I don't know the price of a can of coke in Indonesia..but since you haven't told us, then I'm assuming you don't know either. As for the rest of the questions you ask, again I am assuming you don't know the answers. Here is what we do know from the last financial year Annual Report.
Sales in Indonesia & PNG = AUD $919m
EBIT in Indonesia & PNG = AUD $91m
Return on sales of 10%...this compares to the Australian return on sales which is 19%...so we were close saying that it is half as profitable.
The Annual Report also mentions that the minimum wage in Indonesia was recently raised by approx 35%. When was the last time Australia, as a developed economy was able to raise minimum wage by 35%?
Comparing Australia and Indonesia now, at this point of time, is not forward looking. Like a lot of Asian economies coming from a low base, Indonesia is expected to grow at a much faster rate than developed Western economies like Australia. As the population there becomes more wealthy, they will purchase more products like Coke.
Another way to think about it is that by doing the work now, CCL is entering the market and becoming established as this economic growth takes on more strength.
Currency risk is definitely a problem and I haven't looked at how management deal with it, but with hedging this risk can be minimised. Currency movements can also work in CCL's favour.
Not sure that the fact that Indonesia is predominantly Muslim really has any actual impact on CCL's growth strategy and using this as a possible reason why CCL won't be successful seems like a long and sensationalised bow to draw.
I'm not saying this is a clear, resounding buy but I do think that there is sufficient upside to be comfortable investing. To simply write this business off, as some people are trying do, without having actually answered these questions you have asked, doesn't appear to balanced or well considered analysis.
CCL Price at posting:
$8.69 Sentiment: Buy Disclosure: Held