ST.

MARYS UNIVERSITY
FUCULTY OF BUSINESS
DEPARTMENT OF MANAGEMENT

A BUSINESS PLAN FOR MOHA S.C ON NEW ENERGY

DRINKS
SUBMITTED TO CIU ( SMU)

BY: YARED TESHOME

MARCH, 2021
ADDIS ABABA
 ETHIOPIA

CHAPTER ONE
1.1 Objectives
The business plan is always identifying, describe, analyze a business
opportunity to increase profit by developing the company’s level in the case of
by structuring the marketing, manufacturing, and financial department to get
the market share of the target market and to win the competitive advantage
against rivalry firms. so if we want to create best image for our business
The studies on energy drinks are very fresh in Ethiopia. So, the primary
objectives of this project objective is to know the usefulness of the energy
drink in Ethiopia by comparing the drinking water standards of WHO.
1.2 Project area
The project
1.3 nature of the organization
The nature of the organization is in manufacturing, marketing, and distributions
of food like sun chips and beverages like Pepsi, mirinda, mirinda tonic, mirinda
apple, and others products.

CHAPTER TWO
2.1 Executive summary
Moha soft drinks industry was established in May, 1966 following the acquisition
of four state owned Pepsi plants by Saudi Arabian-Ethiopian business magnet
sheikh Mohammed ALI AL AMOUDI and his wife. From PepsiCo. PepsiCo is an
American multinational corporation dealing with snack and beverages. The
company is the world largest in the snack and beverage industry. In terms of
revenues for example, the company’s revenue hit a high of 66.4 billion the
company has a wide range of subsidiaries in its portfolio. These subsidiaries
include Frito-lays salty snacks, Quaker chewy, granola bars, Pepsi soft drink
products Tropicana orange juice, Lipton brisk tea etc… the products produced by
PepsiCo and its subsidiaries in most cases as regard as compliments as they are
consumed together. PepsiCo’s business lineup was 1 billion dollars in the financial
year 2014

Our market plan will be always based on the what kind of products customers’
needs and wants, by how kind of distribution the customers gets our products
easily affordably, and when the customer wants our product more than the other
seasons. And we are always focused on what kind of new products and to satisfy
our customer with something new.

2.2 Situation analysis

Is an essential part of any business plan and should be reviewed periodically to
ensure that it is effective and current.
Situation analysis is defined as the analysis of the internal and external factors of a
business. It clearly identifies a business’s capabilities, customers, potential
customers and business environment. And when we considering performing a
situation analysis of our business, there are important factors to look at. Like:
1. Product situation
2. competitive situation and,
3. distribution situation
1. product situation
their products have received strong demand from initial contacts with end users
and distributers
2. competitive situation
The PepsiCo and Coca-Cola form strong duopoly market in this industry. The
desire to be the market leader or to corner a large market share leads to great
rivalry between these two giants. Greater competition for market share and
increased pressure has resulted in weaker companies losing market share to these
two companies
3. distribution situation
PepsiCo’s products reach the market through the following three channels: direct
store delivery (DSD), customer warehouse, and third party distributor networks
A. direct store delivery (DSD)
under the DSD system, PepsiCo delivers products directly to retail stores. Of the
three channels, DSD enables PepsiCo to merchandise with maximum visibility. It
is more suitable for products that are restocked often and are sensitive to
promotions and marketing.
B. customer warehouse
the customer warehouse system is ales expensive distribution channel. It is ideal
for products that are less fragile and perishable, have lower turnover, and are not
purchased impulsively.
C. third-party distributor network
PepsiCo distributes food and beverage products to restaurant, businesses, schools,
stadiums through third party food service and vending distributors and operators.
Market summary
MOHA soft drinks industry S.C. Is a multinational food, snack, and beverage
corporation. MOHA plc. Has interests in the manufacturing, marketing, and
distribution of snack foods, beverages, and other products. The major products of
MOHA soft drinks industry S.C. are: Pepsi cola, mirinda orange, 7-up, mirinda
tonic, mirinda apple (all Pepsi brands), and Kool (bure Kool and tossa bottled
water products.)
2.3.1 Market demographic
The target market for Pepsi products is the population aged between 13 and 45
years. Since this population mostly comprises of young people, Pepsi sells its
products in restaurants, schools, colleges, fast food stores, and other places that this
target market frequents.
2.3.2 Market needs
In this competitive market with the giant rivalries like Coca-Cola we must identify
the customer’s feedback need and want because our aim is to satisfy the customers
so we must improve on some another flavors and customers by behavior needs
something new to take competitive advantage.
2.3.3 Market trends
Moha share company’s soft drink has been known in the market for several years
in the past for its consistent distribution of products that are affordable in the
market share. But company has been fighting the competition with other
companies that are produce the same products. The penetration of other drinks in
the market has a strong impact in moha in the market place. The market shares of
the moha share company’s products go to a lower level due to the penetration of
other competitors in the market
However, because of its great name in the beverage industry. Pepsi drinks still able
to survive the battle of numerous beverages brand in the market.
2.3.4 market growth
The market growth of MOHA holds 52% of the market share on soft drinks
industry in the country. With the performance of the production capacity and
customer satisfaction. The annual turnover of the company has reached to birr to
556 million and sales stands an average annual growth rate of 12%. MOHA soft
drinks industry s.c. has get the trust, stick, and follow up to Pepsi cola international
standards and good manufacturing practices (GMP).
2.4 SWOT analysis
SWOT analysis is a helpful framework and plays a crucial role in developing
business plan, which examines our company’s strengths, weaknesses,
opportunities, and threats. This framework helps us to develop plans to know the
competitive advantages we have today and to follow up opportunities for the future
that build upon those strengths, and it also helps that we are aware of the areas in
our business where we are most vulnerable to competitors so we can make plans to
overcome weakness and minimize risk from external factors that might be out of
control.
2.4.1 strengths
 Best brand image - by the brand image the company gain the customers trust
and loyalty.
 Strong global presence – by the company’s name of PepsiCo that partaking
more than 200 countries it helps MOHA s.c. to attract the customers easily.
 Effective marketing strategy – the company understands the importance of
marketing by sponsoring the famous sports because to advertise on many
people like football so that follow the sport, because of this the company can
get to the market easily.
2.4.2 weakness
 It’s always depend on food and beverages – there is a possibility of losing.
If loss occurred, the company has no other option to come back.
 Products perceived as unhealthy – most of Pepsi’s soft drinks perceived as
they contain high sugar volume that causes diabetes, and its excess salt
content on snacks that causes heart disease.
 Effects of failed products – Pepsi failed its products such as crystal Pepsi
(colorless Pepsi), Pepsi blue, etc.
2.4.3 opportunities
  Product Diversification: Diversification into different segments enables
businesses to exploit benefits beyond their traditional field of operation and
attain stability. Even though PepsiCo has 22 brands under its portfolio, all
these brands are concentrated within the food and beverage industry.
PepsiCo can exploit benefits in other segments by diversifying its products
portfolio into other sectors beyond food and beverages, such as sportswear,
through the acquisition of a small but established sportswear brand.
 Expand E-Commerce: More customers are using digital channels for online
shopping. PepsiCo has the opportunity to exploit the benefits of online
shopping by expanding its e-commerce (mobile apps) and grow sales
through these channels.
 Enhance Alliances and Partnerships: In a globalized marketplace,
businesses that seek and nurture strong alliances and partnerships are more
successful. For example, PepsiCo can extend the current partnership with
Starbucks into other areas to harness all benefits of their partner’s
numerous coffee outlets.
2.4.4 threats
Stiff Competition: PepsiCo’s profitability and market share are threatened by
stiff competition from Coca Cola, Nestle, Dr. Peppers, Unilever, and so on. The
competition also threatens long-term sustainability and profitability because it
increases the cost of protecting market share through adverts, promotions, and
discounts to retain customers.
Economic Slowdown or Recession: Even though food and beverage consumer
markets are going strong, the possibility of a slowdown or recession soon cannot
be ruled out. In case of a recession, PepsiCo can incur losses because its product
portfolio is concentrated with products, which are usually among the first expenses
to be dropped by consumers during economic hardship. In the 2008-09 recession,
Pepsi had to cut over 3300 jobs due to a decrease in soft drink sales.
Competitors Adopt Technology More Effectively: In the current technologically
advanced and highly competitive business arena, the success or failure of
businesses depends on the adoption rate of emerging technologies. PepsiCo can
lose competitive advantage to competitors if they adopt game-changing
technologies more effectively.
4.3 Alternative provider
PepsiCo Inc. has acquired a majority stake in Ethiopian snacks producer Senselet
Food Processing PLC, according to a Dec. 24 release.
was founded in 2015 by Dutch food chain-focused investment firm Veris
Investments BV and produces the Sun Chips potato snack brand. It has a
production facility about 65 kilometers outside Addis Ababa and employs more
than 150 people.
to the release, Veris will retain a minority stake in Senselet and work with
PepsiCo to further expand the business and develop potato sourcing programs in
Ethiopia.
earlier this month acquired another snacks business, New York-based BFY Brands
LLC.
Services offered
The Company delivers its products directly from manufacturing plants and
warehouses to customer warehouses and retail stores. This is part of a three
pronged approach which also includes employees making direct store deliveries of
snacks and beverages and the use of third party distribution services.
Pepsi-Cola provides advertising, marketing, sales and promotional support to
Pepsi-Cola bottlers and food service customers. This includes some of the world's
best and most recognized advertising. New advertising and exciting promotions
keep Pepsi-Cola brands young.
Keys to success
Another key factor for PepsiCo’s success in this industry is Volume and market
share. Large scale distributors such as PepsiCo and Coca-Cola are able to benefit
from economies of scale and from a substantial reduction in their business risks.
PepsiCo believes that, being innovative helped them to expand globally, as they
develop their businesses and grow their position country by country. For
competitive success in the alternative beverage industry, PepsiCo's key success
factors are product innovation and differentiation.
Recommendations
Given the analysis of PepsiCo’s competitive and internal environment, the
following recommendations can be considered by its management in order to
improve its competitiveness.
Conclusion:
Consumers want to buy soft drinks delivered at convenient locations with the right
package. Pepsi have to make sure that the market keeps growing annually, and that
company products are available everywhere. Pepsi has won the International
Quality Award and Bottlers of the year Award, so the company feels quite
optimistic. Although difficult challenges lay ahead, yet to exploit opportunities
through the implementation of an effective and comprehensive marketing plan
2009.

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