !ott$3n4 un3ts $o#%ted 3n Cenn%3, B%n4%$ore, o%, C%$#utt%,

Mum!%3, De$3, 7%3'ur, Utt%r Pr%des, Pun(%!, Indore %nd Ne'%$. Te ne6 '$%nts %re

!e3n4 set u' 3n st%tes $35e ?er%$%, Or3ss%, B3%r %nd Nort E%stern St%tes, 63# 3terto

%&e !een une9'$ored !" te #om'%n". It 3s %$so #%n43n4 3ts 'rodu#t3on str%te4" %nds3ft3n4 to % *-r 'rodu#t3on s#edu$e 63t sudden 3n#re%se 3n dem%nd '$%nned to !e met

!" %dd3t3on%$ 'rodu#t3on. B3s$er3 %s '$%nned to e9'%nd 3ts o'er%t3ons !" 3n&est3n4 Rs.:-

#rores 3n te u'4r%d%t3on of f%#3$3t3es. Te*/-!ott$es 'er m3nute =BPM> #%'%#3t" of te

*: un3ts %#ross te #ountr" 63$$ !e 3n#re%sed to /0- BPM. Cons#3ous of te

en&3ronment%$ 3m'$3#%t3ons of 3ts PET !ott$es, te #om'%n" 3s to set u' re#"#$3n4 '$%nt s%t

De$3 %nd Cenn%3, e%# 63t %n out$%" of Rs.+-m. Tese 63$$ 'ro#ess +-- 54 of PET 'er

our. Te 'ro#essed m%ter3%$ 63$$ !e %n 3n'ut for 'o$"ester "%rn m%nuf%#turers. In #enters

oter t%n De$3 %nd Cenn%3, te #om'%n" 63$$ set u' #rus3n4 un3ts to #rus te used

PET !ott$es.

Te #om'%n"s e9'%ns3on '$%ns 63$$ see 3ts 6%ter !ott$3n4 #%'%#3t" 4o u' from te 'resent

0-- m3$$3on $3ters to +-- m3$$3on $3ters. P%r$e B3s$er3 L3m3ted =PBL> 3s '$%nn3n4 to 3n&est

Rs /-- #rores to 3n#re%se 3ts !ott$3n4 #%'%#3t" %nd dou!$e 3ts turno&er. Te e9'%ns3on 63$$

%$so 3n#re%se te num!er of #om'%n"s !ott$3n4 '$%nts from *: %t 'resent, to /+. Te

#om'%n" 63$$ set u' %$$ te ne6 '$%nts %s 4reen f3e$d '$%nts. It doesn<t %&e %n" 3ntent3ons

to %#2u3re %n" e93st3n4 '$%nts



P"4e B#!!le3 D4in8in& W%!e4

Be#%use of te $%r4e num!er of 'oss3!$e %@%rds 3n dr3n53n46%ter, te de&e$o'ment of

st%nd%rds for dr3n53n46%ter re2u3res s34n3f3#%nt resour#es %nd e9'ert3se, 63#

m%n" #ountr3es %re un%!$e to %fford. Fortun%te$", 4u3d%n#e 3s %&%3$%!$e %t te 3ntern%t3on%$

$e&e$. Te or$d He%$t Or4%n3@%t3on =HO> 'u!$3ses u3de$3nes for Dr3n53n46%ter

Qu%$3t" 63# m%n" #ountr3es use %s te !%s3s to est%!$3s te3r o6n n%t3on%$ st%nd%rds.

Intern%t3on%$ St%nd%rds for Bott$ed Dr3n53n4 6%ter. Te 3nter4o&ernment%$ !od" for te

de&e$o'ment of 3ntern%t3on%$$" re#o4n3@ed st%nd%rds for food 3s te Code9 A$3ment%r3us

Comm3ss3on =CAC>. HO, one of te #os'onsors of te CAC, %s %d&o#%ted te use of

te u3de$3nes for Dr3n53n46%ter Qu%$3t" %s te !%s3s for der3&%t3on of st%nd%rds for

%$$ !ott$ed 6%ters CSE Re'ort on 'est3#3de res3dues 3n !ott$ed 6%ter. Te Centre for S#3en#e %nd En&3ronment, % non4o&ernment%$ or4%n3@%t3on !%sed 3n Ne6 De$3, %s

setu' te Po$$ut3on Mon3tor3n4 L%!or%tor" to mon3tor en&3ronment%$ 'o$$ut3on. Its m%3n

%3m 3s to undert%5e s#3ent3f3# stud3es to 4ener%te 'u!$3# %6%reness %!out food, 6%ter %nd

%3r #ont%m3n%t3on.

*%!

Bott$ed dr3n53n4 6%ter s%m'$es of some to' !r%nds B3s$er3 =P%r$e B3s$er3 P&t. Ltd.>,

B%3$$e" =P%r$e A4roP&t. Ltd.>, A2u%f3n% =Pe's3#o Ind3% Ho$d3n4 P&t. Ltd.>, ?3n$e"

=H3ndust%n Co#% Co$% Be&er%4e P&t. Ltd.> %nd of oter $ess 'o'u$%r !r%nds $35e Best,

Ro"%$ A2u%, Se%4u$$ et#., 63# 6ere !e3n4 so$d %nd m%nuf%#tured 3n Mum!%3

%nd ne%r!" %re%s $35e Pune %nd D%m%n, 6ere 'ur#%sed r%ndom$". A$$ te s%m'$es 6ere

'ur#%sed from ret%3$ out$ets 3n te m%r5et %nd from r%3$6%" st%t3on %nd 6ere #e#5ed for

'ro'er se%$, d%te of m%nuf%#ture %nd !%t# num!er. E&en te to' !r%nds, 63# #$%3m

to use tre%tment metods $35e 'ur3f3#%t3on f3$tr%t3on, %#t3&%ted #%r!on f3$tr%t3on,

dem3ner%$3@%t3on %nd re&erse osmos3s 6ere found to #ont%3n res3dues of 'est3#3des. It

m34t !e due to te re%son t%t te m%nuf%#turers m%" !e !"'%ss3n4 te r%6 6%ter %fter

'%rt3%$ tre%tment %nd rem393n4 3t 63t te fu$$" tre%ted stre%m so %s to #ut do6n te #ost

of tre%tment. On te !%s3s of te resu$ts d3fferent !r%nds #%n !e r%ted 3n terms of tot%$

or4%n #$or3ne %nd or4%n 'os'orus 'est3#3des from $e%st to most #ont%m3n%ted %s



• A2u%f3n% M%#!$ue

• B%3$$e" ?3n$e"

• Se%4u$$ Seet%$

•B3s$er3 Br3$$3%nt

• B%$$" A'ur&%

SWOT An%l5i #$ Bile4i

S!4en&!h

+. UALITY STANDARD=

E&er" !ott$e of BISLERI 3s 'ut trou4 % r34orous Mu$t3 st%4e 'ur3f3#%t3on 'ro#esses

63# 3n#$udes m3#ron f3$tr%t3on %nd o@on3@%t3on. It %#2u3res : st%4es of 'ur3f3#%t3on

'ro#esses 63# ensure 2u%$3t" 6%ter 63# 3s 'ure %nd s%fe for dr3n53n4 'ur'ose. ood

m%nuf%#tur3n4 %re te stren4t %$$ te t3me 'ro#ess3n4 3n re$343ous$" mon3tored %t e&er"

st%4e.

,. TRUST *OR BRAND=

More t%n +- $%5s 'eo'$e trust te BISLERI. Te" !u" on$" BISLERI 6%ter !e#%use 3t

%s !e#%me 4ener3# n%me for m3ner%$ 6%ter. For e9%m'$e8 en 'eo'$e 4o to !u" te

m3ner%$ 6%ter m%n" of tem %s5 for BISLERI, e&en tou4 te" 4et oter !r%nd.

-. LARGE RANGE O* PRODUCTS=

BISLERI offers % $%r4e r%n4e of 'rodu#ts 63# %ttr%#ts #onsumer of %$$ #%te4or3es. For

e9%m'$e8 * $3tre or +-- m$ '%#5 3s usefu$ for 3nd3&3du%$ !u"ers, */ $3tres or /- $3tres 3s

usefu$ for or4%n3@%t3on. Terefore 3t %ttr%#ts $%r4e num!er of #ustomer.



. MARKETING=

BISLERI 3s 'romoted !" %n %44ress3&e 'r3nt TG. TG 3s !%#5ed !" % Ho%rd3n4 'o3nt

of s%$e m%ter3%$. E&er" 3nterf%#e 63t #ustomer 3s used %s %n o''ortun3t" to re3nfor#e.

For e9%m'$e8 A$$ &e3#$es used for su''$" %&e !een '%3nted 3n $34t 4reen, !e%rs te

BISLERI $o4o s'ort #%t#" !%se$3ne $35es )dr3n5 %nd dr3&e1.

/. DISTRIBUTION SYSTEM.

3t $3tt$e !e$3ef 3n te d3str3!utor s"stem, te #om'%n" $e&er%4e 3ts $%r4e f$eet of tru#5 to

su''$" !ott$ed 6%ter d3re#t$" to ret%3$ers trou4 % s"stem #%$$ed Route Se$$3n4< 6ere

te dr3&er of tru#5 3s tr%3ned to !e % ser&3#e 'erson. T3s ensures t%t 6%ter su''$3ed 3s

fres %nd !ott$es %re 3n 4ood s%'e. BISLERI %s more t%n -,--- out$ets 3n te #ountr".

1. EPERIENCE O* MR.C7AU7AN (M.D O* BISLERI)

From te &%st e9'er3en#e of m%r5et3n4 o$d S'ot %nd Tums U', Mr. C%u%n 5no6s

t%t d3str3!ut3on '$%"s % #ru#3%$ ro$e 3n te su##essfu$ m%r5et3n4 of !ott$ed dr3n5s. He

5no6s t%t m%53n4 fres 6%ter %&%3$%!$e 63t3n % '%rt3#u$%r 'er3od of t3me 3s #ru#3%$ for

3ts su##ess. He 3s 'ursu3n4 % mu$t3 '%#5 %nd mu$t3 'r3#e str%te4".

2. BULK SEGMENT IS USE*UL *OR 7OUSE7OLDS ALSO=

Houseo$ds 3n #ert%3n '%rts of te #ountr" s'end % u4e %mount of mone" on fue$ 3n order

to 'ur3f" te 6%ter. Te" %re su''osed to !u" te 3m'ure 6%ter %nd ten te" %&e to

s'end mone" to 'ur3f" 3t. For 3nst%n#e te 6%ter s#%r#e sout 'eo'$e s'end $%r4e some of

mone" to !u" 6%ter %nd st3$$ more to 'ur3f" 3t. Te */ $3tre 'rodu#t 3s 3t 3n &%r3ous #3t3es

of sout.



. GROWING POPULARITY=

Te 'o'u$%r3t" of BISLERI 3s 3n#re%s3n4 r%'3d$" d%" !" d%". Peo'$e 3n te m%r5et 6en 3t

#omes to m3ner%$ 6%ter % 'erson 4oes to %n" so' %nd %s5s for BISLERI %s 3ser f3rst

'referen#e. BISLERI 3s see3n4 % 4ro6t of %$most +-; 'er "e%r. 3t te sm%$$ '%#5

!e3n4 'o'u$%r %mon4 3nd3&3du%$s user 3ts !u$5 '%#5 3s %$so 4ener%t3n4 te u4e dem%nd

63# 3s #%'tur3n4 te m%r5et for BISLERI. Tod%" :-- ; of tot%$ 3n#ome of BISLERI

#omes from 3ts !u$5 se4ment %nd te #om'%n" 3s '$%nn3n4 to 3n#re%se 3t u' to -;.

. T7E BREAK AWAY SEAL=

?ee'3n4 3n m3nd te #onsumers need to re#o4n3@e % 4enu3ne 'rodu#t t%t #%nnot !e

tem'ered 63t. Te un32ue #%' %s !een '%tented %nd #%nnot !e du'$3#%ted. T3s

te#n3#%$ stren4t ensures t%t te #onsumer 63$$ on$" 4et % 34 s%fe 'rodu#t 6en te"

63$$ dr3n5 BISLERI.

We%8ne

+.MET7OD ADOPTED *OR DISTRIBUTION=

THE ROUTESELLIN< 'o$3#" %do'ted !" BISLERI for d3str3!ut3on 3s more e9'ens3&e

t%n more #ommon$" fo$$o6ed metod of %''o3nt3n4 d3str3!utors 3n d3fferent to6ns. T3s

redu#es te 'rof3t of #om'%n". Te de%$er m%r43n 3s redu#ed due to t3s .terefore not

m%n" de%$er 5ee's BISLERI 3n m%n" %re%s. Ind3re#t$" t3s 3s redu#3n4 te #o&er%4e of

BISLERI.

,. REUSE O* BOTTLE BY LOCAL SELLERS AND ILLEGAL

MANU*ACTURERS=

M%r5et rese%r# #ondu#ted !" BISLERI re&e%$ed t%t te oter o&err3d3n4 #on#ern for

t3s set of !u"ers 3s te t%m'er3n4 of se%$ %nd te reuse of !ott$es. M%n" %&e 63tnessed



used !ott$es !e3n4 ref3$$ed %t r%3$6%" st%t3ons. T3s deter3or%tes te !r%nd 3m%4e of

BISLERI.

For e9%m'$e8 $o#%$ se$$ers f3$$ te !ott$e of BISLERI 63t 3m'ure 6%ter %nd te !ott$es

%re 'ur#%sed !" 3$$3ter%te #ustomers %s BISLERI 6%ter !ut te" !u" 6%ter of $o6

2u%$3t". In t3s 6%" !r%nd of BISLERI 4ets %ffe#ted.

-. *AULTS IN PRODUCTION=

Tests #ondu#ted !" &%r3ous %utor3t3es< so6s t%t 3t #ont%3ns 'est3#3des. In /--/ te /#m

$on4 3nse#t 6%s found 3n te !ott$e of BISLERI. T3s %s %ffe#ted 3ts s%$es %nd re'ut%t3on.

Te $3#ense of 3ts t6o f%#tor3es one %t No3d% %nd oter %t B%n4%$ore %s !een #%n#e$$ed

!e#%use of f%u$t 3n 'rodu#t3on.

. PRESSURE BY GO0ERNMENT AUT7ORITY=

After 3nse#t 6%s found 3n te !ott$es, FDA =Food Dru4 Adu$ter%t3on> %s #%n#e$$ed te

'rodu#t3on of BISLERI. After6%rds 3t 6%s %$$o6ed to resume 3t !ut 3n t3s 'er3od 3ts

#ustomer 6ere mo&ed to6%rds oter 'rodu#ts. It 3s #onst%nt$" under #e#5 !" &%r3ous

%utor3t3es.

/. NOT MEETING T7E DEMAND O* T7E CUSTOMER=

In #ert%3n '%rts of sout 3n our #ountr" !34 !ott$es of BISLERI %re 3n u4e dem%nd !ut

te #om'%n" 3s un%!$e to meet te dem%nd of te #onsumers. T3s 3s %ffe#t3n4 te

dem%nd for te 'rodu#t. So Peo'$e %re for#ed to use oter !r%nds of m3ner%$ 6%ter.



/. C7ANGE O* IMAGE=

Te #om'%n" %s #%n4ed te #o$our of te 'rodu#t. It %s #%n4ed from !$ue to 4reen.

B" #%n43n4 te #o$our, te #om'%n" %s 'ro&3ded % ne6 'rodu#t to te #onsumers te"

63$$ !e 4ett3n4 % ne6 %nd % refres3n4 'rodu#t.

1. INCREASE IN PRODUCTION=

BISLERI 3s e"e3n4 te M%r5et %nd 3s 3n te 'ro#ess of 3n#re%s3n4 te 'rodu#t3on !"

sett3n4 0 ne6 '$%nts %dd3n4 to 3ts /'$%nts. T3s 63$$ 3n#re%se te 'rodu#t3on #%'%#3t" of

te #om'%n".

Th4e%!

+. MARKET IS EYED BY T7E BIG PLAYERS=

Te 4ro6t of te m%r5et 3nd3#%tes te need for te m3ner%$ 6%ter. Due to t3s te e%&"

6e34ts %re e"e3n4 te m%r5et. Co5e, Pe's3, Br3t%nn3%, Nest$e, Aus6%ter3s 5een on

r%3s3n4 te3r st%5es 3n t3s m%r5et. 3t te #ut tro%t #om'et3t3on !et6een Co5e %nd

Pe's3, BISLERI 3s not s%fe.

,. ENTERING O* NEW PLAYERS=

To 4et some s%re 3n te m%r5et m%n" ne6 '$%"ers %re enter3n4 3n te m%r5et. Amon4

tem m%(or n%mes %re odre(, 63# 3s $%un#3n4 3ts 'rodu#t AQUAPURE %nd T%t%Te%

3s $oo53n4 for6%rd to !ut H3m%$%"%n, t3s 63$$ 3n#re%se te #om'et3t3on. A$so Br3t%nn3%

63# 3s d3str3!ut3n4 EGIAN 3s '$%nn3n4 to $%un# 3ts o6n !r%nd. Tere %re %$so ne6

entr%nts ATCO 63t BRILLIANT 6%ter, DS FOODS 63t CATCH %re %$so #om3n4. E&en

H3ndust%n $e&er 3s '$%nn3n4 to enter 3nto te m%r5et. T3s 3s 43&e % tou4 #om'et3t3on to

te #urrent 6%ter !r%nds 3n#$ud3n4 BISLERI.



-. WATER *ILTER MANU*ACTURERS=

BISLERI 3s not on$" 4ett3n4 #om'et3t3on from m3ner%$ 6%ter m%5er !ut 3s %$so f%#3n4 %

tou4 #om'et3t3on from &%r3ous 6%ter f3$ter m%nuf%#turers su# %s Eure5% For!es =A2u%

4u%rd>. Te" %&e !een m%r5et3n4 tere 'ur3f3ers 3n te m%r5et 63# %s de#re%sed te

s%$es of !ott$ed 6%ter su''$" to ome$" #ustomers.

. ILLEGAL MANU*ACTURERS=

Com'%n" 3s f%#3n4 % tou4 #om'et3t3on from 3$$e4%$ m%nuf%#turers 3n te rur%$ %re%s. Te

3$$e4%$ m%nuf%#turers 'ro&3de 6%ter %t % &er" #e%'er r%te ten te !r%nded

m%nuf%#turers. Tere %re *---<s of 3$$e4%$ m%nuf%#turers 63# %re 'ro&3d3n4 te 6%ter %t

% &er" #e%'er r%te. T3s 3s % ser3ous 'ro!$em for !r%nded m%nuf%#turers. T3s #om'%n3es

%$so use te f%5e n%me of !r%nded !ott$ed 6%ter 3.e. BISLERI %nd su''$" te3r 'rodu#ts

3n te m%r5et.

/. STRONG DISTRIBUTION C7ANNEL O* T7E OT7ER MANU*ACTURERS=

An%$"sts fee$ t%t BISLERI<S !re%5 %6%" se%$ 63$$ not %t %$$ !e effe#t3&e te #om'%n"

%&3n4 stron4 d3str3!ut3on #%nne$ 63$$ on$" sur&3&e. T3s r3n4s te 6%rn3n4 !e$$ for

BISLERI !e#%use %mon4 oter '$%"ers ?3n$e" %nd A2u%f3n% %re %&3n4 % stron4

d3str3!ut3on net6or5 of Co5e %nd Pe's3. Nest$e 63$$ !e !%n53n4 on 3ts #o#o$%te

d3str3!ut3on net6or5. E&en tou4 te BISLERI %s % stron4 net6or5s !ut 3ts

#on#entr%t3on on !u$5 se4ment #%n $e%d to 3m'ro'er net6or5.

For e9%m'$e8 A #em3st 6o 3s se$$3n4 te * $3tre '%#5 m%" not se$$ te /- $3tre '%#5.

T3s #ou$d d3stur! te net6or5.

1. NEW GO0ERNMENT POLICY=



For 're'%r3n4 * $3tre of m3ner%$ 6%ter $3tre of 4round 6%ter 3s re2u3red. o&ernment 6%s

not #%r43n4 t%9 on te e9tr%#t3on of te 4round 6%ter. No6 !" 3ntrodu#3n4 te ne6

'o$3#" 4o&ernment 3s 4o3n4 to 3m'ose t%9 on te e9tr%#t3on of te 4round 6%ter, t3s 63$$

3n#re%se te 'rodu#t3on #ost !e#%use of 63# te #om'%n3es 63$$ !e for#ed to 3n#re%se

te 'r3#e 63# %$$ #onsumers< of %$$ #%te4or3es #%n not %fford. Te #om'%n3es #%n

#om'ens%te te 34 'rodu#t3on #ost !" redu#3n4 te3r m%r5et3n4 e9'enses !ut t3s 63$$

5ee' te #onsumer un%6%re %!out te 'rodu#t. T3s 3s %$so effe#t te 2u%$3t" of te

!ott$ed 6%ter.

PESTLE An%l5i

e %&e #ons3dered Ind3%n m3ner%$ 6%ter 3ndustr" for te %n%$"s3s. Te 5e" 'o3nts %re

43&en !e$o6 fo$$o6ed !" te %n%$"s3s.

P#li!i%l

• Tere %re &%r3ous 'o$3t3#%$ '%rt3es 'rotest3n4 %4%3nst te 'r3#3n4 of m3ner%$ 6%ter.

• Tere 3s st%!$e 4o&ernment %t te #entre 63t $3!er%$ 'o$3#3es.

• Te 4o&ernment %s 3m'osed 'r3#e #e3$3n4 on !ott$ed 6%ter.

E#n#'i%l

•

Tere 3s %n 3n#re%se 3n 'er #%'3t% 3n#ome.• Most of te 'eo'$e %re from m3dd$e %nd u''er m3dd$e #$%ss.

• E9'%ns3on of mu$t3n%t3on%$s, IT %nd BPO #om'%n3es 3n T3er * %nd / #3t3es.

• Tere 3s no $3#ens3n4 'o$3#" %do'ted 3n t3s se#tor.

• Tere 3s %&%3$%!3$3t" of #e%' $%!or.

• Te 4o&ernment 3s 'romot3n4 ne6 !ott$3n4 '$%nts trou4 'u!$3#'r3&%te

'%rtners3'.

S#i%l

• Bott$ed 6%ter 6%s e%r$3er #ons3dered %s % st%tus s"m!o$.

• Bott$ed 6%ter 3s no6 te on$" sour#e of 'ure dr3n53n4 6%ter 3n %re%s 6ere tere

3s s#%r#3t" of 6%ter.

• Te !ott$ed 6%ter 3s #ons3dered to !e s%fe %s #om'%red to ord3n%r" t%' 6%ter.

• Tere 3n 3n#re%se 3n e%$t #ons#3ousness of 'eo'$e

Tehn#l#&i%l



• Te !und$3n4 of te#no$o43es $35e d3st3$$%t3on, re&erse osmos3s, %#t3&%ted #%r!on

f3$ter, et#e$'s 3n !etter 2u%$3t" of 6%ter.

• Tere %s !een % s3ft 3n '%#5%43n4 from !ott$es m%de of 4$%ss to !ott$es m%de

of PET. T3s e$'s 3n re#"#$3n4 %nd redu#3n4 en&3ronment%$ 'o$$ut3on

Le&%l

• o&erned !" PFA %nd BIS st%nd%rd.

• BIS %s 'ro&3ded st%nd%rds for m3ner%$ %nd dr3n53n4 6%ter. Te BIS %''ro&%$ 6%s

m%de m%nd%tor" from *.

• M3ner%$ 6%ter sou$d !e '%#5ed 3n #$e%n, #o$or$ess, tr%ns'%rent, odor$ess, t%m'er

'roof !ott$es m%de u' of 'o$"et"$ene.

• PFA %nd BIS $%"s st%nd%rd for met%$s $35e $e%d, mer#ur", %rsen3#, %$um3n3um %nd

!%r3um

En:i4#n'en!%l

• Te use of P$%st3# for !ott$ed 6%ter 3n#re%ses en&3ronment%$ 'o$$ut3on.

• Te 3n#re%se 3n #onsum't3on of !ott$ed 6%ter #%uses de'$et3on of &%$u%!$e foss3$

fue$s

An%l5iTe PESTLE %n%$"s3s e$'s us to %n%$"@e te &%r3ous f%#tors %ffe#t3n4 te Ind3%n !ott$ed

6%ter 3ndustr". e #%n o!ser&e t%t 4o&ernment%$ 'o$3#3es re4%rd3n4 te 2u%$3t" of

'%#5%4ed 6%ter %re &er" str3n4ent %nd %$$ te #om'%n3es %&e to %dere to te BIS

st%nd%rds. Te $3!er%$ 4o&ernment 'o$3#3es, 4ro6t of te IT %nd BPO se#tor 3n T3er * %nd

T3er / #3t3es %nd 'romot3on of !ott$3n4 '$%nt trou4 'u!$3# 'r3&%te '%rtners3' %re

f%&or%!$e to te 3ndustr". Te $o6er #ost of set u' %nd %&%3$%!3$3t" of #e%' $%!or %s

%ttr%#ted m%n" sm%$$ %s 6e$$ %s !34 '$%"ers. Tere %&e !een 3n#3dents 6ere 'est3#3de

#ontents %&e !een found, %$so tere %&e !een 3nst%n#es 6ere sm%$$ #om'%n3es %&e

!een found us3n4 '$%st3# unsu3t%!$e for um%n e%$t. Tere 3s terefore #onst%nt 'ressure

on #om'%n3es to m%3nt%3n 2u%$3t" of 'rodu#t %nd '%#5%43n4. Tere %s !een 3n#re%se 3n

e%$t #ons#3ousness %mon4 'eo'$e %nd un%&%3$%!3$3t" of s%fe dr3n53n4 6%ter 3n $o6 t3er

#3t3es 3s f%&or3n4 te s%$es of !ott$ed 6%ter. Te te#no$o43#%$ %d&%n#es 3n



'ur3f3#%t3on 'ro#esses e$' 3n en%n#3n4 %nd m%3nt%3n3n4 2u%$3t" of 6%ter. Tere 3s no

3ndustr3%$ $3#ens3n4 'o$3#" 'resent #urrent$" 63# %ttr%#ts m%n" '$%"ers to enter 3n t3s

3ndustr". Te $o6er m%r43n %sso#3%ted %nd $o6 entr" !%rr3ers #ons3der%!$" %ffe#t te

$%r4er '$%"ers. e #%n o!ser&e t%t te #om'%n3es %der3n4 to te en&3ronment%$

st%nd%rds, us3n4 'ro'er '%#5%43n4 4%3ns %d&%nt%4e. Te 'r3#e 6%r 3s not 'oss3!$e 3n t3s

3ndustr" %s te 4o&ernment %s 3m'osed #e3$3n4 on te 'r3#e of !ott$ed 6%ter. Ho6e&er

tere 3s mu# 'oss3!3$3t" t%t #om'%n3es st%rt #om'et3n4 trou4 d3fferent3%t3on. Te

!ott$ed 6%ter 3s #ons3dered %s % st%tus s"m!o$ so 3t #%n !e 'oss3!$e t%t #om'%n3es enter

te une9'$ored %re% of f$%&ored dr3n53n4 6%ter. Te s#%r#3t" of s%fe dr3n53n4 6%ter 3n

m%n" %re%s #re%tes o''ortun3t" for te '$%"ers to #%ter to t3s 4ro63n4 dem%nd. Tere

%&e !een 3nst%n#es of 'rotest %4%3nst te !ott$ed 6%ter #om'%n3es %4%3nst te 'r3#3n4

str%te4" %nd o&er te de'$et3on of s#%r#e resour#es. Ho6e&er t3s 63$$ %&e &er" me%4er

3m'%#t on te 3ndustr" #ons3der3n4 te 4ro63n4 dem%nd for 'ure %nd s%fe dr3n53n4 6%ter.

e #%n o!ser&e t%t te o&er%$$ s#en%r3o for te 3ndustr" 3s f%&or%!$e for sm%$$ %s 6e$$ %s

$%r4er '$%"ers. Te 3ndustr" %s #ons3der%!$e 4ro6t 'ros'e#t 3n ne6er %re%s %nd te

m%#ro en&3ronment%$ f%#tors %ttr%#ts ne6 '$%"ers

P#4!e4 *i:e *#4e An%l5i

Porter<s f3&e for#es mode$ 3s s'e#3%$$" used 3n 3ndustr" %n%$"s3s. T3s 63$$ e$'s %n

or4%n3@%t3on to m%5e % str%te4". Te !ott$ed '%#5%4ed 6%ter 3ndustr" 3s % '%rt of !e&er%4e

3ndustr" 63# %4%3n #omes under f%st mo&3n4 #onsumer 4oods. A##ord3n4 to Amer3#%n

%4en#" te 6or$d<s !ott$ed '%#5ed 6%ter 3s e9'e#ted to re%# J:+.!n !" /-*0.

Te #%use !e3nd t3s 3s 'o'u$%t3on r3s3n4, #onsumer !u"3n4 '%ttern, $3fe st"$e trends %nd

4ro63n4 $e&e$ of e%$t #ons#3ousness.



Th4e%! #$ en!45

As te num!er of Bott$ed '%#5%4ed 6%ter #onsum't3on 3s 3n#re%s3n4 3n %$$ o&er te 6or$d,

te o''ortun3t" for oter '$%"ers 3n 3n#re%s3n4 r%'3d$". In te !ott$ed '%#5%4ed 3ndustr"

te entr" !%rr3er 3s $o6. Te entr" !%rr3er 3s $o6 due to $o#%$ $o6 'rodu#t3on #ost, $ess

%mount of #%'3t%$, e%s" to %##ess 4o&ernment %nd $e4%$ $%6, $o#%$ 'rodu#t3on $%6, $ess$e4%$ %nd 4o&ernment !%rr3er %nd $o6 s63t#3n4 #ost. Te e93st3n4 !r%nd 3n !e&er%4e

3ndustr" 3s '%"3n4 %ttent3on %nd mo&3n4 3nto !ott$ed '%#5ed 6%ter, %s te" %&e 4ood

!r%nd 3m%4e %nd te o''ortun3t" 3s &er" u4e 3n t3s 3ndustr". E4. Pe'3so #o#% #o$%

A##ord3n4 to 3ndustr" $3fe #"#$e te !ott$ed '%#5ed 3ndustr" 3s %t m%ture st%te %nd te

most of te m%r5et 3s #o&ered !" te B3s$er3, A2u%f3n%, 53n$e" %nd O@one. So te 'ressure

for ne6 entr%nts to #%'ture te m%r5et 3s &er" 34. But %##ord3n4 to st3$$ tere %re m%n"

$o#%$ '$%"er t%t #o&ered te /:; of te m%r5et. But 6en 6e o!ser&e te 'rodu#t on

d3fferent3%t3on te d3fferent %mon4 'rodu#t 3s &er" $ess or e2u%$ $ent to n3$. A##ord3n4 to

'rodu#t d3fferent3%t3on te tre%ts of entr%nts 3s 34. But te o&er%$$ tre%t of ne6

entr%nts 3s med3um.

B%4&%inin& 6#we4 #$ "66lie4



Te !%r4%3n3n4 'o6er of su''$3er 3s $o6, %s te su''$3ers 3n#$ude mun3#3'%$ 6%ter s"stem,

!ott$es %nd '$%st3# #%', $%!e$ 'r3nter f3$tr%t3on %nd de3on3@%t3on e2u3'ment, '$%st3# 4r%3ns

%nd et#. Somet3mes te !%r4%3n3n4 'o6er of su''$3ers 3s de'ends on 4eo4r%'3#%$

$o#%t3on %nd te te#no$o4" %do'ted !" te or4%n3@%t3on. Te re#"#$%!$e !ott$e used !"

te #om'%n" needs %d&%n#ed te#no$o4" or some de'end%nt, $35e oter '%#5%43n4

3ndustr" %s te '%#5%43n4 #ost 3s 34. But te $%r4e %&%3$%!3$3t" of su''$3ers $e%ds to

$ess !%r4%3n3n4 'o6er. Te !%r4%3n3n4 'o6er of su''$3er m%" 3n#$ude te 3n&entor" sto#5

of !ott$es. O&er%$$ !%r4%3n3n4 'o6er of su''$3er 3s $ess.

B%4&%inin& 6#we4 #$ "5e4

As te !ott$ed '%#5ed 6%ter 3ndustr" #omes 3n o$34o'o$" 3ndustr". Te no of 'rodu#er 3s

$ess tus te !%r4%3n3n4 'o6er of su''$3ers 3s $ess. Te !%r4%3n3n4 'o6er of !u"er 3sde'ends on te 'r3#e %nd 'rodu#t. Te %&%3$%!3$3t" of 'rodu#t %$so %ffe#ts te !%r4%3n3n4

'o6er of !u"ers. A&%3$%!3$3t" of su!st3tute 3s %$so %ffe#ts te !%r4%3n3n4 'o6er. As te

#om'et3t3on 3s not mu# 34, tere %re m%3n$" f3&e to ten 'rodu#er $35e B3s$er3, A2u%f3n%,

?3n$e", O9"r3# %nd Pure $3fe so te #ustomers do not %&e %n" %d&%nt%4e mo&3n4 from

one !r%nd to oter !r%nd. Te 'rodu#t d3fferent3%t3on 3s %$most @ero, so te !%r4%3n3n4

'o6er of #ustomer 3s $o6. Somet3mes 3t de'end u'on te 4eo4r%'3#%$ $o#%t3on, se4ment

of #onsumers !ot rur%$ %nd ur!%n 'o'u$%t3on, #onsumer !u"3n4 !e%&3or %nd #onsumer

'referen#es.

S"!i!"!e 64#3"!

Te %&%3$%!3$3t" of su!st3tute 3s #offee, soft dr3n5, (u3#e %nd te%. Te su!st3tute of 'rodu#t

%ffe#ts te 'r3#e %nd m%r5et. Te %&%3$%!3$3t" of su!st3tute 'ro&3des te o't3on to #ustomer

%nd #ustomer #%n s63t# from one 'rodu#t to oter. Te !e&er%4e 3ndustr" 3s %$6%"s

%''re#3%ted !" e&er" #ountr". Te %&%3$%!3$3t" of &%r3ous e%$t dr3n5s, (u3#e, #%r!on3#

%nd no #%r!on3# dr3n5s %nd %&%3$%!3$3t" of t%ste #%n4ed te #onsumer 'referen#es.Consumer 3s us3n4 &%r3ous e%$t dr3n5s, #%r!on3# %nd non #%r!on3# dr3n5s to 2uen# te

t3rst. Te tot%$ s3@e of food 3ndustr" 3n Ind3% 3s %$most J :+.: !3$$3on %nd soft dr3n5s

=(u3#es %nd #%r!on%ted !e&er%4e> #ont%3n J * !3$$3on. Ind3%n soft dr3n5 m%r5et

#onsum't3on 3n % "e%r 3s /0m3$$3on #r%tes. Soft dr3n5 m%r5et 3s 34$" se%son%$ 3n n%ture,

#onsum't3on 3n dur3n4 offse%son 3s*+ m3$$3on #r%tes %nd 3n 'e%5 se%son 3s %round /+



m3$$3on #r%tes 'er mont. In ur!%n %re% Consum't3on of soft dr3n5s 3s +; of 6o$e

Ind3%n m%r5et. Ind3%n soft dr3n5 m%r5et 3s dom3n%ted !" mu$t3n%t3on%$ #om'%n3es Co#%

Co$% %nd Pe's3Co. In Ind3% m3ner%$ 6%ter m%r5et 3sJ+- m3$$3on %nd :+ m3$$3on 3n #r%tes.

Te mont$" %&er%4e #onsum't3on of m3ner%$ 6%ter 3s 0.m3$$3on #r%tes t%t 3n#re%se 3n

'e%5 se%son to +./ m3$$3on. So 6e #%n dr%6 t%t te !ott$ed '%#5ed 6%ter #onsum't3on 3n

Ind3% 3s one t3rd of te tot%$ !e&er%4e 3ndustr".

Ri:%l45

Te de4ree of r3&%$r" %nd te #om'et3t3on %ffe#ts te 'r3#e, 2u%$3t", 'rof3t %nd re&enue 3n

%n 3ndustr". As te m%r5et 3s %$most on s%tur%t3on st%te, %nd te 3ndustr" refers te

o$34o'o$" #om'et3t3on so tere 3s % 34 #om'et3t3on to 3n#re%se te m%r5et s%re. Te

m%r5et 3s dom3n%ted !" te &er" fe6 '$%"ers $35e !3s$er3 =;>, %2u%f3n% =;>, 53n$e" =;>%nd o9"r3#, %nd te" %re tr"3n4 to 3n#re%se te3r m%r5et s%re !" 'rodu#t 3ntrodu#t3on,

'r3#e, '%#5%43n4 %nd &o$ume of 6%ter. As tere 3s no mu# d3fferen#e %mon4 te 'rodu#t

!" d3fferent #om'et3tor, te r3&%$r" 3s on$" 3n terms of ser&3#e %nd of m%r5et3n4 str%te4".

Te 3ntens3t" of r3&%$r" 3s $o6 %s tere 3s $3m3ted '$%"er %nd te 'rodu#t 3s not

'r3#e sens3t3&e. A##ord3n4 to Ind3%n !e&er%4e %sso#3%t3on te m%r5et 63$$ 4ro6 !" 3n

/-*0, te m%r5et so6s te 34 4ro6t r%te so te #om'et3t3on 3s $ess

C#4e C#'6e!enieTere %re t%n43!$e %s 6e$$ %s 3nt%n43!$e resour#es. Te t%n43!$e resour#es %re termed %s

te '"s3#%$ %ssets of te or4%n3@%t3on 6ere%s te 3nt%n43!$e resour#es %re termed to !e

non '"s3#%$ %ssets su# %s te 3nform%t3on or 5no6$ed4e of te 'rodu#t. B3s$er3 %s %

!r%nd 4%3ns te #om'et3t3&e %d&%nt%4e. It %s 4ood63$$ 3n te m%r5et. Te #on#e't of te

!ott$ed 6%ter 3s 're&%$ent 3n te 6estern #ountr3es %s 'eo'$e %re &er" e%$t #ons#3ous.

Te !ott$ed 6%ter s$o6$" %nd 4r%du%$$" #%me 3nto e93sten#e %s Co#%Co$% %nd Pe's3

entered te m%r5et. As 'eo'$e t3n5 of te m3ner%$ 6%ter B3s$er3 3s te f3rst n%me 63#

#%me 3nto te3r m3nd. B3s$er3 %s $%un#ed 3tse$f 3nto m%n" d3fferent !r%nds, %s B3s$er3

mount%3n 6%ter %nd m%n" more. B3s$er3 6ene&er %d&ert3se 3tse$f on te$e&3s3on or

on 'ress te on$" one mess%4e 63# 3s de$3&ered 3s B3s$er3 3s s%fe %nd 'ure. Te !ott$es

%re se%$ed %nd ref3$$ed %nd re#"#$ed on t3me$" !%s3s. Te se%$ of B3s$er3 !ott$es e$' te

#ustomers to remo&e te dou!ts 63# 6ere #re%ted 3n te3r m3nds %!out te 'ur3t" of te



!r%nd. Tus, te !r%nd 3tse$f 3s te #ore #om'eten#" of B3s$er3. It dom3n%tes te m%r5et.

As '%#5%4ed 6%ter 3ndustr" 3s 4ro63n4 %t % f%st r%te =/.+;PA>. B3s$er3 %s % m%r5et s%re

of :-;. B3s$er3 m%3nt%3ns te '"s3#%$ %nd f3n%n#3%$ resour#es &er" eff3#3ent$" %nd

effe#t3&e$". Tese resour#es 6en #om!3ned e$'s 3n m%3nt%3n %nd ret%3n3n4 #ustomer<s

e9'e#t%t3ons to %#3e&e te t%r4ets of te #om'%n". Enter3n4 3nto &%r3ous se4ments of te

so#3et" %s 3t 'rodu#es 'rem3um, 'o'u$%r %nd !u$5 3n&ests % $%r4e num!er %nd %n eff3#3ent

um%n resour#es. Te 3nte$$e#tu%$ #%'3t%$ of te !r%nd 3s '$%"3n4 te m%(or ro$e %s te

!ott$e se%$ of B3s$er3 3s '%tent. B3s$er3 'ro&3des % s%fe dr3n53n4 6%ter 63# m%3nt%3ns %nd

t%5e #%re of te e%$t of te 'eo'$e $e%d3n4 %nd %tt%3n3n4 te treso$d resour#es. As

A2u%f3n% %nd ?3n$e" te m%(or #om'et3tors of B3s$er3 %re enter3n4 63t &%r3ous str%te43es

to !e%t te #om'et3t3on B3s$er3 %$so fo#used 3tse$f to 3n#re%se te %6%reness of te !r%nd

trou4 %d&ert3s3n4 %nd fu$f3$$3n4 #ustomer<s m3n3mum re2u3rements !" 43&3n4 tem 'ure

%nd s%fe m3ner%$ 6%ter to dr3n5. Te &%r3ous se4ments 3t entered 3nto #o&ers d3fferent

'r3#e r%n4es. Te 'r3#e r%n4es 63t3n *- to **-63# #%n !e e%s3$" %&%3$%!$e for e&er"

se#t3on of te so#3et". B3s$er3 5ee's on %d&ert3s3n4 %4%3n %nd %4%3n t%t 3t 6or5s on s%fe

%nd 'ure form of !ott$ed 6%ter, 63# so6s 3ts #om'$ement%r" resour#es %nd

#om'eten#3es. An%$"@3n4 tese treso$d resour#es %nd #om'eten#3es 3s 3m'ort%nt for te

or4%n3@%t3on to sust%3n 3tse$f 3n te m%r5et 63t te s%me 'os3t3on. Te se%$ of B3s$er3 3s

%$so %#t3n4 %s 3ts un32ue resour#e %s 3t %s 4ot te '%tent %nd oter or4%n3@%t3ons #%nnot

3m3t%te 3t. Te !r%nd B3s$er3 3tse$f %#ts %s % un32ue resour#e %s 3t 3s so 'o'u$%r 3n te m3nds

of te 'eo'$e t%t te" don<t s63t# to oter !ott$ed 6%ter e%s3$" from B3s$er3. T3s so6s

t%t te or4%n3@%t3on 3s 4ood 3n %ttr%#t3n4 ne6 #ustomers %s 6e$$ %s ret%3n3n4 o$d

#ustomers %nd 'eo'$e turn out to !e !r%nd $o"%$. Te '%#5%43n4 6%s done 3n su# % 6%"

t%t te #ustomers #%n e%s3$" &3e6 te s'%r5$3n4 #$e%r 6%ter 3ns3de te !ott$e. It m%de te

'%#5%43n4 tr%ns'%rent to 4%3n te trust %nd #onf3den#e of te #ustomers on te3r !r%nd. It

st%rted re3n&ent3n4 %nd fo#us3n4 on 3ts d3str3!ut3on net6or5 63# %$so '$%"s 3ts m%(or

#ore #om'eten#". Tere 6ere %!out *+ !ott$3n4 '$%nts of B3s$er3 %nd tree fr%n#3sees %$$

tot%$ tere 6ere +---- out$ets of B3s$er3. It 6or5s trou4 m%nuf%#turers to #$e%r3n4 %nd

for6%rd3n4 %4ents to d3str3!utors %nd f3n%$$" to te u$t3m%te #ustomers. It %s +/ !ott$3n4

'$%nts %$$ o&er te #ountr" %s 3n De$3, o%, Mum!%3, UP, 7%3'ur, Cenn%3, Rudr%'ur %nd

B%n4%$ore. It 3s 4o3n4 to e9'%nd 3t !" sett3n4 u' ne6 /+ !ott$3n4 '$%nts %#ross Ind3% 63#



63$$ e$' 3t %#3e&e 0-'er#ent more of te 4ro6t r%te 3n te f3s#%$. Te ne6 !ott$3n4

'$%nts %re !e3n4 '$%#ed 3n M%%r%str%, ?%rn%t%5%, T%m3$ N%du, Or3ss%, ?%sm3r,

7%r5%nd, ?er%$% %nd nort Ben4%$. Tese '$%nts %re 4o3n4 to !e '%rt$" set u' te

fr%n#3sees %nd '%rt$" !" te #om'%n" 3tse$f. Te #om'%n" 3s %$so 4o3n4 to dou!$e te

#%'%#3t" of m%nuf%#tur3n4 3n Mum!%3 %nd N%4'ur. Te #om'%n" %s out$3ned % du%$

d3str3!ut3on '$%n t3s 6%" to 4%3n #om'et3t3&e %d&%nt%4e. P%r$e B3s$er3 %$so tr3ed to $%un#

%nd 3ntrodu#e !ott$ed 6%ter 3n st%t3on%r", #em3st so's 6ere oter soft dr3n5s 6ere not

so$d so 3t 6%s e%s3$" %&%3$%!$e to te #ustomers. Te #om'%n" 6or5ed on 3ts du%$

d3str3!ut3on str%te4" to 4%3n #om'et3t3&e %d&%nt%4e. It 5e't on 6or53n4 %nd enter3n4 3nto

rur%$ Ind3%, 3nter3or m%r5ets %nd 'enetr%t3n4 3nto sm%$$er m%r5ets of te #ountr", 'us3n4

te !r%nd 3n te ro%ds3de of metros %nd ne6 terr3tor3es. Te 4o&ernment 3nst3tut3ons,

ote$s, r%3$6%"s 6ere t%r4eted %s te m%(or #un5s of te m%r5et

*in%ni%l An%l5i

F3n%n#3%$ St%tement %n%$"s3s 3s te %rt of tr%nsform3n4 te d%t% from f3n%n#3%$ st%tements

3nto 3nform%t3on t%t 3s usefu$ for 3nformed de#3s3on m%53n4. Te %n%$"s3s 3s used to

determ3ne te f3rm<s f3n%n#3%$ 'os3t3on so %s to 3dent3f" 3ts #urrent stren4t %nd 6e%5ness.

To t%5e te r%t3on%$ de#3s3ons 3n 5ee'3n4 63t te o!(e#t3&e of te f3rm, te f3n%n#3%$

st%tement 3s too mu# s34n3f3#%nt for te m%n%4ements. F3n%n#3%$ st%tement %n%$"s3s 3s

not on$" 3m'ort%nt for te f3rm<s m%n%4ements, !ut %$so for te f3rm<s 3n&estors %nd

#red3tors 3ntern%$$", f3n%n#3%$ m%n%4ers use te 3nform%t3on 'ro&3des !" f3n%n#3%$ %n%$"s3s

to e$' m%5e f3n%n#3n4 %nd 3n&est3n4 de#3s3ons to m%93m3@e te f3rm<s &%$ue. E9tern%$$",

sto#5o$ders %nd #red3tors use f3n%n#3%$ st%tement %n%$"s3s to e&%$u%te te %ttr%#t3&eness

of te f3rm %s %n 3n&estment !" e9%m3n3n4 3ts %!3$3t" to meet 3ts #urrent %nd e9'e#ted

future f3n%n#3%$ o!$34%t3ons.

B%l%ne Shee!

B%$%n#e seet 3s t%t st%tement 63# re'resents te summ%r" of % f3rm<s f3n%n#3%$

'os3t3on on % 43&en d%t% t%t so6s te tot%$ %ssets, $3%!3$3t3es %nd o6ners< e2u3t" orsto#5o$ders< e2u3t" of % f3n%n#3%$ "e%r.

In#'e S!%!e'en!

In#ome St%tement 3s t%t st%tement 63# re'resents te summ%r" of % f3rm<s re&enues

%nd e9'enses o&er % s'e#3f3ed 'er3od for te 'ur'ose of determ3n3n4 te net 3n#ome or



$oss for te 'er3od. For determ3n3n4 te net 3n#ome or $oss BISLERI re'resents re&enues

%nd e9'enses to te3r 3n#ome st%tement for te 'er3od.

C%h *l#w S!%!e'en!

Te st%tement of #%s f$o6s re'orts te #%s re#e3'ts, #%s '%"ments, %nd net #%n4e 3n

#%s resu$t3n4 from o'er%t3n4, 3n&est3n4, %nd f3n%n#3n4 %#t3&3t3es dur3n4 te "e%r. For

determ3n3n4 te tot%$ #%s 3nf$o6 %nd outf$o6 of % f3n%n#3%$ "e%r, BISLERI 're'%res te

#%s f$o6 st%tement.

Ann"%l Re6#4! %n3 *in%ni%l S!%!e'en!

Te %nnu%$ re'orts of #om'%n3es t"'3#%$$" #ont%3n8 =%> CEOPres3dent<s $etter to

s%reo$ders =!> F3n%n#3%$ st%tements =#> Oter 3nform%t3on

=%> CEO/President’s letter summ%r3@3n4 te o'er%t3ons of $%st "e%r, e9'$%n%t3ons for

4ood!%d 'erform%n#e, %nd % d3s#uss3on on te 4o%$s for te 3mmed3%te %nd $on4term

future. It 63$$ !e % 4ood 3de% to re&3e6 te $etter to s%reo$ders of some 'rom3nent

#om'%n3es. %rren Buffet of Ber5s3re H%t%6%" 3s f%mous for 6r3t3n4 te most

3ns34tfu$ $etters.

=!> Four Financial Statements

Te f3n%n#3%$ st%tements =t"'3#%$$" 'u!$3sed e&er" 2u%rter %nd %nnu%$$"> %re 're'%red

%##ord3n4 to AAP %nd %ud3ted !" )3nde'endent %ud3tors1. Ho6e&er, %s te re#ent

#or'or%te s#%nd%$s %&e re&e%$ed, tere %re def3n3te$" too m%n" 4%'s$oo'o$es 3n o6 te

AAP 3s 3m'$ementedKK. Nonete$ess, f3n%n#3%$ st%tements %re %n 3n&%$u%!$e sour#e of

3nform%t3on.

B*. B%l%ne Shee! (%$so 5no6n %s te St%tement of F3n%n#3%$ Pos3t3on>8 T3s 'ro&3des

te &%$ue of f3rm<s %ssets =6%t te f3rm o6ns>, $3%!3$3t3es =6%t te f3rm o6es to

outs3ders> %nd e2u3t" =6%t te 3ns3de s%reo$ders or o6ners o6n> on % '%rt3#u$%r

d%te. Te &%$ue of %ssets 63$$ e2u%$ te &%$ue of $3%!3$3t3es '$us o6ner<s e2u3t" =or A L

E>. Items 3n te !%$%n#e seet %re $3sted !%sed on #onser&%t3&e 'r3n#3'$e 3.e. 3f

est3m%t3n4 or 3n dou!t of te %#tu%$ &%$ue, te &%$ue of %ssets 3s not !e o&erst%ted %nd te

&%$ue of $3%!3$3t3es 3s not !e underst%ted.

What do we see in the balance sheet? Assets8 Current %ssets =e9. #%s, m%r5et%!$e

se#ur3t3es, %##ounts re#e3&%!$e, 3n&entor", 're'%3d e9'enses> t%t %re more $32u3d t%n te

$on4termf39ed %ssets =e9. e2u3'ment, $%nd>, %ssets t%t %re 3nt%n43!$e %nd "et &%$u%!$e

=e9. 4ood63$$, '%tents, deferred #%r4es>. L3%!3$3t3es #ou$d 3n#$ude #urrent $3%!3$3t3es =e9.



!%n5 %d&%n#es, 3n#ome t%9 '%"%!$e, %##ounts '%"%!$e, %##rued e9'enses>, deferred

3n#ome t%9es =d3fferen#e !et6een te t%9 re'orted on te 3n#ome st%tement %nd t%9

re'orted on te t%9 return>, M3nor3t" 3nterest 3n su!s3d3%r" #om'%n3es =re'resent3n4

outs3de o6ners3' 3n su!s3d3%r" #om'%n3es>, $on4term de!t =e9. Bonds, #%'3t%$ $e%ses>.

S%reo$der<s E2u3t" 3n#$udes S%re #%'3t%$ ='%r or st%ted &%$ue of s%res re#e3&ed %t te

t3me of or343n%$ 3ssue>, P%3d3n#%'3t%$ =6en s%res %re so$d for more t%n te '%r or

st%ted &%$ue>, ret%3ned e%rn3n4sdef3#3t =und3str3!uted e%rn3n4s>, fore34n #urren#"

tr%ns$%t3on %d(ustment =f$u#tu%t3on 3n te &%$ue of %ssets of fore34n su!s3d3%r3es due to

#%n4es 3n e9#%n4e r%tes>. E2u3t" 3s %$so e9'ressed %s )res3du%$ 3nterest1 =EAL>. If E

3s ne4%t3&e, te f3rm 3s te#n3#%$$" !%n5ru't.

Net 6ort or Boo5 G%$ue refers to 6%t 3s %&%3$%!$e to #ommon s%reo$ders %nd 3s 43&en

!"8

Tot%$ Assets Tot%$ L3%!3$3t3es Preferred Sto#5 Net ort

Net 6ort d3&3ded !" num!er of #ommon s%res outst%nd3n4 63$$ 43&e us te

!oo5 &%$ue 'er s%re. Te m%r5et &%$ue 3s e2u%$ to te 'r3#e 'er s%re t3mes te num!er

of s%res outst%nd3n4 =%$so referred to %s te m%r5et #%'3t%$3@%t3on of % #om'%n">. e #%n

est3m%te te 3ntr3ns3# &%$ue of sto#5 !" us3n4 d3s#ounted #%s f$o6 mode$s.

Limitations of Balance Sheet 8 Te !%$%n#e seet re#ords te &%$ues of %ssets %nd $3%!3$3t3es

3n terms of te3r or343n%$ #ost. T3s 3s es'e#3%$$" m3s$e%d3n4 for f39ed %ssets =t%t #ou$d

%&e s34n3f3#%nt$" #%n4ed 3n &%$ue>. A$so, 3t 3s d3ff3#u$t to &%$ue 3nt%n43!$e

%ssets. Current %ssets %re $ess trou!$esome '%rt$" !e#%use of te3r sortterm n%ture

=3n&entor3es %nd m%r5et%!$e se#ur3t3es %re $3sted %t $o6er of te3r #ost or m%r5et

&%$ues>. L3%!3$3t3es %re %$so not !3%sed =s3n#e te" %re 4ener%$$" #ontr%#tu%$, %nd m%r5et

&%$ues 63$$ !e e2u%$ to te3r !oo5 &%$ues For e9%m'$e, 3f te #om'%n" %s t%5en % $o%n,

te do$$%r %mount of $o%n o!$34%t3on does not #%n4e 63t t3me>. A$so, %n %n%$"st sou$d

'%" #$ose %ttent3on to )off!%$%n#e seet 3tems1.

B/. In#'e S!%!e'en! =%$so 5no6n %s Te st%tement of e%rn3n4s or 'rof3t $oss

st%tement or te st%tement of o'er%t3ons>8 Te 3n#ome st%tement 'ro&3des 3nform%t3on on

te &%r3ous re&enue %nd e9'ense 3tems dur3n4 % #ert%3n 'er3od. Tus t3s st%tement

so6s te tot%$ 3n#ome 4ener%ted 3n % #ert%3n 'er3od. Items 3n te 3n#ome st%tement %re

!%sed on%##ru%$ 'r3n#3'$e 3.e. tr%ns%#t3ons =su# %s s%$es> %re re#o4n3@ed 6en te" o##ur



%nd not 6en %#tu%$ #%s 3s re#e3&ed. Furtermore, te e9'enses %re m%t#ed to 6en te

re&enue 3s re#o4n3@ed %nd not 6en te %#tu%$ '%"ment 3s m%de. Te %!o&e 'r3n#3'$e

m%5es 3t o!&3ous t%t tere #ou$d !e 63de d3s#re'%n#" !et6een % f3rm<s re&enue %nd

%#tu%$ #%s f$o6.

Tere %re se&er%$ forms of 3n#ome st%tement. An e9%m'$e of % 4ener3# form 3s %s

fo$$o6s8

S%$es Re&enue

Cost of ood So$d

ross Prof3t

Se$$3n4 %nd Adm3n3str%t3&e e9'enses

De're#3%t3on

E%rn3n4s Before Interest %nd T%9es =EBIT>

3nterest e9'enses =on !%n5 $o%ns %nd !onds>

3nterest 3n#ome

E%rn3n4s !efore T%9es =EBT>

t%9es =#urrent %nd deferred>

E%rn3n4s %fter T%9es =EAT>

3n#ome from su!s3d3%r3es =e2u3t" 3n#ome>

%3nsLosses from d3s#ont3nued o'er%t3ons

%3n$oss on e9tr%ord3n%r" 3tems

Net E%rn3n4s

Preferred Sto#5 D3&3dends

E%rn3n4s %&%3$%!$e for #ommon s%reo$ders

Limitations of Income Statement 8 In f3n%n#e, te fo#us 3s on )&%$u%t3on1 t%t re2u3res

5no6$ed4e of e9'e#ted #%s f$o6s r%ter t%n 3stor3#%$ e%rn3n4s. Note net 3n#ome does

not e2u%$ te %#tu%$ #%s f$o6. T3s 3s !e#%use te 3n#ome st%tement re'orts

re&enuee9'enses 6en te" %re e%rned%##rued %nd not 6en %#tu%$ #%s 3s

re#e3&ed. Furter, se&er%$ 3tems %re su!(e#t3&e$" determ3ned =e9. de're#3%t3on>. A$so,

de're#3%t3on 3s !%sed on 3stor3#%$ #ost of te %sset. Tus, dur3n4 'er3ods of 3nf$%t3on,

de're#3%t3on e9'ense 63$$ !e underst%ted %s 3t 3s !%sed on 3stor3#%$ #ost 63$e te

re&enues ref$e#t te #urrent m%r5et 'r3#e.... su# nons"n#ron3@%t3on $e%ds to 3nf$%ted



e%rn3n4s. Furtermore, % tr%d3t3on%$ 3n#ome st%tement on$" re#ords tr%ns%#t3ons %nd not

)o''ortun3t3es1. Te e#onom3st def3nes 3n#ome %s te #%n4e 3n re%$ 6ort t%t o##urs

!et6een te !e43nn3n4 %nd te end of % s'e#3f3ed t3me 'er3od. To te e#onom3st, %n

3n#re%se 3n te &%$ue of % f3rm<s $%nd %s % resu$t of % ne6 %3r'ort !e3n4 !u3$t on %n

%d(%#ent 'ro'ert" 3s %n 3n#re%se 3n te re%$ 6ort of te f3rm. It, terefore, re'resents

3n#ome. Te %##ount%nt does not ord3n%r3$" em'$o" su# % !ro%d def3n3t3on of 3n#ome1.

B. S!%!e'en! #$ Re!%ine3 E%4nin& =%$so 5no6n %s te St%tement of #%n4es 3n

s%reo$der<s e2u3t", st%tement of s%reo$ders< 3n&estment or st%tement of #%n4es 3n

s%reo$ders< e2u3t">8 It so6s te !%$%n#e 3n ret%3ned e%rn3n4s %fter m%53n4 %d(ustments

for #urrent 'rof3ts %nd #urrent d3&3dend. It %$so so6s 3nform%t3on on tre%sur" sto#5, %n"

ne6 s%res 3ssued, te 3m'%#t of e9er#3sed o't3ons, 'referred sto#5 det%3$s %nd %dd3t3on%$

'%3d3n#%'3t%$.

B0. C%h *l#w S!%!e'en!8 It so6s o6 te #om'%n" o!t%3ned #%s %nd for 6%t

'ur'ose te" 6ere used. Tus #%s !%$%n#e %t te end

C%s 3n te !e43nn3n4

Net C%s f$o6 from o'er%t3n4 =3n#ome st%tement #%s 3tems>

Net C%s f$o6 from f3n%n#3n4 =e9. 'ro#eeds from s%$e of !onds, re'%"ment of $o%n,

'%"ment of d3&3dends>

Net C%s f$o6 from 3n&est3n4 %#t3&3t3es =e9. S%$e'ur#%se of %sset>.

=#> Oter 3nform%t3on 3n te %nnu%$ re'ort

*. Notes to f3n%n#3%$ st%tements

/. Te Aud3tor<s re'ort

A 'o'u$%r 6%" to %n%$"@e te f3n%n#3%$ st%tements 3s !" #om'ut3n4 r%t3os. A r%t3o 3s %

re$%t3ons3' !et6een t6o num!ers, e.4. r%t3o of A8 B -8*-V A 3s t3mes B. A r%t3o

!" 3tse$f m%" %&e no me%n3n4. Hen#e, % 43&en r%t3o 3s #om'%red to =%> r%t3os from

're&3ous "e%rs 3ntern%$ trends, or =!> r%t3os of oter f3rms 3n te s%me 3ndustr" e9tern%$

trends. R%t3os %re more of % d3%4nost3# too$ t%t e$'s us to 3dent3f" 'ro!$em %re%s %nd

o''ortun3t3es 63t3n % #om'%n". In t3s se#t3on, 6e 63$$ d3s#uss o6 to me%sure %nd

3nter'ret some 5e" r%t3os. O!&3ous$", s3n#e r%t3o 3s s3m'$" % #om'%r3son of t6o &%r3%!$es,

te 'oss3!3$3t3es for num!er of r%t3os %re end$essK Tere 3s no )one1 6%" of #$%ss3f"3n4

&%r3ous r%t3os so "ou m%" f3nd d3fferent 4rou'3n4s de'end3n4 on 6%t te9t or %rt3#$e "ou



re%d. A$so, tere %re no s'e#3f3# ru$es on 6%t 3s %n )3de%$ or %##e't%!$e1 num!er for %

r%t3o, %$tou4 tere %re some ru$es of tum!.

Te 5e" r%t3os t%t %re determ3ned !" te f3n%n#3%$ %n%$"sts 'ro&3de 3ns34ts on =%>

$32u3d3t" =!> de4ree of f3n%n#3%$ $e&er%4e or de!t =#> 'rof3t%!3$3t" =d> eff3#3en#" %nd =e>

&%$ue.

A. An%l5<in& Li"i3i!5

L32u3d %ssets %re tose %ssets t%t #%n !e #on&erted 3nto #%s 2u3#5$". Te sortterm

$32u3d3t" r%t3os so6 te f3rm<s %!3$3t" to meet sortterm o!$34%t3ons. Tus % 34er r%t3o

=W* %nd W/> 6ou$d 3nd3#%te % 4re%ter $32u3d3t" %nd $o6er r3s5 for sortterm $enders. Te

Ru$e of Tum! =for %##e't%!$e &%$ues>8 Current R%t3o =/8*>, Qu3#5 R%t3o =*8*> 3$e

34 $32u3d3t" me%ns t%t te #om'%n" 63$$ not def%u$t on 3ts sortterm o!$34%t3ons, note

t%t !" ret%3n3n4 %ssets %s #%s, &%$u%!$e 3n&estment o''ortun3t3es m34t !e

$ost. O!&3ous$", C%s !" 3tse$f does not 4ener%te %n" return ... on$" 3f 3t 3s 3n&ested 63$$

6e 4et future return. In 2u3#5 r%t3o, 6e su!tr%#t te 3n&entor3es from tot%$ #urrent %ssets

s3n#e te" %re te $e%st $32u3d =%mon4 te #urrent %ssets>.

*. Current R%t3o Tot%$ Current AssetsTot%$ Current L3%!3$3t3es

/. Qu3#5 or A#3dtest R%t3o Tot%$ Current Assets In&entor3es Tot%$ Current

L3%!3$3t3es

B. An%l5<in& De!

Tese r%t3os so6 te e9tent to 63# % f3rm 3s re$"3n4 on de!t to f3n%n#e 3ts

3n&estmentso'er%t3ons %nd o6 6e$$ 3t #%n m%n%4e te de!t o!$34%t3on =3.e. re'%"ment of

'r3n#3'%$ %nd 'er3od3# 3nterest>. O!&3ous$", 3f te #om'%n" 3s un%!$e to re'%" 3ts de!t or

m%5e t3me$" '%"ments of 3nterest, 3t 63$$ !e for#ed 3nto !%n5ru't#". On te 'os3t3&e s3de,

use of de!t 3s !enef3#3%$ %s 3t 'ro&3des &%$u%!$e t%9 !enef3ts to te f3rm. Note tot%$ de!t

sou$d 3n#$ude !ot sortterm de!t =!%n5 %d&%n#es #urrent 'ort3on of $on4term de!t>

%nd $on4term de!t =su# %s !onds, $e%ses, %nd notes '%"%!$e>. Some te9ts m%" 3n#$ude

on$" $on4term de!t. A4%3n, 6%t "ou use 63$$ de'end on 6%t "our 2uest3on 3s.

*. Le&er%4e R%t3os

*% AssetE2u3t" R%t3o or Le&er%4e R%t3o AssetsS%reo$der<s E2u3t"

T3s so6s f3rm<s re$3%n#e on e9tern%$ de!t for f3n%n#3n4 =or te de4ree of

$e&er%4e>. An" num!er %!o&e *--; so6s t%t te #om'%n" re$3es on e9tern%$ de!t for



f3n%n#3n4 some of 3ts %ssets. If te num!er e2u%$s *--;, 3t 3m'$3es t%t te %ssets %re fu$$"

f3n%n#ed !" te s%reo$ders.

Some %n%$"sts tend to use te De!t r%t3o =43&en !" tot%$ De!ttot%$ %ssets> or

De!tE2u3t" r%t3o =43&en !" tot%$ $on4term de!te2u3t">. Tese r%t3os %$so so6

#om'%n"<s re$3%n#e on e9tern%$ sour#es for f3n%n#3n4 3ts %ssets. R%t3o *d so6s 6%t

'ro'ort3on of te tot%$ $on4term #%'3t%$ #omes from de!t.

*! Tot%$ De!t r%t3o Tot%$ De!tTot%$ %ssets

*#. De!tE2u3t" R%t3o Tot%$ De!tE2u3t"

*d. Lon4term De!t to #%'3t%$ De!tDe!t E2u3t"

For % $ender, more 3m'ort%nt t%n te de4ree of $e&er%4e 3s te f3rm<s %!3$3t" to ser&3#e

te de!t %nd t3s 3s #%'tured 3n te fo$$o63n4 t6o r%t3os.

/. Interest Co&er%4e R%t3o EBIT Annu%$ Interest E9'ense

T3s so6s te f3rm<s %!3$3t" to #o&er f39ed 3nterest #%r4es =on !ot sortterm

%nd $on4term de!t>. Te m%r43n of s%fet" t%t 3s %##e't%!$e 63$$ &%r" 63t3n %nd %#ross

3ndustr3es, %nd 63$$ %$so de'end on te e%rn3n4s 3stor" of % f3rm.

. C%s F$o6 Co&er%4e Net C%s f$o6Interest E9'ense

Net C%s f$o6 3s e2u%$ to Net In#ome non#%s 3tems =e2u3t" 3n#ome m3nor3t"

3nterest 3n e%rn3n4s of su!s3d3%r" deferred 3n#ome t%9es de're#3%t3on de'$et3on

%mort3@%t3on e9'enses>. S3n#e de're#3%t3on 3s te !344est do$$%r term, oftent3mes %n%$"sts

6ou$d %''ro93m%te Net #%s f$o6 %s !e3n4 e2u3&%$ent to EBIT de're#3%t3on.

C%s f$o6 3s % )#r3t3#%$ &%r3%!$e1 3n %ssess3n4 % #om'%n". If % #om'%n" 3s so63n4

stron4 'rof3ts !ut %s 'oor #%s f$o6, "ou sou$d 3n&est34%te furter !efore '%ss3n4 %

f%&or%!$e o'3n3on on te #om'%n". F3n%n#3%$ %n%$"sts 'refer us3n4 r%t3o W to r%t3o W/,

%$tou4 r%t3o W/ 3s more 63de$" re'orted.

C. An%l5<in& S%le %n3 P4#$i!%ili!5

Prof3t%!3$3t" 3s % re$%t3&e term. It 3s %rd to s%" )6%t ; of 'rof3ts1 re'resents % 'rof3t%!$e

f3rm %s te 'rof3ts 63$$ de'end on te 'rodu#t $3fe #"#$e =for e9%m'$e 'rof3ts 63$$ !e $o6er

3n te 3n3t3%$ "e%rs>, #om'et3t3&e #ond3t3ons 3n te m%r5et, !orro63n4 #osts, e9'ense

m%n%4ement et#. Prof3ts #%n %$so !e %n%$"@ed us3n4 te fr%me6or5 of CGP =#ost

&o$ume'r3#es>. An%$"sts 63$$ !e 3nterested 3n te =3stor3#%$ %nd fore#%sted> )trend1 of

s%$ese9'enses'rof3ts X %re te 'rof3ts 4ener%$$" on te r3se, %re te s%$es st%!$e or r3s3n4,



o6 do te 'rof3ts #om'%re to te 3ndustr" %&er%4e, 3s te m%r5et s%re of te #om'%n"

r3s3n4st%!$ef%$$3n4 Are te e9'enses r3s3n4, st%!$e or f%$$3n4 Te set of r%t3os ere

3n#$ude some of te tr%d3t3on%$ e%rn3n4s !%sed 'erform%n#e me%sures su# %s ROS, ROA,

ROI, %nd ROE. For % !etter underst%nd3n4 of 4ro6t r%tes, 3t 63$$ !e usefu$ to 5no6 te

)re%$ 4ro6t r%te1 %s o''osed to )nom3n%$ 4ro6t r%te1. For e9%m'$e, 3t 3s 2u3te 'oss3!$e

t%t te s%$es 4ro6t r%te f34ures %re 3m'ress3&e due to 3nf$%t3on =r%ter t%n %n 3n#re%se

3n te num!er of 3tems so$d>. T3s 3s '%rt3#u$%r$" usefu$ 3f 6e %re de%$3n4 63t 34

3nf$%t3on 'er3od or #ondu#t3n4 %n e9tend3n4 t3me ser3es %n%$"s3s.

*. S%$es ro6t R%te Y=Current "e%r s%$es $%st "e%r s%$es>$%st "e%r

s%$esZ[*--

/. E9'ense %n%$"s3s G%r3ous e9'enses S%$es

. ross M%r43nS%$es ross Prof3tTot%$ S%$es

0. O'er%t3n4 Prof3tS%$es O'er%t3n4 Prof3tNet S%$es

+. EBITS%$es EBITNet S%$es

:. Return on S%$es =ROS> or net 'rof3t r%t3o Net In#omeNet S%$es

. Return on In&estment =ROI> Net In#omeTot%$ Assets

. Return on Assets =ROA> Net In#omeTot%$ Assets

. Return on E2u3t" =ROE> EATS%reo$ders< E2u3t"

*-. P%"out r%t3o C%s D3&3dends Net In#ome

**. Retent3on r%t3o Ret%3ned E%rn3n4sNet In#ome

*/. Sust%3n%!$e 4ro6t r%te =SR> ROE [ Retent3on R%t3o

It 3s usefu$ to disareate the !OE f34ure 3nto tree e$ements %s fo$$o6s to 4et % !etter

3ns34t

Te %!o&e formu$%t3on #$e%r$" so6s t%t 3f m%n%4ement 63ses to 3m'ro&e te3r ROE,

te" need to 3m'ro&e 'rof3t%!3$3t", eff3#3ent$" use te %ssets, %nd o't3m3@e te use of de!t

3n te3r #%'3t%$ stru#ture. Tus t6o #om'%n3es 63t s3m3$%r 'rof3t%!3$3t" m%" %&e

d3fferent ROEs de'end3n4 on te3r de4ree of f3n%n#3%$ $e&er%4e. If 6e #om!3ne t3s 63t

r%t3o W*-, 6e #%n see t%t % f3rm<s 4ro6t r%te 63$$ de'end on %$$ of tese f%#tors '$us

te3r d3&3ded 'o$3#". Tus 3t #o&ers te tree m%3n f3n%n#3%$ de#3s3ons 3n %n" #or'or%t3on8

3n&estment de#3s3on, o'er%t3n4 de#3s3on %nd f3n%n#3n4 de#3s3on.



SR so6s o6 mu# te #om'%n" 63$$ 4ro6 3n te future 3f some of te 5e" r%t3os

rem%3n te s%me %s 3n 're&3ous "e%rs. It 3s usefu$ to d3s%44re4%te te sust%3n%!$e 4ro6t

r%te %s fo$$o6s.

SR f=Prof3t%!3$3t", Asset Eff3#3en#", Le&er%4e, D3&3dend 'o$3#">

Return on S%$es [ Asset turno&er r%t3o [ Le&er%4e [ Retent3on r%t3o

=Net 3n#omes%$es> [ =s%$es%ssets> [ =%ssetse2u3t"> [ =REnet 3n#ome>

D. An%l5<in& E$$iien5

Tese r%t3os ref$e#t o6 6e$$ te f3rm<s %ssets %re !e3n4 m%n%4ed. Te 3n&entor" r%t3os

so6 o6 f%st te 3n&entor" 3s !e3n4 'rodu#ed %nd so$d. R%t3o W* so6s o6 2u3#5$" te

3n&entor" 3s !e3n4 turned o&er =or so$d> to 4ener%te s%$es ... 34er r%t3o 3m'$3es te f3rm

3s more eff3#3ent 3n m%n%43n4 3n&entor3es !" m3n3m3@3n4 te 3n&estment 3n

3n&entor3es. Tus % r%t3o of */ 6ou$d me%n t%t te 3n&entor" turns o&er */ t3mes or te

%&er%4e 3n&entor" 3s so$d 3n % mont. O!&3ous$", t3s r%t3o sou$d !e 34er for AA

=se$$3n4 'er3s%!$e 4oods> re$%t3&e to % G #%r de%$er. Some te9ts 'refer to use )end3n4

3n&entor"1 r%ter t%n )%&er%4e 3n&entor"1. H34 r%t3o !" 3tse$f does not me%n 34 $e&e$

of eff3#3en#" %s 34 r%t3o #ou$d %$so me%n sort%4es. Ensure t%t tere %s !een no

#%n4e 3n 3n&entor" re'ort3n4 'o$3#" =LIFO, FIFO> dur3n4 te %n%$"s3s 'er3od. R%t3o W/

3s referred to %s te )se$f$3fe1 3.e. o6 m%n" d%"s te 3n&entor" 6%s e$d 3n te se$f.

R%t3o W so6s o6 mu# s%$es te f3rm 3s 4ener%t3n4 for e&er" do$$%r of 3n&estment 3n

%ssets X n%tur%$$", 34er te !etter. Ho6e&er, note t%t t3s r%t3o 3s !3%sed =%s %ssets %re

$3sted %t 3stor3#%$ #osts 63$e s%$es %re !%sed on #urrent 'r3#es>. R%t3os W0 %nd W+ so6

te f3rm<s eff3#3en#" 3n #o$$e#t3n4 from #red3t s%$es. 3$e % $o6 r%t3o 3s 4ood 3t #ou$d

%$so me%n t%t te f3rm 3s !e3n4 &er" str3#t 3n 3ts #red3t 'o$3#", 63# m%" dr3&e %6%"

some #ustomers. R%t3os W: %nd fo#us on eff3#3en#" 3n m%53n4 '%"ments. Com!3n3n4

3n&entor3es, %##ounts re#e3&%!$e %nd %##ounts '%"%!$e 6e 4et r%t3o W, 63# so6s te

f3n%n#3n4 'er3od to fund 6or53n4 #%'3t%$ needs. Lon4er te 'er3od, 4re%ter te sortterm

$32u3d3t" r3s5

*. In&entor" Turno&er Cost of oods So$dA&er%4e In&entor"

/. D%"s 3n In&entor" =A&er%4e In&entor"Cost of S%$es>[:+

. Assets turno&er Net S%$esTot%$ Assets



0. Re#e3&%!$es Turno&er Cred3t S%$esA##ounts Re#e3&%!$es

+. A&er%4e Co$$e#t3on 'er3od =A##ounts Re#e3&%!$eNet S%$es>[:+

:. A##ounts P%"%!$e turno&er Pur#%sesA##ounts P%"%!$e

. D%"s AP outst%nd3n4 =A##ounts P%"%!$eCost of S%$es>[:+

. F3n%n#3n4 Per3od A&er%4e Co$$e#t3on 'er3od d%"s 3n 3n&entor" d%"s AP

outst%nd3n4

An%l5<in& 0%l"e

E%rn3n4s 'er s%re =EPS> %re 63de$" re'orted %$tou4 3t 3s no6 $ess #$ose$" fo$$o6ed

=%fter %#%dem3# teor" 3ns34ts 3nto te dr%6!%#5 of EPS %nd 3m'ort%n#e of #%s f$o6

!%sed me%sures>. SEC re2u3res t%t te #om'%n" re'ort !ot !%s3# %nd d3$uted EPS.B%s3# EPS uses te %#tu%$ num!er of s%res #urrent$" outst%nd3n4 3n te m%r5et 63$e

d3$uted EPS uses #urrent$" outst%nd3n4 s%res %$$ 'otent3%$ s%res =due to #on&ert3!3$3t"

of de!t or 'referred sto#5 %s 6e$$ %s e9er#3se of sto#5 o't3ons, r34ts %nd

6%rr%nts>. D3&3dend "3e$d, 63$e 63de$" re'orted, m%" not #ont%3n mu# usefu$

3nform%t3on !" 3tse$f =es'e#3%$$" 6en #om'%r3n4 %#ross f3rms> s3n#e d3&3dend 'o$3#3es

&%r" %#ross f3rms. Furtermore, 'r3#e %''re#3%t3on =%s o''osed to d3&3dends> 3s te more

3m'ort%nt sour#e of "3e$d for s%reo$ders.

G%$ue r%t3os su# %s PE r%t3o so6 te )em!edded &%$ue1 3n sto#5s %nd %re used !" te

3n&estors %s % s#reen3n4 de&3#e !efore m%53n4 te3r 3n&estment. For e9%m'$e, % 34 PE

r%t3o m%" !e re4%rded !" some %s !e3n4 % s34n of )o&er 'r3#3n41. en te m%r5ets %re

!u$$3s or 3f te 3n&estor sent3ment 3s o't3m3st3# %!out % '%rt3#u$%r sto#5, te PE r%t3o 63$$

tend to !e 34 3nd3#%t3n4 t%t 3n&estors %re 63$$3n4 to '%" % 34 'r3#e for #om'%n"<s

e%rn3n4s. For e9%m'$e, 3n $%te *-s 3nternet sto#5s %d e9treme$" 34 PE r%t3os

=des'3te te3r $%#5 of e%rn3n4s> ref$e#t3n4 3n&estor<s o't3m3sm %!out te future 'ros'e#ts

of tese #om'%n3es. Of #ourse, te !urst of te !u!!$e so6ed t%t su# #onf3den#e 6%s

m3s'$%#ed. PS r%t3o #%n !e #om!3ned 63t PE r%t3o to %n%$"@e % #om'%n". R%t3o W 3s

usefu$ for &%$u3n4 #om'%n3es su# %s 3nternet ser&3#es or #%!$e ser&3#es t%t re$"

'r3m%r3$" on mem!ers to 4ener%te 3n#ome. Tus %n %ssessment of mem!ers =tot%$

mem!ers, #urrent %nd future e9'e#ted 4ro6t r%te, %nd %&er%4e s'end3n4 !" mem!er> #%n



'ro&3de usefu$ 4u3de$3ne 3n &%$u3n4 su# #om'%n3es =es'e#3%$$" 6en '$%nn3n4

%#2u3s3t3ons>.

*. E%rn3n4s 'er Common s%re =EPS> =Net E%rn3n4s Preferred D3&3dend>

W of s%res outst%nd3n4

/. E%rn3n4s 3e$d *EPS

. C%s f$o6 'er S%re =CPS> Net C%s F$o6sW of s%res outst%nd3n4

0. D3&3dend 3e$d Annu%$ D3&3dend Current M%r5et 'r3#e

+. Pr3#ee%rn3n4 R%t3o =PE> M%r5et Pr3#e 'er s%re EPS

:. Pr3#eS%$es R%t3o =PS> M%r5et 'r3#e 'er s%reS%$es 'er s%re

. Mem!ers3' G%$ue W of mem!ers [ &%$ue 'er mem!er

. Free CF 'er s%re =Net C%s f$o6 from O'er%t3ons C%'3t%$ E9'end3ture>W

of s%res

. Tot%$ S%reo$der Return =TSR> =End3n4 Pr3#e D3&3dend Be43nn3n4

Pr3#e>Be43nn3n4 Pr3#e

*-. EGA EAT Cost of F3n%n#3n4 =t%t 3s, Net C%'3t%$ Assets Em'$o"ed [ ACC>

/ Ue %n3 Li'i!%!i#n #$ R%!i# %n%l5i

Uses

*. To e&%$u%te 'erform%n#e =#om'%red to 're&3ous "e%rs 'eers>

/. To set !en#m%r5s or st%nd%rds for 'erform%n#e

. To 34$34t %re%s t%t need to !e 3m'ro&ed or 34$34t %re%s t%t offer te most

'rom3s3n4 future 'otent3%$

0. To en%!$e e9tern%$ '%rt3es =su# %s 3n&estors$enders> 3n %ssess3n4 te

#red3t6ort3ness'rof3t%!3$3t" of te f3rm.

Li'i!%!i#n

*. Tere 3s #ons3der%!$e su!(e#t3&3t" 3n&o$&ed %s tere 3s no teor" %s to 6%t sou$d

!e te )r34t1 num!er for te &%r3ous r%t3os. Furter, 3t 3s %rd to re%# % def3n3te

#on#$us3on 6en some of te r%t3os %re f%&or%!$e %nd some %re unf%&or%!$e.

/. R%t3os m%" not !e str3#t$" #om'%r%!$e for d3fferent f3rms due to % &%r3et" of f%#tors

su# %s d3fferent %##ount3n4 'r%#t3#es, d3fferent f3s#%$ "e%r. Furtermore, 3f % f3rm 3s

en4%4ed 3n d3&erse 'rodu#t $3nes 3t 3s d3ff3#u$t to 3dent3f" te 3ndustr" #%te4or" to 63#

te f3rm !e$on4s. A$so, (ust !e#%use % s'e#3f3# r%t3o 3s !etter t%n te %&er%4e does not



ne#ess%r3$" me%n t%t te #om'%n" 3s do3n4 6e$$ =3t 3s 2u3te 'oss3!$e rest of te 3ndustr" 3s

do3n4 &er" 'oor$">

. R%t3os %re !%sed on f3n%n#3%$ st%tements t%t ref$e#t te '%st %nd not te

future. Un$ess te r%t3os %re st%!$e, one #%nnot m%5e re%son%!$e 'ro(e#t3ons %!out te

future trend.

0. F3n%n#3%$ st%tements 'ro&3de %n %ssessment of te #osts %nd not &%$ue. For

e9%m'$e, te m%r5et &%$ue of 3tems m%" !e &er" d3fferent from te #ost f34ure 43&en 3n

te !%$%n#e seet.

+. F3n%n#3%$ st%tements do not 3n#$ude %$$ 3tems. For e9%m'$e, 3t 3s %rd to 'ut % &%$ue

on um%n #%'3t%$ =su# %s m%n%4ement e9'ert3se>.

:. A##ount3n4 st%nd%rds %nd 'r%#t3#es &%r" %#ross #ountr3es %nd tus %m'er

me%n3n4fu$ 4$o!%$ #om'%r3sons.

. M%n%4ement de#3s3on m%53n4 3s % d"n%m3# 'ro#ess 3n % #onst%nt$" #%n43n4

en&3ronment 63$e r%t3o %n%$"s3s 3s % st%t3# %n%$"s3s !%sed on 3stor3#%$ d%t%.

. Te $3n5%4e %mon4 &%r3ous r%t3os 3s not re%d3$" o!&3ous.

R%!i# An%l5i Ti'e Se4ie An%l5i

Li"i3i!5 R%!i#8 L32u3d3t" R%t3os 3nd3#%te te #om'%n"<s %!3$3t" to meet 3ts sort term

$3%!3$3t". Tese r%t3os 3nd3#%te te %&%3$%!3$3t" of $32u3d %sset to meet sort term

o!$34%t3ons. Cred3tors usu%$$" #e#5 t3s r%t3o to %ssess te %!3$3t" of f3rm to meet 3ts sort

term o!$34%t3ons.

• C"44en! R%!i# Current r%t3o 3s o!t%3ned !" d3&3d3n4 Current Assets !" Current

L3%!3$3t3es. Current r%t3o 43&es % 2u3#5 underst%nd3n4 of te #om'%n"<s $32u3d3t"

'os3t3on !ut 3s su!(e#ted to 63ndo6 dress3n4. Current %sset #ons3sts of C%s,

In&entor" %nd De!tors %s m%(or 3tems. Tou4 In&entor" %nd De!tors %re

#ons3dered $32u3d %sset, te #om'%n" m%" f3nd 3tse$f un%!$e to #o$$e#t de!t %t r34tt3me %nd #on&ert 3n&entor" 3nto #%s 6en 3t %s to '%" 3ts #red3tors. Hen#e t3s

r%t3o %$one #%n not 'ro&3de % #$e%r '3#ture of f3rm<s $32u3d3t" 'os3t3on.

• Li"i3 R%!i# L32u3d r%t3o 3s % !etter me%sure of L32u3d3t" !e#%use 3n&entor",

63# m34t not 4et #on&erted 3nto #%s 6en re2u3red to do so, 3s t%5en out of

te #urrent %sset for #%$#u$%t3n4 t3s r%t3o.



• A#l"!e C%h R%!i# It 3s te !est me%sure of te $32u3d3t" s3n#e on$" #%s %nd

ne%r #%s 3tems %re t%5en for #%$#u$%t3n4 t3s r%t3o. De!tors %nd In&entor" %re

t%5en out of te Current Asset %nd tus $eft '%rt of #urrent %sset 43&e % !etter 3de%

of $32u3d3t" of te f3rm.

• W#48in& C%6i!%l It 3s net #urrent %sset t%t % #om'%n" %s to %&e 3n order to

smoot$" run 3ts d%" to d%" o'er%t3on.Net Current Asset 3s d3fferen#e !et6een CA

%nd CL. It %$so 3nd3#%tes o6 te f3rm 3s f3n%n#3n4 3ts %ssets. For e9%m'$e 3f %

#om'%n" %s CL more t%n CA, 3.e. Ne4%t3&e or53n4 C%'3t%$, 3t 3m'$3es t%t te

#om'%n" 3s f3n%n#3n4 3ts $on4 term %sset from sort term funds. ener%$$" CL

does not #%rr" %n" #ost %nd en#e 3t 3n#re%ses te 'rof3t%!3$3t" of te f3rm.

• W#48in& C%6i!%l D%5 or53n4 #%'3t%$ d%"s 3nd3#%te te t3me t%5en 3n

#om'$et3on of te o'er%t3n4 #"#$e. It 3s % me%sure of f3rm<s 'o$3#" of #o$$e#t3n4

de!t, m%53n4 '%"ment to #red3tors %nd %&er%4e 3n&entor" o$d3n4 'er3od. Te

4oods %re 'ur#%sed e3ter 3n #%s or on #red3t, ten 3t rem%3ns 63t te f3rm %s

3n&entor" for some d%"s, ten 3t 3s so$d %nd de!tors %re #re%ted, ten te #%s 3s

#o$$e#ted from de!tors. So, CD 3s De!tors D%"s In&entor" D%"s Cred3tor

D%"s.

• De!#4 D%5 T3me t%5en to #on&ert de!tor 3nto #%s. It 3nd3#%tes o6 eff3#3ent$"

te f3rm 3s #o$$e#t3n4 3ts de!t.

• C4e3i!#4 D%5 It 3nd3#%tes o6 f%st te f3rm 3s '%"3n4 !%#5 to 3ts #red3tors.

• In:en!#45 D%5 Ho6 eff3#3ent$" te f3rm #on&erts 3ts 3n&entor" 3nto de!tors, 3.e.

o6 eff3#3ent te s%$es %re. It %$so 3nd3#%tes for o6 $on4 =on %n %&er%4e> 4oods

%re sto#5ed.



R%!i# ,@+, ,@++ ,@+@

Current R%t3o -. -.: -.

L32u3d R%t3o -.: -.+ -.0

A!so$ute Current R%t3o -./: -.// -.:

In&entor" D%"s 0:.: 0.:/ +0.-

De!tor D%"s *./ *./+ *.Cred3tor D%"s *.+ *. *0-./

or53n4 C%'3t%$ D%"s .: :./*

Ke5 Li"i3i!5 R%!i# $#4 BISLERI

An%l5i #$ Li"i3i!5 R%!i# Current r%t3o of BISLERI %s !een $ess t%n * for %$$ te

"e%rs t%5en for %n%$"s3s. T3s 3m'$3es t%t 6or53n4 #%'3t%$ of BISLERI 3s %$6%"s

ne4%t3&e. T3s 3s 4ener%$$" #ons3dered %n %44ress3&e str%te4" 3.e. to f3n%n#3n4 3ts $on4

term %sset !" sort term sour#es t%t 3n#re%ses 'rof3t%!3$3t" !e#%use #urrent $3%!3$3t3es %re

non 3nterest !e%r3n4 3tems. Tere 3s s34n3f3#%nt d3fferen#e !et6een CR %nd LR 63#

3nd3#%tes t%t te #urrent %sset of BISLERI #ons3sts of 4ood %mount of 3n&entor". G%$ue

of sundr" de!tors 3s 2u3te $o6 s3n#e tere 3s m3nor d3fferen#e !et6een LR %nd ACR. Te

$32u3d3t" r%t3os %&e de#re%sed from 're&3ous "e%r 63# so6s t%t BISLERI %s

redu#ed 3ts $32u3d3t" furter. On %n%$"@3n4 te o'er%t3n4 #"#$e 3t #%n !e s%3d t%t BISLERI

t%5es 4ood %mount of t3me to '%" 3ts #red3tors %nd t3s 3s o6 3t m%n%4e to run 3ts

o'er%t3ons 63t ne4%t3&e 6or53n4 #%'3t%$.



S#l:en5 R%!i# So$&en#" R%t3os 3nd3#%te te #om'%n"<s %!3$3t" to meet 3ts Lon4term

$3%!3$3t". Tese r%t3os 3nd3#%te te %!3$3t" of te f3rm to return te 3n&estment m%de !" 3ts

o6ners %nd de!t 'ro&3ders 3n te !us3ness, 3n #%se te #om'%n" 3s #$osed do6n. Tese

r%t3os %re usu%$$" seen !" te de!t 'ro&3ders or f3n%n#3%$ 3nst3tut3ons 3n order to %ssess te

r3s5 3n&o$&ed 3n te !us3ness. If te f3rm 3s #$osed do6n ten f3rst 3t 3s $3%!$e to '%" !%#5

3ts $o%n %nd ten 3f 3t 3s $eft 63t somet3n4 t%t !e$on4s to te s%re o$ders.

• De! E"i!5 R%!i# De!t E2u3t" r%t3o 3s o!t%3ned !" d3&3d3n4 Lon4 Term outs3de

L3%!3$3t" =De!t> !" Net ort. T3s r%t3o 3nd3#%tes te r3s5 3n&o$&ed for $o%n

43&ers. If 3t 3s too 34 ten te o6ner m%" not !e t%t mu# #on#erned for 'rof3t

m%53n4 s3n#e e %s 3n&ested $ess 3n te !us3ness %nd en#e 4ett3n4 $ess return. If

te #om'%n" m%5es $oss %d #$osed do6n su!se2uent$", ten te o6ner does not$oose mu# %nd $o%n 43&ers 63$$ %&e to !e%r re$%t3&e$" more $osses. T3s r%t3o

%$so determ3nes EPS.

• In!e4e! C#:e4%&e R%!i# ICR 3nd3#%tes te f3rm<s %!3$3t" to '%" te 3nterest of

te $o%ns t%5en. It 3s r%t3o of PBIT to Interest.

• De! !# T#!%l *"n3 T3s r%t3o 3nd3#%tes te s%re of te de!t 3n tot%$ sour#es

used to fund te !us3ness. S3n#e tot%$ sour#es %re e2u%$ to tot%$ %ssets, t3s r%t3o 3s

%n%$"@ed to %ssess te f3rm<s %!3$3t" to meet 3ts $on4 term $3%!3$3t" 3.e. %!3$3t" to

'%" !%#5 3ts $o%n, 3n #%se te #om'%n" 3s #$osed do6n.

• Ree4:e %n3 S"46l" !# T#!%l *"n3 T3s r%t3o 3nd3#%tes te s%re of te

Reser&es %nd Sur'$us 3n tot%$ sour#es used to fund te !us3ness. S3n#e tot%$ sour#e

%re e2u%$ to tot%$ %ssets, t3s r%t3o 3s used to %ssess te f3rm<s %!3$3t" to meet 3ts

$on4 term $3%!3$3t" to6%rds 3ts o6ner t%t 3s, %!3$3t" to return te s%re 'rof3t m%de

!" te !us3ness t%t !e$on4s to s%reo$ders, 3n #%se te #om'%n" 3s #$osed do6n.

,@+, ,@++ ,@+@

De!t E2u3t" R%t3o -.- -.-/ -.

Interest Co&er%4e R%t3o *+.* :.: */.+



De!t to Tot%$ Sour#e -.-* -.-* -./

RS to Tot%$ Sour#e -.0 -./ -./:

Ke5 S#l:en5 R%!i#

An%l5i #$ S#l:en5 R%!i# Te $o%ns t%5en !" BISLERI 6ere 34 3n /-*- 63# 3s

3nd3#%ted !" 34 de!t to tot%$ sour#e r%t3o %nd t3s 3s 6" 3ts ICR r%t3o 6%s $o6 =%s

#om'%red to ICR 3n /-** %nd /-*->. It %s de#re%sed 3ts $o%n %nd #urrent$" 3t 3s f3n%n#3n4

3ts !us3ness most$" !" net 6ort %nd #urrent $3%!3$3t". De!t to e2u3t" r%t3o %s de#re%sed

o&er te "e%rs %s 3t %s redu#ed te $o%ns. Its RS to Tot%$ sour#e %s 3n#re%sed 63#

3nd3#%tes t%t BISLERI 3n&ests %##umu$%ted 'rof3t 3nto !us3ness 63t de#re%s3n4 de!t.

No6 BISLERI<s %ssets %re f3n%n#ed !" net 6ort %nd #urrent $3%!3$3t" 63t de!t !e3n4 %

sm%$$ #om'onent of tot%$ sour#e.

P4#$i!%ili!5 R%!i#8 Prof3t%!3$3t" R%t3os so6 o6 su##essfu$ % #om'%n" 3s 3n terms of

4ener%t3n4 returns or 'rof3ts on te In&estment t%t %s !een m%de 3n te !us3ness 3.e. te

Prof3t%!3$3t" r%t3os 3nd3#%tes te %!3$3t" of te f3rm to 4ener%te %nd d3str3!ute te 'rof3t. It

#%n !e !ro%d$" #%te4or3@ed 3nto 'rof3t 4ener%t3n4 %!3$3t" =PA> r%t3os %nd 'rof3t

d3str3!ut3n4 %!3$3t" =PDA> r%t3os. It #%n !e s%3d te 34er tese r%t3os te !etter 3t 3s for

te #om'%n".



• PBIT !# S%le T3s r%t3o 3s o!t%3ned !" d3&3d3n4 Prof3t !efore Interest %nd T%9 !"

S%$es. T3s r%t3o 3s % me%sure of te #om'%n"<s 'rof3t 4ener%t3n4 %!3$3t" on % 43&en

&o$ume of s%$es. T3s 3s te most !%s3# r%t3o of 'rof3t 4ener%t3n4 %!3$3t" on s%$es

3.e. s%$es m%r43n !e#%use 3t does not t%5e 3nto %##ount te 3nterest %nd t%9es 63#

te #om'%n" %s to '%".

• PBT !# S%le T3s r%t3o 3s o!t%3ned !" d3&3d3n4 Prof3t !efore T%9 !" S%$es. T3s

r%t3o 43&es te #om'%n"<s 'rof3t 4ener%t3n4 %!3$3t" on % 43&en &o$ume of s%$es.

T3s r%t3o t%5es te 'rof3t %fter '%"3n4 te 3nterest 3n order to %ssess 'rof3t m%de

='rof3t m%r43n> %fter %$$ te e9'enses e9#e't t%9.

• O6e4%!in& E>6ene !# S%le It 3s % me%sure of te e9'enses t%t %re 3n#urred on

% '%rt3#u$%r &o$ume of s%$es. T3s r%t3o #%n !e used to %n%$"@e te #ost 3n#urred

%nd f3nd out te 6%"s to redu#e te o'er%t3on%$ #ost 63tout de#re%s3n4 te s%$es

&o$ume.

• Re!"4n #n Ne! w#4!h (RONW) T3s r%t3o 43&es %n 3nd3#%t3on %!out te 'rof3t

!e3n4 m%de !" te f3rm on te 3n&estment m%de !" te o6ner. T3s r%t3o 3s used to

%n%$"@e te !us3ness from te 'ers'e#t3&e of te o6ner. RON 3s %n 3nd3#%tor of

'rof3t d3str3!ut3n4 %!3$3t" of % f3rm.

•

Re!"4n #n C%6i!%l E'6l#5e3 (ROCE) T3s r%t3o 3nd3#%tes te 'rof3t m%53n4%!3$3t" of te f3rm on tot%$ #%'3t%$ em'$o"ed 63# #ons3sts of o6ners fund %nd

de!t. T3s 3s % 'rof3t 4ener%t3n4 %!3$3t" r%t3o 63# 3s seen !" o6ners %nd de!t

'ro&3ders.

• Re!"4n #n T#!%l Ae! ROTA te$$s o6 eff3#3ent$" te f3rm 3s us3n4 3ts %ssets or

tot%$ sour#es of fund to 4ener%te 'rof3t. It 3s % 'rof3t 4ener%t3n4 %!3$3t" r%t3o.

• E%4nin& Pe4 Sh%4e EPS 3s %n 3nd3#%tor of 'rof3t d3str3!ut3n4 %!3$3t" of % f3rm.

T3s r%t3o te$$s o6 mu# 'rof3t te f3rm 3s m%53n4 on o6ner<s 3n&estment on %

s3n4$e s%re of te #om'%n".

• Di:i3en3 6e4 Sh%4e DPS r%t3o 43&es %n 3de% of te %#tu%$ d3str3!ut3on of 'rof3t to

te o6ners 3.e. 'rof3t d3str3!uted to s%reo$ders 'er s%re.

• C*O !# PAT CFO to PAT #om'%res te net #%s 4ener%ted from o'er%t3on%$

%#t3&3t3es 63t net 'rof3t m%de !" te f3rm. It 43&es %n 3de% %s to o6 mu# 'rof3t



3s re%$3@ed %nd o6 3t 3s !e3n4 used 3n d3fferent %#t3&3t3es=In&estment, f3n%n#3%$,

O'er%t3on%$>

Some of the profitability ratio in this report does not match with the values given in

BISLERI’s summary of performance because the sales figures taken here are after

excise duty whereas the sales figures taken by BISLERI for calculating these ratios are

before excise duty ie !ross Sales

Ke5 P4#$i!%ili!5 R%!i# $#4 BISLERI

,@+, ,@++ ,@+@PBITS%$es =;> *./ */.+ *+.:

PBTSALES=;> *+. *0.+* *+.*:

O'er%t3n4 E9'ense =Oter t%n COS>S%Ies =;> /. -. /./

PATOF=RON> -.+ -.+ -.+

PBITCE=ROCE> -.:* -.:/ -.0:

PBITTA=ROTA> -./ -./ -.//

EPS .0* :.0 +.00



DPS + + :

CFOPBIT =;> ./ *.* .+

An%l5i #$ P4#$i!%ili!5 R%!i# PBIT %s 'er#ent%4e of s%$es 3s moder%te$" 4ood %nd

tere %s not !een %n" s34n3f3#%nt #%n4e 3n 3t dur3n4 $%st tree "e%rs. S3m3$%r 3s te #%se

of PBTS%$es. PBTS%$es %re 34er t%n te PBITS%$es for "e%r /-*- %nd /-** 63#

3nd3#%te t%t PBT 3s more t%n PBIT. T3s 3m'$3es t%t 3nterest '%3d !" te #om'%n" 3s

ne4%t3&e. On #$ose$" 6%t#3n4 te f3n%n#3%$ st%tement, 3t %s !een found t%t Net In#ome

from Interest for BISLERI 3s 'os3t3&e for te "e%rs /-*- %nd /-** m%53n4 PBT 34er

t%n PBIT. T%t 3s !e#%use In#ome Re#e3&ed !" te #om'%n" 3s more t%n t%t to !e '%3d.

Tere %s not !een %n" s34n3f3#%nt #%n4e 3n o'er%t3n4 e9'ense %s 'er#ent%4e of s%$es 3n

$%st tree "e%rs. For !us3ness o'er%t3n4 e9'ense to s%$es r%t3o %round -; #%n !e#ons3dered 4ood %s te #om'%n" %s to s'end e%&3$" on 3ts d3str3!ut3on net6or5 %nd

'romot3on%$ %#t3&3t3es. Te 'rof3t d3str3!ut3n4 %!3$3t" of te f3rm 3s e9#e$$ent 63t return

on net 6ort =RON> !e3n4 %round +; o&er te "e%rs. Te 'rof3t 4ener%t3n4 %!3$3t"

s3m3$%r to te 'rof3t d3str3!ut3n4 %!3$3t" 3s 'rett" 4ood 63t ROCE o&er :-; dur3n4 te

"e%r /-** %nd /-*-. ROCE 3n "e%r /-** %s 3n#re%sed from te f34ure of /-*-, 'er%'s

!e#%use of te de#re%se 3n de!t =#%n4e 3n #%'3t%$ stru#ture> %nd 3n#re%se 3n #urrent

$3%!3$3t" =non 3nterest !e%r3n4 3tem>. Return on tot%$ %sset =ROTA> %s !een moder%te$"

4ood 63t %$most #onst%nt &%$ue of %round //; o&er te "e%rs.



RESEARC7 OBJECTI0ES

• To Stud" te m%r5et3n4 Str%te43es of B3s$er3 3n #urrent S#en%r3o.

• To Stud" te M%r5et 'os3t3on of B3s$er3.

• To 'erform te SOT %nd PESTLE %n%$"s3s of B3s$er3

• To %n%$"@e te m%r5et #om'et3t3on of B3s$er3

• To do te f3n%n#3%$ %n%$"s3s of B3s$er3



RECOMMENDATION AND CONCLUSION

Re#''en3%!i#n

• Ad&ert3sement to !u3$d te !r%nd 3m%4e t%t 63$$ 'ro&3de te re2u3red 4round to

est%!$3s te %utent3#3t" to te 'rodu#t.

• D3s'$%" of ot %nd #o$d d3s'ensers %nd !ott$es %t '$%#es $35e ote$s, #$u!s %nd

%3r'orts 6ere u''er #$%ss 4rou' &3s3ts, %s te" %re te 'otent3%$ #ustomers '$%#e

$35e de'%rtment%$ stores, 'etro$ 'um's %nd su'er !%@%%rs #%n %$so !e #ons3dered

• Te #om'%n" sou$d or4%n3@e #%m's %t &%r3ous '%rt of te #3t" %$so ro%d so6 to

!r3n4 %!out te d3fferen#e !et6een m3ner%$ 6%ter %nd f3$ter'ur3f3ed 6%ter %nd to

te$$ te 'eo'$e o6 m3ner%$ 6%ter 3s more "43en3# t%n f3$tered 6%ter'ur3f3ed

6%ter.



• To %6%re 'eo'$e te #ost !enef3t %n%$"s3s to te #ustomer of o6 te m3ner%$

6%ter 6ou$d #ost $ess %nd !enef3t more, !e#%use 'eo'$e us3n4 'ur3f3er s"stem #ost

too mu#.

C#nl"i#n

B3s$er3 %&e de&e$o'ed un32ue '%#5 s3@es to su3t te need of e&er" 3nd3&3du%$. It 3s %$so

'resent 3n /+-m$#u's, /+-m$ !ott$es, +--m$, *L, *.+L, /L 63# %re te nonreturn%!$e

'%#5s +L, /-L 63# %re tere turn %!$e '%#5s. Se$$3n4 !ott$ed 6%ter re2u3res

#onst%nt$" e9'%nd3n4 te m%r5et. Te #om'%n" sou$d %$so t%r4et te m%r5et for soft

dr3n5s. A$$ te soft dr3n5s %ddress tree 3ssues8 fun, t3rst %nd refresment fo$$o6ed !"

st%tus to some de4ree. Te t3rst %nd te st%tus &%$ue of te m3ner%$ 6%ter %re 6e$$

%##e'ted. Tere 3s &er" $3tt$e te m3ner%$ 6%ter !r%nds #%n do to %dd te fun e$ement

%round te 'rodu#t. A4%3n ere, 3t !e#omes 3m'ort%nt for te #om'%n" to %&e %

4ood d3str3!ut3on net6or5. It sou$d !e understood t%t 3f te m3ner%$ 6%ter 3s e%s3$"

%&%3$%!$e e&er"6ere ten 3t #%n !e s%3d 63t #onf3den#e t%t 3t 6ou$d !e %!$e to re'$%#e

te soft dr3n5s %s t3rst 2uen#er. If 6e tr" %nd $oo5 %t te re%sons t%t 6" #onsumers

!u" soft dr3n5s %s t3rst 2uen#ers8 6e 6ou$d f3nd te %ns6er %s t%t e3ter 6%ter 3s not

%&%3$%!$e or 3f 3t 3s %&%3$%!$e ten s%fet" 3s not %ssured. Terefore, !%#5ed !" % 4ood

d3str3!ut3on net6or5 m3ner%$ 6%ter 3ndustr" #%n 4ro6 %t % r%'3d r%te.

Completed Project Bisleri Market Analysis 14 April 2013

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Transcript of Completed Project Bisleri Market Analysis 14 April 2013