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Cafe Coffee Day ( Ccd )

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Firm Performance and Context
Café Coffee Day (CCD) is an Indian coffee retailer that was established in 1995. Founded by V.G. Siddhartha, this company has quickly grown to become the leading coffee retailer in India with 60% of the market share, 1,469 locations, and 22,000 vending machines throughout the country. (Yoffie) What makes Café Coffee Day special is its complete ownership of its coffee beans from the growing at its plantations to the brewing in its retail outlets. CCD is owned by Amalgamated Bean Coffee Trading Company Limited, which owns and produces coffee beans from its own plantations and these coffee beans are the same ones that are used at Café Coffee Day. Due to ABC’s ownership of its own plantations it has no middle man that would increase costs to CCD.
External Factors and Industry The first external factor that is affecting CCD is the stiff competition entering the market, especially from foreign owned companies. Due to India’s rapidly growing economy and analyst reports of continued growth over the next fifty years, India is a desirable market for all types of companies including coffee retailers. Currently CCD is seeing competition from Italian coffee maker Lavazza, U.K. based Costa Coffee, and U.S. owned Coffee bean and Tea Leaf. More recently however, competitors Dunkin Donuts and Starbucks have started to open stores throughout India and have been gaining much publicity. Social and cultural factors are playing a big role in the coffee industry
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