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The document compares the prices of 'Saro' and 'Selam' mineral water, highlighting that 'Saro' offers lower prices across various bottle sizes. The price differences range from 2 Birr to 40 Birr, indicating a cost advantage for 'Saro'. Additionally, 'Saro' benefits from reduced transportation costs due to local production, positioning it favorably in the market.

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yirgalemle aye
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2 views1 page

2

The document compares the prices of 'Saro' and 'Selam' mineral water, highlighting that 'Saro' offers lower prices across various bottle sizes. The price differences range from 2 Birr to 40 Birr, indicating a cost advantage for 'Saro'. Additionally, 'Saro' benefits from reduced transportation costs due to local production, positioning it favorably in the market.

Uploaded by

yirgalemle aye
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

2.1.

3 Price Comparison of Mineral Water

"Saro" mineral water bottling company gate price of our products over the prices of main
competitors in our target market areas. The most dominant competitor mineral water in our
project area is "Selam". Below are the average prices per liter of bottled water supplied by our
major competitors in the project area.

Product by Bottle Size Sale Price Product by Bottle Size Sale Price Difference
(ETB) (ETB) /Variation/
1. "Selam" Mineral Water 2. "Saro" Mineral water

300ml 8 Birr 300ml 6 Birr 2 Birr


500ml 10 Birr 500ml 8 Birr 2 Birr
1000ml 14 Birr 1000ml 12 Birr 2 Birr
2000ml 22 Birr 2000ml 20 Birr 2 Birr
5 liter 70 Birr 5 liter 60 Birr 10 Birr
20 liter 280 Birr 20 Liter 240Birr 40 Birr

From the above table we can compare the price of Selam and Saro mineral water. The sale price
per each product by the bottle size shows as there is variation of 2Birr, 10 Birr and 40 Birr. Thus,
establishing Saro mineral water in the study area has cost benefit than Selam mineral water.
Besides, Selam and other mineral water products are coming from Addis Ababa and other Cities
in the country. Thus, the presence of our company/industry in this area also minimizes
transportation cost. These advantages make our product to be prior from others and how to grow
business from the scratch to becoming a national phenomenon.

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