BUSINESS PLAN (www.OnlineJanitor.in)

Coca-ColaThe largest beverage company in the world Anil Kumar(B11003)Md. Afsar Reza(B11021)

1IntroductionThe Coca-Cola Company is an American multinational beverage corporation and manufacturer, retailer and marketer of nonalcoholic beverage concentrates and syrups, which is headquartered in Atlanta, Georgia. The company is best known for its flagship product Coca-Cola, invented in 1886 by pharmacist John Stith Pemberton in Columbus, Georgia.The Coca-Cola formula and brand was bought in 1889 by Asa Griggs Candler (December 30, 1851 March 12, 1929), who incorporated The Coca-Cola Company in 1892..Founded in 1886, Coke products could be found in over 200 countries worldwide, with consumers downing more than 1.8 billion company beverage servings each day. Facts About the companyRevenue : US$ 46.854 billionOperating income : US$ 10.228 billion Net income : US$ 8.584 billionTotal assets : US$ 90.055 billionTotal equity : US$ 33.44 billionNumber of employees : 130,600Products and Revenue

In 2014, Sparkling beverages of The Coca-Cola Company accounted for 63%,Low calorie sparkling beverages accounted for 6%,Still and water beverages accounted for approximately 31% of companys sales volume.

Competitors PepsiCo Inc.Dr Pepper Snapple Group, Nestl S.A. UnileverKraft Foods Inc.Many others.

Return on EquityNet Working Capital RatioTotal Assets TurnoverThe amount of sales or revenues generated per dollar of assets. The Asset Turnover ratio is an indicator of the efficiency with which a company is deploying its assets.

the higher the ratio, the better it is, since it implies the company is generating more revenues per dollar of assets.

8Equity MultiplierA high equity multiplier is not necessarily better than a low multiplier. In order to develop a better picture of a companys financial health, investors should take into account other financial ratios and metrics, such as net profit margin or asset turnover. The ratio of a companys total assets to its stockholders equity. The equity multiplier is a measurement of a companys financial leverage. Companies finance the purchase of assets either through equity or debt, so a high equity multiplier indicates that a larger portion of asset financing is being done through debt.

9Debt RatioThe ratio shows the companys ability to cover its debts through its total assets. The ratio was 63% in 2013, then goes up in 2014. The ratio has to be low. So we can interpret that in the year 2014, the risk of the firm is getting higher as the ratio goes up.

10Economic Value AddedEconomic value added is the incremental difference in the rate of return over a company's cost of capital. In essence, it is the value generated from funds invested in a business.If the total economic value added remains negative, the business should be shut down. However, this strong growth didnt translate into top line growth for PepsiCo, as net revenues from developing markets fell 1% over 2013 levels on massive negative currency translations. In particular, depreciation of the Russian ruble and Venezuelan bolivar were detrimental to the companys realized sales growth.11Financial Policies Inventory Coca-Cola Co., Statement of Financial Position, InventoryUSD $ in millionsSource: Coca-Cola annual reportsDec 31, 2014Dec 31, 2013Dec 31, 2012Dec 31, 2011Raw materials and packaging1,6151,6921,7731,680Finished goods1,1341,2401,1711,198Other351345320214Inventories3,1003,2773,2643,092Coca-Cola determines cost on the basis of the average cost or first-in, first-out methods.Inventories are valued at the lower of cost or market.which include concentrates and syrups in Coca-Cola's concentrate operations and finished beverages in finished product operations).

12Conclusion Coca-Cola Co.'s enterprise value is increasing. Strong fundamentals, brand value helps in financial strength, which is reasonably good. While the business environment of bit Coca-Cola and Pepsi are good, Pepsi performed better in terms of return on equity, and return on assets last year. But Coca-Cola performed better in economic value added, debt ratio and performance was above industry average. Thanks